PARRIS N. GLENDENING, Governor

Ch. 36

Also in subsection (b)(5) of this section, the former reference to an order or
decree of a court "of competent jurisdiction" is deleted as surplusage.

In subsection (c)(1) and (2) of this section, the reference to the "amount" of
a suretyship obligation is substituted for the former reference to the "penalty"
of a suretyship obligation for clarity.

In subsection (c)(1) of this section, the reference to a judgment "that is being
appealed and that is secured by a bond" is substituted for the former
reference to a judgment "prescribed therein as appealed from and thereby
secured" for clarity.

Also in subsection (c)(1) of this section, the phrase "the actual amount of the
judgment, the subject matter in controversy, or the estate not subject to the
supervision or control of the surety insurer shall be used as the basis for
determining whether the risk exceeds the 10% limit established by §
5-1003(a)(l) of this subtitle" is substituted for the former phrase "the bond
may be executed by such insurer if the actual amount of the judgment or the
subject matter in controversy or estate not subject to supervision or control of
the surety is not in excess of such limitation of ten percent" for clarity and
consistency with subsection (c)(2) of this section.

In subsection (c)(2) of this section, the reference to a suretyship obligation
"required" for the performance of a contract is substituted for the former
reference to a suretyship obligation "executed" for the performance of a
contract for accuracy since it is a bond, and not a suretyship obligation, that is
executed.

Also in subsection (c)(2) of this section, the reference to the basis for
"determining whether the risk exceeds the 10% limit established by §
5-1003(a)(l) of this subtitle" is substituted for the former reference to the
basis for "estimating the limit of risk within the meaning of this section" for
clarity.

In subsection (d) of this section, the former reference to an "authorized"
surety insurer is deleted for consistency with the terminology used in this
section.

Also in subsection (d) of this section, the former reference to protection "by
security" is deleted as surplusage.

Defined terms: "Insurance business" § 1-101
"Reinsurance" § 1-101
"Surety insurance" § 1-101
"Surplus to policyholders" § 5-1001

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