Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Maryland Court of Appeals
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Petitioners filed a petition for judicial review of the Baltimore City Council's approval of a planned unit development (PUD) with a Wal-Mart supercenter. Both Petitioners' residences were approximately 0.4 miles away from the PUD. The Mayor and City Council of the City, the owners of the property, and the developers of the PUD (Respondents) filed motions to dismiss, alleging that Petitioners lacked standing to challenge the PUD. The circuit court granted Respondents' motions and dismissed Petitioners' petition for review. The court of special appeals affirmed, concluding that Petitioners did not qualify for prima facie aggrieved status and that they had failed to show any special aggrievement different from the general public. The Supreme Court granted certiorari and held that the circuit court did not err in its judgment, as Petitioners failed to allege specific facts that they had been specially aggrieved in a manner different than the public generally. View "Ray v. Baltimore" on Justia Law

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Petitioner, an LLC, sought an exception from the Charles County Zoning Regulation to build an office building, gun range, and driving track on a parcel of land in a rural community in the County. The property was subject to zoning restrictions prohibiting such activity except as authorized through a special exception. In deciding Petitioner's application, the Board conducted one trip to the property in question. The Board allowed representatives from the LLC as well as two citizens to attend but prohibited any other members of the public from attending and kept no transcript or other record of that which transpired. The Board then granted Petitioner's application. Various individuals filed a petition for judicial review. The circuit court affirmed. The court of special appeals reversed, holding that the Board improperly conducted the visit to the property in a manner that was closed to the public. The Supreme Court affirmed, holding (1) the site visit constituted a "meeting", which was required to be open to the public; and (2) because the Board violated the open meeting provisions of the Maryland Code, the Charles County Code, and its own Rules of Procedure, the matter should be remanded for a new hearing. View "WSG Holdings, LLC v. Bowie" on Justia Law

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In this case the Court of Appeals was asked to decide on the existence and possible means of locating a general easement that provided a right-of-way from a major road. The easement in question crossed the property of USA Cartage Leasing, LLC as an access route for neighboring property owned by Todd Baer. Maryland's recording statute for deeds requires that a deed contain a description of the property sufficient to identify it with reasonable certainty. This case presented the novel question of whether this requirement, in the context of a grant of land that includes an easement, applied to the description of the easement itself or merely to that of the servient property. The court of special appeals determined that the correct answer was the latter and instructed the circuit court to locate the easement according to the principles set forth in section 4.8 in the Restatement 3d of Property: Servitudes. The Court of Appeals affirmed and adopted the Restatement's approach for locating a valid general easement that is not precisely defined in the deed or by custom or usage. View "USA Cartage Leasing, LLC v. Baer" on Justia Law

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At issue in this case was whether Respondents, a property management company, law firm, and mortgage servicer, committed an impermissible forcible entry when they enforced, through lock-out, the foreclosure purchaser's lawful possessory interest in a dwelling by the means of the common law remedy of self-help, as opposed to receiving first the issuance of a statutory writ of possession from the circuit court. The circuit court granted Respondents' motions to dismiss, and the intermediate appellate court affirmed. The Court of Appeals affirmed in part and reversed in part, holding (1) the common law right of peaceable self-help permits a foreclosure purchaser to surreptitiously enter a residential property and change the locks while the resident is out; and (2) the court of special appeals erred in dismissing Plaintiff's conversion claim and in holding that Plaintiff had abandoned all personal property in the residence, as there was no adequate basis from which to conclude that Plaintiff abandoned his personalty or that Respondents acted reasonably in disposing of his belongings. View "Nickens v. Mt. Vernon Realty" on Justia Law

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This case related to an arbitration award denying an express easement on Petitioners' property. Petitioners filed a petition in the circuit court to confirm the arbitration award, and Respondent filed a motion to vacate the same. Respondent argued that the award was irrational because, without an easement over Petitioners' land, his land would be landlocked. The circuit court confirmed the arbitration award, relying upon the Uniform Arbitration Act. The court of special appeals (CSA) reversed, overturned the arbitrator's denial of the easement, and directed that an easement by necessity be located over Petitioners' land. While recognizing the Act's limitation on the authority of the courts to overturn arbitration awards, the CSA pointed out that arbitration awards that were completely irrational or which were manifestly in disregard of the law had been overturned in previous opinions. The Court of Appeals vacated the judgment of the CSA and remanded with directions to vacate the circuit court, holding (1) the arbitration award, in part, was contradictory; and (2) Md. Code Ann. Cts. & Jud. Proc. 3-225(a) authorizes a court to vacate an award and order a rehearing before arbitrators when the award is ambiguous or contradictory. Remanded for further proceedings pursuant to section 3-225(a). View "Downey v. Sharp" on Justia Law

