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§ 7-315. Right of rescission

West's Annotated Code of MarylandReal PropertyEffective: April 3, 2008

West's Annotated Code of Maryland
Real Property (Refs & Annos)
Title 7. Mortgages, Deeds of Trust, and Vendor's Liens (Refs & Annos)
Subtitle 3. Protection of Homeowners in Foreclosure Act (Refs & Annos)
Part IV. Foreclosure Surplus Purchasers (Refs & Annos)
Effective: April 3, 2008
MD Code, Real Property, § 7-315
§ 7-315. Right of rescission
Currentness
Time for rescission of contract
(a) In addition to any other right of rescission, a homeowner has the right to rescind any contract with a foreclosure surplus purchaser at any time within 10 days after the statement of audit account of the foreclosure sale.
Rescission requirements
(b)(1) Rescission occurs when the homeowner delivers, by any means, written Notice of Rescission to the address specified in the contract, with a copy to the auditor. As part of the rescission, the homeowner shall repay any consideration received directly or indirectly, together with interest calculated at the rate of 8% a year.
(2) On receipt of the Notice of Rescission, the auditor shall restate the account. The repayment of consideration and interest by the homeowner shall be incorporated by the auditor into the revised statement of account filed with the court.
(3) Upon ratification of the amended audit, the attorney named in the mortgage, mortgage assignee for purposes of foreclosure, trustee, or substitute trustee in making distribution of the surplus funds shall comply with the revised court-approved audit.
Sufficiency of notice
(c) A Notice of Rescission given by a homeowner need not be in the form provided with the contract and is effective, however expressed, if it indicates the intention of the homeowner to rescind the contract.
Conditions
(d) The right to rescind may not be conditioned on the repayment of any funds.
Return of original contract and other documents
(e) Within 10 days after receipt of a Notice of Rescission given in accordance with this section, the foreclosure surplus purchaser shall return, without condition, the original contract and all other documents signed by the homeowner.

Credits

Added by Acts 2005, c. 509, § 1, eff. May 26, 2005. Amended by Acts 2008, c. 5, § 1, eff. April 3, 2008; Acts 2008, c. 6, § 1, eff. April 3, 2008.
MD Code, Real Property, § 7-315, MD REAL PROP § 7-315
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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