Ch. 9

LAWS OF MARYLAND

DRAFTER'S NOTE: The inclusion of this provision is intended
to resolve questions raised by the Attorney General's
April 15, 1986 bill review letter to the Governor
regarding the adequacy of the title of Chapter 170
(Senate Bill 963) of the Acts of 1986. That letter
noted that the title of Senate Bill 963 did not
reflect the increase in the membership of the Maryland
Housing Policy Commission from 10 members to 11
members. The title of this Curative Bill reflects the
addition of the eleventh member.

Article - Commercial Law

16-207.

(e) (1) The proceeds of a sale under this section shall be
applied, in the following order, to:

(i) The expenses of giving notice and holding
the sale, including reasonable attorney's fees;

(ii) Subject to subsection (f) of this section,
storage fees of the third party holder;

(iii) The amount of the lien claimed exclusive
of any storage fees except as provided in paragraph (2) of
subsection (f) of this section;.

(iv) A purchase money security interest; and

(v) Any remaining secured parties of record who
shall divide the remaining balance equally if there are
insufficient funds to completely satisfy their respective
interests, but not to exceed the amount of a security interest.

(2) After application of the proceeds in accordance
with paragraph (1) of this subsection, any remaining balance
shall be paid to the owner of the property.

DRAFTER'S NOTE: The inclusion of this provision is intended
to correct an error in a function paragraph noted in
the Attorney General's May 16, 1986 bill review letter
to the Governor regarding the adequacy of the title of
Chapter 651 (Senate Bill 79) of the Acts of 1986.
That letter noted that an amended provision of law,
relating to. the application to storage fees of the
proceeds of a public sale of an aircraft, boat, or
motor vehicle for payment of a lien, was shown in the
function paragraph to be unamended. This Curative
Bill reprints the amended provision as it now exists
with a related title reference, in order to validate
the changes made by Chapter 651.

- 24 -