Duplex communication methods and systems with maximum gain limiting such as in telephone handsets and speaker phones are disclosed. The communications system such as a telephone set may generally include a digital signal processor (DSP) having a receive and transmit path in communication with a receiver and a transmitter, respectively, a volume amplifier for amplifying signals on the receive path, and a maximum gain limiter for determining a total return loss between the receive and transmit paths and for limiting a volume amplification level of the volume amplifier to a maximum depending on the total return loss. The maximum gain limiter determines the total return loss by maintaining a total loop gain for the telephone set at less than 0 dB to prevent unstable operation and howling.

 
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