Ch. 404

1993 LAWS OF MARYLAND

(II)     AN ACCELERATION CLAUSE UNDER WHICH ANY PART OR ALL
OF THE UNPAID BALANCE OF THE LOAN NOT YET MATURED MAY BE DECLARED
DUE AND PAYABLE BECAUSE THE CREDIT GRANTOR DEEMS ITSELF INSECURE;

(III)    A CONFESSION OF JUDGMENT OR ANY POWER OF ATTORNEY
AUTHORIZING THE CREDIT GRANTOR TO APPEAR IN COURT TO CONFESS
JUDGMENT AGAINST THE BORROWER OR A SURETY OR GUARANTOR; OF THE
BORROWER, OR ANY OTHER WAIVER OF THE RIGHT TO NOTICE AND AN
OPPORTUNITY TO BE HEARD IN THE EVENT OF SUIT OR PROCESS THEREON; OR

(IV) EXCEPT AS EXPRESSLY ALLOWED BY LAW, A PROVISION BY
WHICH THE BORROWER WAIVES ANY RIGHT ACCRUING TO THE BORROWER UNDER
THIS SUBTITLE; OR

(V) (IV) A PROVISION BY WHICH A PERSON ACTING ON BEHALF
OF A HOLDER OF THE AGREEMENT, NOTE, OR OTHER EVIDENCE OF THE LOAN IS
TREATED AS AN AGENT OF THE BORROWER IN CONNECTION WITH ITS FORMATION
OR EXECUTION.

(3) EXCEPT AS EXPRESSLY ALLOWED BY LAW, AN AGREEMENT, NOTE,
OR OTHER EVIDENCE OF A LOAN MAY NOT CONTAIN A PROVISION BY WHICH THE
BORROWER WAIVES ANY RIGHT ACCRUING TO THE BORROWER UNDER THIS .
SUBTITLE.

(2) (4) (I) ANY CLAUSE OR PROVISION IN AN AGREEMENT, NOTE,
OR OTHER EVIDENCE OF A LOAN THAT IS IN VIOLATION OF THIS SUBSECTION
SHALL BE UNENFORCEABLE.

(II)     SUBJECT TO SUBPARAGRAPH (III) OF THIS PARAGRAPH, THE
PENALTIES SET OUT UNDER §§ 12-1017 AND 12-1018 OF THIS SUBTITLE DO NOT APPLY
UNLESS THE CREDIT GRANTOR ATTEMPTS TO ENFORCE A PROVISION PROHIBITED
UNDER THIS SUBSECTION.

(III)    THE PENALTIES SET OUT UNDER §§ 12-1017 AND 12-1018 OF THIS
SUBTITLE DO NOT APPLY TO THE ENFORCEMENT BY A CREDIT GRANTOR OF A
PROVISION OTHERWISE PROHIBITED UNDER THIS SUBSECTION WHERE THE
ENFORCEMENT WAS INITIATED BY THE CREDIT GRANTOR PRIOR TO OCTOBER 1,
1993.

(D) (C) UNLESS A BORROWER HAS NOTICE OF AN ASSIGNMENT OF AN
AGREEMENT, NOTE, OR OTHER EVIDENCE OF A LOAN, ANY PAYMENTS MADE BY
THE BORROWER TO THE LAST KNOWN HOLDER OF THE AGREEMENT, NOTE, OR
OTHER EVIDENCE OF THE LOAN SHALL DISCHARGE THE BORROWER'S OBLIGATION
TO THE EXTENT OF THE PAYMENTS.

(E) (D) UPON RECEIPT OF A CASH PAYMENT FROM A BORROWER, A CREDIT
GRANTOR SHALL GIVE THE BORROWER A WRITTEN RECEIPT FOR THE PAYMENT.

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