EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0922*
SENATE BILL 922
C2 5lr2246
CF HB 1106
By: Senator Gile
Introduced and read first time: January 28, 2025
Assigned to: Finance
A BILL ENTITLED
AN ACT concerning 1
Business Regulation – Travel Services – Surety Requirement 2
(Don’t You Worry (Wurie) Act) 3
FOR the purpose of requiring certain providers of travel services to file with the 4
Department of Labor evidence of financial security; and generally relating to the 5
financial security of providers of travel services. 6
BY adding to 7
Article – Business Regulation 8
Section 17–2201 through 17–2205 to be under the new subtitle “Subtitle 22. Travel 9
Services” 10
Annotated Code of Maryland 11
(2024 Replacement Volume) 12
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 13
That the Laws of Maryland read as follows: 14
Article – Business Regulation 15
SUBTITLE 22. TRAVEL SERVICES. 16
17–2201. 17
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 18
INDICATED. 19
(B) “DIVISION” MEANS THE DIVISION OF CONSUMER PROTECTION OF THE 20
OFFICE OF THE ATTORNEY GENERAL. 21
2 SENATE BILL 922
(C) “INDEPENDENT AGENT ” MEANS A PERSON THAT OFFERS OR 1
UNDERTAKES TO ARRANG E FOR OR PROVIDE THE TRAVEL SERVICES SPEC IFIED IN 2
SUBSECTION (D)(1)(II) OF THIS SECTION BUT DOES NOT: 3
(1) RECEIVE MONEY OR OTHER VALUA BLE CONSIDERATION 4
DIRECTLY FROM THE PU RCHASER FOR THE SALE OF TRAVEL SERVICES O R FROM 5
THE ULTIMATE TRAVEL SUPPLIER; 6
(2) POSSESS AT ANY TIME A NY UNISSUED TICKET S TOCK OR TRAVEL 7
DOCUMENT ; OR 8
(3) HAVE THE ABILITY TO I SSUE TICKETS, VACATION CERTIFICATE S, 9
OR ANY OTHER TRAVEL DOCUMENTS . 10
(D) (1) “SELLER OF TRAVEL ” MEANS A PERSON THAT : 11
(I) IS LOCATED IN THE STATE OR OFFERS TO SE LL TRAVEL 12
SERVICES TO A PERSON LOCATED IN THE STATE; 13
(II) OFFERS OR UNDERTAKES TO ARR ANGE OR PROVIDE FOR : 14
1. TRAVEL RESERVATIONS OR ACCO MMODATIONS ; 15
2. TICKETS FOR TRAVEL BY ANY MO DE OF 16
TRANSPORTATION ; 17
3. HOTEL OR MOTEL ACCOMMODATI ONS; 18
4. CAR RENTALS; OR 19
5. SIGHTSEEING TOURS; AND 20
(III) RECEIVES VALUABLE CONSIDERATI ON DIRECTLY FROM 21
THE PURCHASER FOR TH E SALE OF TRAVEL SER VICES OR FROM THE UL TIMATE 22
TRAVEL SUPPLIER . 23
(2) “SELLER OF TRAVEL ” DOES NOT INCLUDE : 24
(I) AN AIR CARRIER; 25
(II) AN OCEAN CARRIER ; OR 26
SENATE BILL 922 3
(III) A HOTEL, MOTEL, OR SIMILAR LODGING E STABLISHMENT 1
THAT, IN THE COURSE OF SEL LING, PROVIDING, OR ARRANGING TRANSIE NT 2
LODGING ACCOMMODATIO NS AND RELATED SERVI CES FOR ITS REGISTER ED 3
GUESTS: 4
1. ARRANGES OR PROVIDES FOR TRAN SPORTATION; AND 5
