# Real Property (GRP)

## Title 8. Landlord and Tenant

### Subtitle 1. General Rules

#### Section 8-101

A transferee of the reversion in leased property or of the rent has the same remedies by entry, action, or otherwise for nonperformance of any condition or agreement contained in the lease, as the original landlord would have had if the reversion or rent had remained in the original landlord. A transferee of the reversion in leased property is subject to the same remedies, by action or otherwise, for nonperformance of any agreement contained in the lease, as the original landlord. This section applies to any transferee of a reversion in leased property, by voluntary grant or operation of law.

#### Section 8-102

If the reversion of any leased premises merges in any other estate, the person entitled to the estate into which the reversion merges has the same remedy against the tenant for nonpayment of rent or other forfeiture, or for not performing conditions, covenants, or agreements, as the person entitled to the reversion would have had if the reversion had not merged.

#### Section 8-103

There is no merger by reason of any grant by way of mortgage or assignment of mortgage from the tenant of any property leased for a term of years, to the landlord of the property, whether by original or sublease, and the same rights and remedies exist as if the grantee in the grant had no other interest or estate in the property than the one granted.

#### Section 8-104

Any grant of a nonpossessory corporeal estate is valid and effective without the attornment of the tenant in possession. However, any payment of rent by the tenant to the grantor of the grant prior to actual notice of the grant is an effective discharge of liability for the rent.

#### Section 8-105

If the effect of any provision of a lease is to indemnify the landlord, hold the landlord harmless, or preclude or exonerate the landlord from any liability to the tenant, or to any other person, for any injury, loss, damage, or liability arising from any omission, fault, negligence, or other misconduct of the landlord on or about the leased premises or any elevators, stairways, hallways, or other appurtenances used in connection with them, and not within the exclusive control of the tenant, the provision is considered to be against public policy and void. An insurer may not claim a right of subrogation by reason of the invalidity of the provision.

#### Section 8-106

If a landlord, having only an estate for life, dies on or before the day on which the rent that has been earned is payable and the landlord's death terminates the leasehold estate, the landlord's personal representative may recover from the tenant the full amount of the rent if death occurs on the day the rent is payable or a proportionate share of the rent if death occurs before this day.

#### Section 8-107

If there is no demand or payment for more than 20 consecutive years of any specific rent reserved out of a particular property or any part of a particular property under any form of lease, the rent conclusively is presumed to be extinguished and the landlord may not set up any claim for the rent or to the reversion in the property out of which it issued. The landlord also may not institute any suit, action, or proceeding to recover the rent or the property. However, if the landlord is under any legal disability when the period of 20 years of nondemand or nonpayment expires, the landlord has two years after the removal of the disability within which to assert the landlord's rights.

#### Section 8-108

(a) A court may enter judgment for the renewal of a lease that contains a covenant for renewal, including a lease for 99 years, renewable forever.

(b) A judgment for renewal of a lease is binding on each person who becomes a party to the action or has been served with process in accordance with Maryland Rule 2-122 and renews the title of all persons interested under the lease for the additional term, under the rent, and upon the covenants, conditions, and stipulations provided in the lease.

(c) A judgment for the renewal of a lease shall be recorded among the land records of each county in which land that is subject to the lease is located.

#### Section 8-109

Uninterrupted possession for 12 months after the expiration of the lease containing a covenant for perpetual renewal of all or part of the leased premises by the tenant or any person claiming under the tenant operates as a renewal with respect to the entire premises. It conclusively is presumed in reference to the whole or any part of the leased premises, of which possession is retained, and in favor of the tenant or of the person claiming under the tenant, that a new lease of the whole of the leased premises was executed prior to the expiration of the lease by the landlord named in it, or by the person rightfully claiming under the landlord, to the tenant, or the person rightfully claiming under the tenant for the additional term under the rent and on the covenants, conditions, and stipulations as were provided in the lease.

#### Section 8-111

If a tenant named in a lease or an assignee of a lease applies to the tenant's landlord for a renewal under a covenant in the lease giving the tenant the right to renewal, and if the tenant cannot produce vouchers or satisfactory evidence showing payment of rent accrued for three years next preceding the tenant's demand and application, the landlord, before executing the renewal of the lease or causing it to be executed, is entitled to demand and recover not more than three years' back rent, in addition to any renewal fine that may be provided for in the lease. The tenant may plead this section in bar of the recovery of any larger amount of rent.

#### Section 8-112

If the improvements on property rented for a term of not more than seven years become untenantable by reason of fire or unavoidable accident, the tenancy terminates, and all liability for rent ceases on payment proportionately to the day of fire or unavoidable accident.

#### Section 8-113

A covenant or promise by the tenant to leave, restore, surrender, or yield the leased premises in good repair does not bind the tenant to erect any similar building or pay for any building destroyed by fire or otherwise without negligence or fault on the tenant's part.

#### Section 8-114

The right of a tenant to remove fixtures erected by the tenant is not lost or impaired by the tenant's acceptance of a subsequent lease of the same premises without any intermediate surrender of possession.

#### Section 8-115

(a) If a share of growing crops is reserved as rent, the rent reserved is a lien on the crops.

(b) In Calvert, Charles, Prince George's, St. Mary's, and Worcester counties, if a share of growing crops is reserved as rent, or advances by the landlord are made on the faith of the crops to be grown, the reserved rent and advances made are a lien on the crops. However, the contract making the advances shall be written and executed by the landlord and tenant.

(c) Any lien provided for by this section is not divested by sale by the tenant, the personal representative of a deceased tenant, by the assignment of the tenant in bankruptcy or insolvency, or by process of law.

#### Section 8-116

(a) If tobacco is grown on leased property and the tenant fails to make reasonable progress within six months from September 1 to strip and place the tobacco on the market, the landlord may strip, pack, ship, and sell at the tenant's expense any time after March 1, tobacco grown on the leased premises by the tenant in any previous year. All expenses paid by the landlord in the stripping, packing, shipment, or sale shall be a first and prior lien on the tobacco and the proceeds of the sale, notwithstanding any other agreement or obligation of the tenant or provision of law.

(b) A tenant or the tenant's agent, who interferes, directly or indirectly with the stripping, packing, shipment, or sale of tobacco by the landlord, is guilty of a misdemeanor and, on conviction, is subject to a fine of not less than $100 or by imprisonment for not less than 90 days nor more than six months, or both.

#### Section 8-117

(a) If a propane gas container with a total capacity of 25 gallons or more is placed on land, whether aboveground or underground, by a person other than the owner of the land under a lease or bailment between the landowner and the person placing the container on the land, the container is movable property during the term of the lease or bailment.

(b) During the term of the lease or bailment, the ownership of the container:

  (1) Is not affected by the public or private sale of the land on which it is placed; and

  (2) Is not subordinate to the rights of any purchaser of the land at the sale.

#### Section 8-118

(a) In an action under Sec. 8-401, Sec. 8-402, or Sec. 8-402.1 of this title in which a party demands a jury trial, the District Court immediately shall enter an order directing the tenant or anyone holding under the tenant to pay all rents as they come due during the pendency of the action, as prescribed in subsection (b) of this section. The order shall require the rent to be paid as and when due under the lease starting with the next rent due date after the action was filed.

(b) The District Court shall order that the rents be paid:

  (1) Into the registry of an escrow account of:

    (i) The clerk of the circuit court; or

    (ii) If directed by the District Court, an administrative agency of the county which is empowered by local law to hold rents in escrow pending investigation and disposition of complaints by tenants; or

  (2) To the landlord if both the tenant and landlord agree or at the discretion of the District Court.

(c)

  (1) In an action under Sec. 8-401, Sec. 8-402, or Sec. 8-402.1 of this title, if the tenant or anyone holding under the tenant fails to pay rent as it comes due pursuant to the terms of the order, the circuit court, on motion of the landlord and certification of the clerk, the landlord, or agency of the status of the delinquent account, shall conduct a hearing within 30 days.

  (2) The District Court's escrow order and the clerk's certification are presumed to be valid.

  (3) The tenant may dispute the validity or terms of the District Court's escrow order or raise any other defense to the tenant's alleged noncompliance with the order.

  (4) If the circuit court determines that the failure to pay is without legal justification, the court may treat the tenant's demand for jury trial as waived, and can either immediately conduct a nonjury trial or set the matter for a future nonjury trial on the merits of the landlord's claim.

(d) Upon final disposition of the action, the circuit court shall order distribution of the rent escrow account in accordance with the judgment. If no judgment is entered, the circuit court shall order distribution to the party entitled to the rent escrow account after hearing.

#### Section 8-118.1

(a)

  (1) In an action under Sec. 14-132 of this article in which a party demands a jury trial, the District Court immediately shall enter an order directing the person or entity in possession to pay the monthly fair rental value of the premises that is subject to the action, or such other amount as the court may determine is proper, starting as of the date the action was filed, as required in subsection (b) of this section.

  (2) The order shall require the amount determined by the court to be paid within 5 days of the date of the order.

(b) The District Court shall order that the amount determined by the court be paid:

  (1) Into the registry of an escrow account of the clerk of the circuit court; or

  (2) To the plaintiff if both the defendant and the plaintiff agree or at the discretion of the District Court.

(c)

  (1) If the person or entity fails to pay under the terms of the order, the circuit court, on motion of the person or entity claiming possession and certification of the clerk or the plaintiff, if the payment is made to the plaintiff, of the status of the account, shall conduct a hearing within 30 days.

  (2) The District Court's escrow order and the clerk's certification are presumed to be valid.

  (3) The person or entity in possession may dispute the validity or terms of the District Court's escrow order or raise any other defense to the person's alleged noncompliance with the order.

(d)

  (1) If the circuit court determines that the failure to pay is without legal justification, the court may treat the person or entity in possession's demand for jury trial as waived, and can immediately conduct a nonjury trial or set the matter for a future nonjury trial on the merits of the claim of the person or entity claiming possession.

  (2) If the circuit court, on motion, determines that either party is entitled to possession as a matter of law, the court shall enter a judgment in favor of that party for possession of the property and for any other appropriate relief.

(e)

  (1) Upon final disposition of the action, the circuit court shall order distribution of the escrow account in accordance with the judgment.

  (2) If no judgment is entered, the circuit court shall order distribution to the party entitled to the escrow account after hearing.

#### Section 8-119

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Family member" means a spouse, former spouse, domestic partner, former domestic partner, child, stepchild, parent, stepparent, sibling, stepsibling, son-in-law, daughter-in-law, stepson-in-law, stepdaughter-in-law, parent-in-law, stepparent-in-law, grandparent, stepgrandparent, grandchild, or stepgrandchild.

  (3)

    (i) "Material terms" means essential terms for the sale of a residential rental property that meet the requirements in subsection (d) of this section.

    (ii) "Material terms" includes the sales price, settlement date, and other contingencies.

  (4) "Offer to purchase" means a good faith offer for the purchase of a residential rental property for a price that a willing buyer would pay to a willing seller in an arm's length transaction, with neither party under any compulsion to buy or sell.

  (5) "Residential rental property" means a tenant-occupied rental property for residential use with three or fewer individual dwelling units.

  (6) "Secretary" means the Secretary of Housing and Community Development.

  (7) "Tenant" means an individual who has occupied a residential rental property for at least 6 months and who is a named lessee in the written lease.

  (8) "Tenant's exclusive negotiation period" means the period of time after a tenant is notified about the tenant's right to purchase the residential rental property during which the tenant may negotiate exclusively with the owner to enter into a contract of sale.

(b) This section does not apply to:

  (1) A transfer of title to a family member of the owner;

  (2) A transfer of title to a business entity wholly owned by the owner;

  (3) A transfer of title through a court order, including a court order foreclosing the right of redemption, a tax sale, or a sale by foreclosure, partition, or by a court-appointed trustee;

  (4) A transfer by a fiduciary in the course of the administration of a decedent's estate, guardianship, conservatorship, or trust;

  (5) A transfer of title through a testamentary document, a trust instrument, or inheritance;

  (6) A transfer of bare legal title into a revocable trust, without actual consideration for the transfer, if the transferor is the current beneficiary of the trust;

  (7) A transfer of title to the State or a local government;

  (8) A transfer of title in lieu of foreclosure of a mortgage or deed of trust;

  (9) A transfer of title through a court order, receivership, or court-approved settlement;

  (10) A transfer of title through the order of a bankruptcy court or sale by a bankruptcy trustee or debtor in possession;

  (11) A gift transfer of title to any nonprofit organization exempt from taxation under Sec. 501(c)(3) of the Internal Revenue Code;

  (12) A transfer of title by a public housing authority; or

  (13) A residential rental property with four or more individual dwelling units.

(c)

  (1) Before a residential rental property may be offered for sale to the public or a third party, including through a listing for sale, the owner of the property shall send each tenant a written notice of the tenant's right to deliver an offer to purchase the property.

  (2) The written notice required under paragraph (1) of this subsection shall:

    (i) Be in the form specified in regulations adopted by the Secretary;

    (ii) Be delivered by:

      (1) First class mail with a certificate of mailing; or

      (2) A delivery service providing delivery tracking and confirmation;

    (iii) Contain material terms that the owner would agree to incorporate in a resulting contract of sale with the tenant;

    (iv) State, in a conspicuous manner, that the notice is a solicitation of an offer to purchase and is not intended as and may not be construed as a binding contract of sale; and

    (v) State any information regarding deadlines for the tenant to submit an offer to purchase, including the duration of the tenant's exclusive negotiation period.

  (3) The owner shall send a copy of the notice required under paragraph (1) of this subsection to the Office of Tenant and Landlord Affairs in accordance with regulations established by the Secretary.

  (4)

    (i) Within 30 days after the landlord delivers the notice under paragraph (1) of this subsection, the tenant may deliver to the owner a written offer to purchase the property.

    (ii) Within 5 days after the owner receives the offer to purchase the property from the tenant, the owner shall:

      (1) If the offer contains the same or more favorable material terms as those contained in the notice, accept the offer and notify the Office of Tenant and Landlord Affairs; or

      (2) If the offer contains material terms that deviate from the terms of the notice, deliver a counteroffer to the tenant with an explanation of how the offer deviates from the notice.

    (iii) If more than one tenant or group of tenants delivers a timely offer to purchase the property, the owner may select the more favorable offer without liability to any other tenant.

