EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*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 Wims, Pena–Melnyk, Cullison, Alston,
Bagnall, Bhandari, Chisholm, Hill, S. Johnson, Kaiser, Kerr, Lopez,
Martinez, Rosenberg, White Holland, Woods, and Woorman
Introduced and read first time: January 16, 2025
Assigned to: Health and Government Operations
Committee Report: Favorable with amendments
House action: Adopted
Read second time: February 22, 2025
CHAPTER ______
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 2 HOUSE BILL 428
Section 14–203.1 1
Annotated Code of Maryland 2
(2023 Replacement Volume and 2024 Supplement) 3
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 4
That the Laws of Maryland read as follows: 5
Article – Courts and Judicial Proceedings 6
11–401. 7
(a) In this subtitle the following terms have the meanings indicated. 8
(b) “Court” means a court of law or a court of equity and includes the United 9
States District Court for the District of Maryland, the United States Bankruptcy Court for 10
the District of Maryland, the Supreme Court of Maryland, the Appellate Court of Maryland, 11
A CIRCUIT COURT OF A COUNTY OR BALTIMORE CITY, and the District Court of 12
Maryland. 13
(c) (1) “Money judgment” means a judgment determining that a specified 14
amount of money is immediately payable to the judgment creditor. 15
(2) “Money judgment” does not include a judgment mandating the payment 16
of money. 17
11–402. 18
(a) (1) In this section[, “land”] THE FOLLOWING WORDS HAVE THE 19
MEANINGS INDICATED . 20
(2) “LAND” means real property or any interest in or appurtenant to real 21
property. 22
(3) “MEDICAL DEBT” HAS THE MEANING STAT ED IN § 14–203.1 OF 23
THE REAL PROPERTY ARTICLE. 24
(b) (1) A COMPLAINT SEEKING A MONEY JUDGMENT SHALL INDICATE 25
WHETHER THE JUDGMENT SOUGHT IS FOR MEDICA L DEBT. 26
(2) A COMPLAINT SEEKING A MONEY JUDGMENT FOR M EDICAL DEBT 27
SHALL INCLUDE THE AD DRESS OF THE PRIMARY RESIDENCE OF THE DEFEN DANT. 28
(C) If indexed and recorded as prescribed by the Maryland Rules, a money 29
judgment of a court constitutes a lien to the amount and from the date of the judgment on 30
the judgment debtor’s interest in land located in the county in which the judgment was 31
rendered except: 32 HOUSE BILL 428 3
(1) FOR a lease from year to year or for a term of not more than five years 1
and not renewable; AND 2
(2) AS PROVIDED IN § 14–203.1 OF THE REAL PROPERTY ARTICLE. 3
[(c)] (D) If indexed and recorded as prescribed by the Maryland Rules, a money 4
judgment constitutes a lien on the judgment debtor’s interest in land located in a county 5
other than the county in which the judgment was originally entered, except: 6
(1) FOR a lease from year to year or for a term not more than five years 7
and not renewable; AND 8
(2) AS PROVIDED IN § 14–203.1 OF THE REAL PROPERTY ARTICLE. 9
[(d)] (E) Promptly after the entry of an order of satisfaction or the filing of a 10
written statement by a judgment creditor with the clerk of the court that a judgment of a 11
court has been satisfied, the clerk of the court shall make an entry of the word “satisfied” 12
on the horizontal line in the judgment record where the lien is indexed. 13
Article – Real Property 14
7–105.1. 15
(a) (8) “Owner–occupied residential property” means residential property in 16
which at least one unit is occupied by an individual who: 17
(i) Has an ownership interest in the property; and 18
(ii) Uses the property as the individual’s primary residence. 19
14–203.1. 20
(A) (1) IN THIS SECTION THE FOL LOWING WORDS HAVE TH E MEANINGS 21
INDICATED. 22
(2) (I) “MEDICAL DEBT ” MEANS DEBT INCURRED DUE TO A 23
MEDICATION, PROCEDURE , OR SERVICE A DEBT OWED BY A CON SUMER TO A PERSON 24
WHOSE PRIMARY BUSINE SS IS PROVIDING MEDI CAL SERVICES , PRODUCTS, OR 25
DEVICES, OR TO THE PERSON ’S AGENT OR ASSIGNEE , FOR THE PROVISION OF THE 26
MEDICAL SERVICES , PRODUCTS, OR DEVICES. 27
(II) “MEDICAL DEBT” DOES NOT INCLUDE DEB T CHARGED TO A 28
CREDIT CARD UNLESS T HE CREDIT CARD IS IS SUED UNDER AN OPEN –END OR 29 4 HOUSE BILL 428
CLOSED–END CREDIT PLAN OFFE RED SOLELY FOR THE P AYMENT OF HEALTH CAR E 1
SERVICES. 2
(3) “OWNER–OCCUPIED RESIDENTIAL PROPERTY” HAS THE MEANING 3
STATED IN § 7–105.1 OF THIS ARTICLE. 4
(B) A LIEN ON OWNER –OCCUPIED RESIDENTIAL PROPERTY MAY NOT BE 5
CREATED BY CONTRACT OR AS A RESULT OF A BREACH OF CONTRACT F OR THE 6
PAYMENT OF MEDICAL D EBT. 7
(C) IF A LIEN IS CREATED IN VIOLATION OF THIS SECTION, THE COURT: 8
(1) SHALL REMOVE THE LIEN ; AND 9
(2) MAY AWARD TO THE OWNE R OF THE PROPERTY EC ONOMIC 10
DAMAGES SUFFERED AS A RESULT OF THE VIOL ATION SHALL REMOVE THE LIE N. 11
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 12
apply only prospectively and may not be applied or interpreted to have any effect on or 13
application to any complaint filed before the effective date of this Act. 14
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 15
October 1, 2025. 16
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.