HARRY HUGHES, Governor

4013

ALL OF THE ASSETS OF THE CORPORATION AFTER THE PAYMENT OF THE
OBLIGATIONS AND LIABILITIES OF THE CORPORATION SHALL BE
TRANSFERRED TO 1 OR MORE CORPORATIONS OR ASSOCIATIONS HAVING A
SIMILAR OR ANALOGOUS CHARACTER OR PURPOSE SELECTED BY THE
CORPORATION'S TRUSTEES.

(B)  THE TRANSFEREE CORPORATION SHALL QUALIFY UNDER THE
PROVISION OF § 501(C)(3) OF THE INTERNAL REVENUE CODE.

Article - Real Property

10-301.

(a)  If, in connection with the sale and purchase of a new
single-family residential unit which is not completed at the time
of contracting the sale, the vendor or builder obligates the
purchaser to pay and the vendor or builder receives any sum of
money before completion of the unit and grant of the realty to
the purchaser, the builder or vendor shall:

(1)  Deposit or hold the sum in an escrow account
segregated from all other funds of the vendor or builder to
assure the return of the sum to the purchaser in the event the
purchaser becomes entitled to a return of the sum; or

(2)  Obtain and maintain a corporate surety bond in
the form and in the amounts set forth in § 10-302 of this
subtitle, conditioned on the return of the sum to the purchaser
in the event the purchaser becomes entitled to the return of the
money.

(b)   [The] EXCEPT AS PROVIDED UNDER SUBSECTION (C) OF THIS
SECTION, THE vendor or builder shall maintain the escrow account
or surety bond until the happening of the earlier of:

(1)  The granting of a deed to the property on which
the residential unit is located to the purchaser;

(2)  The return of the sum of money to the purchaser;
or

(3)  The forfeiture of the sum by the purchaser, under
the terms of the contract of sale relating to the purchase of the
residential unit.

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

10-301.1.

(A) A VENDOR OR BUILDER MAY DEPOSIT TRUST MONEYS IN: