ORDER OF THE GOVERNOR OF THE STATE OF MARYLAND
NUMBER 20-04-03-01
AMENDING AND RESTATING THE ORDER DATED MARCH 16, 2020
TEMPORARILY PROHIBITING EVICTIONS OF TENANTS SUFFERING SUBSTANTIAL LOSS OF INCOME DUE TO COVID-19, AND ADDITIONALLY PROHIBITING CERTAIN REPOSSESSIONS, STOPPING INITIATION OF RESIDENTIAL MORTGAGE FORECLOSURES, PROHIBITING COMMERCIAL EVICTIONS, AND ALLOWING SUSPENSION OF CERTAIN LENDING LIMITS
WHEREAS, A state of emergency and catastrophic health emergency was proclaimed on March 5, 2020, and renewed on March 17, 2020, to control and prevent the spread of COVID-19 within the state, and the state of emergency and catastrophic health emergency still exists;
WHEREAS, COVID-19, a respiratory disease that spreads easily from person to person and may result in serious illness or death, is a public health catastrophe and has been confirmed throughout Maryland;
WHEREAS The spread of COVID-19 is likely to result in loss of work and loss of income for some residents of Maryland, which may impact their ability to pay for rental housing or repay mortgages, potentially resulting in loss of housing due to eviction or foreclosure;
WHEREAS, The spread of COVID-19 is likely to result in loss of business and income for some businesses in Maryland, which may impact their ability to pay for rental real estate, potentially resulting in eviction;
WHEREAS To treat, prevent, or reduce the spread of COVID-19 caused by the transmission of the novel corona virus, it may become medically necessary and reasonable to require individuals to remain in isolation or quarantine at their homes or to remain indoors;
WHEREAS, To protect the public health, welfare, and safety, it is necessary to. suspend the effect of certain states, rules, or regulations of agencies of
– l –
the State or political subdivisions relating to real property and breach of leases;
WHEREAS, To protect life and property, and control the public health catastrophe in Maryland, it is necessary to control the occupancy and use of buildings; and
WHEREAS, To avoid the serious health, welfare, and safety consequences that may result if Marylanders lose their housing as a result of COVID-19, it is necessary and reasonable to impose a moratorium on certain evictions and prevent the initiation of residential foreclosures;
NOW, THEREFORE, 1, LAWRENCE J. HOGAN, JR. , GOVERNOR OF THE STATE OF MARYLAND, BY VIRTUE OF THE AUTHORITY VESTED IN ME BY THE CONSTITUTION AND LAWS OF MARYLAND, INCLUDING BUT NOT LIMITED TO
TITLE 14 OF THE PUBLIC SAFETY ARTICLE, AND IN AN EFFORT TO PROTECT THE PUBLIC HEALTH, WELFARE, AND SAFETY, DO HEREBY ORDER:
I. The Order of the Governor of the State of Maryland, dated March
16, 2020, entitled “Temporarily Prohibiting Evictions of Tenants Suffering Substantial Loss of
Income Due to COVID-19” is amended and restated in its entirety as set forth herein.
II. Definitions. As used herein, the following terms have the
following meaning:
a. “Chattel Home” means personal property used as a person’s
residence, including without limitation, mobile homes, trailers, and live-aboard boats.
b. “CL” means the Commercial Law Article of the Maryland Code.
c. “Commissioner” means the Commissioner of Financial
Regulation of the State of Maryland.
d. “Creditor” means a lender, credit granter, lessor, or secured party.
e. “RP” means the Real Property Article of the Maryland Code.
f. “Substantial Loss of Income” means (i) with respect to an
individual, a substantial loss of income resulting from COVlD-19 or the related proclamation of
a state of emergency and catastrophic health emergency, including, without limitation, due to job
loss, reduction in compensated hours of work, closure of place of employment, or the need to
miss work to care for a home-bound school-age child; and (ii) with respect to an entity, a
substantial loss of income resulting from COVID-19 or the related proclamation of a state of
emergency and catastrophic health emergency, including, without limitation, due to lost or
reduced business, required closure, or temporary or permanent loss of employees.
