S.B. 329

VETOES

(iii) When the credit grantor receives service of process in a civil action
for an error or violation instituted by the borrower in a court of competent jurisdiction.

(2)     Except for a bona fide error of computation, if a credit grantor violates
any provision of this subtitle the credit grantor may collect only the principal amount of
credit extended and may not collect any interest, costs, FEES, or other charges with
respect to the credit extension.                                                                     

(3)     The penalty provided under paragraph (2) of this subsection does not
apply where a credit grantor:

(i) Unintentionally and in good faith fails to comply with § 12-903, §
12-904, § 12-905, § 12-910, [or] § 12-911, § -12-913.2, § 12-923(E), OR § 12-924 of this
subtitle; and

(ii) Corrects the error or violation and makes the borrower whole for
all losses, including reasonable attorney's fees and interest, where appropriate, within 10
days after the credit grantor receives notice of the error or violation.

(4)     The burden shall be on the credit grantor to show that the credit
grantor's failure to comply with § 12-903, § 1-2-904,3 1-2-905, § 12-910, [or] § 12-911, §
12-913.2, § 12-923(E), OR § 12-924 of this subtitle was unintentional and in good faith.

(b) A credit grantor who knowingly violates any provision of this subtitle shall
forfeit to the borrower 3 times the amount of interest, FEES, and charges collected in
excess of that authorized by this subtitle.

12-921.

(j) (1) (I) [The] SUBJECT TO SUBSECTION (L) OF THIS SECTION, THE
credit grantor shall sell the property that was repossessed at:

1.        SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION, A
private sale [(subject to the provisions of paragraph (2) of this subsection)]; or

2.       A public auction.

(II)     At least 10 days before the sale, the credit grantor shall notify the
consumer borrower in writing of the time and place of the sale, by certified mail, return
receipt requested, sent to the consumer borrower's last known address.

(III)   Any sale of repossessed property must be accomplished in a
commercially reasonable manner.

(L) (1) (I) IN THIS SUBSECTION, "CONSUMER GOODS" MEANS ANYTHING
TANGIBLE PERSONAL PROPERTY USED OR BOUGHT FOR USE PRIMARILY FOR
PERSONAL, FAMILY, OR HOUSEHOLD PURPOSES THAT IS:

1. MOVABLE AT THE TIME A SECURITY INTEREST
ATTACHES OR WHICH IS; OR

2. A FIXTURE THAT IS USED OR BOUGHT FOR USE
PRIMARILY FOR PERSONAL, FAMILY, OR HOUSEHOLD PURPOSES.

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