If Janice files a claim against the Guaranty Fund due to misrepresentation, what is the maximum amount she could hope to recoup?

In Maryland, the Guaranty Fund is designed to reimburse individuals who have suffered monetary losses due to the actions of licensed real estate professionals who have been found to be negligent or fraudulent. When it comes to misrepresentation, the maximum amount that an individual can claim from the Guaranty Fund is capped at $50,000 per transaction. This limit ensures that the Fund can effectively assist multiple claimants while maintaining a balance of available resources.

In this case, since Janice's claim is due to misrepresentation, she can only recover up to that statutory limit of $50,000. Although attorney's fees can often be a consideration in legal actions, the Fund itself does not cover these costs, reinforcing that the maximum recoverable amount strictly pertains to the losses incurred due to the misrepresentation.

Understanding these limits is crucial for anyone working in Maryland real estate, as it ensures they are well-informed about the protections available to consumers and the boundaries of claims possible under the Guaranty Fund.