Ch. 218 1997 LAWS OF MARYLAND

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
plan, a credit grantor may, after default, propose to retain the property in full satisfaction
of the obligations of the borrower under the plan.

(ii) If, as authorized by subparagraph (i) of this paragraph, a credit
grantor proposes to retain property in full satisfaction of the obligations of the borrower
under the plan, the credit grantor shall send written notice of the proposal to:

1. The consumer borrower; and

2. Except in the case of consumer goods, any other person who
has a security interest in the property and who:

A. Has duly filed a financing statement indexed in the name of
the consumer borrower in this State; or

B. Is known by the credit grantor to have a security interest in

the property.

(iii) 1. If the consumer borrower or other person entitled to receive
notification objects in writing within 30 days from the sending of the notification, the
credit grantor must take reasonable action to dispose of the property in the manner
provided under subsection (j) of this section.

2. In the absence of written objection, the credit grantor may
retain the property in full satisfaction of the outstanding unpaid indebtedness under the
plan.

(5) If despite complying with the requirements of this section there is no
sale of tangible personal property securing a plan under subsection (j) of this section:

(i) The credit grantor may retain the property without obligation to
account to the borrower; and

(ii) If the property is retained, all obligations of the borrower under
the plan shall be discharged.

12-1021.

(a) (1) A credit grantor may repossess tangible persona! property securing a
loan under an agreement, note, or other evidence of the loan if the consumer borrower is
in default.

(2) The credit grantor may repossess tangible personal property from a
consumer borrower only by:

(i) Legal process; or

(ii) Self-help, without use of force.

(b) Nothing in this section authorizes a violation of criminal law.

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