CHANCERY 641

This section referred to in construing sec. 261—see notes thereto. Philbin v. Thurn,
103 Md. 347.

Penalty of bond should be inserted upon remand of case. Kramme v. Mewshaw,
147 Md. 553.

Cited but not construed in Druid, etc., Co. v. Oettinger, 53 Md. 60.

As to the payment of the premium of the bond out of the estate being admin-
istered, see art. 24, sec. 10.

An. Code, 1924, sec. 251. 1912, sec. 236. 1904, sec. 220. 1888, sec. 204. 1785, ch. 72, sec. 10.

260. The bond of every trustee appointed by the court, and the bonds
of trustees who are ordered by the court to give bond, shall be filed with
the clerk of such court and recorded. :

See notes to sec. 259.

An. Code, 1924, sec. 252. 1912, sec. 237. 1904, sec. 221. 1888, sec. 205. 1874, ch. 483, sec. 107.
1892, ch. 241. 1900, ch. 114. 1912, ch. 778.

261. Every trustee to whom any estate, real, personal or mixed, shall
be limited or conveyed for the benefit of creditors, or to be sold for any
other purpose, except upon a contingency, shall file with the clerk of the
court in which the deed or instrument creating the trusts may be recorded,
a bond in such penalty as the clerk may prescribe, being as nearly as can
be ascertained double the amount of the whole trust estate, and with sure-
ties to be approved by the clerk, conditioned for the faithful performance
of the trusts reposed in such trustee, which bond shall be retained and re-
corded in the office of said clerk; and no title shall pass to any trustee as
aforesaid, until such bond shall be filed and approved as aforesaid, and
no sale made by any such trustee without such bond shall be valid or pass
any title to such property or estate. If the trust estate consists of real
property, or of real and personal property, situated partly in the county
or city in which the grantor reside, and partly in one or more other coun-
ties, it shall be sufficient that a bond has been accepted and filed in the
county of the grantor's residence; if the trust estate consists entirely of real
estate in a county or counties other than of the residence of the grantor, it
shall be sufficient that a bond has been accepted and filed in the county in
which the deed has been recorded; provided, nevertheless, that this section
shall neither apply to, nor include, any deed of trust by which land is con-
veyed to a trustee or trustees to sell, in whole or in part or parts, for the
benefit either of the grantor or grantors in the said deed of trust or of the
person or persons who have contributed or paid the consideration, other
than love and affection, of the said deed of trust and is or are entitled
thereunder to the proceeds of sale or sales made thereunder.

Application of this section.

This section applies only to deeds creating trusts for the sale of property for the
benefit of creditors or otherwise. It has no application to a deed creating a trust
to hold property and then convey it absolutely, although an incidental power of
sale is conferred. Talbott v. Leatherbury, 92 Md. 168; Union Trust Co. v. Ward, 100
Md. 101; Casualty Co.'s Case, 82 Md. 562.

This section held not to apply where money is deposited by a casualty company with
the treasurer of Maryland to guarantee the payment of policies, although a trust
is thereby created. Casualty Co.'s Case, 82 Md. 562. And see Union Trust Co. v.
Ward, 100 Md. 101.

This section does not apply to an assignment for the benefit of creditors executed
by a resident of another state conveying choses in action and personal property situated
in this state. This section has no application if the deed of trust is not required to
be recorded. Moore v. Land Title, etc., Co., 82 Md. 289; United Rys., etc., Co. v.
Rowe, 97 Md. 658.

A deed conveying property to trustees to hold for a person for her life and then
(in case she failed to exercise a power of appointment) to convey it to her heirs,
etc., giving the trustees a power of sale, and further directing the trustee to repay

22