Ch. 3

LAWS OF MARYLAND

2. THAT CONSTITUTES FRAUD OR
MISREPRESENTATION.

(B)  LIMITATION ON RECOVERY.

THE AMOUNT RECOVERED FOR ANY CLAIM AGAINST THE GUARANTY FUND
MAY NOT EXCEED $25,000 FOR EACH CLAIM.

(C)  EXCLUDED CLAIMS.

(1)  A PERSON MAY NOT RECOVER FROM THE GUARANTY FUND
FOR ANY LOSS THAT RELATES TO:

(I)  THE PURCHASE OF ANY INTEREST IN A LIMITED
PARTNERSHIP THAT IS FORMED FOR THE PURPOSE OF INVESTMENT IN REAL
ESTATE;

(II)  A JOINT VENTURE THAT IS PROMOTED BY A
LICENSED REAL ESTATE BROKER, A LICENSED ASSOCIATE REAL ESTATE
BROKER, OR LICENSED REAL ESTATE SALESPERSON FOR THE PURPOSE OF
INVESTMENT IN REAL ESTATE BY 2 OR MORE INDIVIDUALS; OR

(III)  THE PURCHASE OF COMMERCIAL PAPER THAT IS
SECURED BY REAL ESTATE.

(2)  A CLAIM UNDER THE GUARANTY FUND MAY NOT BE MADE
BY:

(I)  THE SPOUSE OF THE LICENSEE OR THE
UNLICENSED EMPLOYEE ALLEGED TO BE RESPONSIBLE FOR THE ACT OR
OMISSION GIVING RISE TO THE CLAIM; OR

(II)  THE PERSONAL REPRESENTATIVE OF THE SPOUSE
OF THE LICENSEE OR THE UNLICENSED EMPLOYEE ALLEGED TO BE
RESPONSIBLE FOR THE ACT OR OMISSION GIVING RISE TO THE CLAIM.

(D)  LIMITATIONS PERIOD.

A CLAIM UNDER THIS SUBTITLE SHALL BE SUBMITTED TO THE
COMMISSION WITHIN 3 YEARS AFTER THE CLAIMANT DISCOVERS OR, BY THE
EXERCISE OF ORDINARY DILIGENCE, SHOULD HAVE DISCOVERED THE LOSS
OR DAMAGE.

REVISOR'S NOTE: This section formerly appeared as Art. 56A,
§ 4-404.

The only changes are in style.

Defined terms: "Commission" § 16-101
"Guaranty Fund" § 16-101 "License" § 16-101
"Licensed associate real estate broker" § 16-101
"Licensed real estate broker" § 16-101
"Licensed real estate salesperson" § 16-101

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