III. Prohibition on Certain Repossessions. To the extent any statute,
– 2 –
rule or regulation of the State of Maryland or any political subdivision would permit a Creditor
to repossess any automobile, truck, or Chattel Home by self-help (including, without limitation,
CL§§ 9-609, 12-115, 12-624, 12-1021, or 14-2008), such statute, rule, or regulation is hereby
suspended until the state of emergency is terminated and the catastrophic health emergency is
rescinded.
IV. No Initiation of Residential Foreclosures. The Commissioner is hereby ordered to suspend the operation of the Commissioner’s Notice oflntent to Foreclose Electronic System, and to discontinue acceptance of Notices oflntent to Foreclose until the state of emergency is tenninated and the catastrophic health emergency is rescinded.
V. Prohibition on Residential and Commercial Evictions.
a. Until the state of emergency is terminated and the catastrophic health emergency is rescinded, the effect of RP § 8-401 is hereby suspended as follows:
i. No court shall give any judgment for possession or repossession, or warrant for restitution of possession or repossession of residential, commercial, or industrial real property, if the tenant can demonstrate to the court, through documentation or other objectively verifiable means, that the tenant suffered a Substantial Loss of income.
b. Until the state of emergency is terminated and the catastrophic health emergency is rescinded, the effect of RP§ 8-402.1 is hereby suspended as follows:
i. No court shall give any judgment for possession or repossession, or warrant for restitution of possession or repossession of residential, commercial, or industrial real property, if the tenant can demonstrate to the court, through documentation or other objectively verifiable means, that the tenant suffered a Substantial Loss of Income.
ii. The fact that the tenant, or any person permissibly cohabiting with the tenant in accordance with the terms of the lease, has a confirmed diagnosis of COVID-19 or is under investigation for COVID-19, shall not constitute a “clear and imminent danger” for purposes of RP§ 8-402. l(a)(l)(i)2.A.
c. Except as specifically suspended in paragraph V.a above, RP
§ 8-401 remains in effect in accordance with its terms. Except as specifically suspended in paragraph V.b above, RP § 8-402.1 remains in effect in accordance with its terms.
VI. Authority to Suspend Certain Lending Limits.
a. Upon the request of a State-chartered commercial bank, the Commissioner is hereby authorized to suspend any provision of Section 3-601 of the Financial Institutions Article of the Maryland Code to allow such State-chartered bank to engage in a transaction or series of transactions exceeding the limits in that Section, if the Commissioner finds that doing so would not reasonably be expected to impair the safety or soundness of the State-chartered commercial bank.
b. Upon the request of a credit union, the Commissioner is hereby authorized to suspend Section 6-604 of the Financial Institutions Article of the Maryland Code to allow such credit union to engage in a transaction or series of transactions exceeding the limit in that Section, if the Commissioner finds that doing so would not reasonably be expected to impair the safety or soundness of the credit union.
VII. General Provisions.
a. No provision of this Order shall be construed as relieving any person or entity of any obligation to make payments or to comply with any other obligation that such person or entity may have pursuant to a note, loan agreement, or lease.
b. This Order remains effective until the state of emergency is terminated and the proclamation of the catastrophic health emergency is rescinded, or until rescinded, superseded, amended, or revised by any subsequent order(s).
c. The effect of any statute, rule, or regulation of an agency of the State or a political subdivision inconsistent with this order is hereby suspended.
d. The underlined headings in this Order are for convenience of reference only and shall not affect the interpretation of this Order.
e. If any provision of this Order or its application to any person, entity, or circumstance is held invalid by any court of competent jurisdiction, all other provisions or applications of the Order shall remain in effect to the extent possible without the invalid
provision or application. To achieve this purpose, the provisions of this Order are severable.
ISSUED UNDER MY HAND THIS 3RD DAY OF APRIL, 2020, AND EFFECTIVE
IMMEDIATELY.
