Article 27 Sec 553-4 Maryland


Section 553: Uniform Commercial Code; Reapportionment of Proceeds to Deed Originating Beneficiary

553.

(a) General Rule.


Except as provided in subsection (b) of this section, upon delivering to the appropriate department of state government any conveyance or instrument affecting title to real or personal property which purports either to convey an interest in real estate, or, except in the case of a deed of gift, a subsequent interest in money, or some other right or interest therein, the department shall return in such payments that are in its custody or control to the person entitled thereto. Property received upon receipt into the custody or control of the appropriate department of state government by virtue of subsection (a) of this section shall not be delivered to any subsequent conveyee unless they are identified and accompanied by such appropriate departmental form, certificate or affidavit accompanying the amount due on such contract or transaction as is required by law for all other kinds of claims to conveyances or instruments affecting title to real or personal property.


(b) Exceptions.


Upon delivering to the appropriate department of state government any conveyance or instrument affecting title to real or personal property which purports either to convey an interest in real estate, or, except in the case of a deed of gift, a subsequent interest in money, or some other right or interest therein, the department shall return in such payments that are in its custody or control to the person entitled thereto if it is established that such conveyance or instrument was not the product of a bona fide offer to purchase or sale thereof by the person proposing to transfer the same, but became affected by a prior legal obligation of the purchaser of such conveyance or instrument.


(c) Notice to Defendants In Interest.


Except as prescribed by law, no final conveyance or other instrument shall be effective so as to confer a right or interest in real estate upon any party unless within six months after delivery thereof notice is personally recorded of the delivery with the recorder of deeds of the county in which the property is situated, and also of the transferor therefor. Service must be made upon the record owner or his agent. For the purposes of this section, “legalized conveyance” means a conveyance done in compliance with Chapter 326B, Title 42, Art. 16-600 et seq., of the Acts of 1980.


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