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§ 16-206. Proceedings if charge disputed

West's Annotated Code of MarylandCommercial Law

West's Annotated Code of Maryland
Commercial Law
Title 16. Statutory Liens on Personal Property
Subtitle 2. Lien on Aircraft, Boats, Mobile Homes and Motor Vehicles (Refs & Annos)
MD Code, Commercial Law, § 16-206
§ 16-206. Proceedings if charge disputed
Currentness
(a)(1) If the owner of property subject to a lien disputes any part of the charge for which the lien is claimed, he may institute appropriate judicial proceedings.
(2) Institution of the proceedings stays execution under the lien until a final judicial determination of the dispute.
(b)(1) If the owner of property subject to a lien disputes any part of the charge for which the lien is claimed, he immediately may repossess his property by filing a corporate bond for double the amount of the charge claimed.
(2) The bond shall be filed with and is subject to the approval of the clerk of the court of the county where the services or materials for which the lien is claimed were provided.
(3) The bond shall be conditioned on:
(i) Full payment of the final judgment of the claim, together with interest;
(ii) All costs incident to the bringing of suit; and
(iii) All cost and expenses which result from the enforcement of the lien and are incurred before the lienor was notified that the bond was filed.
(4) Filing of the bond stays execution under the lien until final judicial determination of the dispute.
(5) If service of process by a lienor on the owner is returned non est after filing of a bond, service may be made by publication as in the case of a suit against a nonresident.
(6) If suit is not instituted by the lienor within six months after the bond is filed, the bond is discharged.

Credits

Added by Acts 1975, c. 49, § 3, eff. July 1, 1975. Amended by Acts 1991, c. 600.
Formerly Art. 63, §§ 35, 42, 53.
MD Code, Commercial Law, § 16-206, MD COML § 16-206
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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