In this subtitle the following words have the meanings indicated. “Beneficial owner” means a person for whose benefit a boat broker is entrusted to hold money. “Boat” means any vessel that is propelled by sail or machinery in the water. “Boat broker” means a person who provides boat brokerage services for another person. “Boat broker trust account” means an account that a broker maintains at a financial institution for the deposit of trust money. “Boat brokerage services” means to engage in any of the following activities for an expectation of compensation: selling a boat, offering to sell a boat, or negotiating to sell a boat; buying a boat, offering to buy a boat, or negotiating to buy a boat; soliciting or obtaining a listing of a boat; or negotiating the purchase, sale, or exchange of a boat. “Trust money” means a deposit, payment, or other money that a person entrusts to a boat broker to hold for the benefit of the person or a beneficial owner.

A boat broker shall place any trust moneys received in anticipation of a boat purchase into a boat broker trust account until the boat broker: disburses the trust moneys to the beneficial owner on completion of the boat purchase; or returns the trust moneys to the purchaser if the boat purchase is not completed. A boat broker trust account established under this section shall be separate from the boat broker’s operating account.