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EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
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*sb0437*
SENATE BILL 437
E1 6lr2760
CF HB 752
By: Senator Folden
Introduced and read first time: January 30, 2026
Assigned to: Judicial Proceedings
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: February 25, 2026
CHAPTER ______
AN ACT concerning 1
Criminal Law – Theft and Fraud Crimes – Valuation and Forgery of Gift Cards 2
FOR the purpose of providing for the valuation of a gift card for the purpose of determining 3
value for crimes involving theft; prohibiting a person, with the intent to defraud 4
another, from altering or tampering with a gift card or its packaging; and generally 5
relating to crimes involving gift cards. 6
BY repealing and reenacting, without amendments, 7
Article – Commercial Law 8
Section 14–4901(a), (b), and (e) 9
Annotated Code of Maryland 10
(2025 Replacement Volume) 11
BY repealing and reenacting, without amendments, 12
Article – Criminal Law 13
Section 7–103(a) and (b) 14
Annotated Code of Maryland 15
(2021 Replacement Volume and 2025 Supplement) 16
BY adding to 17
Article – Criminal Law 18
Section 7–103(h) and 8–409 19
Annotated Code of Maryland 20
(2021 Replacement Volume and 2025 Supplement) 21
2 SENATE BILL 437
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1
That the Laws of Maryland read as follows: 2
Article – Commercial Law 3
14–4901. 4
(a) In this subtitle the following words have the meanings indicated. 5
(b) “Closed–loop gift card” means a card, code, or device that is: 6
(1) Issued to a consumer on a prepaid basis primarily for personal, family, 7
or household purposes in a specified amount, regardless of whether that amount may be 8
increased or reloaded in exchange for payment; and 9
(2) Redeemable on presentati on by a consumer at a single merchant or a 10
group of affiliated merchants. 11
(e) “Open–loop gift card” means a card, code, or device that is: 12
(1) Issued to a consumer on a prepaid basis primarily for personal, family, 13
or household purposes in a specified amount, regardless of whether that amount may be 14
increased or reloaded in exchange for payment; 15
(2) Payment card network branded; and 16
(3) (i) Redeemable on presentation at multiple unaffiliated merchants 17
for goods or services within the payment card network; or 18
(ii) Usable at an automated teller machine. 19
Article – Criminal Law 20
7–103. 21
(a) In this section, “value” means: 22
(1) the market value of the property or service at the time and place of the 23
crime; or 24
(2) if the market value cannot satisfactorily be ascertained, the cost of the 25
replacement of the property or service within a reasonable time after the crime. 26
(b) Except as provided in § 7–104.1 of this subtitle, the value of property or service 27
under this part shall be determined in accordance with this section. 28
SENATE BILL 437 3
(H) (1) (I) IN THIS SUBSECTION TH E FOLLOWING WORDS HA VE THE 1
MEANINGS INDICATED. 2
(II) “CLOSED–LOOP GIFT CARD” HAS THE MEANING STATED IN 3
§ 14–4901 OF THE COMMERCIAL LAW ARTICLE. 4
(III) 1. “GIFT CARD” MEANS AN OPEN–LOOP GIFT CARD OR A 5
CLOSED–LOOP GIFT CARD. 6
2. “GIFT CARD” DOES NOT INCLUDE: 7
A. A CREDIT CARD; 8
B. AN ELECTRONIC FUNDS TRANSFER; OR 9
C. MONEY, A CHECK, A DRAFT, OR ANY OTHER SIMILAR 10
PAPER INSTRUMENT. 11
(IV) “OPEN–LOOP GIFT CARD ” HAS THE MEANING STATED IN § 12
14–4901 OF THE COMMERCIAL LAW ARTICLE. 13
(2) THE VALUE OF A GIFT CARD IS THE GREATEST OF: 14
(I) 1. THE HIGHEST VALUE REPRESENTED LISTED ON THE 15
FACE OF THE GIFT CARD; OR ITS PACKAGING; OR 16
2. $100, IF NO VALUE IS LISTE D ON THE GIF T CARD OR 17
ITS PACKAGING; OR 18
(II) THE VALUE THAT A DEFENDANT WHO IS ALLEGED TO HAVE 19
VIOLATED THIS SUBTITLE REPRESENTED THE VALUE OF THE GIFT CARD TO BE; OR 20
(III) THE AMOUNT OF LOSS I NCURRED BY ANY PERSO N 21
INVOLVING THE USE OF THE GIFT CARD. 22
8–409. 23
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 24
INDICATED. 25
(2) “CLOSED–LOOP GIFT CARD ” HAS THE MEANING STAT ED IN § 26
14–4901 OF THE COMMERCIAL LAW ARTICLE. 27
4 SENATE BILL 437
(3) (I) “GIFT CARD ” MEANS AN OPEN –LOOP GIFT CARD OR A 1
CLOSED–LOOP GIFT CARD. 2
(II) “GIFT CARD” DOES NOT INCLUDE: 3
1. A CREDIT CARD; 4
2. AN ELECTRONIC FUNDS TRANSFER; OR 5
3. MONEY, A CHECK, A DRAFT, OR ANY OTHER SIMILAR 6
PAPER INSTRUMENT. 7
(4) “OPEN–LOOP GIFT CARD ” HAS THE MEANING STAT ED IN § 8
14–4901 OF THE COMMERCIAL LAW ARTICLE. 9
(B) A PERSON MAY NOT, WITH THE INTENT TO D EFRAUD ANOTHER, ALTER 10
OR TAMPER WITH A GIFT CARD OR ITS PACKAGING. 11
(C) A PERSON WHO VIOLATES THIS SECTION IS GUIL TY OF THE 12
MISDEMEANOR OF GIFT CARD FORGERY AND ON CONVICTION IS SUBJEC T TO 13
IMPRISONMENT NOT EXCEEDING 18 MONTHS OR A FINE NOT EXCEEDING $500 OR 14
BOTH. 15
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 16
October 1, 2026. 17
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.