Maryland Code, COMMERCIAL LAW 12-114
Terms Used In Maryland Code, COMMERCIAL LAW 12-114
- Contract: A legal written agreement that becomes binding when signed.
- Conviction: A judgement of guilt against a criminal defendant.
- Person: includes an individual, receiver, trustee, guardian, personal representative, fiduciary, representative of any kind, corporation, partnership, business trust, statutory trust, limited liability company, firm, association, or other nongovernmental entity. See
- Plea: In a criminal case, the defendant's statement pleading "guilty" or "not guilty" in answer to the charges, a declaration made in open court.
- state: means :
(1) a state, possession, territory, or commonwealth of the United States; or
(2) the District of Columbia. See - Usury: Charging an illegally high interest rate on a loan. Source: OCC
(b) (1) Any person who violates the usury provisions of this subtitle shall forfeit to the borrower the greater of:
(i) Three times the amount of interest and charges collected in excess of the interest and charges authorized by this subtitle; or
(ii) The sum of $500.
(2) A claim or plea of usury is not valid if, within 30 days from the date the loan contract was executed, the lender:
(i) Notifies the borrower and any other party to the loan contract that the loan was usurious; and
(ii) Agrees to modify it by substituting for the usurious rate of interest a legal rate of interest not exceeding the stated rate of interest.
(c) Any person who violates the disclosure provisions of § 12-106(b) and (c) of this subtitle is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $1,000 or imprisonment not exceeding 1 year or both.
(d) Even if a loan document is executed outside of the State, this section is applicable if the loan is made to a resident of Maryland and is secured by property located within the State.