    (iv)

      (1) A tenant or group of tenants may affirmatively decline an offer of sale by an owner at any time before an offer of purchase is required to be delivered to the owner under subparagraph (i) of this paragraph.

      (2) A landlord that receives notice from a tenant or group of tenants under subsubparagraph 1 of this subparagraph may offer the property for sale.

  (5)

    (i) Within 5 days after the tenant receives a counteroffer from the owner under paragraph (4)(ii)2 of this subsection, the tenant may:

      (1) Accept the counteroffer; or

      (2) Reject the counteroffer.

    (ii) If the tenant fails to respond to the counteroffer within 5 days after receipt of the counteroffer, the counteroffer is deemed to be rejected and the owner shall notify the Office of Tenant and Landlord Affairs.

  (6) A tenant's right of first refusal under subsection (d) of this section is terminated and the owner shall notify the Office of Tenant and Landlord Affairs if the tenant does not:

    (i) Deliver an offer to purchase in accordance with paragraph (3) of this subsection; or

    (ii) Accept a counteroffer in accordance with paragraph (4) of this subsection.

  (7) Material terms for the purchase of a residential rental property under this subsection:

    (i) Shall be commercially reasonable and made in good faith, and shall adhere to generally accepted residential real estate practices; and

    (ii) May not include restrictions on financing methods or the right of inspection.

(d)

  (1)

    (i) Before a voluntary transfer of title to a residential rental property may occur, any tenant or group of tenants of the property, as applicable, shall have the right of first refusal to purchase the property in accordance with the requirements of this subsection.

    (ii) The right of a third party to purchase any residential rental property to which the requirements of this section apply is subject to the exercise of the right of first refusal by a tenant or group of tenants.

  (2) A tenant has a right of first refusal to purchase residential rental property if:

    (i) The owner intends to accept an offer from a third party to purchase the property for an amount that is at least 10% lower than the lowest price offered to the tenant in any previous notice, offer, or counteroffer under subsection (c) of this section; or

    (ii) The owner, without having offered the property for sale to the public or any third party, receives an offer to purchase the property from a third party.

  (3)

    (i) If the owner receives an offer to purchase the property from a third party as described in paragraph (2) of this subsection, the owner may not accept the offer until:

      (1) The owner provides written notice to the tenant of the tenant's right of first refusal; and

      (2) The tenant has an opportunity to exercise the right of first refusal within 30 days after receipt of the notice specified in paragraph (4)(i) of this subsection.

    (ii) The written notice of the right of first refusal to the tenant shall:

      (1) Be in the form specified in regulations by the Secretary;

      (2) Be delivered by:

      (A) First class mail with a certificate of mailing; or

      (B) A delivery service providing delivery tracking and confirmation;

      (3) Contain the same sales price as the third-party offer to purchase;

      (4) State, in a conspicuous manner, that the notice is a solicitation of an offer to purchase and is not intended as and may not be construed as a binding contract of sale; and

      (5) State any information regarding deadlines for the tenant to submit an offer to purchase.

    (iii) The owner shall send a copy of the notice to the Office of Tenant and Landlord Affairs in accordance with regulations established by the Secretary.

  (4)

    (i) Within 30 days after receipt of the notice under paragraph (3) of this subsection, the tenant may deliver to the owner a written offer to purchase the property.

    (ii) If a tenant delivers an offer to purchase at the same sales price as the offer from the third party, the owner shall accept the offer from the tenant and notify the Office of Tenant and Landlord Affairs.

    (iii) If more than one tenant or group of tenants delivers a timely offer to purchase the property, the owner may select the more favorable offer without liability to any other tenant.

  (5) If a tenant does not deliver an offer to purchase the property in accordance with paragraph (4) of this subsection:

    (i) The owner may accept the third-party offer;

    (ii) The tenant's right of first refusal shall be considered waived; and

    (iii) The owner shall notify the Office of Tenant and Landlord Affairs.

  (6) If the owner accepts the offer to purchase from the tenant under paragraph (4) of this subsection and enters into a contract of sale, but the contract is terminated before settlement, the tenant's right of first refusal is waived and the owner shall notify the Office of Tenant and Landlord Affairs.

  (7) If a third party delivers an offer to purchase to the owner, the owner shall notify the third party of a tenant's right of first refusal under this subsection.

(e) This section may not be construed to prohibit:

  (1) An individual from submitting an offer to purchase a property leased by the individual that is offered for sale to the public; or

  (2) Multiple tenants of a residential property from jointly delivering an offer to purchase or from jointly contracting to purchase the property.

(f) The rights of a tenant under this section may not be waived or assigned and any attempted waiver or assignment is void.

(g) This section preempts any local law or ordinance governing the right of first refusal or opportunity to purchase of a jurisdiction or tenant for the purchase of a residential rental property.

(h)

  (1) Following closing on a contract of sale between an owner and a third party, liability for failure to comply with this section is restricted to the owner and may not attach to the residential rental property that is the subject of the contract.

  (2)

    (i) A tenant who brings an action against the owner after closing on a contract of sale for failing to provide the notice required by this section may not file a notice of lis pendens under Maryland Rule 12-102.

    (ii) A court may dismiss a wrongfully filed action of lis pendens under this paragraph.

(i) An owner of a residential rental property who violates this section is subject to a fine of not more than $1,000 per violation.

(j) The Secretary shall adopt regulations to carry out this section.

#### Section 8-120

(a) The Department shall regularly gather and monitor data related to the purchase of residential rental properties by tenants under Sec. 8-119 of this subtitle.

(b) The Department shall publish the data gathered under subsection (a) of this section in a data dashboard on the Department's website.

(c)

  (1) The Department shall organize the data gathered under subsection (a) of this section into open data sets on a rolling basis that allow automated searching, spatial analysis, visualization, and processing.

  (2) On request, the Department shall provide the organized data to State or local governmental entities and institutions of higher education that are located in the State.

(d) The Department may not publish data under this section that is privileged or otherwise protected by law from disclosure.

#### Section 8-121

(a) In this section, "annual charge" means the charge assessed by the Columbia Association on residential or commercial real property in Howard County that is subject to Columbia Association covenants.

(b) This section applies only to leases for residential and commercial real property in Howard County that are subject to Columbia Association covenants.

(c) If a landlord requires a tenant to pay all or part of an annual charge as a part of the rent, the landlord shall use a written lease that includes:

  (1) Notice of the amount of the annual charge that is included in the rent; and

  (2) A description of how the annual charge is calculated.

(d) A landlord shall use a written lease that includes a description of, or instructions on where to find a description of, the rights and privileges afforded to:

  (1) For a residential lease, the tenant as a resident of real property that is subject to Columbia Association covenants and governing documents; or

  (2) For a commercial lease, the tenant's employees assigned to the site that is subject to Columbia Association covenants and governing documents.

(e)

  (1) When a tenant signs a lease, the landlord shall provide the tenant with a copy of:

    (i) The Columbia Association covenants and governing documents; and

    (ii) If the lease is for residential property, the governing documents of the village association or Town Center, as appropriate.

  (2) A landlord may satisfy the requirement under paragraph (1) of this subsection by providing a physical copy, digital copy, or permanent link to a digital copy of the covenants and governing documents.

#### Section 8-122

(a)

  (1) This section applies only to residential rental units in apartment buildings with 10 or more individual dwelling units.

  (2) This section does not apply to a residential rental unit that is located on property listed on the National Register of Historic Places.

(b) A landlord shall provide air-conditioning in each residential unit in accordance with subsection (c) of this section as follows:

  (1) Beginning June 1, 2026, for newly constructed residential rental units;

  (2) Beginning June 1, 2026, for residential rental units where, at any time on or after January 1, 2025:

    (i) The landlord equipped the unit with air-conditioning or provided air-conditioning; or

    (ii) A lease required the landlord to provide air-conditioning for the unit; and

  (3) Beginning October 1, 2026, for residential rental units that undergo renovation that includes the replacement or substantial upgrade of electrical systems or heating systems.

(c) Except as otherwise necessary for purposes of reasonable maintenance and repair, each year from June 1 to September 30, both inclusive, a landlord shall provide air-conditioning in each residential unit as follows:

  (1) For an air-conditioning system that is not under the control of the tenant, the landlord shall maintain the temperature in the unit at not greater than 80 degrees Fahrenheit at 3 feet above the floor level in each habitable space in the unit; and

  (2) For an air-conditioning system that is under the control of the tenant, the landlord shall ensure that the air-conditioning system is in good working order and is capable of maintaining the temperature in the unit at not greater than 80 degrees Fahrenheit at 3 feet above the floor level in each habitable space in the unit.

### Subtitle 2. Residential Leases

#### Section 8-201

(a) This subtitle is applicable only to residential leases unless otherwise provided.

(b) This subtitle does not apply to a tenancy arising after the sale of owner-occupied residential property where the seller and purchaser agree that the seller may remain in possession of the property for a period of not more than 60 days after the settlement.

#### Section 8-202

(a) For the purposes of this section, a "lease option agreement" means any clause in a lease agreement or separate document that confers on the tenant some power, either qualified or unqualified, to purchase the landlord's interest in the property.

(b)

  (1) A lease option agreement to purchase improved residential property, with or without a ground rent:

    (i) If executed after July 1, 1971, shall contain the following statement in capital letters: "THIS IS NOT A CONTRACT TO BUY."; and

    (ii) If executed on or after July 1, 2018, shall also contain the following statement in capital letters and in close proximity to the tenant's signature line:

    "THIS AGREEMENT IS AN INTEGRAL PART OF YOUR LEASE AND IS GOVERNED BY TITLE 8 OF THE REAL PROPERTY ARTICLE OF THE ANNOTATED CODE OF MARYLAND AND A TENANT OR PROSPECTIVE TENANT SHALL HAVE ALL APPLICABLE RIGHTS AND REMEDIES PROVIDED UNDER THAT TITLE.".

  (2) In addition, the agreement shall contain a clear statement of its purpose and effect with respect to the ultimate purchase of the property which is the subject of the lease option.

(c) If a lease option agreement fails to comply with subsection (b) of this section and is otherwise enforceable, the lease, the lease option agreement, or both may be voided at the option of the party that did not draft the lease option agreement.

#### Section 8-203

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Landlord" means a landlord or a prospective landlord.

  (3) "Security deposit" means any payment of money, including payment of the last month's rent in advance of the time it is due, given to a landlord by a tenant in order to protect the landlord against nonpayment of rent, damage due to breach of lease, or damage to the leased premises, common areas, major appliances, and furnishings.

  (4) "Tenant" means a tenant or a prospective tenant.

(b)

  (1) Except as provided in paragraph (2) of this subsection, a landlord may not impose a security deposit in excess of the equivalent of 1 month's rent per dwelling unit, regardless of the number of tenants.

  (2) A landlord may impose a security deposit in an amount equivalent to up to 2 months' rent if:

    (i) The tenant is eligible and has qualified for utility assistance through the Department of Human Services;

    (ii) The lease agreement requires that the tenant make payments for utility services directly to the landlord; and

    (iii) The tenant and landlord agree in writing to the amount of the security deposit.

  (3) If a landlord violates paragraph (1) of this subsection, the tenant may recover up to three times the extra amount charged, plus reasonable attorney's fees.

  (4) An action under this section may be brought at any time during the tenancy or within 2 years after its termination.

(c)

  (1) The landlord shall give the tenant a receipt for the security deposit as specified in Sec. 8-203.1 of this subtitle.

  (2) The receipt shall be included in a written lease.

(d)

  (1)

    (i) The landlord shall maintain all security deposits in federally insured financial institutions, as defined in Sec. 1-101 of the Financial Institutions Article, which do business in the State.

    (ii) Security deposit accounts shall be maintained in branches of the financial institutions which are located within the State and the accounts shall be devoted exclusively to security deposits and bear interest.

    (iii) A security deposit shall be deposited in an account within 30 days after the landlord receives it.

    (iv) The aggregate amount of the accounts shall be sufficient in amount to equal all security deposits for which the landlord is liable.

  (2)

    (i) In lieu of the accounts described in paragraph (1) of this subsection, the landlord may hold the security deposits in insured certificates of deposit at branches of federally insured financial institutions, as defined in Sec. 1-101 of the Financial Institutions Article, located in the State or in securities issued by the federal government or the State of Maryland.

    (ii) In the aggregate certificates of deposit or securities shall be sufficient in amount to equal all security deposits for which the landlord is liable.

  (3)

    (i) In the event of sale or transfer of the landlord's interest in the leased premises, including receivership or bankruptcy, the landlord or the landlord's estate, but not the managing agent or court appointed receiver, shall remain liable to the tenant and the transferee for maintenance of the security deposit as required by law, and the withholding and return of the security deposit plus interest as required by law, as to all or any portion of the security deposit that the landlord fails to deliver to the transferee together with an accounting showing the amount and date of the original deposit, the records of the interest rates applicable to the security deposit, if any, and the name and last known address of the tenant from whom, or on whose behalf, the deposit was received.

    (ii) A security deposit under this section may not be attached by creditors of the landlord or of the tenant.

  (4) Any successor in interest is liable to the tenant for failure to return the security deposit, together with interest, as provided in this section.

(e)

  (1) Within 45 days after the end of the tenancy, the landlord shall return the security deposit to the tenant together with simple interest which has accrued at the daily U.S. Treasury yield curve rate for 1 year, as of the first business day of each year, or 1.5% a year, whichever is greater, less any damages rightfully withheld.

  (2)

    (i) Except as provided in subparagraph (ii) of this paragraph, interest shall accrue at monthly intervals from the day the tenant gives the landlord the security deposit. Interest is not compounded.

    (ii) No interest is due or payable:

      (1) Unless the landlord has held the security deposit for at least 6 months; or

      (2) For any period less than a full month.

  (3) Interest shall be payable only on security deposits of $50 or more.

  (4) If the landlord, without a reasonable basis, fails to return any part of the security deposit, plus accrued interest, within 45 days after the termination of the tenancy, the tenant has an action of up to threefold of the withheld amount, plus reasonable attorney's fees.

(f)

  (1)

    (i) The security deposit, or any portion thereof, may be withheld for unpaid rent, damage due to breach of lease or for damage by the tenant or the tenant's family, agents, employees, guests or invitees in excess of ordinary wear and tear to the leased premises, common areas, major appliances, and furnishings owned by the landlord.

    (ii) The tenant has the right to be present when the landlord or the landlord's agent inspects the premises in order to determine if any damage was done to the premises, if the tenant notifies the landlord by certified mail of the tenant's intention to move, the date of moving, and the tenant's new address.

