HARRY HUGHES, Governor

2821

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 56 - Licenses

217A.

(d) (1) When any aggrieved person commences any claim
under this section which may result in collection from the
guaranty fund, the aggrieved person shall notify the
Commission in writing to this effect at the time of the
commencement of such action.

(2)  When any aggrieved person sustains a
pecuniary loss against any real estate broker or real estate
salesman or the unlicensed employee of any such real estate
broker for loss or damages sustained by reason of the
embezzlement of money or property, or money or property
unlawfully obtained from any person by false pretenses,
artifice, trickery or forgery or by reason of any fraud,
misrepresentation or deceit by or on the part of such real
estate broker or salesman or the unlicensed employee of any
such real estate broker, or by reason of a violation of this
subtitle by such broker, salesman, or employee such
aggrieved person shall file a verified claim with the
Commission, and apply to such Commission for payment out of
the guaranty fund of the amount of the loss found by the
Commission to be incurred by such aggrieved person, subject
to the limitations specified in this section.

(3)  The Commission shall proceed upon such
application in a summary manner, and, upon the hearing
thereof, the aggrieved person shall be required to show.

(i) [he] HE is not a spouse of the debtor,
or the personal representative of such spouse;

(ii) [he] HE has complied with all the
requirements of this section.

(4)  The Commission shall direct payment from the
real estate guaranty fund of whatever sum it shall find to
be payable upon the claim if the Commission is satisfied,
upon the hearing, of the truth of all matters.

(5)  If the Commission pays from the fund any
amount in settlement of a claim against a licensed real
estate broker or real estate salesman pursuant to an order
under this section, the license of the broker or salesman
shall be automatically revoked and no such broker or
salesman shall be eligible to receive a new license until he
has repaid in full, plus interest at the rate of 10 percent
a year, the amount paid from the guaranty fund on his
account. FURTHERMORE, UNTIL THE FUND IS REPAID THE BROKER
OR SALESMAN SHALL BE BARRED FROM ANY ASSOCIATION, IN ANY
CAPACITY WHATSOEVER INCLUDING AS A STOCKHOLDER, INVESTOR, OR