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LAWS OF MARYLAND

Ch. 767

CHAPTER 767

(House Bill 914)

AN ACT concerning

Commercial Law - Return of Checks

FOR the purpose of providing that a seller, lender, or credit
grantor shall return a discharged check to the buyer or
borrower under certain circumstances; prohibiting a certain
act under certain circumstances; defining certain terms;
providing that failure of a seller, lender, or credit
grantor to comply with this Act shall make the seller,
lender, or credit grantor liable for certain charges and
damages; and generally relating to the handling of
discharged checks by sellers, lenders, or credit grantors.

BY adding to

Article - Commercial Law

Section 14-1312

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

14-1312.

(A) (1) IN THIS SECTION, THE FOLLOWING TERMS HAVE THE
MEANINGS INDICATED.

(2)  "ACCEPTOR" MEANS A SELLER, LENDER, OR CREDIT
GRANTOR TO WHOM A DISCHARGED CHECK WAS ORIGINALLY ISSUED.

(3)  "DISCHARGED CHECK" MEANS A CHECK OR OTHER
INSTRUMENT THAT HAS BEEN:

(I)  ISSUED TO A SELLER, LENDER, OR CREDIT
GRANTOR BY A BUYER OR BORROWER IN FULL OR PARTIAL SATISFACTION OF
AN UNDERLYING OBLIGATION; AND

(II)  REACQUIRED BY THE BUYER OR BORROWER IN HIS
OWN RIGHT.

(B) (1) NOTWITHSTANDING ANY OTHER PROVISION OF THIS
ARTICLE, IF AN ACCEPTOR REQUIRES A BUYER OR BORROWER TO SUBMIT TO