    (iii) The notice to be furnished by the tenant to the landlord shall be mailed at least 15 days prior to the date of moving.

    (iv) Upon receipt of the notice, the landlord shall notify the tenant by certified mail of the time and date when the premises are to be inspected.

    (v) The date of inspection shall occur within five days before or five days after the date of moving as designated in the tenant's notice.

    (vi) The tenant shall be advised of the tenant's rights under this subsection in writing at the time of the tenant's payment of the security deposit.

    (vii) Failure by the landlord to comply with this requirement forfeits the right of the landlord to withhold any part of the security deposit for damages.

  (2) The security deposit is not liquidated damages and may not be forfeited to the landlord for breach of the rental agreement, except in the amount that the landlord is actually damaged by the breach or the amount of a surcharge authorized under Sec. 7-301(c)(5)(ii) of the Courts Article.

  (3) In calculating damages for lost future rents any amount of rents received by the landlord for the premises during the remainder if any, of the tenant's term, shall reduce the damages by a like amount.

(g)

  (1) Subject to subsection (j) of this section, if any portion of the security deposit is withheld, the landlord shall present by first-class mail directed to the last known address of the tenant, within 45 days after the termination of the tenancy, a written list of the damages claimed under subsection (f)(1) of this section together with an itemized statement of the cost incurred.

  (2) If the landlord fails to comply with this requirement, the landlord forfeits the right to withhold any part of the security deposit for damages.

(h)

  (1) The provisions of subsections (e)(1) and (4) and (g)(1) and (2) of this section are inapplicable to a tenant who has been evicted or ejected for breach of a condition or covenant of a lease prior to the termination of the tenancy or who has abandoned the premises prior to the termination of the tenancy.

  (2)

    (i) A tenant specified in paragraph (1) of this subsection may demand return of the security deposit by giving written notice by first-class mail to the landlord within 45 days of being evicted or ejected or of abandoning the premises.

    (ii) The notice shall specify the tenant's new address.

    (iii) Subject to subsection (j) of this section, the landlord, within 45 days of receipt of such notice, shall present, by first-class mail to the tenant, a written list of the damages claimed under subsection (f)(1) of this section together with an itemized statement of the costs incurred and shall return to the tenant the security deposit together with simple interest which has accrued at the daily U.S. Treasury yield curve rate for 1 year, as of the first business day of each year, or 1.5% a year, whichever is greater, less any damages rightfully withheld.

  (3)

    (i) If a landlord fails to send the list of damages required by paragraph (2) of this subsection, the right to withhold any part of the security deposit for damages is forfeited.

    (ii) If a landlord fails to return the security deposit as required by paragraph (2) of this subsection, the tenant has an action of up to threefold of the withheld amount, plus reasonable attorney's fees.

  (4) Except to the extent specified, this subsection may not be interpreted to alter the landlord's duties under subsections (e) and (g) of this section.

(i)

  (1) Under this subsection, a landlord:

    (i) May not require the tenant to purchase a surety bond; and

    (ii) Is not required to consent to the tenant's purchase of a surety bond.

  (2)

    (i) Instead of paying all or part of a security deposit to a landlord under this section, a tenant may purchase a surety bond to protect the landlord against:

      (1) Nonpayment of rent;

      (2) Damage due to breach of lease; or

      (3) Damage caused by the tenant or the tenant's family, agents, employees, guests or invitees in excess of ordinary wear and tear to the leased premises, common areas, major appliances, or furnishings owned by the landlord.

    (ii) A surety shall refund to a tenant any premium or other charge paid by the tenant in connection with a surety bond if, after the tenant purchases a surety bond, the landlord refuses to accept the surety bond or the tenant does not enter into a lease with the landlord.

  (3)

    (i) The amount of a surety bond purchased instead of a security deposit may not exceed two months' rent per dwelling unit.

    (ii) If a tenant purchases a surety bond and provides a security deposit in accordance with this section, the aggregate amount of both the surety bond and security deposit may not exceed two months' rent per dwelling unit.

    (iii)

      (1) If a landlord consents to a surety bond but requires the surety bond to be in an amount in excess of two months' rent, the tenant may recover up to three times the extra amount charged for the surety bond, plus reasonable attorney's fees.

      (2) If a landlord consents to both a surety bond and a security deposit but requires the surety bond and the security deposit to be in an aggregate amount in excess of two months' rent, the tenant may recover up to three times the extra amount charged for the surety bond, plus reasonable attorney's fees.

  (4) Before a tenant purchases a surety bond instead of paying all or part of a security deposit, a surety shall disclose in writing to the tenant that:

    (i) Payment for a surety bond is nonrefundable;

    (ii) The surety bond is not insurance for the tenant;

    (iii) The surety bond is being purchased to protect the landlord against loss due to nonpayment of rent, breach of lease, or damages caused by the tenant;

    (iv) The tenant may be required to reimburse the surety for amounts the surety paid to the landlord;

    (v) Even after a tenant purchases a surety bond, the tenant is responsible for payment of:

      (1) All unpaid rent;

      (2) Damage due to breach of lease; and

      (3) Damage by the tenant or the tenant's family, agents, employees, guests, or invitees in excess of ordinary wear and tear to the leased premises, common areas, major appliances, or furnishings owned by the landlord;

    (vi) The tenant has the right to pay the damages directly to the landlord or require the landlord to use the tenant's security deposit, if any, before the landlord makes a claim against the surety bond; and

    (vii) If the surety fails to comply with the requirements of this paragraph, the surety forfeits the right to make any claim against the tenant under the surety bond.

  (5)

    (i) A tenant who purchases a surety bond in accordance with this subsection has the right to have the dwelling unit inspected by the landlord in the tenant's presence for the purpose of making a written list of the damages that exist at the commencement of the tenancy, if the tenant requests an inspection by certified mail within 15 days of the tenant's occupancy.

    (ii) A tenant who provides a surety bond under this subsection shall have all the rights provided under subsection (f)(1)(ii) through (v) of this section.

    (iii) The surety or landlord shall deliver to a tenant a copy of any agreements or documents signed by the tenant at the time of the tenant's purchase of the surety bond.

    (iv) A tenant shall be advised in writing of all of the tenant's rights under this subsection prior to the purchase of a surety bond.

  (6)

    (i) A surety bond may be used to pay claims by a landlord for:

      (1) Unpaid rent;

      (2) Damage due to breach of lease;

      (3) Damage by the tenant or the tenant's family, agents, employees, guests, or invitees in excess of ordinary wear and tear to the leased premises, common areas, major appliances, or furnishings owned by the landlord; or

      (4) The amount of a surcharge authorized under Sec. 7-301(c)(5)(ii) of the Courts Article.

    (ii) A surety bond does not represent liquidated damages and may not be used as payment to a landlord for breach of the rental agreement, except in the amount that the landlord is actually damaged by the breach.

    (iii) Except as provided in subparagraphs (i) and (ii) of this paragraph, a surety may not, directly or indirectly, make any other payment to a landlord.

  (7) Subject to subsection (j) of this section, at least 10 days before a landlord makes a claim against a surety bond subject to this subsection, the landlord shall send to the tenant by first-class mail directed to the last known address of the tenant, a written list of the damages to be claimed and an itemized statement of the costs incurred by the landlord.

  (8)

    (i) A tenant shall have the right to pay any damages directly to the landlord or require the landlord to use the tenant's security deposit, if any, before the landlord makes a claim against the surety bond.

    (ii) If a tenant pays any damages directly to the landlord or requires the landlord to use the tenant's security deposit under subparagraph (i) of this paragraph and the payment fully satisfies the claim, the landlord shall forfeit the right to make a claim under the surety bond for any damages covered by the tenant's payment or the amount deducted from the tenant's security deposit in accordance with subparagraph (i) of this paragraph.

  (9)

    (i) The tenant may dispute the landlord's claim to the surety by sending a written response by first-class mail to the surety within 10 days after receiving the landlord's claim on the surety.

    (ii) If the tenant disputes the claim, the surety may not report the claim to a credit reporting agency prior to obtaining a judgment for the claim against the tenant.

  (10) In any proceeding brought by the surety against the tenant on a surety bond under this subsection:

    (i) The tenant shall retain all rights and defenses otherwise available in a proceeding between a tenant and a landlord under this section; and

    (ii) Damages may only be awarded to the surety to the extent that the tenant would have been liable to the landlord under this section.

  (11)

    (i) If a landlord's interest in the leased premises is sold or transferred, the new landlord shall accept the tenant's surety bond and may not require:

      (1) During the current lease term, an additional security deposit from the tenant; or

      (2) At any lease renewal, a surety bond or a security deposit from the tenant that, in addition to any existing surety bond or security deposit, is in an aggregate amount in excess of two months' rent per dwelling unit.

    (ii) If the aggregate amount described in subparagraph (i)2 of this paragraph is in excess of two months' rent, the tenant may recover up to three times the extra amount charged, plus reasonable attorney's fees.

  (12)

    (i) If a landlord fails to comply with the requirements of this subsection, the landlord forfeits the right to make any claim against the surety bond.

    (ii) If a surety fails to comply with the requirements of this subsection, the surety forfeits the right to make any claim against a tenant under the surety bond.

  (13) If a surety, in an action against the tenant, asserts a claim under the surety bond without having a reasonable basis to assert the claim, the court may grant the tenant damages of up to three times the amount claimed plus reasonable attorney's fees.

  (14) A surety bond issued under this subsection may only be issued by an admitted carrier licensed by the Maryland Insurance Administration.

(j)

  (1) An itemized statement of costs provided under subsection (g)(1), (h)(2)(iii), or (i)(7) of this section shall include supporting documentation that identifies the materials or services provided.

  (2) Subject to subsection (k) of this section, a landlord may satisfy the requirement under paragraph (1) of this subsection by providing an estimate of the costs to be incurred by the landlord.

(k)

  (1) This subsection applies only if a landlord provides an estimate as documentation to support an itemized statement of costs provided under subsection (g)(1), (h)(2)(iii), or (i)(7) of this section.

  (2)

    (i) The landlord shall notify the tenant in writing when the repairs have been completed.

    (ii) The notice required under subparagraph (i) of this paragraph shall include a copy of the final invoice for any repairs made by the landlord.

  (3) If the actual costs incurred by the landlord are less than the estimate provided to the tenant under subsection (j)(2) of this section, the landlord shall return to the tenant within 30 days after completing the repairs the amount of the security deposit withheld by the landlord that is in excess of the actual costs incurred by the landlord.

(l) No provision of this section may be waived in any lease.

(m) The Department of Housing and Community Development shall maintain on its website:

  (1) A list of daily U.S. Treasury yield curve rates for 1 year, as of the first business day of each year, to be used in calculating the interest on a security deposit; or

  (2) A customized calculator that calculates the interest due on a security deposit by allowing a user to enter the date that the security deposit was given to the landlord, a tenancy end date, and the amount of the security deposit.

(n) A landlord is entitled to rely on the list of yield curve rates or the customized calculator maintained by the Department of Housing and Community Development under subsection (m) of this section when calculating the interest on a security deposit.

#### Section 8-203.1

(a) A receipt for a security deposit shall notify the tenant of the following:

  (1) The right to have the dwelling unit inspected by the landlord in the tenant's presence for the purpose of making a written list of damages that exist at the commencement of the tenancy if the tenant so requests by certified mail within 15 days of the tenant's occupancy;

  (2) The right to be present when the landlord inspects the premises at the end of the tenancy in order to determine if any damage was done to the premises if the tenant notifies the landlord by certified mail at least 15 days prior to the date of the tenant's intended move, of the tenant's intention to move, the date of moving, and the tenant's new address;

  (3) The landlord's obligation to conduct the inspection within 5 days before or after the tenant's stated date of intended moving;

  (4) The landlord's obligation to notify the tenant in writing of the date of the inspection;

  (5) The tenant's right to receive, by first-class mail, delivered to the last known address of the tenant, a written list of the charges against the security deposit claimed by the landlord and the actual costs, within 45 days after the termination of the tenancy;

  (6) The obligation of the landlord to return any unused portion of the security deposit, by first-class mail, addressed to the tenant's last known address within 45 days after the termination of the tenancy; and

  (7) A statement that failure of the landlord to comply with the security deposit law may result in the landlord being liable to the tenant for a penalty of up to 3 times the security deposit withheld, plus reasonable attorney's fees.

(b) The landlord shall retain a copy of the receipt for a period of 2 years after the termination of the tenancy, abandonment of the premises, or eviction of the tenant, as the case may be.

(c) The landlord shall be liable to the tenant in the sum of $25 if the landlord fails to provide a written receipt for the security deposit.

#### Section 8-204

(a) This section is applicable only to single or multi-family dwelling units.

(b) A landlord shall assure the tenant that the tenant, peaceably and quietly, may enter on the leased premises at the beginning of the term of any lease.

(c) If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of any lease, the rent payable under the lease shall abate until possession is delivered. The tenant, on written notice to the landlord before possession is delivered, may terminate, cancel, and rescind the lease.

(d) On termination of the lease under this section, the landlord is liable to the tenant for all money or property given as prepaid rent, deposit, or security.

(e) If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of any lease, whether or not the lease is terminated under this section, the landlord is liable to the tenant for consequential damages actually suffered by the tenant subsequent to the tenant's giving notice to the landlord of the tenant's inability to enter on the leased premises.

(f) The landlord may bring an action of eviction and damages against any tenant holding over after the end of the tenant's term even though the landlord has entered into a lease with another tenant, and the landlord may join the new tenant as a party to the action.

#### Section 8-205

(a)

  (1) In Anne Arundel County, unless the tenant makes payment by check or rents the property for commercial or business purposes, if property is leased for any definite term or at will, the landlord shall give the tenant a receipt showing payment and the time period which the payment covers.

  (2) On conviction of violating this section, any person or agent shall forfeit the rent for the period in question.

(b) Except as otherwise provided in subsection (a) of this section, the landlord or landlord's agent shall give the tenant a receipt if the tenant:

  (1) Makes payment in cash; or

  (2) Requests a receipt.

(c) In addition to any other penalty, the landlord shall be liable to the tenant in the sum of $25 if the landlord fails to provide a written receipt as required by this section.

#### Section 8-205.1

(a) In this section, "utility service provider" means a public service company or a unit of State or local government that provides water, sewer, gas, or electric utility services.

