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§ 14-2003. Proscribed conduct

West's Annotated Code of MarylandCommercial LawEffective: October 1, 2011

West's Annotated Code of Maryland
Commercial Law
Title 14. Miscellaneous Consumer Protection Provisions
Subtitle 20. Consumer Motor Vehicle Leasing Contracts (Refs & Annos)
Effective: October 1, 2011
MD Code, Commercial Law, § 14-2003
§ 14-2003. Proscribed conduct
(a) A person who leases vehicles to lessees may not:
(1) Make any false, falsely disparaging, or misleading oral or written statement, visual description, or other representation of any kind that has the capacity, tendency, or effect of deceiving or misleading a consumer or lessee;
(2) By any means advertise or offer to the public any motor vehicle without intent to lease it as advertised or offered;
(3) Misrepresent a lease of a motor vehicle as a sale;
(4) Fail to include any dealer processing or freight charges in determining the adjusted capitalized cost used to calculate the base lease payment shown in an advertisement for a leased vehicle; or
(5) Advertise to the general public a capitalized cost reduction to the lessee unless the capitalized cost reduction is offered to all potential lessees.
(b)(1) Except as allowed by paragraph (2) of this subsection, in offering to allow a lessee to cure a default by entering into a new lease for the same motor vehicle, a lessor may not include in the new lease any material provision that is less favorable to the lessee than the provisions of the original lease.
(2) A lessor may include in a lease under paragraph (1) of this subsection an increase in one or more of the following:
(i) The security deposit;
(ii) The down payment paid to the lessor; or
(iii) The lease payments, so long as the total of scheduled lease payments over the term of the new lease does not exceed the total of scheduled lease payments under the original lease.

Credits

Added by Acts 1987, c. 577, § 1, eff. July 1, 1987. Amended by Acts 1995, c. 602, § 1, eff. Jan. 1, 1996; Acts 2011, c. 367, § 1, eff. Oct. 1, 2011.

Editors' Notes

HISTORICAL AND STATUTORY NOTES
1995 Legislation
Acts 1995, c. 602, § 2, provides:
“SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect January 1, 1996, and shall apply only to leases entered into after that date.”
2011 Legislation
Acts 2011, c. 367, § 1, added subsecs. (a)(4) and (5).
MD Code, Commercial Law, § 14-2003, MD COML § 14-2003
Current through all legislation from the 2019 Regular Session of the General Assembly.
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