Ch. 31

1993 LAWS OF MARYLAND

ratio to the then current FAIR MARKET value of so much of the property as constituted
an approved project as the amount of the State-participation bore to the total eligible cost
of the approved project, together with all costs and reasonable attorneys' fees incurred by
the State in the recovery proceedings.

[(b)](D) (1) The Department shall cause notice of [this] THE STATE'S right of
recovery to be recorded in the land records of the county or Baltimore City in which the
property is located before the State makes any funds available for the approved project.

(2) The recording of the notice shall not create any lien against the
property; however, it shall constitute notice to any potential transferee, potential creditor,
or other interested party of the possibility that the State may obtain a lien under this
subtitle.

[(c)] (E) (1) In THE EVENT OF A FAILURE TO COMPLETE THE PROJECT OR
COMMENCE OPERATIONS OF THE FACILITY AS DESCRIBED IN SUBSECTION (B) OF
THIS SECTION, OR IN the event of an alleged sale or transfer as described in subsection
[(b)] (C) of this section, or in the event that a property is alleged to have ceased to be a
"facility" as defined in this subtitle, the Secretary of the Board of Public Works may
AUTHORIZE THE DEPARTMENT TO file, in the circuit court of the county or Baltimore
City in which the property is located, a claim under this subtitle (styled as a civil action
against the owner of the property and any other interested parties, including any
transferor that the State wishes to make a party), together with a sworn affidavit stating
facts on which the allegations of default are based, as well as a detailed justification of the
amount claimed.

(2)     If the circuit court determines from the State's initial filing that there is
probable cause to believe that a default has occurred, the court shall authorize a
temporary lien on the property, in the amount of the State's claim, plus any additional
amount estimated to be necessary to cover the costs and reasonable attorney's fees
incurred by the State, or other amounts as the court determines to be reasonable, pending
full determination of the State's claim.

(3)     The temporary lien takes effect on the date of the court's authorization
if the [Secretary of the Board of Public Works] STATE records a notice of temporary lien
in the land records of the county or Baltimore City in which the property is located within
10 days thereafter; otherwise, the temporary lien takes effect on the date a notice of
temporary lien is recorded. While the temporary lien is in effect, neither the owner nor
any person who acquired an interest in the property after the State first made funds
available in connection with the property under this subtitle may take any action that
would affect the title to the property or institute any proceedings to enforce a security
interest or other similar rights in the property, without the prior written consent of the
State.

(4)     The owner of the property or any other interested party may obtain
release of this temporary lien at any time by filing with the court a bond securing the
payment in full of the State's claim any additional amount necessary to cover the costs
and reasonable attorneys' fees incurred by the State. The owner or other interested party
may cause the release to be recorded in the land records.                               

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