§ 10-492. Offsets

   (a) Required. -- Except as provided in subsection (b) of this section, in all cases of mutual debts and credits between a provider and another person in connection with a delinquency proceeding, the debts and credits shall be offset and the balance only shall be allowed or paid.

(b) Exception. -- An offset may not be allowed in favor of another person if:

   (1) on the date of issuance of a liquidation order or otherwise, as specified in § 10-491(c) of this subtitle, the obligation of the provider to the person would not entitle the person to share as a claimant in the assets of the provider; or

   (2) the obligation of the provider to the person was purchased by or transferred to the person for use as an offset.

HISTORY: An. Code 1957, art. 70B, § 20T; 2007, ch. 3, § 2.