Ch, 5

LAWS OF MARYLAND

any mortgagee. The insurance trustee or the council of unit
owners shall hold any insurance proceeds in trust for unit owners
and lien holders as their interests may appear. Subject to the
provisions of subsection (g) OF THIS SECTION, the proceeds shall
be disbursed first for the repair or restoration of the damaged
common elements and units, and unit owners and lien holders are
not entitled to receive payment of any portion of the proceeds
unless there is a surplus of proceeds after the common elements
and units have been completely repaired or restored, or the
condominium is terminated.

(g) (4) If the unit owners vote not to rebuild any unit,
that unit's entire common element interest, votes in the council
of unit owners, and common expense liability are automatically
reallocated upon the vote as if the unit had been condemned under
§ 11-112 OF THIS TITLE, and the council of unit owners promptly
shall prepare, execute, and record an amendment to the
declaration reflecting the reallocations. Notwithstanding the
provisions of this subsection, § 11-123 OF THIS TITLE governs the
distribution of insurance proceeds if the condominium is
terminated.

DRAFTER'S NOTE:

Error: Stylistic errors in § ll-114(c), (d), and
(g)(4) of the Real Property Article.

Occurred: Ch. 246, Acts of 1981.

11-120,

(c) (1) If there is compliance with the conditions of
subsection (b) OF THIS SECTION, successive sections of property
may be added to the condominium if the developer (i) records an
amendment to the declaration, showing the new percentage
interests of the unit owners, and the votes which each unit owner
may cast in the condominium as expanded, and (ii) records an
amendment to the condominium plat that includes the detail and
information concerning the new section as required in the
original condominium plat.

DRAFTER'S NOTE:

Error: Stylistic error in § ll-120(c)(l) of the Real
Property Article.

Occurred: Ch. 641, Acts of 1974,

11-123.

(a) Except in the case of a taking of all the units by
eminent domain [(§ 11-112)] UNDER § 11-112 OF THIS TITLE, a
condominium may be terminated only by agreement of unit owners of

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