(b)

  (1) This section applies only to a landlord of a building that contains six or more residential dwelling units.

  (2) This section does not apply to:

    (i) A landlord that requires a tenant, under an oral or written lease, to pay water, sewer, gas, or electric bills directly to the utility service provider; or

    (ii) A utility that is allocated using a ratio utility billing system, as defined in Sec. 8-212.4 of this subtitle.

(c) A landlord that requires a tenant to make payments for water, sewer, gas, or electric utility services to the landlord shall:

  (1) Use a written lease that provides notice that the tenant is responsible for making payments for water, sewer, gas, or electric utility services to the landlord; and

  (2)

    (i) Provide a copy of the water, sewer, gas, or electric bill to the tenant; or

    (ii) Before the beginning of the initial lease and each term thereafter for the duration of the tenancy, notify the tenant in writing of the total utility costs billed to the landlord in the immediately preceding year for water, sewer, gas, or electric utility services, disaggregated by utility type.

#### Section 8-205.2

(a) In this section, "utility service provider" has the same meaning stated in Sec. 8-205.1 of this subtitle.

(b)

  (1) This section applies only to a landlord of a building that contains five or fewer residential dwelling units.

  (2) This section does not apply to a landlord that requires a tenant, under an oral or written lease, to pay water, sewer, gas, or electric bills directly to the utility service provider.

(c) A landlord that requires a tenant to make payments for water, sewer, gas, or electric utility services to the landlord shall:

  (1) Use a written lease that provides notice that the tenant is responsible for making payments for water, sewer, gas, or electric utility services to the landlord; and

  (2) Provide a copy of the water, sewer, gas, or electric utility bill to the tenant.

#### Section 8-205.3

(a) In this section, "individual submeter" has the meaning stated in Sec. 9-1115 of the Environment Article.

(b) A landlord that requires a tenant to make payments for water or sewer services measured by an individual submeter to a third party shall:

  (1) Use a written lease that provides notice that the tenant is responsible for making payments for the water or sewer services to the third party;

  (2) Provide a copy of the water or sewer bill to the tenant not later than 20 days before payment of the bill is due; and

  (3) Before the beginning of the initial lease, notify the prospective tenant in writing of:

    (i) The total water and sewer costs billed to the occupants of the unit in the immediately preceding 2 years; or

    (ii) If water and sewer costs were not billed to an occupant of the unit for the immediately preceding 2 years, the total water and sewer costs billed to a comparably sized unit within that time period.

(c) Notwithstanding any other provision of law, a landlord that does not meet the requirements of Sec. 9-1115 of the Environment Article may not require a tenant to make payments to a third party for water or sewer services.

#### Section 8-206

(a) Evictions described in subsection (b) of this section are called "retaliatory evictions".

(b) No landlord may evict a tenant of any residential property in Montgomery County because:

  (1) The tenant has filed a complaint against the landlord with any public agency;

  (2) The tenant has filed a lawsuit against the landlord; or

  (3) The tenant is a member of any tenants' organization.

(c) If the judgment is in favor of the tenant in any eviction proceeding for any of the defenses in subsection (b) of this section, the court may enter judgment for reasonable attorney fees and court costs against the landlord.

(d) Nothing in this section restricts the authority of Montgomery County to legislate in the area of landlord-tenant affairs.

(e) In addition to any other remedies provided under this title, Montgomery County may, by local law, establish authorization for a local agency to invoke enforcement procedures upon an administrative determination that a proposed eviction is retaliatory as prohibited by State or local law. These enforcement procedures may include injunctive or other equitable relief.

#### Section 8-207

(a) The aggrieved party in a breach of a lease has a duty to mitigate damages if the damages result from the landlord's or tenant's:

  (1) Failure to supply possession of the dwelling unit;

  (2) Failure or refusal to take possession at the beginning of the term; or

  (3) Termination of occupancy before the end of the term.

(b) The provisions of subsection (a) of this section do not impose an obligation to show or lease the vacated dwelling unit in preference to other available units.

(c) If a tenant wrongly fails or refuses to take possession of or vacates the dwelling unit before the end of the tenant's term, the landlord may sublet the dwelling unit without prior notice to the tenant in default. The tenant in default is secondarily liable for rent for the term of the tenant's original agreement in addition to the tenant's liability for consequential damages resulting from the tenant's breach, if the landlord gives the tenant prompt notice of any default by the sublessee.

(d) No provision in this section may be waived in any lease.

#### Section 8-208

(a)

  (1) On or after October 1, 1999, any landlord who offers 5 or more dwelling units for rent in the State may not rent a residential dwelling unit without using a written lease.

  (2) If a landlord fails to comply with paragraph (1) of this subsection, the term of the tenancy is presumed to be 1 year from the date of the tenant's first occupancy unless the tenant elects to end the tenancy at an earlier date by giving 1 month's written notice.

(b) A landlord who rents using a written lease shall provide, upon written request from any prospective applicant for a lease, a copy of the proposed form of lease in writing, complete in every material detail, except for the date, the name and address of the tenant, the designation of the premises, and the rental rate without requiring execution of the lease or any prior deposit.

(c) A lease shall include:

  (1) A statement that the premises will be made available in a condition permitting habitation, with reasonable safety, if that is the agreement, or if that is not the agreement, a statement of the agreement concerning the condition of the premises;

  (2) The landlord's and the tenant's specific obligations as to heat, gas, electricity, water, and repair of the premises;

  (3) A receipt for the security deposit as specified in Sec. 8-203.1 of this subtitle; and

  (4) A copy of the most current version of the Maryland Tenants' Bill of Rights published by the Office of Tenant and Landlord Affairs in the Department of Housing and Community Development.

(d) A landlord may not use a lease or form of lease containing any provision that:

  (1) Has the tenant authorize any person to confess judgment on a claim arising out of the lease;

  (2) Has the tenant agree to waive or to forego any right or remedy provided by applicable law;

  (3)

    (i) Provides for a penalty for the late payment of rent in excess of 5% of the amount of unpaid rent due for the rental period for which the payment was delinquent; or

    (ii) In the case of leases under which the rent is paid in weekly rental installments, provides for a late penalty of more than $3 per week or a total of no more than $12 per month;

  (4) Has the tenant waive the right to a jury trial;

  (5) Has the tenant agree to a period required for landlord's notice to quit which is less than that provided by applicable law, except that the parties may agree to a longer notice period than that required by applicable law;

  (6) Authorizes the landlord to take possession of the leased premises, or the tenant's personal property unless the lease has been terminated by action of the parties or by operation of law, and the personal property has been abandoned by the tenant without the benefit of formal legal process;

  (7) Is against public policy and void under Sec. 8-105 of this title;

  (8) Permits a landlord to commence an eviction proceeding or issue a notice to quit solely as retaliation against any tenant for planning, organizing, or joining a tenant organization with the purpose of negotiating collectively with the landlord;

  (9) Requires the tenant to accept notice of rent increases under Sec. 8-209 of this subtitle or Sec. 8-401 of this title by electronic delivery;

  (10)

    (i) Limits the ability of a tenant to summon the assistance of law enforcement or emergency services or penalizes a tenant solely for summoning the assistance of law enforcement or emergency services; or

    (ii) Penalizes a tenant for the actions of another individual solely because the individual summoned the assistance of law enforcement or emergency services;

  (11) Requires a tenant to pay more than the sum of the security deposit under Sec. 8-203(b) of this subtitle and the first month's rent in order to commence the lease and occupy the premises;

  (12) Waives or places conditions on a tenant's right of first refusal under Sec. 8-119 of this title; or

  (13) Except as authorized under Sec. 7-301(c)(5)(ii) of the Courts Article, provides that a tenant is responsible for, or requires a tenant to agree to be responsible for, payment of a filing surcharge assessed against the landlord by the District Court under Sec. 7-301(c)(2)(i)1 of the Courts Article.

(e)

  (1) Except for a lease containing an automatic renewal period of 1 month or less, a lease that contains a provision calling for an automatic renewal of the lease term unless prior notice is given by the party or parties seeking to terminate the lease, shall have the provision distinctly set apart from any other provision of the lease and provide a space for the written acknowledgment of the tenant's agreement to the automatic renewal provision.

  (2) An automatic renewal provision that is not specifically accompanied by either the tenant's initials, signature, or witnessed mark is unenforceable by the landlord.

(f) No provision of this section shall be deemed to be a bar to the applicability of supplementary rights afforded by any public local law enacted by the General Assembly or any ordinance or local law enacted by any municipality or political subdivision of this State; provided, however, that no such law can diminish or limit any right or remedy granted under the provisions of this section.

(g)

  (1) Any lease provision which is prohibited by terms of this section shall be unenforceable by the landlord.

  (2) If the landlord includes in any lease a provision prohibited by this section or made unenforceable by Sec. 8-105 of this title or Sec. 8-203 of this subtitle, at any time subsequent to July 1, 1975, and tenders a lease containing such a provision or attempts to enforce or makes known to the tenant an intent to enforce any such provision, the tenant may recover any actual damages incurred as a reason thereof, including reasonable attorney's fees.

(h) If any word, phrase, clause, sentence, or any part or parts of this section shall be held unconstitutional by any court of competent jurisdiction such unconstitutionality shall not affect the validity of the remaining parts of this section.

#### Section 8-208.1

(a)

  (1) For any reason listed in paragraph (2) of this subsection, a landlord of any residential property may not:

    (i) Bring or threaten to bring an action for possession against a tenant;

    (ii) Arbitrarily increase the rent or decrease the services to which a tenant has been entitled; or

    (iii) Terminate a periodic tenancy.

  (2) A landlord may not take an action that is listed under paragraph (1) of this subsection for any of the following reasons:

    (i) Because the tenant or the tenant's agent has provided written or actual notice of a good faith complaint about an alleged violation of the lease, violation of law, or condition on the leased premises that is a substantial threat to the health or safety of occupants to:

      (1) The landlord; or

      (2) Any public agency against the landlord;

    (ii) Because the tenant or the tenant's agent has:

      (1) Filed a lawsuit against the landlord; or

      (2) Testified or participated in a lawsuit involving the landlord;

    (iii) Because the tenant has participated in any tenants' organization; or

    (iv) Solely because the tenant or another individual, including another resident, summoned the assistance of law enforcement or emergency services to the property.

(b)

  (1) A landlord's violation of subsection (a) of this section is a "retaliatory action".

  (2) A tenant may raise a retaliatory action of a landlord:

    (i) In defense to an action for possession; or

    (ii) As an affirmative claim for damages resulting from a retaliatory action of a landlord occurring during a tenancy.

(c)

  (1) If in any proceeding the court finds in favor of the tenant because the landlord engaged in a retaliatory action, the court may enter judgment against the landlord for damages not to exceed the equivalent of 3 months' rent, reasonable attorney fees, and court costs.

  (2) If in any proceeding the court finds that a tenant's assertion of a retaliatory action was in bad faith or without substantial justification, the court may enter judgment against the tenant for damages not to exceed the equivalent of 3 months' rent, reasonable attorney fees, and court costs.

(d) The relief provided under this section is conditioned on the tenant being current on the rent due and owing to the landlord at the time of the alleged retaliatory action, unless the tenant withholds rent in accordance with the lease, Sec. 8-211 of this subtitle, or a comparable local ordinance.

(e) An action by a landlord may not be deemed to be retaliatory for purposes of this section if the alleged retaliatory action occurs more than 6 months after a tenant's action that is protected under subsection (a)(2) of this section.

(f) As long as a landlord's termination of a tenancy is not the result of a retaliatory action, nothing in this section may be interpreted to alter the landlord's or the tenant's rights to terminate or not renew a tenancy.

(g) If any county has enacted or enacts an ordinance comparable in subject matter to this section, this section shall supersede the provisions of the ordinance to the extent that the ordinance provides less protection to a tenant.

#### Section 8-208.2

(a) Notwithstanding the provisions of Sec. 8-208.1 of this subtitle, a landlord of real property subject to the provisions of Title 6, Subtitle 8 of the Environment Article may not evict or take any other retaliatory action against a tenant primarily as a result of the tenant providing information to the landlord under Title 6, Subtitle 8 of the Environment Article.

(b) For purposes of this section, a retaliatory action includes:

  (1) An arbitrary refusal to renew a lease;

  (2) Termination of a tenancy;

  (3) An arbitrary rent increase or decrease in services to which the tenant is entitled; or

  (4) Any form of constructive eviction.

(c) A tenant subject to an eviction or retaliatory action under this section is entitled to the relief, and is eligible for reasonable attorney's fees and costs, authorized under Sec. 8-208.1 of this subtitle.

(d) Nothing in this section may be interpreted to alter the landlord's or the tenant's rights arising from a breach of any provision of a lease.

#### Section 8-208.3

Every landlord shall maintain a records system showing the dates and amounts of rent paid to the landlord by the tenant or tenants and showing also the fact that a receipt of some form was given to each tenant for each cash payment of rent.

#### Section 8-208.4

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Consumer reporting agency" means any person or entity that, for monetary fees or dues or on a cooperative nonprofit basis, regularly engages, in whole or in part, in the practice of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer credit reports to third parties.

  (3)

    (i) "Positive rental payment history" means information regarding a tenant's complete and timely payments of rent.

    (ii) "Positive rental payment history" does not include an instance in which a tenant did not completely or timely make a rental payment.

  (4) "Secretary" means the Secretary of Housing and Community Development.

(b) This section applies only to a landlord that owns six or more residential rental units in the State.

(c) A landlord that offers a residential dwelling unit for rent shall include in a written lease the option to have the tenant's positive rental payment history reported to at least one consumer reporting agency.

(d)

  (1) For a lease entered into on or after October 1, 2026, the offer of positive rental payment history reporting shall be made at the time of the lease agreement and at least once annually thereafter.

  (2)

    (i) For leases entered into before October 1, 2026, the offer of positive rental payment history reporting shall be made not later than January 1, 2027, and at least once annually thereafter.

    (ii) A landlord shall deliver the offer of positive rental payment history reporting to the tenant by:

      (1) First-class mail with a certificate of mailing;

      (2) A delivery service providing delivery tracking and confirmation; or

      (3) Electronic delivery, if the tenant has elected to receive notices from the landlord in this manner.

