EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0630*
SENATE BILL 630
N1 4lr2077
CF HB 673
By: Senator Kelly
Introduced and read first time: January 26, 2024
Assigned to: Judicial Proceedings
A BILL ENTITLED
AN ACT concerning 1
Real Property – Contract Liens – Medical Debt 2
FOR the purpose of prohibiting the creation of a lien on owner–occupied residential 3
property by contract or as a result of a breach of contract for the payment of medical 4
debt; and generally relating to contract liens and medical debt. 5
BY repealing and reenacting, without amendments, 6
Article – Real Property 7
Section 7–105.1(a)(8) 8
Annotated Code of Maryland 9
(2023 Replacement Volume) 10
BY adding to 11
Article – Real Property 12
Section 14–203.1 13
Annotated Code of Maryland 14
(2023 Replacement Volume) 15
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
That the Laws of Maryland read as follows: 17
Article – Real Property 18
7–105.1. 19
(a) (8) “Owner–occupied residential property” means residential property in 20
which at least one unit is occupied by an individual who: 21
(i) Has an ownership interest in the property; and 22
(ii) Uses the property as the individual’s primary residence. 23 2 SENATE BILL 630
14–203.1. 1
(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 2
INDICATED. 3
(2) (I) “MEDICAL DEBT ” MEANS DEBT INCURRED DUE TO A 4
MEDICATION, PROCEDURE , SERVICE, OR TREATMENT THAT A MEDICAL 5
PROFESSIONAL DETERMI NES TO BE MEDICALLY NECESSARY. 6
(II) “MEDICAL DEBT” DOES NOT INCLUDE DEB T INCURRED DUE 7
TO: 8
1. COSMETIC PROCEDURES O R SERVICES; OR 9
2. A MEDICATION, PROCEDURE , SERVICE, OR 10
TREATMENT THAT A MED ICAL PROFESSIONAL HAS NOT DETERMINE D TO BE 11
MEDICALLY NECESSARY . 12
(3) “OWNER–OCCUPIED RESIDENTIAL PROPERTY” HAS THE MEANING 13
STATED IN § 7–105.1 OF THIS ARTICLE. 14
(B) A LIEN ON OWNER –OCCUPIED RESIDENTIAL PROPERTY MAY NOT BE 15
CREATED BY CONTRACT OR AS A RESULT OF A BREACH OF CONTRACT FOR THE 16
PAYMENT OF MEDICAL D EBT. 17
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take ef fect 18
October 1, 2024. 19