Justia Real Estate & Property Law Opinion Summaries

A commercial tenant and landlord entered into a contract for the construction and lease of a warehouse, with the landlord also acting as the general contractor. The contract included a waiver of subrogation, where both parties waived subrogation against each other for certain losses, including those caused by their subcontractors. After the warehouse sustained weather damage, the tenant’s insurer sought to recoup insurance payments by suing the subcontractors.The Circuit Court for Baltimore City granted summary judgment in favor of the subcontractors, concluding that they were intended beneficiaries of the waiver of subrogation in the contract between the tenant and landlord. The court did not consider any extrinsic evidence regarding the parties' intent. The Appellate Court of Maryland reversed this decision, finding that the waiver of subrogation in the contract did not unambiguously benefit the subcontractors and that the subcontractors were not intended third-party beneficiaries.The Supreme Court of Maryland reviewed the case and held that the waiver of subrogation in the contract between the tenant and landlord did not extend to the subcontractors. The court found that the language of the waiver was unambiguous and did not show an intent to benefit the subcontractors. However, the court found that the waiver of subrogation included in the subcontracts was ambiguous regarding whether it applied to the tenant’s insurer’s claims against the subcontractors. Therefore, the court held that extrinsic evidence was needed to determine the parties' intent regarding the scope of the subrogation waiver in the subcontracts.The Supreme Court of Maryland affirmed the Appellate Court's decision, reversing the Circuit Court's summary judgment in favor of the subcontractors, and remanded the case for further proceedings to consider extrinsic evidence. View "Lithko Contracting v. XL Insurance America, Inc." on Justia Law

Citizens of a town submitted a document to the town's Board of Commissioners, seeking a referendum on a zoning ordinance that reclassified certain properties. The document contained 1,051 signatures and requested the reversal of the zoning changes. However, it did not reference the specific ordinance or request a referendum vote. The Commissioners determined that the document did not meet the requirements of the town's charter for a valid petition for referendum.The Circuit Court for Harford County reviewed the case and ruled that the Commissioners' determination was invalid. The court found that the Commissioners should have submitted the document to the Board of Election Judges for verification of signatures before making any determination on its validity. The court also ruled that the Commissioners' action by verbal motion was insufficient and that they should have acted by ordinance or resolution.The Supreme Court of Maryland reviewed the case and held that the Commissioners correctly determined that the document did not meet the charter's requirements for a valid petition for referendum. The court found that the charter did not require the Commissioners to submit the document to the Board of Election Judges for signature verification before making a threshold determination of its validity. The court also held that the Commissioners were authorized to make their determination by verbal motion, as memorialized in the meeting minutes.The Supreme Court of Maryland vacated the Circuit Court's judgment and remanded the case for entry of a declaratory judgment consistent with its opinion. The court concluded that the citizens were not entitled to a writ of mandamus or permanent injunctive relief. View "Town of Bel Air v. Bodt" on Justia Law

The case revolves around a dispute between a homeowner and a citizens association over a parcel of undeveloped land, which was divided into two sections by a stone wall. The homeowner claimed adverse possession over the entire parcel. The homeowner moved for summary judgment on the claim to the smaller section, which the circuit court granted. However, a different judge presided over the bench trial on the homeowner’s claim to the larger section. When the homeowner finished his case-in-chief, the citizens association moved for judgment. The trial court granted the citizens association’s motion and entered judgment for it on the homeowner’s claims, including the claim to the smaller section that had been resolved in the homeowner’s favor on summary judgment.The Appellate Court of Maryland affirmed the trial court’s disposition of the homeowner’s claims to both the smaller and larger sections. The Supreme Court of Maryland granted the homeowner’s petition for certiorari. The Supreme Court held that the circuit court abused its discretion by implicitly vacating the summary judgment entered in the homeowner’s favor on his claim to the smaller section and then entering judgment for the citizens association on that claim. The court reversed in part and remanded for further proceedings consistent with this opinion. View "Riley v. Venice Beach Citizens Ass'n" on Justia Law

This case involves a dispute between a homeowner and a citizens association over a parcel of undeveloped land. The parcel was divided into two sections by a stone wall. The homeowner claimed adverse possession over the entire parcel, but in an amended complaint, treated the two sections as distinct parcels acquired at different times and on different grounds. The homeowner moved for summary judgment on the claim to the smaller section, which the circuit court granted. A different judge presided over the bench trial on the homeowner’s claim to the larger section. When the homeowner finished his case-in-chief, the citizens association moved for judgment. The trial court granted the citizens association’s motion and entered judgment for it on the homeowner’s claims, including the claim to the smaller section that had been resolved in the homeowner’s favor on summary judgment.The trial court's decision was appealed to the Appellate Court of Maryland which affirmed the trial court’s disposition of the homeowner’s claims to both the smaller and larger sections. The homeowner then petitioned for certiorari to the Supreme Court of Maryland.The Supreme Court of Maryland held that the circuit court abused its discretion by implicitly vacating the summary judgment entered in the homeowner’s favor on his claim to the smaller section and then entering judgment for the citizens association on that claim. The court also held that the Appellate Court erred in conditionally reinstating the Association’s counterclaim for a prescriptive easement. The case was remanded for further proceedings consistent with the opinion. View "Riley v. Venice Beach Citizens Ass'n" on Justia Law

The Supreme Court of Maryland has ruled that the term "rent" under Real Property § 8-401, as applied to residential leases, refers to the fixed, periodic payments a tenant is required to make for use or occupancy of a rented premises. This definition excludes additional charges such as late fees, attorney’s fees, and court costs. The court also ruled that any provision in a residential lease that allows a landlord to allocate payments of "rent" to other obligations, thereby subjecting a tenant to eviction proceedings based on failure to pay "rent", violates Real Property § 8-208(d)(2). Further, penalties for late payment of rent, capped at 5% of the monthly amount of rent due, are inclusive of any costs of collection other than court-awarded costs. Finally, the court ruled that the Circuit Court erred in declining to review the merits of the tenants’ second renewed motion for class certification. The case has been remanded for further proceedings in line with these holdings. View "Westminster Management v. Smith" on Justia Law

In this zoning dispute involving the interplay between the public's interest in the future of a private airport in Prince George's County and the financial interests of its owner, the Supreme Court held that the amended zoning ordinance allowing the airport to develop higher-density housing did not violate Maryland's uniformity requirement, Md. Code Ann., Land Use 22-201(b)(2)(i).When the airport's owners began experiencing financial difficulties they sought to redevelop the site, which had been limited by the zoning ordnance to low-density, single-family detached housing, for non-airport use. The County Council amended the zoning ordinance to allow for higher-density housing to incentivize the airport's redevelopment. Plaintiffs brought suit. The circuit court concluded that the ordinance did not violate uniformity, but the appellate court reversed, finding that the ordinance violated uniformity because it was tailored so narrowly as to afford favorable development opportunities to only the airport property. The Supreme Court reversed, holding that the ordinance was adopted to further a valid public purpose and did not discriminate against similarly situated properties, thus surviving the uniformity challenge. View "Prince George's County v. Concerned Citizens" on Justia Law

The Supreme Court reversed the decision of the appellate court reversing the judgment of the circuit court finding that a county ordinance did not violate Maryland's uniformity requirement requiring zoning laws to "be uniform for each class or kind of development throughout a district or zone," Md. Code Ann., Land Use 22-201(b)(2)(i), holding that the ordinance should have survived the uniformity challenge.While Prince George's County's zoning ordinance had historically limited development of housing at a private airport to low-density, single-family detached housing, the County Council amended the ordinance's text to allow the development of higher-density housing at the airport in order to incentivize redevelopment. Certain constituents brought suit, arguing that the ordinance violated uniformity because it was tailored so narrowly as to afford favorable development opportunities. The appellate court reversed. The Supreme Court reversed, holding that the plaintiffs failed to establish that the ordinance discriminated arbitrarily, and therefore, their uniformity challenge failed. View "Prince George's County v. Concerned Citizens" on Justia Law

The Supreme Court reversed the judgment of the appellate court reversing the judgment of the circuit court denying Constituents' challenge to the amendment to a zoning ordinance limiting development of housing at a private airport in Prince George's County, which allowed the airport to develop higher-density housing, holding that the ordinance survived the challenge.While the County's zoning ordinance had historically limited development of housing at the airport to low-density, single-family detached housing, the County Council amended the text of the ordinance to allow the development of higher-density housing in order to incentivize redevelopment of the airport. Constituents brought the underlying challenge, arguing that the ordinance violated Maryland's uniformity requirement, Md. Code Ann., Land Use 22-201(b)(2)(i). The circuit court denied relief, but the appellate court reversed. The Supreme Court reversed, holding (1) the ordinance did not discriminate against similarly situated parties and was adopted to further a valid public purpose; and (2) therefore, the ordinance should have survived the uniformity challenge. View "Prince George's County Council v. Concerned Citizens of Prince George's County" on Justia Law