WILLIAM DONALD SCHAEFER, Governor                           Ch. 31

[(d)](F) (1) Proceedings to determine the State's right to recover and the
amount of its recovery under this subtitle shall have priority over other civil proceedings
in the circuit courts.

(2)     At the conclusion of full adversary proceedings on the issue of default
and on any disputes over the amount of the State's recovery, the circuit court shall, if it
finds that a default has occurred, issue a final judgment for the amount it finds to be
recoverable by the State. All parties involved in the default, including in every case the
owner of the property, shall be held jointly and severally liable to the State for the amount
of the judgment. This amount, if it remains unpaid after the expiration of 30 days
following the court's final order, shall be a lien on the property, superior (except as the
State may by written subordination agreement provide otherwise) to the lien or other
interest of any mortgagee, pledgee, purchaser, or judgment creditor whose interest
became perfected against third persons after the State first made funds available in
connection with the property under this subtitle.

(3)     This lien takes effect on the 31st day following the court's final order if
the [Secretary of the Board of Public Works] STATE records a notice of lien in the land
records of the county or Baltimore City in which the property is located on or before the
41st day following the final order; otherwise, the lien takes effect on the date a notice of
lien is recorded. At the time this lien takes effect, any temporary lien then in effect shall
be automatically and fully released, and the recorded notice of this lien shall constitute
notice of the release of the temporary lien.

(4)     This lien may be enforced and foreclosed in accordance with the
procedures prescribed in the Maryland Rules, except that neither the State nor any agent
appointed by the State to sell the property need file a bond.

(5)     The owner or any other interested party may obtain release of this lien
at any time by paying the State the full amount of the judgment rendered by the circuit
court, together with interest from the date of judgment. On payment in full, the
[Secretary of the Board of Public Works] STATE shall cause a release to be recorded in
the land records.

(6)     If the circuit court finds that there has been no default or if the full
amount of the court's judgment is paid to the State within 30 days after the court's final
order, any temporary lien then in effect shall be released immediately and the [Secretary
of the Board of Public Works] STATE shall cause a release to be recorded in the land
records.

[(e)](G) (1) All funds recovered as a result of [this] THE STATE'S right of
recovery shall be deposited in the Annuity Bond Fund and applied to the debt service
requirements of the State.

(2) The Board of Public Works may waive the State's right of recovery if the
Board determines that there is good cause for releasing the transferor, transferee, or
owner from this obligation.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 1993.

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