# Commercial Law (GCL)

## Title 11. Trade Regulation

### Subtitle 11. Distress Sales

#### Section 11-1101

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

(b)

  (1) "Advertise" means to publish, circulate, disseminate, or place before the public through any print or broadcast medium for the purpose of the sale of goods or services.

  (2) "Advertise" includes to advertise by outside or inside signs, handbills, or price tags.

(c)

  (1) "Distress sale" means a sale that is conducted and represented through advertising that the sale is being held or required for reasons of:

    (i) Economic or business distress;

    (ii) Inability to continue business at the same location; or

    (iii) Any expression that conveys to the public the information or belief that on disposal of the goods, the business will cease, be discontinued, vacated, transferred, or surrendered to a successor in business or a different principal owner and conducted under a new name.

  (2) "Distress sale" includes:

    (i) A "going out of business sale", "closing out sale", "liquidation sale", "lost our lease sale", or "must vacate sale"; or

    (ii) A sale of goods damaged by fire, smoke, or water.

(d)

  (1) "Person" means an individual, corporation, business trust, statutory trust, estate, trust, partnership, association, two or more persons having a joint or common interest, or any other legal or commercial entity.

  (2) "Person" includes a liquidation service.

#### Section 11-1102

A person shall advertise and conduct a distress sale only under the provisions of this subtitle.

#### Section 11-1103

A person who advertises and conducts a distress sale may not:

(1) Conduct the distress sale for more than 60 days from the first day of the sale;

(2) Order and receive any goods for the purpose of selling the goods at the distress sale; and

(3) Sell goods at the distress sale that are not listed in the record of inventory required under Sec. 11-1104 of this subtitle.

#### Section 11-1104

(a) Before a distress sale, a person shall compile a complete and detailed record of the inventory that is to be sold at the distress sale, including:

  (1) A description of each item;

  (2) The approximate quantity of each item; and

  (3) The regular price and the proposed sale price of each item.

(b) The record of inventory required under subsection (a) of this section shall be open for inspection by the Division of Consumer Protection in the Office of the Attorney General at any time during normal business hours.

#### Section 11-1105

(a) This subtitle provides minimum standards to protect consumers in the State.

(b) A county, a municipality, or an agency of a county or municipality may adopt standards concerning distress sales, within the scope of its authority, only if the standards:

  (1) Are at least as stringent as the provisions of this subtitle; and

  (2) Are not inconsistent with the provisions of this subtitle.

(c) This subtitle is enforceable under Title 13 of this article or by any appropriate local jurisdiction.

#### Section 11-1106

A violation of any provision of this subtitle is an unfair or deceptive trade practice within the meaning of Title 13 of this article and is subject to the enforcement and penalty provisions contained in Title 13 of this article.

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Md. Code Ann., Com. Law (as displayed at mgaleg.maryland.gov, October 16, 2026)
