§ 12-1101

Maryland § 12-1101

• Jurisdiction: Maryland
• Article gcl: Commercial Law
• Title: 12

Text

(a) In this subtitle the following words have the meanings indicated.

(b) (1) “Advertisement” means a commercial message in any medium that aids, promotes, or assists, directly or indirectly, a rental–purchase agreement.

(2) “Advertisement” does not include in–store merchandising ads.

(c) “Cash price” means the price at which the lessor would have sold rental property covered by a rental–purchase agreement to the consumer unconditionally for cash on the date of consummation.

(d) “Consumer” means an individual who rents personal property under a rental–purchase agreement primarily for personal, family, or household purposes.

(e) “Consummation” means the time at which a consumer enters into a rental–purchase agreement.

(f) “Cost of lease services” means the difference between the final purchase price of rental property and the cash price of rental property.

(g) “Lessor” means a person who regularly provides the use of personal property through rental–purchase agreements to consumers and to whom rental payments are initially payable on the face of a rental–purchase agreement.

(h) “Rental property” means personal property that is the subject of a rental–purchase agreement.

(i) “Rental–purchase agreement” means an agreement that:

(1) Is for the use of personal property by an individual primarily for personal, family, or household purposes;

(2) Is for an initial period of 4 months or less;

(3) Is automatically renewable for a weekly or monthly period with each rental payment after the initial period; and

(4) Allows but does not obligate the consumer to become the owner of the property.