HARRY HUGHES, Governor

1475

TERMS OF THE SALE. A TERMINATION AGREEMENT AND ALL
RATIFICATIONS THEREOF MUST BE RECORDED IN EVERY COUNTY IN
WHICH A PORTION OF THE CONDOMINIUM IS SITUATED, AND IS
EFFECTIVE ONLY UPON RECORDATION.

(C)  THE COUNCIL OF UNIT OWNERS, ON BEHALF OF THE UNIT
OWNERS, MAY CONTRACT FOR THE SALE OF THE CONDOMINIUM, BUT
THE CONTRACT IS NOT BINDING ON THE UNIT OWNERS UNTIL
APPROVED PURSUANT TO SUBSECTIONS (A) AND (B). IF THE REAL
ESTATE CONSTITUTING THE CONDOMINIUM IS TO BE SOLD FOLLOWING
TERMINATION, TITLE TO THAT REAL ESTATE, UPON TERMINATION,
VESTS IN THE COUNCIL OF UNIT OWNERS AS TRUSTEE FOR THE
HOLDERS OF ALL INTEREST IN THE UNITS. THEREAFTER, THE
COUNCIL OF UNIT OWNERS HAS ALL POWERS NECESSARY AND
APPROPRIATE TO EFFECT THE SALE. UNTIL THE SALE HAS BEEN
CONCLUDED AND THE PROCEEDS THEREOF DISTRIBUTED, THE COUNCIL
OF UNIT OWNERS CONTINUES IN EXISTENCE WITH ALL POWERS IT HAD
BEFORE TERMINATION. PROCEEDS OF THE SALE SHALL BE
DISTRIBUTED TO UNIT OWNERS AND LIEN HOLDERS AS THEIR
INTERESTS MAY APPEAR, IN PROPORTION TO THE RESPECTIVE
INTERESTS OF UNIT OWNERS AS PROVIDED IN SUBSECTION (F).
UNLESS OTHERWISE SPECIFIED IN THE TERMINATION AGREEMENT, AS
LONG AS THE COUNCIL OF UNIT OWNERS HOLDS TITLE TO THE REAL
ESTATE, EACH UNIT OWNER AND HIS SUCCESSORS IN INTEREST HAVE
AN EXCLUSIVE RIGHT TO OCCUPANCY OF THE PORTION OF THE REAL
ESTATE THAT FORMERLY CONSTITUTED HIS UNIT. DURING THE
PERIOD OF THAT OCCUPANCY, EACH UNIT OWNER AND HIS SUCCESSORS
IN INTEREST REMAIN LIABLE FOR ALL ASSESSMENTS AND OTHER
OBLIGATIONS IMPOSED ON UNIT OWNERS BY THIS TITLE OR THE
DECLARATION.

(D)  IF THE REAL ESTATE CONSTITUTING THE CONDOMINIUM IS
NOT TO BE SOLD FOLLOWING TERMINATION, TITLE TO THE REAL
ESTATE, UPON TERMINATION, VESTS IN THE UNIT OWNERS AS
TENANTS IN COMMON IN PROPORTION TO THEIR RESPECTIVE
INTERESTS AS PROVIDED IN SUBSECTION (F), AND LIENS ON THE
UNITS SHIFT ACCORDINGLY. WHILE THE TENANCY IN COMMON
EXISTS, EACH UNIT OWNER AND HIS SUCCESSORS IN INTEREST HAVE
AN EXCLUSIVE RIGHT TO OCCUPANCY OF THE PORTION OF THE REAL
ESTATE THAT FORMERLY CONSTITUTED HIS UNIT.

(E)  FOLLOWING TERMINATION OF THE CONDOMINIUM, AND
AFTER PAYMENT OF OR PROVISION FOR THE CLAIMS OF THE
CREDITORS OF THE COUNCIL OF UNIT OWNERS, THE ASSETS OF THE
COUNCIL OF UNIT OWNERS SHALL BE DISTRIBUTED TO UNIT OWNERS
IN PROPORTION TO THEIR RESPECTIVE INTERESTS AS PROVIDED IN
SUBSECTION (F). THE PROCEEDS OF SALE DESCRIBED IN
SUBSECTION (C) AND HELD BY THE COUNCIL OF UNIT OWNERS AS
TRUSTEE ARE NOT ASSETS OF THE COUNCIL OF UNIT OWNERS.

(F)  THE RESPECTIVE INTERESTS OF UNIT OWNERS REFERRED
TO IN SUBSECTIONS (C), (D), AND (E) ARE AS FOLLOWS:

(1) EXCEPT AS PROVIDED IN PARAGRAPH (2), THE
RESPECTIVE INTERESTS OF UNIT OWNERS ARE THE FAIR MARKET
VALUES OF THEIR UNITS, LIMITED COMMON ELEMENTS, AND COMMON
ELEMENT INTERESTS IMMEDIATELY BEFORE THE TERMINATION, AS