(e) The offer of positive rental payment history reporting shall be in the form specified in regulations adopted by the Secretary under subsection (j) of this section and include:

  (1) A statement that reporting of the tenant's positive rental payment history is optional;

  (2) The name of each consumer reporting agency to which positive rental payment history will be reported;

  (3) The amount of any fee charged under subsection (h) of this section;

  (4) Instructions on how to submit the written election of positive rental payment history reporting to the landlord;

  (5) A statement that the tenant may opt into positive rental payment history reporting at any time following the initial offer by the landlord;

  (6) A statement that the tenant may elect to stop positive rental payment history reporting at any time, but that the tenant will not be able to resume positive rental payment history reporting for at least 6 months after an election to opt out;

  (7) Instructions on how to opt out of positive rental payment history reporting; and

  (8) A signature block that the tenant shall date and sign in order to accept the offer of positive rental payment history reporting.

(f) If the offer of positive rental payment history reporting is made by first-class mail, the landlord shall provide the tenant with a self-addressed, stamped envelope to return the written election of positive rental payment history reporting.

(g)

  (1) A tenant may submit the tenant's completed written election at any time after the tenant receives the offer of positive rental payment history reporting from the landlord.

  (2)

    (i) A tenant may request additional copies of the written election of positive rental payment history reporting from the landlord at any time.

    (ii) A landlord that receives a request from a tenant pursuant to this paragraph shall comply with the request.

(h)

  (1) If a tenant elects to have positive rental payment history reported to a consumer reporting agency the landlord may require that the tenant pay a fee not to exceed the lesser of the actual cost to the landlord to provide the service or $10 per month.

  (2)

    (i) The payment or nonpayment of a fee under this subsection may not be reported to a consumer reporting agency.

    (ii) A fee collected under this subsection is not rent and may not be credited toward full or partial satisfaction of rent or any other obligation under the lease.

    (iii) If a tenant fails to pay any fee required by the landlord under this subsection for 30 days or more:

      (1) The landlord may stop reporting the tenant's rental payments; and

      (2) The tenant may not elect positive rental payment history reporting for a period of at least 6 months after the date on which the fee first became due.

(i)

  (1) A landlord shall stop reporting positive rental payment history on written request by a tenant.

  (2) A tenant who elects to have reporting stopped may not elect positive rental payment history reporting again for a period of at least 6 months after the date of the tenant's written request to have reporting stopped.

(j) The Secretary shall adopt regulations to carry out this section.

#### Section 8-209

(a)

  (1) This section applies only to a residential lease.

  (2) This section does not apply to a landlord who has provided written notice of the intent to terminate a tenancy in accordance with Sec. 8-402(c)(2) of this article.

(b)

  (1) A landlord shall notify a tenant in writing before increasing the tenant's rent.

  (2)

    (i) The notice required under paragraph (1) of this subsection shall:

      (1) Be sent by first-class mail with a certificate of mailing; or

      (2) If elected by the tenant, sent by electronic delivery in at least one of the following forms:

      (A) An e-mail message;

      (B) A text message; or

      (C) Through an electronic tenant portal.

    (ii) The electronic delivery method shall provide the landlord with proof of transmission of the notice.

    (iii) A landlord may not condition the acceptance of a lease application on the tenant's election to receive notice under this subsection by electronic delivery.

  (3) A landlord shall provide the notice required under paragraph (1) of this subsection:

    (i) For tenancies for a term of more than 1 month, at least 90 days in advance of the rent increase;

    (ii) For tenancies for a term of more than 1 week, but not more than 1 month, at least 60 days in advance of the rent increase; and

    (iii) For tenancies for a term of 1 week or less:

      (1) At least 7 days in advance of the rent increase if the parties have a written lease; or

      (2) At least 21 days in advance of the rent increase if the parties do not have a written lease.

(c) This section does not affect or supersede any local law or ordinance that requires additional notice or provides additional tenant protections.

#### Section 8-209.1

(a) In this section, "local jurisdiction" means a county or municipality.

(b)

  (1) This section applies to a local jurisdiction that adopts a local law to limit the rent increase that a landlord may charge a current tenant for a subsequent term without a gap in tenancy.

  (2) This section does not apply to a local jurisdiction that adopts a local law for the purpose identified in paragraph (1) of this subsection if the limitation on rent increases applies only:

    (i) During:

      (1) A designated state of emergency or catastrophic health emergency issued by the Governor; or

      (2) An emergency order issued by the head of the executive branch of the local jurisdiction;

    (ii) To housing owned by the local jurisdiction and operated by the local jurisdiction or a third party; or

    (iii) To housing funded, in whole or in part, by the local jurisdiction.

(c) On adoption of a local law described in subsection (b)(1) of this section, the local jurisdiction shall report to the General Assembly, in accordance with Sec. 2-1257 of the State Government Article:

  (1) That the local jurisdiction has adopted a local law to limit the rent increase that a landlord may charge;

  (2) The text of the bill, as adopted by the local jurisdiction; and

  (3) The date the local law will go into effect.

(d)

  (1) On or before January 31 of the second calendar year after a local jurisdiction adopts a local law for the purpose identified in subsection (b)(1) of this section, the local jurisdiction shall report to the General Assembly, in accordance with Sec. 2-1257 of the State Government Article, on the number of new building permits issued by the local jurisdiction, by year, for multifamily dwellings intended to be used as rental properties:

    (i) For the 2 years prior to enacting the local law; and

    (ii) Since enactment of the local law.

  (2) On or before January 31 of each year after the initial report required under paragraph (1) of this subsection, the local jurisdiction shall submit an updated report to the General Assembly, in accordance with Sec. 2-1257 of the State Government Article, on the number of new building permits issued by the local jurisdiction, by year, for multifamily dwellings intended to be used as rental properties since the date the local law was enacted.

(e) This section may not be construed to authorize a local jurisdiction to adopt a local law to limit rent increases that may be charged to a current tenant.

#### Section 8-210

(a)

  (1) The landlord of any residential rental property shall include in a written lease or post a sign in a conspicuous place on that property listing the name, address, and telephone number of:

    (i) The landlord; or

    (ii) The person, if any, authorized to accept notice or service of process on behalf of the landlord.

  (2) If a landlord fails to comply with paragraph (1) of this subsection, notice or service of process shall be deemed to be proper if the tenant sends notice or service of process by any of the following means:

    (i) To the person to whom the rent is paid;

    (ii) To the address where the rent is paid; or

    (iii) To the address where the tax bill is sent.

(b)

  (1) This subsection applies only in Montgomery County.

  (2) In this subsection, "development" has the meaning provided in Sec. 11B-101 of this article.

  (3)

    (i) Before execution by a tenant of a lease for an initial term of 125 days or more, the owner of any residential rental property within any condominium or development shall provide to the prospective tenant, to the extent applicable, a copy of the rules, declaration, and recorded covenants and restrictions that limit or affect the use and occupancy of the property or common areas and to which the owner is obligated.

    (ii) The written lease shall include a statement, if applicable, that the obligations of the owner that limit or affect the use and occupancy of the property are enforceable against the owner's tenant.

(c)

  (1) The landlord of any residential rental property shall:

    (i) Provide a link to the property's pet policy on the property's website, if applicable; and

    (ii) Provide a written copy or summary of the property's pet policy in any rental application form for a unit in the property.

  (2) A pet policy provided in accordance with this section shall state:

    (i) Any breed and weight restrictions;

    (ii) Any required fees, including:

      (1) Up-front, nonrefundable pet fees;

      (2) Refundable pet deposits; and

      (3) Monthly pet fees;

    (iii) Any limit on the number of pets allowed in a unit;

    (iv) Any vaccination requirements;

    (v) Any liability insurance requirements; and

    (vi) Any additional requirements for pet owners imposed by the landlord.

#### Section 8-211

(a)

  (1) The purpose of this section is to provide tenants with a mechanism for encouraging the repair of serious and dangerous defects which exist within or as part of any residential dwelling unit, or on property used in common of which the dwelling unit forms a part.

  (2) The defects sought to be reached by this section are those which present a substantial and serious threat of danger to the life, health, and safety of the occupants of the dwelling unit, and not those which merely impair the aesthetic value of the premises, or which are, in those locations governed by such codes, housing code violations of a nondangerous nature.

  (3) The intent of this section is not to provide a remedy for dangerous conditions in the community at large which exists apart from the leased premises or the property in common of which the leased premises forms a part.

(b) It is the public policy of the State that meaningful sanctions be imposed on a landlord that allows dangerous conditions and defects to exist in leased premises, and that an effective mechanism be established for repairing these conditions and halting their creation.

(c)

  (1) Except as provided in paragraph (2) of this subsection, this section applies to all residential dwelling units leased for the purpose of human habitation within the State whether they are:

    (i) Publicly or privately owned; or

    (ii) Single or multiple units.

  (2) This section does not apply to farm tenancies.

(d) This section provides a remedy and imposes an obligation on landlords to repair and eliminate conditions and defects which constitute, or if not promptly corrected will constitute, a fire hazard or a serious and substantial threat to the life, health, or safety of occupants, including:

  (1) Lack of heat, light, electricity, or hot or cold running water, except where the tenant is responsible for the payment of the utilities and the lack thereof is the direct result of the tenant's failure to pay the charges;

  (2) Lack of adequate sewage disposal facilities;

  (3) Infestation of rodents in two or more dwelling units;

  (4) The existence of any structural defect which presents a serious and substantial threat to the physical safety of the occupants; or

  (5) The existence of any condition which presents a health or fire hazard to the dwelling unit.

(e)

  (1) This section does not apply to a landlord's failure to repair and eliminate minor defects or, in those locations governed by such codes, housing code violations of a nondangerous nature.

  (2) There is a rebuttable presumption that the following conditions, when they do not present a serious and substantial threat to the life, health, and safety of the occupants, are not covered by this section:

    (i) Any defect which merely reduces the aesthetic value of the leased premises, such as the lack of fresh paint, rugs, carpets, paneling, or other decorative amenities;

    (ii) Small cracks in the walls, floors, or ceilings;

    (iii) The absence of linoleum or tile on the floors, provided that they are otherwise safe and structurally sound; or

    (iv) The absence of air conditioning.

(f)

  (1) In order to employ the remedies provided by this section, the tenant shall notify the landlord of the existence of the defects or conditions.

  (2) Notice shall be given by:

    (i) A written communication sent by certified mail listing the asserted conditions or defects;

    (ii) Actual notice of the defects or conditions; or

    (iii) A written violation, condemnation or other notice from an appropriate State, county, municipal, or local government agency stating the asserted conditions or defects.

(g)

  (1) The landlord has a reasonable time after receipt of notice in which to make the repairs or correct the conditions.

  (2) The length of time deemed to be reasonable is a question of fact for the court, taking into account the severity of the defects or conditions and the danger which they present to the occupants.

  (3) There is a rebuttable presumption that a period in excess of 30 days from receipt of notice is unreasonable.

(h)

  (1) If the landlord refuses to make the repairs or correct the conditions, or if after a reasonable time the landlord has failed to do so, the tenant may take one or both of the following actions:

    (i) Bring an action of rent escrow to pay rent into court because of the asserted defects or conditions; and

    (ii) Refuse to pay rent and raise the existence of the asserted defects or conditions as an affirmative defense to an action for distress for rent or to any complaint proceeding brought by the landlord to recover rent or the possession of the leased premises.

  (2)

    (i) Multiple tenants may join as plaintiffs in an action under this section in accordance with the Maryland Rules on joinder.

    (ii) The court may order separate trials or issue any other order necessary to prevent delay or avoid prejudice.

(i)

  (1) There is a rebuttable presumption that a tenant is entitled to the adjudication of a request for rent abatement.

  (2)

    (i) Subject to subsection (m) of this section, there is a rebuttable presumption that a tenant is entitled to an abatement of prospective rent in an amount to be determined by the court.

    (ii) A determination under this paragraph is without prejudice to a final disposition of rent that is due and unpaid to the landlord.

  (3) There is a rebuttable presumption that a court order requiring rent escrow is limited to the payment of rent that is due and unpaid subsequent to the court order.

  (4) A party may request that the court adjust the amount of rent that a tenant pays into court at any time.

  (5) If a tenant alleges that a defect or condition exists at the leased premises at a trial for failure to pay rent, the court may grant a postponement on request of either party in order for the parties to provide evidence and additional information regarding the alleged defect or condition.

(j)

  (1) Whether the issue of rent escrow is raised affirmatively or defensively, the tenant may request one or more of the forms of relief set forth in this section.

  (2) In addition to any other relief sought, if within 90 days after the court finds that the conditions complained of by the tenant exist and the landlord has not made the repairs or corrected the conditions complained of, the tenant may file a petition of injunction in the District Court requesting the court to order the landlord to make the repairs or correct the conditions.

(k) Relief under this section is conditioned on:

  (1) Giving proper notice, and where appropriate, the opportunity to correct, as described in subsection (g) of this section;

  (2) Payment by the tenant of the amount of rent required by the lease into the court, unless this amount is modified by the court as provided in subsection (i) or (m) of this section;

  (3) In the case of tenancies measured by a period of 1 month or more, the court having not entered against the tenant three prior judgments of possession for rent due and unpaid in the 12-month period immediately prior to the initiation of the action by the tenant or by the landlord; and

  (4) In the case of periodic tenancies measured by the weekly payment of rent, the court having not entered against the tenant more than five judgments of possession for rent due and unpaid in the 12-month period immediately prior to the initiation of the action by the tenant or by the landlord, or, if the tenant has lived on the premises 6 months or less, the court having not entered against the tenant three judgments of possession for rent due and unpaid.

(l) It is a sufficient defense to the allegations of the tenant that the tenant, the tenant's family, agent, employees, or assignees or social guests have caused the asserted defects or conditions, or that the landlord or the landlord's agents were denied reasonable and appropriate entry for the purpose of correcting or repairing the asserted conditions or defects.

(m) The court shall make appropriate findings of fact and make any order that the justice of the case may require, including any one or a combination of the following:

  (1) Order the termination of the lease and return of the leased premises to the landlord, subject to the tenant's right of redemption;

  (2) Order that the action for rent escrow be dismissed;

  (3) Order that the amount of rent required by the lease, whether paid into court or to the landlord, be abated and reduced in an amount determined by the court to be fair and equitable to represent the existence of the conditions or defects found by the court to exist; or

  (4) Order the landlord to make the repairs or correct the conditions complained of by the tenant and found by the court to exist.

