WILLIAM DONALD SCHAEFER, Governor Ch. 335

3. STATE THAT THE PURPOSE OF THE
CONTINUATION STATEMENT IS TO CONTINUE THE EFFECTIVENESS OF THE
ORIGINAL INSTRUMENT.

(III)  UPON TIMELY RECORDATION IN THE LAND
RECORDS WHERE THE ORIGINAL INSTRUMENT WAS RECORDED OF A
CONTINUATION STATEMENT UNDER THIS SUBPARAGRAPH, THE EFFECTIVENESS
OF THE ORIGINAL INSTRUMENT SHALL BE CONTINUED FOR 12 YEARS AFTER
THE DAY ON WHICH THE CONTINUATION STATEMENT IS RECORDED.

(IV)  A CONTINUATION STATEMENT IS EFFECTIVE IF
IT SUBSTANTIALLY COMPLIES WITH THE REQUIREMENTS OF SUBPARAGRAPH
(II) OF THIS PARAGRAPH.

(4) NOTWITHSTANDING ANY OTHER PROVISION OF THIS

SUBSECTION, THE LIEN OF ANY MORTGAGE OR DEED OF TRUST WHICH WOULD
HAVE BEEN TERMINATED BY THE PROVISIONS OF THIS SUBSECTION BETWEEN
JANUARY 1, 1988 AND JANUARY 1, 1989 SHALL REMAIN IN FULL FORCE
AND EFFECT UNTIL JANUARY 1, 1989. THE LIEN SHALL REMAIN IN FULL
FORCE AND EFFECT AFTER JANUARY 1, 1989 IF A CONTINUATION
STATEMENT IS FILED PRIOR TO JANUARY 1, 1989, EXCEPT:

(I) THE LIEN IS NOT ENFORCEABLE IF THERE IS A
BONA FIDE PURCHASER OF THE PROPERTY COVERED BY THE MORTGAGE OR
DEED OF TRUST WHOSE DEED WAS RECORDED BETWEEN JANUARY 1, 1988 AND
JULY 1, 1988; AND

(II) UNLESS THE LIEN IS NOT ENFORCEABLE UNDER
SUBPARAGRAPH (I) OF THIS PARAGRAPH, THE LIEN SHALL BE SUBORDINATE
TO THE LIEN OF ANY OTHER BONA FIDE MORTGAGE OR DEED OF TRUST
RECORDED BETWEEN JANUARY 1, 1988 AND JULY 1, 1988.

SECTION 2. AND BE IT FURTHER ENACTED, That, notwithstanding
any other provision of law, the lien of any mortgage or deed of
trust which would have been terminated by the provisions of
Chapter 374 of the Acts of the General Assembly of 1987 between
January 1, 1988 and January 1, 1989 shall remain in full force
and effect until January 1, 1989. The lien shall remain in full
force and effect after January 1, 1989 if a continuation
statement is filed prior to January 1, 1989, except;

(a) The lien is not enforceable if there is a purchaser for
value of the property covered by the mortgage or deed of trust
whose deed was recorded between January 1, 1988 and the effective
date of this Act; and

(b) Unless the lien is not enforceable under subsection (a)
of this section, the lien shall be subordinate to the lien of any
other mortgage or deed of trust recorded between January 1, 1988
and the effective date of this Act.

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