2. DOES NOT DIRECTLY OR INDIRECTL Y RECEIVE MONEY 6
OR OTHER VALUABLE CO NSIDERATION FOR ARRA NGING OR PROVIDING T HAT 7
TRANSPORTATION . 8
17–2202. 9
(A) (1) EACH SELLER OF TRAVEL OR INDEPENDENT AGENT SHALL FILE 10
ANNUALLY WITH THE DEPARTMENT EVIDENCE OF FINANCIA L SECURITY AS 11
REQUIRED BY THIS SUBTIT LE. 12
(2) EACH SELLER OF TRAVEL SHALL FILE ANNUALLY WITH THE 13
DEPARTMENT A LIST OF INDEPENDEN T AGENTS AFFILIATED WITH THE SELLER OF 14
TRAVEL. 15
(3) THE ANNUAL FILING FEE IS $300. 16
(B) A PERSON MAY NOT RECEI VE VALUABLE CONSIDER ATION IN PAYMENT 17
FOR SERVICES OFFERED FOR SALE BY A SELLER OF TRAVEL OR AN INDE PENDENT 18
AGENT UNLESS , AT THE TIME OF RECEI VING THE PAYMENT , THE SELLER OF TRAVEL 19
OR INDEPENDENT AGENT HAS MET THE ANNUAL F ILING REQUIREMENTS U NDER 20
SUBSECTION (A) OF THIS SECTION. 21
(C) IF THERE IS A MATERIAL CHANGE IN THE FINANC IAL SECURITY OF A 22
SELLER OF TRAVEL OR AN INDEPENDENT AGENT DURING THE PERIOD BE TWEEN 23
THE ANNUAL FILINGS R EQUIRED UNDER SUBSEC TION (A)(1) OF THIS SECTION, THE 24
SELLER OF TRAVEL OR AN INDEPENDENT AGENT SHALL FILE AN AD DENDUM WITH 25
THE DEPARTMENT . 26
17–2203. 27
(A) (1) SUBJECT TO SUBSECTION (B) OF THIS SECTION, EVIDENCE OF THE 28
FINANCIAL SECURITY R EQUIRED UNDER § 17–2202 OF THIS SUBTITLE SHA LL BE A 29
SURETY OR CASH PERFO RMANCE BOND RELATIVE TO THE ANNUAL GROSS INCOME 30
OF THE SELLER OF TRAVEL OR INDEPENDENT AGENT IN THE STATE AS FOLLOWS : 31
4 SENATE BILL 922
(I) IF THE ANNUAL GROSS INC OME OF BUSINESS COND UCTED 1
IN THE STATE IS LESS THAN $200,000, THE PRINCIPAL AMOUNT OF THE SURETY 2
BOND SHALL BE $10,000; 3
(II) IF THE ANNUAL GROSS INC OME OF BUS INESS CONDUCTED 4
IN THE STATE IS $200,000 OR MORE BUT LESS THA N $500,000, THE PRINCIPAL 5
AMOUNT OF THE SURETY BOND SHALL BE $20,000; 6
(III) IF THE ANNUAL GROSS INC OME OF BUSINESS COND UCTED 7
IN THE STATE IS $500,000 OR MORE BUT LESS THA N $750,000, THE PRINCIPAL 8
AMOUNT OF THE SURETY BOND SHALL BE $30,000; 9
(IV) IF THE ANNUAL GROSS INC OME OF BUSINESS COND UCTED 10
IN THE STATE IS $750,000 OR MORE BUT LESS THA N $1,000,000, THE PRINCIPAL 11
AMOUNT OF THE SURETY BOND SHALL BE $40,000; AND 12
(V) IF THE ANNUAL GROSS INCOME OF BUSINESS C ONDUCTED 13
IN THE STATE IS $1,000,000 OR MORE, THE PRINCIPAL AMOUNT OF THE SURETY 14
BOND SHALL BE $50,000. 15
(2) ANY SURETY BOND UNDER THIS SUBSECTION SHAL L CONFORM 16
WITH THE INSURANCE ARTICLE AND BE EXECUT ED BY A SURETY COMPA NY 17
AUTHORIZED TO DO BUSINESS IN TH E STATE. 18
(B) IN LIEU OF THE BOND R EQUIRED UNDER SUBSEC TION (A) OF THIS 19
