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LAWS OF MARYLAND

Ch. 644

Annotated Code of Maryland

(1983 Replacement Volume and 1984 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Commercial Law

12-307.1.

(A)  ON ANY LOAN WITH AN ORIGINAL PRINCIPAL BALANCE OF MORE
THAN $2,000, IF A BORROWER DEFAULTS UNDER THE TERMS OF A LOAN AND
THE LENDER REFERS THE BORROWER'S ACCOUNT FOR COLLECTION TO AN
ATTORNEY WHO IS NOT A SALARIED EMPLOYEE OF THE LENDER, AND IF THE
NOTE, CONTRACT, OR OTHER EVIDENCE OF THE LOAN PERMITS, THE LENDER
MAY CHARGE AND COLLECT FROM THE BORROWER REASONABLE ATTORNEYS'
COURT COSTS AND ATTORNEY'S FEES NOT EXCEEDING 15 PERCENT OF THE
AMOUNT DUE AND PAYABLE UNDER THE TERMS OF THE LOAN. FEES.

(B) IF THE NOTE, CONTRACT, OR OTHER EVIDENCE OF A LOAN ON
WHICH A BORROWER DEFAULTS UNDER THIS SECTION PERMITS, THE LENDER
MAY RECOVER FROM THE BORROWER ANY COURT AND OTHER COLLECTION
COSTS INCURRED BY THE LENDER RELATING TO THE BORROWER'S DEFAULT.

(B) ON ANY LOAN WITH AN ORIGINAL PRINCIPAL BALANCE OF
$2,000 OR LESS, IF A BORROWER DEFAULTS UNDER THE TERMS OF A LOAN
AND THE LENDER REFERS THE BORROWER'S ACCOUNT FOR COLLECTION TO AN
ATTORNEY WHO IS NOT A SALARIED EMPLOYEE OF THE LENDER, AND IF THE
NOTE, CONTRACT, OR OTHER EVIDENCE OF THE LOAN PERMITS, THE LENDER
MAY RECOVER FROM THE BORROWER COURT COSTS AND ATTORNEY'S FEES NOT
EXCEEDING 15 PERCENT OF THE AMOUNT DUE AND PAYABLE UNDER THE
TERMS OF THE LOAN, TO BE SET BY THE COURT IN THE EVENT OF THE
FILING OF SUIT.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect July 1, 1985.

Approved May 28, 1985.

CHAPTER 645

(House Bill 698)

AN ACT concerning

Inheritance Tax

FOR the purpose of exempting certain transfers of property
between spouses from the inheritance tax.