(n)

  (1) After rent escrow has been established, the court:

    (i) Shall, after a hearing, if so ordered by the court or one is requested by the landlord, order that the money in the escrow account be disbursed to the landlord after the necessary repairs have been made;

    (ii) May, after an appropriate hearing, order that some or all money in the escrow account be paid to the landlord or the landlord's agent, the tenant or the tenant's agent, or any other appropriate person or agency for the purpose of making the necessary repairs of the dangerous conditions or defects;

    (iii) May, after a hearing if one is requested by the landlord, appoint a special administrator who shall cause the repairs to be made, and who shall apply to the court to pay for them out of the money in the escrow account;

    (iv) May, after an appropriate hearing, order that some or all money in the escrow account be disbursed to pay any mortgage or deed of trust on the property in order to stay a foreclosure;

    (v) May, after a hearing, if one is requested by the tenant, order, if no repairs are made or if no good faith effort to repair is made within 6 months of the initial decision to place money in the escrow account, that the money in the escrow account be disbursed to the tenant that has paid into escrow; or

    (vi) May, after an appropriate hearing, order that the money in the escrow account be disbursed to the landlord if the tenant does not regularly pay, into that account, the rent owed.

  (2) An order issued under paragraph (1)(v) of this subsection:

    (i) Does not affect the right of a tenant to pay rent into court; and

    (ii) May be stayed on appeal by the landlord.

(o) If a court orders any relief to a tenant who brings an action under this section, the tenant may recover:

  (1) Reasonable attorney's fees and costs; and

  (2) Reasonable expenses related to litigation.

(p) If a court finds that a complaint filed by a tenant under this section is in bad faith or without substantial justification, the court may enter a judgment in favor of the landlord for:

  (1) Reasonable attorney's fees and costs; and

  (2) Expenses related to litigation.

(q) Except as provided in Sec. 8-211.1(e) of this subtitle, this section shall supersede any local law or ordinance comparable in subject matter to this section except to the extent that the local law or ordinance provides broader applicability or more protections for tenants than this section.

#### Section 8-211.1

(a) Notwithstanding any provision of law or any agreement, whether written or oral, if a landlord fails to comply with the applicable risk reduction standard under Sec. 6-815 or Sec. 6-819 of the Environment Article, the tenant may deposit the tenant's rent in an escrow account with the clerk of the District Court for the district in which the premises are located.

(b) The right of a tenant to deposit rent in an escrow account does not preclude the tenant from pursuing any other right or remedy available to the tenant at law or equity and is in addition to them.

(c) Money deposited in an escrow account shall be released under the following terms and conditions:

  (1) To the lessor upon compliance by the lessor with the applicable risk reduction standard; or

  (2) To the lessee or any other person who has complied with the applicable risk reduction standard on presentation of a bill for the reasonable costs of complying with the applicable risk reduction standard.

(d) A lessee may not be evicted, the tenancy may not be terminated, and the rent may not be raised for a lessee who elects to seek the remedies under this section. It shall be presumed that any attempt to evict the lessee, to terminate the tenancy, or to raise the rent, except for nonpayment of rent, within two months after compliance with the applicable risk reduction standard is in retaliation for the lessee's proceeding under this section and shall be void.

(e) This section shall preempt any public local law or ordinance concerning the deposit of rent into an escrow account based upon the existence of paint containing lead pigment on surfaces in or on a rental dwelling unit in the State and disposition of that rent.

#### Section 8-212

(a) In this section, "fit for human habitation" means that a dwelling unit and property of which the dwelling unit is a part are free from serious defects or conditions that constitute, or will constitute if not promptly corrected, a fire hazard or other serious and substantial threat to the life, health, or safety of occupants of the dwelling unit.

(b) This section applies to landlords, tenants, and residential dwelling units that are subject to Sec. 8-211 of this subtitle.

(c) A landlord that offers a residential dwelling unit for rent, whether by written or oral lease agreement, shall be deemed to warrant that the dwelling unit is fit for human habitation.

(d) The warranty of habitability under this section exists at the beginning of the tenancy and continues throughout the term of the tenancy.

(e) Relief for breach of the warranty of habitability under this section may not be conditioned on payment by the tenant of rent into escrow with the court.

(f)

  (1)

    (i) In order to employ the remedies provided by this section, the tenant shall notify the landlord of the existence of defects or conditions.

    (ii) Notice shall be given by:

      (1) A written communication sent by certified mail listing the asserted defects or conditions;

      (2) Actual notice of the defects or conditions; or

      (3) A written violation, condemnation, or other notice from an appropriate State, county, municipal, or local government agency stating the asserted defects or conditions.

  (2) Within a reasonable period of time after receipt of notice under paragraph (1) of this subsection, the landlord shall make the repairs or correct the conditions in accordance with Sec. 8-211(g) of this subtitle.

(g)

  (1) If a landlord breaches the warranty of habitability under this section and refuses to make the repairs or correct the conditions, or if after a reasonable time the landlord has failed to do so, the tenant may:

    (i) Bring an action for damages and the abatement of rent against the landlord; and

    (ii) Refuse to pay rent and raise the existence of the asserted defects or conditions as an affirmative defense to an action of distress for rent or to any other action brought by the landlord to recover rent or the possession of the leased premises.

  (2) Multiple tenants may join as plaintiffs in an action under this subsection in accordance with the Maryland Rules on joinder.

  (3) The remedies under this subsection are in addition to any other remedies provided by law.

(h) It is a defense to a claim under this section that:

  (1) The tenant, the tenant's family, agent, employees, assignees, or social guests caused the asserted defects or conditions; or

  (2) The landlord or the landlord's agents were denied reasonable and appropriate entry for the purpose of correcting or repairing the asserted conditions or defects.

(i) The court shall make appropriate findings of fact and issue any order that the justice of the case may require, including ordering any of the following:

  (1) An award of actual damages;

  (2) An abatement of rent due and unpaid; or

  (3) The termination of the lease, return of any unused portion of a security deposit to the tenant, and relocation expenses for a tenant.

(j) If a court orders any relief to a tenant who brings an action under this section, the tenant may recover reasonable:

  (1) Attorney's fees and costs; and

  (2) Expenses related to litigation.

(k) If a court finds that an action brought by a tenant under this section is in bad faith or without substantial justification, the court may enter a judgment in favor of a landlord for:

  (1) Reasonable attorney's fees and costs; and

  (2) Expenses related to litigation.

#### Section 8-212.1

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Active duty" has the meaning stated in Sec. 9-901 of the State Government Article.

  (3) "Change of assignment" includes:

    (i) Permanent change of station orders;

    (ii) Temporary duty orders for a period exceeding 90 days;

    (iii) Orders requiring a person to move into quarters located on a military installation; and

    (iv) A release from active duty, including:

      (1) Retirement;

      (2) Separation or discharge under honorable conditions; and

      (3) Demobilization of an activated member of a reserve component who was serving on active duty orders for at least 180 consecutive days.

  (4) "Reserve component" has the meaning stated in Sec. 9-901 of the State Government Article.

(b) Notwithstanding any other provision of this title, if an active service member or the active service member's spouse enters into a residential lease of property and the active service member subsequently receives a change of assignment, before or after occupying the property, any liability of the active service member or the active service member's spouse, for rent under the lease may not exceed:

  (1) Any rent or lawful charges then due and payable plus 30 days' rent after written notice and proof of the change of assignment is given to the landlord; and

  (2) The cost of repairing damage to the premises caused by an act or omission of the tenant.

#### Section 8-212.2

(a) In this section, "mental disorder" has the meaning stated in Sec. 10-101 of the Health - General Article.

(b) This section does not apply to a tenant under a residential lease that contains a liquidated damages clause or early termination clause that:

  (1) Requires written notice to vacate of 1 month or less; and

  (2) Imposes liability for rent less than or equal to 2 months' rent after the date on which the tenant vacates the leased premises.

(c) Subject to subsection (b) of this section and notwithstanding any other provision of this title, if a tenant under a residential lease meets the conditions set forth in subsection (d) of this section, the tenant's liability for rent under the lease may not exceed 2 months' rent after the date on which the tenant vacates the leased premises.

(d) To qualify for the limitation of liability under subsection (c) of this section, the tenant shall provide to the landlord before the tenant vacates the leased premises:

  (1) Subject to the provisions of subsection (e) of this section, a written certification from a physician or psychologist regarding an individual who is a named party in, or an authorized occupant under the terms of, the lease that states in substantially the following form:

  "I, (name of physician or psychologist), hereby certify that my patient, (name of patient), is no longer able to live at his or her leased premises, (address of leased premises), because the patient has a medical condition that:

  (1) Substantially restricts the physical mobility of the patient within, or from entering and exiting, the leased premises;

  (2) Requires the patient to move to a home, facility, or institution to obtain a higher level of care than can be provided at the leased premises; or

  (3) Is a mental disorder that:

    (i) Causes the continued habitation of the leased premises to be unfeasible or unsustainable for the patient; or

    (ii) Requires the patient to move to a home, facility, or institution to obtain a higher level of care than can be provided at the leased premises.

    I certify further that the expected duration of the patient's medical condition will continue beyond the termination date of the patient's lease, which the patient states is (termination date of lease)."; and

  (2) A written notice of the termination of the lease stating the date by when the tenant will vacate the leased premises.

(e) A certification that is provided to a landlord under subsection (d)(1) of this section shall be:

  (1) Written by:

    (i) A physician who is licensed by the State Board of Physicians to practice medicine in the State under Title 14 of the Health Occupations Article; or

    (ii) A psychologist who is licensed by the State Board of Examiners of Psychologists to practice psychology in the State under Title 18 of the Health Occupations Article;

  (2) Prepared on the letterhead or printed prescription form of the physician or psychologist; and

  (3) Signed by the physician or psychologist.

#### Section 8-212.3

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Affected dwelling unit" has the meaning stated in Sec. 7-309 of the Public Utilities Article.

  (3) "Landlord" has the meaning stated in Sec. 7-309 of the Public Utilities Article.

  (4) "Tenant" has the meaning stated in Sec. 7-309 of the Public Utilities Article.

  (5) "Utility service" has the meaning stated in Sec. 7-309 of the Public Utilities Article.

  (6) "Utility service provider" has the meaning stated in Sec. 7-309 of the Public Utilities Article.

(b) A tenant may deduct from rent due to a landlord the amount of payments made to a utility service provider for utility service if:

  (1) An oral or written lease for an affected dwelling unit requires the landlord to pay the utility bill; and

  (2)

    (i) The tenant pays all or part of the utility bill, including payments made on a new utility service account; or

    (ii) The tenant pays any security deposit required to obtain a new utility service account.

(c) A tenant's rights under this section may not be waived in any lease.

#### Section 8-212.4

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Dwelling unit" means that portion of a building that is designated, intended, or arranged for use or occupancy as a residence by one or more persons, including a rented room in a single-family house.

  (3) "Landlord" means:

    (i) An owner of residential rental property that offers two or more dwelling units for rent on one parcel; or

    (ii) A person acting on behalf of a landlord.

  (4) "Master meter" means a meter used to measure, for billing purposes, all usage of a particular utility for a landlord's residential rental property, including usage for common elements of the residential rental property and dwelling units.

  (5) "Ratio utility billing system" means allocation of one or more of a landlord's utility charges, collected via a master meter, among the tenants by any method that does not measure actual per-tenant usage for the utility.

  (6) "Utility" means:

    (i) Electricity usage;

    (ii) Gas usage;

    (iii) Wastewater and sewage disposal service usage; or

    (iv) Water consumption or usage.

(b) This section does not apply to residential rental property in:

  (1) A condominium organized under Title 11 of this article; or

  (2) A cooperative project organized under Title 5, Subtitle 6B of the Corporations and Associations Article.

(c)

  (1) If a landlord uses a ratio utility billing system to bill tenants for one or more utilities, the landlord shall provide the following information to all prospective tenants in writing:

    (i) A statement that the tenant will be billed by the landlord for allocated utility services and that identifies all utilities at issue;

    (ii) A copy of the last two utility bills issued to the landlord;

    (iii) A description of the method that will be used to allocate the cost of the utility to the tenant, by utility;

    (iv) A statement that any disputes relating to the computation of the tenant's bill are between the tenant and the landlord;

    (v) The average monthly bill for all dwelling units in the residential rental property in the previous calendar year, by utility;

    (vi) A statement that the tenant has the right to inspect records retained by the landlord that document a bill for utilities on written request;

    (vii) Information regarding any additional service charges or administrative fees to be paid by the tenant for the operation of the ratio utility billing system; and

    (viii) A citation to this section.

  (2) A lease provision that requires a tenant to pay the utility charges billed to the tenant under a ratio utility billing system shall be unenforceable if the landlord fails to provide the information required under paragraph (1) of this subsection to the tenant in writing.

(d) A landlord who uses a ratio utility billing system shall, on written request by a tenant, allow a tenant to inspect records retained by the landlord that document a bill for utilities.

(e)

  (1) A county or municipal corporation may enact local laws consistent with this section governing:

    (i) The information a landlord is required to provide to a tenant;

    (ii) Disclosure requirements; and

    (iii) Document retention policies.

  (2) Any local law or ordinance that is comparable in subject matter to this section shall supersede the provisions of this section to the extent that the local law or ordinance is more stringent or provides stronger protection or broader applicability than this section.

#### Section 8-213

(a) An application for a lease shall contain a statement which explains:

  (1) The liabilities which the tenant incurs upon signing the application; and

  (2) The provisions of subsections (b) and (c) of this section.

(b)

  (1)

    (i) If a landlord requires from a prospective tenant any fees other than a security deposit as defined by Sec. 8-203(a) of this subtitle, and these fees exceed $25, then the landlord shall return the fees, subject to the exceptions below, or be liable for twice the amount of the fees in damages.

    (ii) The return shall be made not later than 15 days following the date of occupancy or the written communication, by either party to the other, of a decision that no tenancy shall occur.

  (2) The landlord may retain only that portion of the fees actually expended for a credit check or other expenses arising out of the application, and shall return that portion of the fees not actually expended on behalf of the tenant making application.

(c) This section does not apply to any landlord who offers four or less dwelling units for rent on one parcel of property or at one location, or to seasonal or condominium rentals.

#### Section 8-214

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Elderly person" means an individual who is 60 years old or older.

  (3) "Landlord" means an owner of residential rental property who offers more than 3 dwelling units for rent on 1 parcel of property or at 1 location.

