Bill > HB1098

This bill modifies Maryland law regarding property that individuals can protect from creditors during bankruptcy proceedings, specifically concerning their homes. It expands the definition of "owner-occupied residential real property" that can be exempted to include property held in a "revocable trust," which is a legal arrangement where the person who created the trust (the "settlor") can change or cancel it. The bill also alters the maximum amount of this exemption, setting it at $300,000 for individuals who are at least 60 years old and are veterans or have a certified disability, and $150,000 for all other individuals, with provisions for these amounts to be adjusted annually for inflation starting in fiscal year 2028. If multiple individuals in the same bankruptcy case claim the exemption for the same property, the total exemption cannot exceed $300,000. This change applies only to bankruptcy cases filed on or after the bill's effective date of June 1, 2026.

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https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB1098?ys=2026RS