1442 Laws of Maryland Ch. 534
nated insurer that the investigation and defense will be made at
the expense of the first designated insurer. A copy of this notice
also shall be mailed to the State Insurance Department.
§ 7-608. Defense of actions against motorists.
The insurer to whom any action has been assigned may through
counsel enter an appearance on behalf of the defendant, file a defense,
appear at the trial or take such other steps as it may deem appro-
priate on the behalf and in the name of the defendant, and there-
upon, on the behalf and in the name of the defendant, may conduct
his defense, take recourse to any appropriate method of review on
behalf of, and in the name of, the defendant, and all such acts shall
be deemed to be the acts of the defendant; but nothing contained
herein shall deprive defendant of the right also to employ his own
counsel, to participate in the defense of the action. All expenses
incurred by the insurer in connection with any review or appeal
prosecuted or defended by it from a judgment rendered in the action
shall be borne by the fund, and its attorneys' fees in connection
therewith shall be subject to approval by the court.
§ 7-609. Judgment by default procedure.
As soon as practicable after assignment of any claim or action to
an insurer for investigation and defense, and if the Board finds that
the defendant was negligent and that his negligence was the proxi-
mate cause of the accident from which the action arises, the Board
shall negotiate with the plaintiff to obtain an offer of settlement of
the claim or action. If the Board finds that the plaintiff's offer is
reasonable, it shall submit the offer to the defendant for acceptance
or rejection. If defendant accepts the offer, the plaintiff shall pro-
ceed to settlement as provided in Section 7-614. If defendant rejects
the offer, the Board shall cause a notice to be served upon the
defendant sent by registered mail to his last known address which
shall state: (1) That the insurer to which the claim or action was
assigned for defense shall withdraw from the claim or action with-
out further notice at the expiration of thirty days from the date of
the notice; (2) That defendant has thirty days from the date of the
notice within which to engage counsel of his own selection to defend
him in the claim or action and that his counsel shall enter his appear-
ance for defendant within the thirty-day period or that defendant
may enter an appearance in his own behalf in the claim or action
within that period; and (3) That, if the provisions of item (2) herein-
above are not complied with, at any time after thirty days from the
date of the notice and without further notice, judgment may be en-
tered against him in the claim or action in the amount of the settle-
ment offer. After the expiration of any thirty-day period of notice to a
defendant, the Board may request the court to set the claim or action
for a hearing. At the hearing the court may proceed in a summary
manner, and if it is satisfied that this section or any other applicable
provisions of this part have been complied with, it may enter judg-
ment against the defendant in favor of the plaintiff in the amount
of the settlement offer. The defendant has 10 days in which to appeal
from the date of the entry of the judgment.
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