(b) This section applies only to Montgomery County.

(c) If a tenant is an elderly person, a landlord may not prohibit the tenant from keeping a household pet, unless specifically prohibited in writing at the time occupancy took place.

(d) A tenant is liable for any damage done to the premises by the tenant's pet.

(e) A landlord may establish reasonable rules governing the type, size, and number of pets allowed, disposal of pet waste, and aspects of pet conduct and pet control related to protection of the health and safety of other tenants and the property of the landlord.

#### Section 8-215

(a) In this section, "affected property" and "owner" have the meanings stated in Sec. 6-801 of the Environment Article.

(b)

  (1) If an owner of an affected property fails to comply with the applicable risk reduction standard under Sec. 6-815 or Sec. 6-819 of the Environment Article, the owner, on the written request of the tenant, shall:

    (i) Immediately release the tenant from the terms of the lease or rental agreement for that property; and

    (ii) Pay to the tenant all reasonable relocation expenses, not to exceed $2,500, directly related to the permanent relocation of the tenant to a lead-free dwelling unit or another dwelling unit that has satisfied the risk reduction standard in accordance with Sec. 6-815 of the Environment Article.

  (2) A tenant's written request to the landlord under paragraph (1) of this subsection shall include any risk reduction certification information provided by the Department of the Environment.

  (3) Within 3 business days of receipt of a tenant's written request under paragraph (1) of this subsection, an owner may provide to the tenant:

    (i) A current and valid risk reduction certificate;

    (ii) A lead-free certificate;

    (iii) A statement of verification by the owner and tenant of work performed in accordance with Sec. 6-819(g) of the Environment Article for the affected property; or

    (iv) The final report of an inspector verifying that work was performed on the affected property in accordance with Sec. 6-819(g) of the Environment Article.

(c)

  (1) If an owner fails to provide information in accordance with subsection (b)(3) of this section or to comply with the tenant's written request under subsection (b)(1) of this section within 3 business days of receipt of the request, the tenant may bring an action in District Court for the:

    (i) Lease termination;

    (ii) Reimbursement of reasonable relocation expenses; and

    (iii) Reasonable attorney's fees.

  (2) A tenant does not have a cause of action under this subsection if the owner of an affected property provides information in accordance with subsection (b)(3) of this section.

(d) The right of a tenant to request release in accordance with subsection (b) of this section does not preclude the tenant from pursuing any other right or remedy available to the tenant at law or equity and is in addition to them.

(e) Any action or inaction of the owner of an affected property or tenant under this section or any finding in a proceeding under this section may not be construed to have any effect on:

  (1) Any civil action; or

  (2) Any administrative proceeding brought under this title or Title 6 of the Environment Article.

#### Section 8-216

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Threaten to take possession" means using words or actions intended to convince a reasonable person that the landlord intends to take imminent possession of the property in violation of this section.

  (3)

    (i) "Willful diminution of services" means intentionally interrupting or causing the interruption of heat, running water, hot water, electricity, or gas by the landlord for the purpose of forcing a tenant to abandon the property.

    (ii) "Willful diminution of services" does not include a landlord choosing not to continue to pay for utility service for residential property after a final court order awarding possession of the residential property, if the landlord has provided the tenant reasonable notice of the landlord's intention and the opportunity for the tenant to open an account in the tenant's name for that service.

(b)

  (1) Except as provided in paragraph (2) of this subsection, a landlord may not take possession or threaten to take possession of a dwelling unit from a tenant or tenant holding over by locking the tenant out or any other action, including willful diminution of services to the tenant.

  (2) A landlord may take possession of a dwelling unit from a tenant or tenant holding over only:

    (i) In accordance with a warrant of restitution issued by a court and executed by a sheriff or constable; or

    (ii) If the tenant has abandoned or surrendered possession of the dwelling unit.

(c)

  (1) If in any proceeding the court finds in favor of the tenant because the landlord violated subsection (b) of this section, the tenant may recover:

    (i) Actual damages; and

    (ii) Reasonable attorney's fees and costs.

  (2) The remedies set forth in this subsection are not exclusive.

(d) This section may not be construed to prevent a landlord from taking temporary measures, including changing the locks, to secure an unsecured residential property, if the landlord makes good faith attempts to provide reasonable notice to the tenant that the tenant may promptly be restored to possession of the property.

#### Section 8-217

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Landlord" means the owner of a senior apartment facility.

  (3)

    (i) "Senior apartment facility" means an apartment building or complex that:

      (1) Contains four or more individual dwelling units; and

      (2) Is housing for older persons as defined in 42 U.S.C. Sec. 3607.

    (ii) "Senior apartment facility" does not include a nursing home or an assisted living facility.

(b)

  (1) At least 180 days before converting a senior apartment facility into an apartment facility for the general population, the landlord shall provide each tenant of the senior apartment facility with written notice of the conversion.

  (2) The notice shall include:

    (i) A statement that the senior apartment facility will be converted into an apartment facility for the general population;

    (ii) The date on which the conversion will take place; and

    (iii) A statement that the tenant has the right to terminate the lease at any time before the conversion date, provided that the tenant gives the landlord at least 1 month's written notice.

(c) Notwithstanding the terms of the lease, the landlord:

  (1) Shall allow any tenant who requests to move before the conversion date to terminate the tenant's lease after giving at least 1 month's written notice to the landlord; and

  (2) May not withhold any portion of a tenant's security deposit for rent that would have become due under any remaining term of the lease after termination under this section.

(d) To the extent that a violation of any provision of this section affects a tenant of a senior apartment facility, that violation shall be within the scope of the enforcement duties and powers of the Division of Consumer Protection of the Office of the Attorney General, as described in Title 13 of the Commercial Law Article.

#### Section 8-218

(a) In this section, "reusable tenant screening report" means a report prepared within the previous 30 days by a consumer reporting agency at the request and expense of a prospective tenant and made directly available to a prospective landlord at no charge for use in the rental application process.

(b) A reusable tenant screening report shall contain the following information regarding a prospective tenant:

  (1) A credit report;

  (2) For each jurisdiction indicated as a prior residence of the prospective tenant, regardless of whether the residence is reported by the prospective tenant or by a consumer reporting agency preparing a consumer report:

    (i) Subject to Subtitle 2A of this title, a comprehensive criminal history records check for all federal, state, and local charges against and convictions of the prospective tenant over the previous 7 years; and

    (ii) A comprehensive eviction history for all state and local jurisdictions for the previous 7 years;

  (3) Verification of employment and income; and

  (4) Current address and rental history.

(c)

  (1) A landlord shall notify prospective tenants regarding whether or not the landlord accepts reusable tenant screening reports.

  (2) Notice under paragraph (1) of this subsection may be in writing or by posting notice in a conspicuous manner, including:

    (i) A statement posted on a rental housing listing;

    (ii) Notice posted on the homepage of a website;

    (iii) Information provided in the rental application page for a rental property online; or

    (iv) Any other manner reasonably calculated to provide potential tenants with notice.

(d) If a prospective tenant provides a reusable tenant screening report to a landlord that accepts reusable tenant screening reports, the landlord may not charge the prospective tenant:

  (1) A fee for the landlord to access the report; or

  (2) An application fee.

(e) A landlord that accepts a reusable tenant screening report under this section may require a prospective tenant to certify that there has not been a material change to the tenant's name, address, bankruptcy status, criminal history, or eviction history since the date that the report was generated.

(f) Prior to the execution of a lease agreement, a landlord may reject an application for tenancy if a prospective tenant made a material change to a reusable tenant screening report.

#### Section 8-219

(a)

  (1) In this section the following words have the meanings indicated.

  (2)

    (i) "Apartment facility" means an apartment building or complex that contains four or more individual dwelling units that a common landlord rents for residential purposes, including all common areas available for use by a tenant.

    (ii) "Apartment facility" does not include:

      (1) A single-family house, regardless of the number of individual dwelling units into which the house is subdivided;

      (2) A condominium organized under Title 11 of this article; or

      (3) A cooperative project organized under Title 5, Subtitle 6B of the Corporations and Associations Article.

  (3) "Dwelling unit" means that portion of a building that is designated, intended, or arranged for use or occupancy as a residence by one or more persons.

  (4) "Tenant organization" means an incorporated or unincorporated organization of three or more tenants who reside in an apartment facility formed for the purpose of improving the living conditions, contractual position, or community experiences of the residents of the apartment facility that:

    (i) Meets regularly;

    (ii) Operates democratically; and

    (iii) Is independent of the owners or management of the apartment facility and their representatives.

(b)

  (1) Subject to subsection (c) of this section, a tenant organization shall have the right to assemble in a meeting room within an apartment facility designated for use by tenants for events and community gatherings during reasonable hours and on reasonable notice to the landlord to conduct tenant organization meetings.

  (2)

    (i) The landlord may impose reasonable terms and conditions on the use of a meeting room, provided that the terms and conditions do not undermine the purposes of this section.

    (ii) The landlord may require an individual participating in a tenant organization meeting who is not a resident of the apartment facility to sign a waiver of liability for injuries sustained while on the property.

  (3) A tenant organization shall:

    (i) Designate at least two but not more than five members who are authorized to schedule use of a meeting room on behalf of the tenant organization; and

    (ii) Provide written notification to the landlord of the designees at least once per year.

(c)

  (1) A landlord may not charge a tenant organization a fee for the use of a meeting room for the first meeting of the tenant organization each month.

  (2) A landlord may charge a reasonable fee for all other uses of a meeting room by the tenant organization within the same month provided that the fee does not exceed the regular schedule of fees charged to other groups or individuals for use of the meeting room.

#### Section 8-220

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Mold" has the meaning stated in Sec. 6-1702 of the Environment Article.

  (3) "Mold assessment" means:

    (i) An inspection, an investigation, or a survey of a dwelling or other structure to provide information to the owner regarding the presence, identification, or evaluation of mold;

    (ii) The development of a mold management plan; or

    (iii) The collection or analysis of a mold sample.

  (4) "Mold remediation" has the meaning stated in Sec. 6-1702 of the Environment Article.

(b) A landlord shall:

  (1) Provide the pamphlet developed or used under Sec. 6-1702 of the Environment Article to each tenant in a rental unit on the landlord's property:

    (i) At the time the lease or rental agreement is signed; and

    (ii) On request by a tenant of the rental unit; and

  (2) Request that a tenant sign a statement acknowledging receipt of the pamphlet.

(c)

  (1) A landlord shall perform a mold assessment  within 15 days after receipt of a written notice regarding the detection of mold from:

    (i) The applicable local agency enforcing housing and livability codes; or

    (ii) A tenant or building occupant.

  (2) If the assessment in paragraph (1) of this subsection detects mold, a landlord shall:

    (i) Perform mold remediation within 45 days after the assessment is completed; or

    (ii) If performing mold remediation within the time frame specified in item (i) of this paragraph is not feasible, within a reasonable time after the assessment is completed.

  (3) A landlord shall ensure that the mold assessment and mold remediation under paragraphs (1) and (2) of this subsection follows the recommended industry guidelines and best practices and State and local laws and regulations.

(d) A landlord shall:

  (1) Communicate with occupants during a mold assessment and mold remediation under subsection (c) of this section to provide updates and relevant information;

  (2) Ensure proper ventilation in the property;

  (3) Ensure low indoor relative humidity in the property; and

  (4) Maintain the property in accordance with all applicable federal, State, and local residential housing and building codes, standards, regulations, rules, and requirements pertaining to minimum livability under Sec. 12-203 of the Public Safety Article.

(e)

  (1) Except as provided in paragraph (2) of this subsection, nothing in this section may be construed to require a local government or local health department to conduct a mold assessment or mold remediation.

  (2) If a local government owns or manages a residential property, the local government or local housing authority shall comply with this section with respect to the residential property.

#### Section 8-221

(a) Subject to subsections (b) and (c) of this section, a landlord may enter a leased premises for the purpose of:

  (1) Completing repairs, maintenance, modifications, renovations, or improvements to the leased premises;

  (2) Inspecting the leased premises;

  (3) Showing the leased premises to prospective or actual purchasers, mortgagees, tenants, or contractors;

  (4) Ensuring the protection and safety of the property and occupants;

  (5) Completing work ordered by a governmental entity; or

  (6) If appropriate, responding to any other written request of the tenant.

(b)

  (1) Except as provided in paragraph (2) of this subsection, before entering a leased premises, a landlord shall:

    (i) Provide written notice to the tenant of the landlord's intent to enter in accordance with subsection (c) of this section; and

    (ii) Enter only between the hours of 7:00 a.m. and 7:00 p.m. Monday through Saturday, or another time agreed on, in writing, by the tenant.

  (2) A landlord may enter the leased premises without providing notice under this subsection in the event of an emergency to ensure the imminent protection or preservation of the property, the imminent protection and safety of any occupants, or the health, safety, and welfare of other tenants and staff.

(c)

  (1) A landlord shall provide written notice to the tenant at least 24 hours in advance of the time that the landlord intends to enter the leased premises.

  (2) The notice shall include:

    (i) The date and approximate time that the landlord intends to enter; and

    (ii) The specific purpose of entry.

  (3) The notice shall be delivered by:

    (i) If the notice is delivered at least 24 hours before the specified time, first-class mail, with a certificate of mailing;

    (ii) Paper notice affixed to the door of the leased premises; or

    (iii) If elected by the tenant, electronic delivery in at least one of the following forms:

      (1) An e-mail message;

      (2) A text message; or

      (3) Through an electronic tenant portal that is accessible to the tenant at the time the notice is delivered and the specified entry time.

  (4) Electronic delivery shall provide the landlord with proof of transmission of the notice.

  (5) A tenant may agree in writing to allow a landlord to enter the leased premises less than 24 hours from receipt of notice.

(d)

  (1) To seek relief under this section, a tenant shall demonstrate that:

    (i) A landlord has entered the leased premises in violation of this section; or

    (ii) A landlord has made repeated demands for entry that are not in compliance with the requirements of this section.

  (2) In response to an action brought under this section, the court may issue an injunction to the landlord, assess appropriate damages against the landlord for breach of the tenant's covenant to quiet enjoyment of the leased premises, or both.

(e) A landlord is liable for any violation of this section committed by the landlord or an agent acting at the direction of the landlord.

(f) If a tenant alleges a housing code violation, the tenant shall provide the landlord access to the leased premises within 24 hours after notifying the landlord of the alleged violation.

