Ch. 549                                        1994 LAWS OF MARYLAND

(4) IF THE PROVISIONS OF THIS SECTION, INCLUDING THE
REQUIREMENT OF FURNISHING A NOTICE FOLLOWING REPOSSESSION, ARE NOT
FOLLOWED, THE CREDIT UNION SHALL NOT BE ENTITLED TO ANY DEFICIENCY
JUDGMENT TO WHICH THE CREDIT UNION WOULD BE ENTITLED UNDER THE LOAN
AGREEMENT.

(L) (1) (I) IN THIS SUBSECTION, "CONSUMER GOODS" MEANS 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

2. A FIXTURE.

(II) "CONSUMER GOODS" DOES NOTE INCLUDE MONEY,

DOCUMENTS, INSTRUMENTS, ACCOUNTS, CHATTEL PAPER, OR GENERAL
INTANGIBLES.

(2) THIS SUBSECTION APPLIES TO TANGIBLE PERSONAL PROPERTY
SECURING A LOAN THAT:

(I) HAS BEEN REPOSSESSED BY THE CREDIT UNION; OR

(II) IS IN ACTUAL OR CONSTRUCTIVE POSSESSION OF THE CREDIT
UNION WHERE THE PERFECTION OF THE SECURITY INTEREST IN THE PROPERTY
DEPENDS ON THE POSSESSION OF THE PROPERTY.

(3)      IN THE CASE OF A PURCHASE MONEY SECURITY INTEREST IN
CONSUMER GOODS, IF. A BORROWER HAS PAID 60 PERCENT OF THE CASH PRICE OR
60 PERCENT OF THE LOAN IN THE CASE OF ANOTHER SECURITY INTEREST IN
CONSUMER GOODS AND, AFTER DEFAULT, HAS NOT SIGNED A STATEMENT
RENOUNCING OR MODIFYING THE BORROWER'S RIGHTS UNDER THIS SUBSECTION,
A CREDIT UNION THAT HAS REPOSSESSED THE CONSUMER GOODS MUST TAKE
REASONABLE ACTION WITHIN 90 DAYS AFTER THE REPOSSESSION TO COMMENCE
DISPOSAL OF THEM IN THE MANNER PROVIDED UNDER SUBSECTION (J) OF THIS
SECTION.

(4)      (I) IN ANY OTHER CASE INVOLVING TANGIBLE PERSONAL
PROPERTY SECURING A LOAN, A CREDIT UNION MAY, AFTER DEFAULT, PROPOSE TO
RETAIN THE PROPERTY IN FULL SATISFACTION OF THE OBLIGATIONS OF THE
BORROWER UNDER THE LOAN.

(II) IF A CREDIT UNION PROPOSES TO RETAIN PROPERTY IN FULL
SATISFACTION OF THE OBLIGATIONS OF THE BORROWER UNDER THE LOAN, THE
CREDIT UNION SHALL SEND WRITTEN NOTICE OF THE PROPOSAL TO:

1. THE BORROWER; AND

                2. EXCEPT IN THE CASE OF CONSUMER GOODS, ANY OTHER

PERSON WHO HAS A SECURITY INTEREST IN THE PROPERTY, AND WHO HAS DULY

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