Maryland Alcoholic Beverages Section 10-501

Article - Alcoholic Beverages

§ 10-501.

      (a)      Except as otherwise provided under this section, licenses issued under provisions of this article shall not be regarded as property or as conferring any property rights. All such licenses shall be subject to suspension, restriction or revocation, and to all rules and regulations that may be adopted as herein provided.

      (b)      (1)      This subsection applies only in Prince George's County.

            (2)      Licenses issued under this article are not subject to writs of execution by a judgment creditor of a licensee nor are the licenses subject to a distraint for rent.

            (3)      The Board of License Commissioners may impose restrictions upon individual licensees to enable the Board to discharge the duties imposed upon it by this article if:

                  (i)      The Board develops written restrictions that are reasonable, clear, and ascertainable; and

                  (ii)      The Board develops written rules and regulations for the enforcement of the restrictions that comply with the due process:

                        1.      Providing notice; and

                        2.      Providing a hearing.

            (4)      (i)      A licensee may create a security interest in its license in favor of a landlord or any creditor of the licensee. The security interest shall be perfected in accordance with the Commercial Law Article.

                  (ii)      The licensee shall deliver a copy of the underlying security agreement that is signed by or on behalf of the individual or entity that holds the license.

                  (iii)      Any transfer of a license pursuant to a security agreement shall be subject to approval by the Board in the same manner as is any other license transfer except that the written consent and cooperation of the existing licensee is not required.

      (c)      In Worcester County licenses issued under this article are not subject to writs of execution by a judgment creditor of a licensee nor are these licenses subject to a distraint for rent.

      (d)      In Howard County licenses issued under provisions of this article may not be:

            (1)      Regarded as property or as conferring any property rights;

            (2)      Subject to writs of execution by a judgment creditor of a licensee; or

            (3)      Subject to a distraint for rent.

      (e)      In Harford County, licenses issued under provisions of this article may not be subject to:

            (1)      Writs of execution by a judgment creditor of a licensee;

            (2)      A distraint for rent; or

            (3)      Sale or transfer per se, unless the license accompanies the business to which the license was issued.

      (f)      In Wicomico County, licenses issued under this article are not subject to writs of execution by a judgment creditor of a licensee or a distraint for rent.



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