HARRY HUGHES, Governor

453

as duplicative of present CA § 6—212(a)(3).

The balance of CA § 6-212 now appears in § 9-312
and § 9-430 of this title.

"Savings and loan association" is defined in §
9-101 of this title.

9-314. ENTRANCE FEE.

IN ITS CHARTER OR BYLAWS, A SAVINGS AND LOAN
ASSOCIATION MAY SET AN ENTRANCE FEE TO BE PAID AT THE TIME
OF SUBSCRIPTION FOR SHARES.

REVISOR'S NOTE: This section presently appears as CA §
6-222(a)(2).

Since the fee is paid at the time of subscribing,
and in accordance with the charter or bylaws,
provision is made that the entrance fee is equal
to all members, whether borrower or free
shareholder.

9-315. FINES AND FORFEITURES.

IN ITS CHARTER OR BYLAWS, A SAVINGS AND LOAN
ASSOCIATION MAY ASSESS FINES AND FORFEITURES TO ENFORCE
PAYMENT BY A MEMBER OR STOCKHOLDER OF ANY DUES, LEGAL
INTEREST, PREMIUM, OR OTHER INSTALLMENT PAYMENT.

REVISOR'S NOTE: This section presently appears as CA §
6-222(a)(4).

Note that the term "legal interest", as used in
present CA § 6-222(a)(4), is inaccurate here
since, although the amount is given a statutory
ceiling under this title, the amount is not
actually interest in that the charge does not
have the same basis for computation as would a
true interest charge. The transaction

contemplated is a dealing with a partnership fund
and the charge is more in the nature of a service
charge.

The present phrase "and other dues" is deleted
since the term "dues" specifically applies to the
principal owed on subscription shares.

Since the fines and forfeitures must be in

accordance with an association's charter or

bylaws, provision, therefore, is made that   any
fine or forfeiture must be equitably applied.

As to "member", see § 9-301 of this subtitle.

"Savings and loan association" is defined in §
9-101 of this title.