Ch. 535

1994 LAWS OF MARYLAND

(B) THE AMOUNT OR VALUE OF ANY BENEFITS RECEIVED BY THE
LESSEE DIRECTLY OR INDIRECTLY BY REASON OF THE LEASE CONTRACT.

2A-505. CANCELLATION AND. TERMINATION AND EFFECT OF CANCELLATION,
TERMINATION, RESCISSION, OR FRAUD ON RIGHTS AND REMEDIES

(1)      ON CANCELLATION OF THE LEASE CONTRACT, ALL OBLIGATIONS THAT
ARE STILL EXECUTORY ON BOTH SIDES ARE DISCHARGED, BUT ANY RIGHT BASED
ON PRIOR DEFAULT OR PERFORMANCE SURVIVES, AND THE CANCELLING PARTY
ALSO RETAINS ANY REMEDY FOR DEFAULT OF THE WHOLE LEASE CONTRACT OR
ANY UNPERFORMED BALANCE.

(2)      ON TERMINATION OF THE LEASE CONTRACT, ALL OBLIGATIONS THAT
ARE STILL EXECUTORY ON BOTH SIDES ARE DISCHARGED BUT ANY RIGHT BASED
ON PRIOR DEFAULT OR PERFORMANCE SURVIVES.

(3)      UNLESS THE CONTRARY INTENTION CLEARLY APPEARS, EXPRESSIONS OF
"CANCELLATION," "RESCISSION," OR THE LIKE OF THE LEASE CONTRACT MAY NOT
BE CONSTRUED AS A RENUNCIATION OR DISCHARGE OF ANY CLAIM IN DAMAGES
FOR AN ANTECEDENT DEFAULT.

(4)      RIGHTS AND REMEDIES FOR MATERIAL MISREPRESENTATION OR FRAUD
INCLUDE ALL RIGHTS AND REMEDIES AVAILABLE UNDER THIS ARTICLE FOR
DEFAULT.

(5)      NEITHER RESCISSION NOR A CLAIM FOR RESCISSION OF THE LEASE
CONTRACT NOR REJECTION OR RETURN OF THE GOODS MAY BAR OR BE DEEMED
INCONSISTENT WITH A CLAIM FOR DAMAGES OR OTHER RIGHT OR REMEDY.

2A-506. STATUTE OF LIMITATIONS

(1)      AN ACTION FOR DEFAULT UNDER A LEASE CONTRACT, INCLUDING
BREACH OF WARRANTY OR INDEMNITY/MUST BE COMMENCED WITHIN 4 YEARS
AFTER THE CAUSE OF ACTION ACCRUED.                       

(2)      A CAUSE OF ACTION FOR DEFAULT ACCRUES WHEN THE ACT OR
OMISSION ON WHICH THE DEFAULT OR BREACH OF WARRANTY IS BASED IS OR
SHOULD HAVE BEEN DISCOVERED BY THE AGGRIEVED PARTY, OR WHEN THE
DEFAULT OCCURS, WHICHEVER IS LATER. A CAUSE OF ACTION FOR INDEMNITY
ACCRUES WHEN THE ACT OR OMISSION ON WHICH THE CLAIM FOR INDEMNITY IS
BASED IS OR SHOULD HAVE BEEN DISCOVERED BY THE INDEMNIFIED PARTY,
WHICHEVER IS LATER.

(3)     IF AN ACTION COMMENCED WITHIN THE TIME LIMITED BY SUBSECTION
(1) IS SO TERMINATED AS TO LEAVE AVAILABLE A REMEDY BY ANOTHER ACTION
FOR THE SAME DEFAULT OR BREACH OF WARRANTY OR INDEMNITY, THE OTHER
ACTION MAY BE COMMENCED AFTER THE EXPIRATION OF THE TIME LIMITED AND
WITHIN 6 MONTHS AFTER THE TERMINATION OF THE FIRST ACTION UNLESS THE
TERMINATION RESULTED FROM VOLUNTARY DISCONTINUANCE OR FROM
DISMISSAL FOR FAILURE OR NEGLECT TO PROSECUTE.

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