Maryland § 10-449

§ 10-449.

    (a)    A continuing care agreement shall allow a subscriber to terminate the agreement by giving a written termination notice to the provider.

    (b)    If a continuing care agreement is terminated by the subscriber’s election or death within the first 90 days of occupancy, the provider shall pay any contractual entrance fee refund within 30 days after the earlier to occur of:

        (1)    the recontracting of the subscriber’s unit by:

            (i)    another subscriber for whom an entrance fee has been paid; or

            (ii)    another party who is not a subscriber; or

        (2)    the later to occur of:

            (i)    the 90th day after the date the written termination notice is given or the date of death; or

            (ii)    the day the independent living units at the facility have operated at 95% of capacity for the previous 6 months.

    (c)    If a continuing care agreement is terminated by the subscriber’s election or death after the first 90 days of occupancy, the provider shall pay any contractual entrance fee refund within 60 days after the subscriber’s death or the effective date of termination, if on the date of death or at any time between the date the written termination notice is given and the effective date of termination:

        (1)    the subscriber resides in a unit at a higher level of care than the level of care in which the subscriber resided on initially entering the facility; and

        (2)    the last unit in which the subscriber resided at the initial level of care on entering the facility has been occupied by or reserved for another subscriber who has paid an entrance fee.

    (d)    This section does not prohibit a provider from requiring that a subscriber’s unit be vacated before any contractual entrance fee refund is paid as a result of the subscriber’s election to terminate a continuing care agreement.

    (e)    (1)    If an entrance fee refund is conditioned on the reoccupying of a subscriber’s unit and the unit has not been reoccupied within 9 months of the subscriber’s death or the date of the contract termination, a provider shall submit a written report to the subscriber or the subscriber’s beneficiary stating:

            (i)    that the unit has not been reoccupied; and

            (ii)    the efforts the provider has made to reoccupy the unit.

        (2)    After the provider submitted the report required under paragraph (1) of this subsection, the provider shall submit an updated written report to the subscriber or the subscriber’s beneficiary every 6 months until the subscriber’s unit has been reoccupied.