Commercial Law - Uniform Commercial Code - Controllable Electronic Records

HB 1353 adds Article 12 to Maryland's Uniform Commercial Code, establishing rules for transferring property rights in digital assets like controllable electronic records, controllable accounts, and controllable payment intangibles. It defines key terms (e.g., "controllable electronic record" as an electronic record subject to control under the bill) and creates a framework for secure transfers. A "qualifying purchaser" who obtains control of these records in good faith for value acquires rights free of competing claims. This directly affects businesses, financial institutions, and individuals handling digital payment systems or electronic financial assets in Maryland.