WILLIAM DONALD SCHAEFER, Governor

Ch. 563

(A)  SUBMISSION TO BROKERS BY ASSOCIATE BROKERS AND
SALESPERSONS.

AN ASSOCIATE REAL ESTATE BROKER OR A REAL ESTATE SALESPERSON
WHO OBTAINS TRUST MONEY WHILE PROVIDING REAL ESTATE BROKERAGE
SERVICES PROMPTLY SHALL SUBMIT THE TRUST MONEY TO THE REAL ESTATE
BROKER ON WHOSE BEHALF THE ASSOCIATE REAL ESTATE BROKER OR THE
REAL ESTATE SALESPERSON PROVIDED THE REAL ESTATE BROKERAGE
SERVICES.

(B)  DEPOSITS BY BROKERS; RESTRICTED USE.

(1)  EXCEPT AS OTHERWISE PROVIDED IN SUBSECTION (C) OF
THIS SECTION, A REAL ESTATE BROKER PROMPTLY SHALL DEPOSIT TRUST
MONEY IN AN ACCOUNT THAT IS MAINTAINED BY THE REAL ESTATE BROKER:

(I)  SEPARATELY FROM THE REAL ESTATE BROKER'S
OWN ACCOUNTS; AND

(II)  SOLELY FOR TRUST MONEY.

(2)  A REAL ESTATE BROKER MAY NOT USE TRUST MONEY FOR
ANY PURPOSE OTHER THAN THAT FOR WHICH IT IS ENTRUSTED TO THE REAL
ESTATE BROKER.

(C)  EXCEPTION.

SUBSECTION (B)(1) OF THIS SECTION DOES NOT APPLY IF THE REAL
ESTATE BROKER RECEIVES WRITTEN DIRECTIONS TO THE CONTRARY AS
AUTHORIZED UNDER § 4-505(C) OF THIS SUBTITLE.

SUBCOMMITTEE COMMENT: Subsection (a) of this section is new
language added on the recommendation of the Joint
Subcommittee on the Business Occupations Article to
state expressly the duty of an associate real estate
broker or real estate salesperson to submit trust
money promptly to the real estate broker for whom the
associate real estate broker or real estate sales
person acted.

Subsections (b) and (c) of this section are   new

language derived without substantive change from    the

third sentence of former Art. 56, § 227A(a) and   the

first sentence, except as that sentence related     to
deposits in financial institutions.

In this section and throughout this Part I of this
subtitle, references to a "real estate broker", an
"associate real estate broker", and a "real estate
salesperson" are substituted for the former references
to a "licensee", to clarify that the requirements of
this Part I of this subtitle apply even to individuals

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