Marvin Mandel, Governor                          1541

jointly and severally liable for any resulting deficiency in the amount
recovered from the insolvent affiliate.

518.    Examination of the Association, Annual Report.

The Association shall be subject to examination and regulation by
the Commissioner. The board of directors shall submit to the Com-
missioner, not later than May 1 of each year, a financial report for
the preceding calendar year in a form approved by the Commis-
sioners COMMISSIONER and a report of its activities during the
preceding calendar year.

519.    Tax Exemptions.

The Association shall be exempt from payment of all fees and all
taxes levied by this State or any of its subdivisions, except taxes
levied on real property.

520.    Immunity.

There shall be no liability on the part of and no cause of action of
any nature shall arise against any member insurer or its agents or
employees, the Association or its agents or employees, members of
the board of directors, or the Commissioner or his representatives,
for any action taken by them in the performance of their powers
and duties under this Act.

521.    Stay of Proceedings: Reopening Default Judgments.

All proceedings in which the impaired insurer is a party in any
court in this State shall be stayed 60 days from the date an order of
liquidation, rehabilitation, or conservation is final to permit proper
legal action by the Association on any matters germane to its powers
or duties. As to a judgment under any decision, order,, verdict, or
finding based on default, the Association may apply to have such
judgment set aside by the same court that made such judgment and
shall be permitted to defend against such suit on the merits.

Sec. 2. And be it further enacted, That if any provisions of this
subtitle, or the application of any provisions to any person or circum-
stances, shall be held invalid, the remainder of the subtitle and appli-
cation of the provision to any person or circumstances other than
those as to which it is held invalid, shall not be affected thereby.

Sec. 3. And be it further enacted, That this Act shall take effect
July 1, 1971.

Approved May 24, 1971.

CHAPTER 716
(House Bill 756)

AN ACT to add new subsection (k) to Section 28 of Article 2B
of the Annotated Code of Maryland (1970 Supplement), title
"Alcoholic Beverages," subtitle "Local Licenses and License Pro-