2916

LAWS OF MARYLAND

Ch 824

sale of accounts [,contract rights,] or chattel paper, the
debtor is entitled to any surplus or is liable for any
deficiency only if the security agreement so provides

(3)  Disposition of the collateral may be by public or
private proceedings and may be made by way of one or more
contracts. Sale or other disposition may be as a unit or in
parcels and at any time and place and on any terms but every
aspect of the disposition including the method, manner,
time, place and terms must be commercially reasonable.
Unless collateral is perishable or threatens to decline
speedily in value or is of a type customarily sold on a
recognized market reasonable notification of the time and
place of any public sale or reasonable notification of the
time after which any private sale or other intended
disposition is to be made shall be sent by the secured party
to the debtor, and except in the case of consumer goods to
any other person who has a security interest in the
collateral and who has duly filed a financing statement
indexed in the name of the debtor in this State or who is
known by the secured party to have a security interest in
the collateral. The secured party may buy at any public sale
and if the collateral is of a type customarily sold in a
recognized market or is of a type which is the subject of
widely distributed standard price quotations he may buy at
private sale.

(4)  When collateral is disposed of by a secured party
after default, the disposition transfers to a purchaser for
value all of the debtor's rights therein discharges the
security interest under which it is made and any security
interest or lien subordinate thereto The purchaser takes
free of all such rights and interests even though the
secured party fails to comply with the requirements of this
subtitle or of any judicial proceedings.

(a)  In the case of a public sale, if the
purchaser has no knowledge of any defects in the sale and if
he does not buy in collusion with the secured party other
bidders or the person conducting the sale; or

(b)  In any other case, if the purchaser acts in
good faith.

(5)  A person who is liable to a secured party under a
guaranty, indorsement, repurchase agreement or the like and
who receives a transfer of collateral from the secured party
or is subrogated to his rights has thereafter the rights and
duties of the secured party. Such a transfer of collateral
is not a sale or disposition of the collateral under this
title.

10-105.

(1) AS USED IN THIS TITLE, CHAPTER 538 OF THE ACTS OF
1963, AS HERETOFORE AMENDED (HEREINAFTER REFERRED TO AS THE
"ORIGINAL CODE") SHALL BE DEEMED TO MEAN THE PROVISIONS OF