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In 2008, the General Assembly enacted a statute to require that a foreclosing lender provide advance written notice to the borrower of its intention to foreclosure. Among the information to be provided in that notice is the identity of the "secured party," although the statute does not specifically define that phrase. In this case, there was more than one entity that qualified as a "secured party" under the commonly understood meaning of the phrase. At issue before the Court of Appeals was whether, in such a situation, a foreclosing party was obligated to identify all secured parties in the advance written notice to the borrower. The Court held (1) a foreclosing party should ordinarily identify, in the notice of intent to foreclose, each entity that is a "secured party" with respect to the deed of trust in question; (2) however, a failure to disclose every secured party is not a basis for dismissing a foreclosure action when certain conditions are met; and (3) under the circumstances of the instant case, because many of the enumerated conditions were met even though the notice failed to disclose every secured party, the dismissal of the foreclosure action was not required. View "Shepherd v. Burson" on Justia Law

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Tenant rented her residence from Landlord, who defaulted on the mortgage on that property. U.S. Bank National Association (USBNA), as trustee for a mortgage-backed security that owned that debt, foreclosed on Landlord's deed of trust and terminated Tenant's lease. In doing so, it sent conflicting notices to Tenant about her right under the Protecting Tenants at Foreclosure Act (PTFA) to remain on the property temporarily and filed a premature motion for immediate possession of the property. The circuit court granted USBNA's motion for possession. The Court of Appeals reversed, holding (1) misleading and contradictory notices concerning a tenant's right to remain in a residence temporarily are ineffective to satisfy the purchaser's obligation under the PTFA; and (2) a motion for possession is premature when it is filed prior to the expiration of the period that the PTFA permits a bona fide tenant to remain in a residential property subject to foreclosure. Remanded. View "Curtis v. US Bank Nat'l Ass'n" on Justia Law

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In the recent decision in Bates v. Cohn, the Court of Appeals reiterated that a borrower challenging a foreclosure action must ordinarily assert known and ripe defenses to the conduct of the foreclosure sale in advance of the sale. After the sale, the borrower is ordinarily limited to raising procedural irregulatories in the conduct of the sale, although the Court left open the possibility that a borrower could assert a post-sale exception that the deed of trust was itself the product of fraud. This case arose out of the foreclosure of a deed of trust for the residence of Darnella and Charles Thomas by Jeffrey Nadel and others. In apparent hope of fitting their post-sale exceptions within the question left open in Bates, the Thomases alleged certain defects in the chain of title of the note evidencing their debt and characterized them as a "fraud on the judicial system." The Court of Appeals affirmed, holding that the alleged defects did not establish that the Thomases' deed of trust was the product of fraud.

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Appellants, a power plant limited partnership and a power plant, leased from the City of Baltimore two adjoining pieces of real estate. After the properties were valued by the City's supervisor of assessments, Appellants challenged the valuations. The property tax assessment appeals board and tax court affirmed. In both cases, Appellant introduced appraisals and testimony that valued the properties at a lower figure based in part on the existence of ground leases owned by the City. The leases, however, were not introduced into evidence during the proceedings. The circuit court affirmed the valuation. The Court of Appeals affirmed, holding that the tax court did not err in its decision to disregard the effect of the ground leases because Appellants did not establish that the leases in issue restricted its use of the properties.

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This case involved a long-standing dispute between Appellants, the Tomes Landing Condominium Association and MRA Property Management, and Appellees, twenty-five condominium unit purchasers. The unit purchasers were granted partial summary judgment in the amount of one million dollars against MRA and the Association on the ground that the operating budget that MRA and the Association supplied as part of a "resale package" provided to the unit purchasers violated the Maryland Consumer Protection Act (Act) because the budgets had the effect of misleading the unit purchasers in connection with their purchases of the condominiums. The Court of Appeals reversed, holding that the etnry of summary judgment was inappropriate, as (1) the Act could apply to disclosures made in a resale certificate by a condominium association and its management company during the sale of a condominium; and (2) there existed a dispute of material facts as to whether the operating budgets provided by MRA and the Association to the unit purchasers constituted unfair or deceptive trade practices under the Act.