1182

LAWS OF MARYLAND

Ch. 450

10A.

(A)         UNLESS OTHERWISE SPECIFICALLY PROVIDED BY THE
LAWS OF MARYLAND, THE STATE OF MARYLAND, AND EVERY
OFFICER, DEPARTMENT, AGENCY, BOARD, COMMISSION, OR OTHER
UNIT OF STATE GOVERNMENT MAY NOT RAISE THE DEFENSE OF
SOVEREIGN IMMUNITY IN THE COURTS OF THIS STATE IN AN
ACTION IN CONTRACT BASED UPON A WRITTEN CONTRACT EXECUTED
ON BEHALF OF THE STATE, OR ITS DEPARTMENT, AGENCY, BOARD,
COMMISSION, OR UNIT BY AN OFFICIAL OR EMPLOYEE ACTING
WITHIN THE SCOPE OF HIS AUTHORITY.

(B)          IN ANY SUCH ACTION, THE STATE, OR ITS OFFICER,
DEPARTMENT, AGENCY, BOARD, COMMISSION, OR OTHER UNIT OF
GOVERNMENT IS NOT LIABLE FOR PUNITIVE DAMAGES.

(C)          A CLAIM IS BARRED UNLESS THE CLAIMANT FILES
SUIT WITHIN ONE YEAR FROM THE DATE ON WHICH THE CLAIM
AROSE OR WITHIN ONE YEAR AFTER COMPLETION OF THE CONTRACT
GIVING RISE TO THE CLAIM, WHICHEVER IS LATER.

(D)          IN ORDER TO PROVIDE FOR THE IMPLEMENTATION OF
THIS SECTION, THE GOVERNOR ANNUALLY SHALL PROVIDE IN THE
STATE BUDGET ADEQUATE FUNDS FOR THE SATISFACTION OF ANY
FINAL JUDGMENT, AFTER THE EXHAUSTION OF ANY RIGHT OF
APPEAL, WHICH HAS BEEN RENDERED AGAINST THE STATE, OR ANY
OFFICER, DEPARTMENT, AGENCY, BOARD, COMMISSION, OR OTHER
UNIT OF GOVERNMENT IN AN ACTION IN CONTRACT AS PROVIDED
IN THIS SECTION.

SECTION 2. AND BE IT FURTHER ENACTED, That new
Section 1A be and it is hereby added to Article 23A -
Corporations — Municipal, of the Annotated Code of
Maryland (1973 Replacement Volume and 1975 Supplement) to
read as follows:

Article 23A — Corporations - Municipal

1A.

(A)    UNLESS OTHERWISE SPECIFICALLY PROVIDED BY THE
LAWS OF MARYLAND, A MUNICIPAL CORPORATION, AND EVERY
OFFICER, DEPARTMENT, AGENCY, BOARD, COMMISSION, OR OTHER
UNIT OF MUNICIPAL GOVERNMENT MAY NOT RAISE THE DEFENSE OF
SOVEREIGN IMMUNITY IN THE COURTS OF THIS STATE IN AN
ACTION IN CONTRACT BASED UPON A WRITTEN CONTRACT EXECUTED
ON BEHALF OF THE MUNICIPAL CORPORATION, OR ITS
DEPARTMENT, AGENCY, BOARD, COMMISSION, OR UNIT BY AN
OFFICIAL OR EMPLOYEE ACTING WITHIN THE SCOPE OF HIS
AUTHORITY.

(B)    IN ANY SUCH ACTION, THE MUNICIPAL CORPORATION,
OR ITS OFFICER, DEPARTMENT, AGENCY, BOARD, COMMISSION, OR
OTHER UNIT OF GOVERNMENT IS NOT LIABLE FOR PUNITIVE
DAMAGES.

(C)    A CLAIM IS BARRED UNLESS THE CLAIMANT FILES