SECTION, A SELLER OF TRAVEL O R AN INDEPENDENT AGE NT MAY: 20
(1) OBTAIN A CERTIFICATE OF DEP OSIT OR AN IRREVOCAB LE LETTER 21
OF CREDIT FROM A STATE BANKING INSTITU TION IN THE AMOUNT OF THE 22
PERFORMANCE BOND ; 23
(2) FILE WITH THE DEPARTMENT PROOF OF PROFESSIONA L 24
LIABILITY AND ERRORS AND OMISSIONS INSURA NCE IN THE AMOUNT OF $1,000,000; 25
OR 26
(3) DEPOSIT WITH THE DEPARTMENT : 27
(I) CASH IN THE AMOUNT OF $50,000; 28
(II) SECURITIES WITH A VALUE OF AT L EAST $50,000; 29
SENATE BILL 922 5
(III) A STATEMENT FROM A LIC ENSED FINANCIAL INST ITUTION 1
GUARANTEEING THE PER FORMANCE OF THE SELL ER OF TRAVEL OR INDE PENDENT 2
AGENT; OR 3
(IV) A SECURITY INTEREST IN PROPERTY WITH A VALU E OF 4
$50,000. 5
(C) THE BOND REQUIRED UNDE R SUBSECTION (A) OF THIS SECTION SHAL L 6
BE PAYABLE TO THE STATE AND THE BOND OR OTHER EVIDENCE OF SE CURITY 7
SPECIFIED IN SUBSECT ION (B) OF THIS SECTION SHAL L BE FOR THE USE AND 8
BENEFIT OF ANY PERSO N: 9
(1) WHO SUSTAINS A MONETARY LOSS AS A RESULT OF THE FRAU D, 10
MISREPRESENTATION , BREACH OF CONTRACT , FINANCIAL FAILURE , OR VIOLATION 11
OF ANY PROVISION OF THIS SUBTITLE BY THE SELLER OF TRAVEL OR INDEPENDENT 12
AGENT; OR 13
(2) FOR WHOM SERVICES HAVE N OT BEEN DELIVERED BY THE 14
WRONGFUL ACT OF : 15
(I) THE SELLER OF TRAVEL OR INDEPENDENT AGENT AC TING 16
IN THE COURSE OF BUS INESS; OR 17
(II) AN OFFICIAL, AGENT, OR EMPLOYEE OF THE S ELLER OF 18
TRAVEL OR INDEPENDEN T AGENT, ACTING IN THE COURSE OF THE OFFICIAL ’S, 19
AGENT’S, OR EMPLOYEE ’S EMPLOYMENT OR AGEN CY. 20
17–2204. 21
THE DIVISION AND THE DEPARTMENT SHALL : 22
(1) PROVIDE REASONABLE NOTICE OF THE REQUIREMENTS OF THIS 23
SUBTITLE TO CONSUMER S AND SELLERS OF TRA VEL; AND 24
(2) ENFORCE THE PROVISIONS OF TH IS SUBTITLE. 25
17–2205. 26
(A) (1) AN INDIVIDUAL WHO VIO LATES ANY PROVISION OF THIS SUBTITLE 27
IS GUILTY OF A MISDE MEANOR AND ON CONVIC TION IS SUBJECT TO A FINE NOT 28
EXCEEDING $10,000. 29
6 SENATE BILL 922
(2) AN INDIVIDUAL ON CONV ICTION OF A SECOND O R SUBSEQUENT 1
OFFENSE UNDER THIS S UBTITLE IS GUILTY OF A MISDEMEANOR AND IS SUBJECT TO 2
A FINE NOT EXCEEDING $50,000. 3
(B) (1) A BUSINESS ENTITY THAT VIOLATES ANY PROVISI ON OF THIS 4
SUBTITLE IS GUILTY O F A MISDEMEANOR AND ON CONVICTION IS SUB JECT TO A FINE 5
NOT EXCEEDING $50,000. 6
(2) A BUSINESS ENTITY ON C ONVICTION OF A SECON D OR 7
SUBSEQUENT OF FENSE UNDER THIS SUB TITLE IS GUILTY OF A MISDEMEANOR AND 8
IS SUBJECT TO A FINE NOT EXCEEDING $100,000. 9
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 10
October 1, 2025. 11