Courts - Former Judge - Temporary Assignment
HB0428 amends Maryland law governing money judgments and medical debt. It requires a complaint seeking a money judgment to state whether the judgment is for medical debt, and if so, to include the defendant’s primary residence address. The bill also defines “medical debt” for these purposes and clarifies that certain credit-card debt is excluded unless the card was issued solely to pay for health care services.
The bill further creates a new protection for owner-occupied residential property by prohibiting liens on such property from being created by contract, or by breach of contract, to secure payment of medical debt. If a lien is created in violation of the new section, a court must remove it and may award economic damages to the property owner. The act applies prospectively only and does not affect complaints filed before its October 1, 2025 effective date.
HB0428 changes provisions in the Courts and Judicial Proceedings Article and adds a new section to the Real Property Article. It limits how medical-debt-related money judgment complaints are filed and recorded, and it restricts the ability of creditors to place contractual liens on owner-occupied residential property for medical debt. The bill directly affects debt collectors, medical providers, assignees, courts, and homeowners who occupy their property as a primary residence.
The available record shows no committee transcript, vote tally, or recorded debate, so there is no direct evidence of support or opposition in the provided materials. Based on the bill’s substance, it appears to be a consumer-protection measure aimed at shielding homeowners from medical-debt-related liens and improving transparency in debt-collection complaints.
The main potential point of contention is the restriction on creditors’ ability to secure medical debt with liens against owner-occupied residential property, which may be viewed by lenders, collectors, or medical debt assignees as limiting collection remedies. Another possible issue is the requirement that complaints disclose whether the debt is medical and identify the defendant’s primary residence address, which could raise administrative and privacy concerns. No specific opposing or supporting stakeholders are identified in the provided history.