Lawrence J. Hogan, Jr
Governor
NUMBER 20-04-03-01
AMENDING AND RESTATING THE ORDER DATED MARCH 16, 2020
TEMPORARILY PROHIBITING EVICTIONS OF TENANTS SUFFERING SUBSTANTIAL LOSS OF INCOME DUE TO COVID-19, AND ADDITIONALLY PROHIBITING CERTAIN REPOSSESSIONS, STOPPING INITIATION OF RESIDENTIAL MORTGAGE FORECLOSURES, PROHIBITING COMMERCIAL EVICTIONS, AND ALLOWING SUSPENSION OF CERTAIN LENDING LIMITS
WHEREAS, A state of emergency and catastrophic health emergency was proclaimed on March 5, 2020, and renewed on March 17, 2020, to control and prevent the spread of COVID-19 within the state, and the state of emergency and catastrophic health emergency still exists;
WHEREAS, COVID-19, a respiratory disease that spreads easily from person to person and may result in serious illness or death, is a public health catastrophe and has been confirmed throughout Maryland;
WHEREAS The spread of COVID-19 is likely to result in loss of work and loss of income for some residents of Maryland, which may impact their ability to pay for rental housing or repay mortgages, potentially resulting in loss of housing due to eviction or foreclosure;
WHEREAS, The spread of COVID-19 is likely to result in loss of business and income for some businesses in Maryland, which may impact their ability to pay for rental real estate, potentially resulting in eviction;
WHEREAS To treat, prevent, or reduce the spread of COVID-19 caused by the transmission of the novel corona virus, it may become medically necessary and reasonable to require individuals to remain in isolation or quarantine at their homes or to remain indoors;
WHEREAS, To protect the public health, welfare, and safety, it is necessary to. suspend the effect of certain states, rules, or regulations of agencies of
– l –
the State or political subdivisions relating to real property and breach of leases;
WHEREAS, To protect life and property, and control the public health catastrophe in Maryland, it is necessary to control the occupancy and use of buildings; and
WHEREAS, To avoid the serious health, welfare, and safety consequences that may result if Marylanders lose their housing as a result of COVID-19, it is necessary and reasonable to impose a moratorium on certain evictions and prevent the initiation of residential foreclosures;
NOW, THEREFORE, 1, LAWRENCE J. HOGAN, JR. , GOVERNOR OF THE STATE OF MARYLAND, BY VIRTUE OF THE AUTHORITY VESTED IN ME BY THE CONSTITUTION AND LAWS OF MARYLAND, INCLUDING BUT NOT LIMITED TO
TITLE 14 OF THE PUBLIC SAFETY ARTICLE, AND IN AN EFFORT TO PROTECT THE PUBLIC HEALTH, WELFARE, AND SAFETY, DO HEREBY ORDER:
I. The Order of the Governor of the State of Maryland, dated March
16, 2020, entitled “Temporarily Prohibiting Evictions of Tenants Suffering Substantial Loss of
Income Due to COVID-19” is amended and restated in its entirety as set forth herein.
II. Definitions. As used herein, the following terms have the
following meaning:
a. “Chattel Home” means personal property used as a person’s
residence, including without limitation, mobile homes, trailers, and live-aboard boats.
b. “CL” means the Commercial Law Article of the Maryland Code.
c. “Commissioner” means the Commissioner of Financial
Regulation of the State of Maryland.
d. “Creditor” means a lender, credit granter, lessor, or secured party.
e. “RP” means the Real Property Article of the Maryland Code.
f. “Substantial Loss of Income” means (i) with respect to an
individual, a substantial loss of income resulting from COVlD-19 or the related proclamation of
a state of emergency and catastrophic health emergency, including, without limitation, due to job
loss, reduction in compensated hours of work, closure of place of employment, or the need to
miss work to care for a home-bound school-age child; and (ii) with respect to an entity, a
substantial loss of income resulting from COVID-19 or the related proclamation of a state of
emergency and catastrophic health emergency, including, without limitation, due to lost or
reduced business, required closure, or temporary or permanent loss of employees.
