1230 LAWS OF MARYLAND. [CH. 630

Negotiability of Public Indebtedness.

30. In all cases where this State or any county, municipal
or public corporation or other political subdivision thereof,
or where any instrumentality or agency of said State or of
any county, municipal or public corporation or other political
subdivision thereof, shall have issued and sold or may here-
after issue and sell, pursuant to proper authority duly granted,
securities which, by such authority or by the resolution or
ordinance providing for the same, are limited, as to the pay-
ment of the principal and interest thereof, to the proceeds of
the collection of special assessments, tolls, rents, special taxes,
or other limited sources of revenue, or where such principal
and interest are, by such authority, resolution or ordinance,
made payable only from some special fund established for that
purpose, or where such issuer is limited by law in the amount
or rate of taxation which may be levied or imposed for the
purpose of paying such principal and interest, then, notwith-
standing that the promise to pay contained in any such securi-
ties shall be deemed to be conditional within the meaning of
Section 20 of Article 13 of the Code of Public General Laws
of Maryland, such securities shall nevertheless pass as negoti-
able instruments and shall possess all the attributes thereof,
but no more, as are possessed by securities which any such
issuer could or might be authorized to issue on its full faith
and credit, secured as to payment of principal and interest
by its unlimited taxing power, provided always that the securi-
ties herein referred to shall comply in all other respects with
the provisions of the negotiable instruments law as the same
appears in said Article 13.

SEC. 2. And be it further enacted, That this Act shall take
effect June 1, 1939.

Approved May 27, 1939.

CHAPTER 630.

(House Bill 702)

AN ACT to add a new sub-title and three new sections to Arti-
cle 31 of the Code of Public General Laws of Maryland,
title "Debt—Public", said new sub-title to be known as
"Conditions Upon Sale of Public Securities", and. said new
sections to be known as Sections 31, 32 and 33, to follow
immediately after Section 30 of said Article, said Section 31
containing definitions of the terms used in the following two