HARRY HUGHES, Governor

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which enacted the Financial Institutions Article,
also amended this section to incorporate, without
substantive change, the provisions of present
Art. 58A, § 15A.

As to subsection (b)(1)(ii) of this section and
the phrase "clerical error or mistake" — also
appearing in § 12-313(b)(2) of this subtitle —
it is unclear whether the word "clerical" is
meant to modify "mistake". If so, either "error"
or "mistake" can be deleted as redundant of the
other. If not, the phrase should be amended to
read "mistake or clerical error".

The General Assembly may wish to consider a
number of other problems that remain in this
section and in § 12—313 of this subtitle, for
example, § 12—313(b) provides that if an amount
in excess of the permitted charges is directly or
indirectly contracted for, charged, or received
by a licensee or a person who is exempt from
licensing, the "loan contract" is "void". On the
other hand, subsection (b) of this section
provides that certain overcharges result in a
"loan" being "unenforceable". The Commission is
unaware of any practical effect of these
distinctions. Further, § 12-313(b) and
subsection (b) of this section seem to overlap.
To avoid any inadvertent substantive change, the
Commission has not attempted to resolve these
problems.

12-401.

(a) In general.

In this subtitle the following words have the meanings
indicated.

[(b) Commissioner. —"Commissioner" means the Bank
Commissioner or deputy bank commissioner of Maryland.]

(B)   [(c)] Lender.
Lender means:

(1)   A licensee; or

(2)   A person who makes a secondary mortgage loan
but is exempt expressly from the licensing requirements of
the Maryland Secondary Mortgage Loan Law—Licensing
Provisions.

(C)   C (d)] Licensee.

"Licensee" means a person who is licensed under the
Maryland Secondary Mortgage Loan Law—Licensing Provisions.