3352

LAWS OF MARYLAND

Ch. 721

protection for purchases of time-shares, and the developer has
complied with such law; or

(3) Any other reason the Commission finds relevant to
permitting an alternative arrangement.

(i) No claim shall be made for reimbursement from the Real
Estate Guaranty Fund under Article 56, Section 217A of the Code
if the claim can be successfully maintained against the surety
bond. Under no circumstances shall the surety be entitled to
reimbursement from the Real Estate Guaranty Fund.

(J) A DEVELOPER OF A PROJECT LOCATED OUTSIDE THIS STATE
SHALL SECURE A BOND ONLY FOR THE BENEFIT OF PURCHASERS WHO ARE
RESIDENTS OF THIS STATE OR WHOSE CONTRACT TO PURCHASE A
TIME-SHARE WAS NEGOTIATED OR EXECUTED IN WHOLE OR IN PART IN THIS
STATE.

(K) THE INSURANCE COMPANY OR FINANCIAL INSTITUTION ISSUING
A BOND SHALL REMAIN LIABLE, AFTER CANCELLATION OR TERMINATION OF
THE BOND, FOR ANY PURCHASE MONEY PAID PRIOR TO THE CANCELLATION
OR TERMINATION.

(L) BY THE ISSUANCE OF A BOND, A FOREIGN INSURANCE COMPANY
OR FINANCIAL INSTITUTION SHALL BE DEEMED TO HAVE CONSENTED TO
BEING SUED IN THIS STATE REGARDING ANY DISPUTE OR CLAIM AGAINST
THE BOND.

11A-121.

(I) (1) THE COMMISSION, AFTER NOTICE AND HEARING, MAY LEVY
A CIVIL PENALTY AGAINST A DEVELOPER OF NOT MORE THAN $1,000 FOR
ANY VIOLATION BY THE DEVELOPER OF § 11A-112, § 11A-113, §
11A-114, § 11A-116, § 11A-118, § 11A-119, §11A-120, § 11A-121, OR
§ 11A-124 OF THIS TITLE.

(2) IN DETERMINING THE AMOUNT OF THE PENALTY, THE
COMMISSION SHALL GIVE DUE CONSIDERATION TO:

(I)  THE SERIOUSNESS OF THE VIOLATION;

(II)  THE LACK OF GOOD FAITH ON THE PART OF THE
DEVELOPER;

(III)  THE ADVERSE IMPACT, IF ANY, ON OTHER
PERSONS;

(IV)  ANY EFFORTS MADE BY THE DEVELOPER TO
REMEDY OR CORRECT THE VIOLATION; AND

(V)  THE DEVELOPER'S HISTORY OF PRIOR
VIOLATIONS, PARTICULARLY VIOLATIONS OF THE SAME OR SIMILAR
NATURE.