(a) An applicant for a license or registration certificate or a license or registration certificate holder is entitled to not less than 20 days' written notice and, if requested, a hearing in the following instances:
(1) after an application for an original or renewal license or registration certificate has been refused;
(2) before the comptroller may revoke a license or registration certificate; and
(3) before the comptroller may impose any other sanction under this chapter other than the sealing of a machine.
(b) Written notice required by Subsection (a) may:
(1) be personally served by the comptroller or the comptroller's authorized representative;
(2) be sent by United States certified mail addressed to the last known address of the applicant or license or registration certificate holder; or
(3) if, after due diligence, notice cannot be given as provided by Subdivision (1) or (2), be given by any reasonable method of notice prescribed by the comptroller calculated to inform a person of average intelligence and prudence in the conduct of the person's affairs, including publishing notice in a newspaper of general circulation in the area in which the applicant or license or registration holder conducts the person's business activities.