EXPLANATION: CAPITALS INDICATE MATTER ADDE D TO EXISTING LAW .
[Brackets] indicate matter deleted from existing law.
*hb0428*
HOUSE BILL 428
N1, D3 5lr0935
CF SB 349
By: Delegates Embry, Attar, Boafo, Boyce, Charkoudian, Fair, Feldmark, Forbes,
Guzzone, Hutchinson, Kaufman, Palakovich Carr, Ruth, Shetty, Simpson,
Taveras, Taylor, Terrasa, and Wims
Introduced and read first time: January 16, 2025
Assigned to: Health and Government Operations
A BILL ENTITLED
AN ACT concerning 1
Medical Debt – Complaints for Money Judgment and Real Property Liens 2
FOR the purpose of establishing certain requirements for a complaint for a money 3
judgment; prohibiting the creation of a lien on owner–occupied residential property 4
by contract or as a result of a breach of contract for the payment of medical debt; and 5
generally relating to contract liens and medical debt. 6
BY repealing and reenacting, with amendments, 7
Article – Courts and Judicial Proceedings 8
Section 11–401 and 11–402 9
Annotated Code of Maryland 10
(2020 Replacement Volume and 2024 Supplement) 11
BY repealing and reenacting, without amendments, 12
Article – Real Property 13
Section 7–105.1(a)(8) 14
Annotated Code of Maryland 15
(2023 Replacement Volume and 2024 Supplement) 16
BY adding to 17
Article – Real Property 18
Section 14–203.1 19
Annotated Code of Maryland 20
(2023 Replacement Volume and 2024 Supplement) 21
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22
That the Laws of Maryland read as follows: 23
Article – Courts and Judicial Proceedings 24 2 HOUSE BILL 428
11–401. 1
(a) In this subtitle the following terms have the meanings indicated. 2
(b) “Court” means a court of law or a court of equity and includes the United 3
States District Court for the District of Maryland, the United States Bankruptcy Court for 4
the District of Maryland, the Supreme Court of Maryland, the Appellate Court of Maryland, 5
A CIRCUIT COURT OF A COUNTY OR BALTIMORE CITY, and the District Court of 6
Maryland. 7
(c) (1) “Money judgment” means a judgment determining that a specified 8
amount of money is immediately payable to the judgment creditor. 9
(2) “Money judgment” does not include a judgment mandating the payment 10
of money. 11
11–402. 12
(a) (1) In this section[, “land”] THE FOLLOWING WORDS HAVE THE 13
MEANINGS INDICATED . 14
(2) “LAND” means real property or any interest in or appurtenant to real 15
property. 16
(3) “MEDICAL DEBT” HAS THE MEANING STAT ED IN § 14–203.1 OF 17
THE REAL PROPERTY ARTICLE. 18
(b) (1) A COMPLAINT SEEKING A MONEY JUDG MENT SHALL INDICATE 19
WHETHER THE JUDGMENT SOUGHT IS FOR MEDICAL DEBT . 20
(2) A COMPLAINT SEEKING A MONEY JUDG MENT FOR MEDICAL DEB T 21
SHALL INCLUDE THE AD DRESS OF THE PRIMARY RESIDENCE OF THE DEFENDANT . 22
(C) If indexed and recorded as prescribed by the Maryland Rules, a money 23
judgment of a court constitutes a lien to the amount and from the date of the judgment on 24
the judgment debtor’s interest in land located in the county in which the judgment was 25
rendered except: 26
(1) FOR a lease from year to year or for a term of not more than five years 27
and not renewable; AND 28
(2) AS PROVIDED IN § 14–203.1 OF THE REAL PROPERTY ARTICLE. 29
HOUSE BILL 428 3
[(c)] (D) If indexed and recorded as prescribed by the Maryland Rules, a money 1
judgment constitutes a lien on the judgment debtor’s interest in land located in a county 2
other than the county in which the judgment was originally entered, except: 3
(1) FOR a lease from year to year or for a term not more than five years 4
and not renewable; AND 5
(2) AS PROVIDED IN § 14–203.1 OF THE REAL PROPERTY ARTICLE. 6
[(d)] (E) Promptly after the entry of an order of satisfaction or the filing of a 7
written statement by a judgment creditor with the clerk of the court that a judgment of a 8
court has been satisfied, the clerk of the court shall make an entry of the word “satisfied” 9
on the horizontal line in the judgment record where the lien is indexed. 10
Article – Real Property 11
7–105.1. 12
(a) (8) “Owner–occupied residential property” means residential property in 13
which at least one unit is occupied by an individual who: 14
(i) Has an ownership interest in the property; and 15
(ii) Uses the property as the individual’s primary residence. 16
14–203.1. 17
(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 18
INDICATED. 19
(2) “MEDICAL DEBT” MEANS DEBT INCURRED DUE TO A MEDICATION , 20
PROCEDURE , OR SERVICE. 21
(3) “OWNER–OCCUPIED RESIDENTIAL PROPERTY” HAS THE MEANING 22
STATED IN § 7–105.1 OF THIS ARTICLE. 23
(B) A LIEN ON OWNER –OCCUPIED RESIDENTIAL PROPERTY MAY NOT BE 24
CREATED BY CONTRACT OR AS A RESULT OF A BREACH OF CONTRACT F OR THE 25
PAYMENT OF MEDICAL D EBT. 26
(C) IF A LIEN IS CREATED IN VIOLATION OF THIS SECTION, THE COURT: 27
(1) SHALL REMOVE THE LIEN; AND 28
4 HOUSE BILL 428
(2) MAY AWARD TO THE OWNER OF THE PROPERTY ECONOMIC 1
DAMAGES SUFFERED AS A RESULT OF THE VIOLATION. 2
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 3
apply only prospectively and may not be applied or interpreted to have any effect on or 4
application to any complaint filed before the effective date of this Act. 5
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 6
October 1, 2025. 7