(a) The director shall review the documents submitted by the applicant under section 3920 and shall apply the criteria stated in this section to determine whether to order that the applicant's certificate of registration be granted or denied pursuant to subdivision (e) of section 6406 of the Business and Professions Code.

(b) Where the county clerk has denied the applicant registration or renewal of registration because the applicant has failed to demonstrate having met one of the education and experience requirements stated in section 6402.1 of the Business and Professions Code, the director shall determine whether the failure specified in the county clerk's notice of denial is likely to expose consumers to a significant risk of harm.

(c) Where the county clerk has denied the applicant registration or renewal of registration because the applicant is currently disbarred or suspended from the practice of law as prohibited by section 6402 of the Business and Professions Code, or because of a conviction, civil judgment or revocation of registration as specified in subdivision (b) of section 6406 of that Code, the director shall review each disbarment, suspension, conviction, civil judgment and revocation of registration disclosed in the application or cited in the county clerk's notice of denial to determine whether any of these disqualifying events, separately or in combination, is substantially related to the qualifications, functions and duties of a legal document assistant. The director shall make this determination by applying the criteria stated in paragraphs (1) and (2).