574                                             LAWS OF MARYLAND                            [Ch. 49

AGGREGATE AMOUNT OF COSTS AND EXPENSES WHICH HAVE BEEN
REASONABLY INCURRED BY THE PERSON GUARANTEED FOR OR IN
CONNECTION WITH THE ACTION FILED. THESE COSTS AND
EXPENSES SHALL INCLUDE ATTORNEY'S FEES BASED ON ACTUAL
TIME EXPENDED, UNLESS THE COURT FINDS THAT AN AWARD OF
ATTORNEY'S FEES MOULD BE INAPPROPRIATE.

(3) THE PERSON GUARANTEED IS NOT ENTITLED TO
COSTS AND EXPENSES IF:

(i) THE GUARANTOR AFFORDS THE PERSON
GUARANTEED A REASONABLE OPPORTUNITY TO SETTLE INFORMALLY
IN ACCORDANCE WITH SUBSECTION (A) OF THIS SECTION; AND

(ii) THE PERSON GUARANTEED FAILS TO SO
SETTLE.

REVISOR'S NOTE: This section presently appears as
Art. 83, §176.

In subsection (a) of this section, for
purposes of brevity and conformity, the term
"guaranty dispute" is substituted for
"consumer disputes related to guaranties."

Subsection (c) (3) of this section has been
reworded to conform to the fact that under
subsection (a) it is within the power of the
guarantor to establish informal settlement
procedures and that not all guarantors may
have established such a procedure.

The only other changes are in style.

14-408. SERVICE CONTRACTS AND DESIGNATION OF
REPRESENTATIVES PERMITTED.

(A)   SERVICE CONTRACT.

IN ADDITION TO MAKING A GUARANTY, THE GUARANTOR MAY
SELL A SERVICE CONTRACT AT THE TIME OF THE SALE OR AT ANY
OTHER TIME TO THE PERSON GUARANTEED.

(B)   DESIGNATION OF REPRESENTATIVE.

THE GUARANTOR MAY DESIGNATE A REPRESENTATIVE TO
PERFORM HIS DUTIES UNDER THIS SUBTITLE. HOWEVER, THIS
DESIGNATION DOES NOT RELIEVE THE GUARANTOR OF HIS DUTIES
TO THE PERSON GUARANTEED.

REVISOR'S NOTE: Subsection      (a) of this section

presently appears as     Art. 83, §173. The

present reference to     a service contract "in

lieu of" a guaranty     is deleted as non