III. Prohibition on Certain Repossessions. To the extent any statute,
– 2 –
rule or regulation of the State of Maryland or any political subdivision would permit a Creditor
to repossess any automobile, truck, or Chattel Home by self-help (including, without limitation,
CL§§ 9-609, 12-115, 12-624, 12-1021, or 14-2008), such statute, rule, or regulation is hereby
suspended until the state of emergency is terminated and the catastrophic health emergency is
rescinded.
IV. No Initiation of Residential Foreclosures. The Commissioner is hereby ordered to suspend the operation of the Commissioner’s Notice oflntent to Foreclose Electronic System, and to discontinue acceptance of Notices oflntent to Foreclose until the state of emergency is tenninated and the catastrophic health emergency is rescinded.
V. Prohibition on Residential and Commercial Evictions.
a. Until the state of emergency is terminated and the catastrophic health emergency is rescinded, the effect of RP § 8-401 is hereby suspended as follows:
i. No court shall give any judgment for possession or repossession, or warrant for restitution of possession or repossession of residential, commercial, or industrial real property, if the tenant can demonstrate to the court, through documentation or other objectively verifiable means, that the tenant suffered a Substantial Loss of income.
b. Until the state of emergency is terminated and the catastrophic health emergency is rescinded, the effect of RP§ 8-402.1 is hereby suspended as follows:
i. No court shall give any judgment for possession or repossession, or warrant for restitution of possession or repossession of residential, commercial, or industrial real property, if the tenant can demonstrate to the court, through documentation or other objectively verifiable means, that the tenant suffered a Substantial Loss of Income.
ii. The fact that the tenant, or any person permissibly cohabiting with the tenant in accordance with the terms of the lease, has a confirmed diagnosis of COVID-19 or is under investigation for COVID-19, shall not constitute a “clear and imminent danger” for purposes of RP§ 8-402. l(a)(l)(i)2.A.
c. Except as specifically suspended in paragraph V.a above, RP
§ 8-401 remains in effect in accordance with its terms. Except as specifically suspended in paragraph V.b above, RP § 8-402.1 remains in effect in accordance with its terms.
VI. Authority to Suspend Certain Lending Limits.
a. Upon the request of a State-chartered commercial bank, the Commissioner is hereby authorized to suspend any provision of Section 3-601 of the Financial Institutions Article of the Maryland Code to allow such State-chartered bank to engage in a transaction or series of transactions exceeding the limits in that Section, if the Commissioner finds that doing so would not reasonably be expected to impair the safety or soundness of the State-chartered commercial bank.
b. Upon the request of a credit union, the Commissioner is hereby authorized to suspend Section 6-604 of the Financial Institutions Article of the Maryland Code to allow such credit union to engage in a transaction or series of transactions exceeding the limit in that Section, if the Commissioner finds that doing so would not reasonably be expected to impair the safety or soundness of the credit union.
VII. General Provisions.
a. No provision of this Order shall be construed as relieving any person or entity of any obligation to make payments or to comply with any other obligation that such person or entity may have pursuant to a note, loan agreement, or lease.
b. This Order remains effective until the state of emergency is terminated and the proclamation of the catastrophic health emergency is rescinded, or until rescinded, superseded, amended, or revised by any subsequent order(s).
c. The effect of any statute, rule, or regulation of an agency of the State or a political subdivision inconsistent with this order is hereby suspended.
d. The underlined headings in this Order are for convenience of reference only and shall not affect the interpretation of this Order.
e. If any provision of this Order or its application to any person, entity, or circumstance is held invalid by any court of competent jurisdiction, all other provisions or applications of the Order shall remain in effect to the extent possible without the invalid
provision or application. To achieve this purpose, the provisions of this Order are severable.
ISSUED UNDER MY HAND THIS 3RD DAY OF APRIL, 2020, AND EFFECTIVE
IMMEDIATELY.
Lawrence J. Hogan, Jr
Governor