On April 14, Maryland enacted HB 118, which, effective October 1, amends the Maryland Money Transmission Act to exclude from the definition of “money transmitter” a person designated as an agent of a payor for the purpose of providing payroll processing services. Under the amendment, the exclusion applies when three conditions are met: (i) there is a written agreement between the payor and the agent directing the agent to provide payroll processing services on the payor’s behalf; (ii) the payor holds the agent out to employees and other payees as providing payroll processing services on the payor’s behalf; and (iii) the payor’s obligation to a payee, “including an employee or another party entitled to receive funds via the payroll processing services provided by the agent” is not extinguished if the agent fails to remit the funds.