3402

LAWS OF MARYLAND

Ch. 732

(b) Failure of any licensee to abide by the requirements of
this section shall, in addition to any other penalties provided
by law, be sufficient cause for the suspension or revocation of
his license, in the discretion of the Commission.

(C)  A LICENSEE DOES NOT VIOLATE THE LICENSEE'S ETHICAL OR
LEGAL DUTIES UNDER THIS SECTION BY PAYING INTEREST MONEY EARNED
ON TRUST MONEYS INTO THE RENTAL HOUSING RESOURCE FUND ESTABLISHED
UNDER TITLE 13, SUBTITLE 6 OF THE FINANCIAL INSTITUTIONS ARTICLE.

(D) THE COMMISSION MAY NOT CHARGE A LICENSEE WITH A
VIOLATION OF THE LICENSEE'S ETHICAL OR LEGAL DUTIES, UNDER
SECTION 224(A) OF THIS ARTICLE, FOR PAYING INTEREST MONEY EARNED
ON TRUST MONEYS INTO THE RENTAL HOUSING RESOURCE FUND ESTABLISHED
UNDER TITLE 13, SUBTITLE 6 OF THE FINANCIAL INSTITUTIONS ARTICLE,
IF THE LICENSEE HAS COMPLIED WITH THE PROVISIONS OF § 227A-1(E)
OF THIS ARTICLE.

227A-1.

(A)  A LICENSEE MAY DEPOSIT TRUST MONEYS IN:

(1)  A NONINTEREST BEARING CHECKING ACCOUNT;

(2)  1 OR MORE SAVINGS ACCOUNTS; OR

(3)  ANY COMBINATION OF ACCOUNTS IN ANY BANK OR
SAVINGS AND LOAN ASSOCIATION AUTHORIZED BY FEDERAL OR STATE LAW
TO DO BUSINESS IN THE STATE.

(B)  IF IN THE JUDGMENT OF THE LICENSEE, ANY TRUST MONEYS
RECEIVED FROM A CLIENT, PURCHASER, OR BENEFICIAL OWNER ARE TOO
SMALL IN AMOUNT OR ARE REASONABLY EXPECTED TO BE HELD FOR TOO
SHORT A PERIOD OF TIME TO GENERATE AN AMOUNT OF INTEREST THAT, IN
THE JUDGMENT OF THE LICENSEE, MAY BE EQUIVALENT TO THE COST OF
ADMINISTRATION OF AN ACCOUNT FOR THE BENEFIT OF THE CLIENT OR
BENEFICIAL OWNER, THE TRUST MONEYS MAY BE POOLED AND COMMINGLED
BY THE LICENSEE WITH OTHER MONEYS HELD FOR OTHER CLIENTS OR
BENEFICIAL OWNERS FOR THE CHARITABLE PURPOSES UNDER THIS SECTION.
IN THIS SECTION, "TRUST MONEYS" DOES NOT INCLUDE RENTAL SECURITY
DEPOSITS.

(C)  THE AGGREGATE INTEREST EARNED ON A COMMINGLED ACCOUNT,
MINUS ANY SERVICE CHARGES, SHALL BE PAID AT LEAST QUARTERLY BY
THE DEPOSITARY BANK OR SAVINGS AND LOAN ASSOCIATION TO THE
MARYLAND RENTAL HOUSING RESOURCE CORPORATION EXCLUSIVELY FOR THE
CHARITABLE PURPOSES DEFINED IN ITS STATUTORY CHARTER.

(D)  (1) THE IMPLEMENTATION OF PROGRAMS FOR THE GENERATION
OF INTEREST ON VENDORS' LICENSEES' OR BUILDERS' TRUST ACCOUNTS
FOR CHARITABLE PURPOSES UNDER THIS SECTION SHALL BE OPTIONAL, NOT
MANDATORY, AND NO LICENSEE SHALL BE LIABLE FOR CIVIL DAMAGES IF
THE LICENSEE OR BUILDER CONTINUES TO MAINTAIN TRUST MONEYS IN
NONINTEREST BEARING CHECKING ACCOUNTS SEPARATE AND APART FROM THE
LICENSEE'S OWN FUNDS AS REQUIRED UNDER § 227A OF THIS ARTICLE AND
IN ACCORDANCE WITH LAW AND THE CODE OF ETHICS.