# Commercial Law (GCL)

## Title 15. Debt Collection -- Special Provisions

### Subtitle 3. Assignment of Wages

#### Section 15-301

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

(b)

  (1) "Assignment" includes every transfer, sale, pledge, mortgage, or hypothecation, however made or attempted, of the wages of a person or any interest in them.

  (2) "Assignment" does not include an authorization by a borrower or his guarantor or surety for payroll deductions to repay a loan made by a state or federally chartered credit union to a credit union member.

(c) "County" includes Baltimore City.

(d) "Court" means the District Court for the county where an assignor resides.

(e) "Person" includes 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.

(f) "Wages" means all remuneration paid to any employee for his employment, including the cash value of all remuneration paid in any medium other than cash.

#### Section 15-302

(a) An assignment of wages is not valid unless:

  (1) The assignment is:

    (i) In writing;

    (ii) Signed and acknowledged by the assignor before a notary public in and for the county where he resides; and

    (iii) Entered the same day on the docket of the court by the clerk; and

  (2) Within three days from the execution and acknowledgment of the assignment, a copy of the assignment with the certificate of acknowledgment is served on the assignor's employer in the same manner as the Maryland Rules provide for service of a summons.

(b) An assignment of wages by a married person is not valid unless also executed and acknowledged by the assignor's spouse in the manner required by subsection (a) of this section.

(c) An assignment of wages to be earned in whole or in part more than six months after the making of the assignment is void.

#### Section 15-303

(a) Proof of the service made in accordance with Sec. 15-302(a)(2) of this subtitle shall be by written admission of the assignor's employer on the original assignment.

(b) Within two days from the date of service, the original assignment with the employer's written admission shall be filed with the clerk of the court.

#### Section 15-304

The assignor's acknowledgment of assignment shall include his affidavit stating that he has not paid and will not pay directly or indirectly on any sum borrowed, an effective rate of simple interest, as defined in Sec. 12-101 of this article, of more than 6 percent per annum.

#### Section 15-305

(a) If an assignee files or threatens to file an action to enforce any assignment of wages which does not comply with any provision of this subtitle, on petition of the assignor or his employer, a court of equity may enjoin the threatened or attempted enforcement of the assignment.

(b) The fact that a petitioner has a complete and adequate remedy at law does not constitute a defense to the maintenance of an action in equity to enjoin the threatened or attempted enforcement of the assignment.

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