### Subtitle 2A

#### Section 8-2A-01

(a) In this subtitle the following words have the meanings indicated.

(b) "Conditional offer" means an offer to lease a residential property to a prospective tenant that is contingent on a subsequent inquiry into the prospective tenant's criminal history.

(c) "Criminal history records" has the meaning stated in Sec. 10-239 of the Criminal Procedure Article.

#### Section 8-2A-02

(a) This subtitle applies only to a landlord that manages or owns five or more residential rental units in the State, including any residential rental units that the landlord owns or controls:

  (1) In whole or in part;

  (2) Directly or indirectly; or

  (3) Through one or more legal entities.

(b) This subtitle does not apply to owner-occupied residential rental units.

#### Section 8-2A-03

A landlord that conducts a criminal history records check in accordance with this subtitle shall do so for every prospective tenant.

#### Section 8-2A-04

(a) A landlord may not:

  (1) Require a prospective tenant to submit to a drug or alcohol test; or

  (2) Request or require a prospective tenant to consent to the release of information about the prospective tenant from a program for the prevention and treatment of substance use disorders.

(b) Before accepting an application fee, a landlord shall provide in writing to a prospective tenant:

  (1) Notice regarding the use of a criminal history records check in determining eligibility for leasing, including a statement that conviction for a crime listed in Sec.Sec. 8-2A-05 and 8-2A-06 of this subtitle may be considered by the landlord only after the extension of a conditional offer; and

  (2) Information on the ability of the prospective tenant, in response to a criminal history records check, to provide evidence demonstrating:

    (i) Inaccuracies in the tenant's criminal history records;

    (ii) Evidence of rehabilitation; and

    (iii) Mitigating factors.

(c) A landlord shall notify a prospective tenant that an individualized assessment will be conducted.

#### Section 8-2A-05

(a)

  (1) Except as provided in paragraph (2) of this subsection, before extending a conditional offer to a prospective tenant, a landlord may not:

    (i) Request or require the prospective tenant to disclose in a housing application whether the prospective tenant has a criminal history or has been accused of or charged with any crimes; or

    (ii) Make an oral or written inquiry regarding the criminal history of the prospective tenant.

  (2) Before extending a conditional offer, a landlord may require information on, and may reject a prospective tenant's application on the grounds of, whether the prospective tenant:

    (i) Has been convicted of:

      (1) For a potential tenancy in federally assisted housing, manufacturing, distributing, dispensing, or producing methamphetamine on the premises of federally assisted housing;

      (2) A sexual offense under Title 3, Subtitle 3 of the Criminal Law Article;

      (3) Child pornography under Sec. 11-207 of the Criminal Law Article;

      (4) Murder in the first degree under Sec. 2-201 of the Criminal Law Article;

      (5) Murder in the second degree under Sec. 2-204 of the Criminal Law Article; or

      (6) Human trafficking under Sec. 3-1102 of the Criminal Law Article;

    (ii) Is subject to a lifetime registration requirement under a state sex offender registration program;

    (iii) Has ever been subject to a registration requirement under a state or federal sex offender registration program; or

    (iv) Has ever been convicted in another state or federal court of a crime with the same criminal elements as a crime listed in this subsection.

(b) In response to the results of a criminal history records check, a prospective tenant may provide, and a landlord shall consider, evidence demonstrating:

  (1) Inaccuracies in the prospective tenant's criminal history records;

  (2) Evidence of rehabilitation; and

  (3) Any other mitigating factors.

#### Section 8-2A-06

(a) After the extension of a conditional offer to a prospective tenant, a landlord may conduct a criminal history records check and consider the following convictions as potential grounds for withdrawal of the offer:

  (1) Any felony conviction under the Criminal Law Article if the conviction occurred within 5 years immediately preceding the rental application;

  (2) Any convictions listed in Sec. 8-2A-05 of this subtitle that the prospective tenant has not previously disclosed; or

  (3) Any conviction in another state court or a federal court of a crime with the same elements as a felony in the State, if the conviction occurred within 5 years immediately preceding the rental application.

(b) A landlord may withdraw a conditional offer based on a prospective tenant's criminal history records check only if the landlord determines that the withdrawal is necessary to fulfill a substantial, legitimate, and nondiscriminatory interest.

(c) If a landlord withdraws a conditional offer, the landlord shall provide the prospective tenant with written notice of the withdrawal that includes:

  (1) A specific reason for the withdrawal of the conditional offer; and

  (2) A statement that the prospective tenant may request a reassessment of the withdrawal by providing written evidence, signed under the penalty of perjury, to the landlord demonstrating:

    (i) Inaccuracies in the prospective tenant's criminal history records;

    (ii) Evidence of rehabilitation; or

    (iii) Any other mitigating factors.

(d) A reassessment of the application by the landlord following a request for reassessment by the prospective tenant shall consider the following factors:

  (1) The nature and severity of the criminal offense;

  (2) The age of the prospective tenant at the time of the occurrence of the criminal offense;

  (3) The amount of time that has elapsed since the occurrence of the criminal offense;

  (4) Any information produced by the prospective tenant, or produced on the prospective tenant's behalf, regarding rehabilitation and good conduct since the criminal offense;

  (5) The degree to which the criminal offense, if it reoccurred, would negatively impact the safety of other tenants or the property; and

  (6) Whether the criminal offense occurred on the property that was rented or leased by the prospective tenant.

(e)

  (1) Within 30 days after the landlord's notice of withdrawal of the conditional offer, the prospective tenant may request that the landlord provide a copy of all information that the landlord relied on in considering the prospective tenant, including criminal history records.

  (2) Within 10 days after receipt of a timely request, the landlord shall provide the information requested under paragraph (1) of this subsection.

#### Section 8-2A-07

(a) Unless required by federal law, a landlord may not knowingly or intentionally publish or cause to be published any advertisement that expressly states that the landlord will not consider a prospective tenant who has been arrested or convicted of a crime.

(b) Unless required by federal law, a landlord may not publish or distribute any statement, advertisement, publication, or sign, use any form of lease application, or make any inquiry in connection with the prospective rental, lease, or sublease of real property that expresses, directly or indirectly, a limitation or specification relating to criminal history records that is inconsistent with the requirements of this subtitle.

(c) Unless otherwise required by law, a landlord may not:

  (1) Distribute or disseminate a prospective tenant's criminal history records to any person who is not expected to use the criminal history records for the purpose of evaluating the prospective tenant in a manner consistent with this subtitle; or

  (2) Use a prospective tenant's criminal history for a purpose that is inconsistent with this subtitle.

#### Section 8-2A-08

A landlord's decision to lease a residential dwelling unit to an individual with a criminal history, or the landlord's decision not to obtain a criminal history records check, may not be the basis for a claim against the landlord.

#### Section 8-2A-09

(a) The Office of Tenant and Landlord Affairs in the Department of Housing and Community Development shall develop and publish on the Office's website a model notice document for use by landlords under this subtitle.

(b) The model notice described in subsection (a) of this section shall include:

  (1) Language for use by a landlord to advise a prospective tenant that the landlord has withdrawn a conditional offer or taken an adverse housing action based on the prospective tenant's criminal history; and

  (2) Language notifying the prospective tenant of:

    (i) The right of the prospective tenant to request a copy of all information on which the landlord relied in reaching a decision, including information from criminal history records; and

    (ii) The prospective tenant's right to file a complaint under Sec. 13-401 of the Commercial Law Article.

#### Section 8-2A-10

A person who violates this subtitle is subject to a civil penalty not exceeding $500 for each violation.

#### Section 8-2A-11

This subtitle shall preempt and supersede any local law or ordinance comparable in subject matter to this subtitle.

#### Section 8-2A-12

The Department of Housing and Community Development shall adopt regulations to carry out this subtitle.

### Subtitle 3. Distress for Rent

#### Section 8-301

(a) In this subtitle the following words have the meanings indicated unless otherwise apparent from context.

(b) "Court" means the District Court.

(c) "Defendant" means a tenant.

(d) "Distress" means an action of distress filed pursuant to the provisions of this subtitle.

(e) "Goods" means goods, chattels, grain, growing crops, produce, unborn young of animals, inventory, and equipment regardless of where found or located, and includes cash money found on the leased premises. "Goods" does not include choses in action, other forms of intangible property, written contracts, securities, bonds, notes, or other instruments for the payment of money.

#### Section 8-302

(a) Distress for rent is an action at law and shall be brought as provided in this section.

(b) Original jurisdiction in a case of distress for rent is vested exclusively in the District Court regardless of the amount of rent for which distress is brought, notwithstanding any limitation imposed by law on the civil monetary jurisdiction of such court.

(c) An action of distress may be brought only for unpaid rent under a written lease for a term of more than three months, or under a tenancy at will or a periodic tenancy that has continued more than three months.

(d) An action of distress shall be brought in the county where the leased premises lie.

(e) A party to an action of distress brought in the District Court under this section may demand a trial by jury in accordance with Subtitle 6 of this article.

#### Section 8-303

(a) An action of distress shall be brought by the landlord as plaintiff, the landlord's petition shall name the tenant as defendant and contain the following information:

  (1) The name and address of the landlord;

  (2) The name and address of the tenant; and

  (3) The facts relating to (i) any assignment of a lease, if known, (ii) the premises leased, (iii) the date of the lease, (iv) the term of the lease, (v) the rent required to be paid by the lease, and (vi) the amount of the rent in arrears.

(b) The petition shall be under oath or affirmation of the plaintiff, or the plaintiff's agent, that the facts recited are true and correct.

(c) If a defendant is not a resident of, or amenable to service in a county where the leased premises are located, service may be made by certified mail, return receipt requested, bearing a postmark from the United States Postal Service. If this service is returned by the Post Office Department or refused by the addressee or the addressee's agent, then process shall be sent by first-class mail and the defendant returned as summoned.

#### Section 8-304

(a) When an action of distress is filed, the clerk shall issue an order directing the defendant to appear and show cause at a stated time why levy under an action of distress should not be made. The hearing may be not earlier than seven days from date of service on the defendant.

(b) In addition, the order shall:

  (1) Direct the time within which service of the petition and show-cause order shall be made on the defendant; and

  (2) Inform the defendant that (i) the defendant may appear at the time stated and present evidence on the defendant's behalf; and (ii) if the defendant fails to appear, all goods on the leased premises not exempted by law may be levied on and removed by the sheriff.

#### Section 8-305

(a) On a determination of reasonable probability, the court promptly shall issue an order directing that all goods on the leased premises not exempted by law shall be levied on. A copy of the order of levy shall be served on each tenant on the leased premises. If no tenant is found on the premises, a copy of the order shall be affixed in a prominent place on the interior of the leased premises.

(b) The officer making the levy then shall proceed to make an inventory of each article of goods distrained on and deliver a copy to each tenant found on the leased premises. If no tenant is found, the officer shall affix a copy to the premises as provided above in the case of the order.

(c) The officer serving the order shall make a return of the officer's action to the court including the date and time of return.

(d) If the plaintiff by verified petition requests the court to include in the levy goods subject to distress and claimed to be on the leased premises but not included in the levy and inventory, the court, after service of a copy of the petition on the defendant and any person claiming an interest in the goods, shall conduct a hearing on the petition. The court may amend the levy and inventory to include those goods the court finds should be included.

#### Section 8-306

(a) The levy under an action of distress shall be made solely on goods on the leased premises, regardless of whether the goods are the property of the tenant or of some other person, except as provided in this subtitle.

(b) When the term of a lease is for more than 15 years, levy shall be made solely on the goods of the tenant or owner of the leasehold interest found on the leased premises. However, the goods of any subtenant or of any third party on the leased premises are not subject to levy under distress.

#### Section 8-307

(a) The following are exempt from distress:

  (1) Hand-powered and operated tools used by a tenant in the tenant's occupation or livelihood;

  (2) Law books of an attorney;

  (3) Hand-operated instruments of a physician;

  (4) Medical books of a physician;

  (5) Files and professional records of an attorney or physician; and

  (6) The prior perfected security interest in all goods in which the tenant has an interest.

(b) The landlord in the landlord's petition shall certify as to the existence of a perfected security interest in any goods of the tenant. If the security interest was perfected prior to the levy under the distraint, the landlord either shall release the property from the distraint proceedings or pay to the holder of the security interest the balance due under the security interest. If the landlord pays the balance, it becomes a part of the costs in the distraint proceedings. However, the holder of the security interest, on demand by the landlord, shall give a true written statement of the balance due under the security interest, and, if the landlord pays the balance, the holder shall assign or release the security interest to the landlord.

#### Section 8-308

Goods levied on under distress shall be held in custodia legis.

#### Section 8-309

(a) In making levy under an action of distress, no forcible entry may be made into leased premises occupied and used as a dwelling without a court order. If the levying officer cannot gain entry, the plaintiff may file a verified petition with the court for an order directing forcible entry into the leased premises.

(b) Forcible entry may be made for the purpose of levy into any property or building other than those specified in subsection (a) of this section.

(c) Levy under an action of distress may be made at any hour of the day or night.

#### Section 8-310

On petition of any plaintiff in distress and a showing of a need for protection, the court may order the removal of any goods levied on from the leased premises to a place approved by the court pending the sale of the goods. Removal of goods may be conditioned on the giving of a bond by the plaintiff in the amount and in the form the court determines.

#### Section 8-311

(a) Within seven days after the levy, any person who is not a tenant and whose goods are levied on under distress may file a petition with the court where the action of distress is pending for an order to exclude from levy the goods of the person not a tenant. The petition shall set forth the facts as to the ownership of the goods and shall be verified by the petitioner.

(b) A copy of the petition shall be served on the plaintiff and defendant. If service cannot be made on either, the petitioner shall certify this fact to the court in writing, stating the reason for it.

(c) After a hearing held on not more than ten days' notice, and on submission of proof satisfactory to the court that the goods are not the property of the tenant, the court shall issue an order excluding the goods from levy. This order authorizes the owner to remove the owner's goods from the leased premises at the owner's expense free of any claim of the landlord.

(d) The order shall provide that the claimant shall remove the claimant's goods at the claimant's expense from the leased premises within a time to be fixed by the court. If the claimant fails to remove the claimant's goods within the fixed time, then the goods claimed by the claimant no longer shall be excluded from distress and shall be subject to the landlord's claim for distress as though no petition for exclusion had been filed.

(e) If no petition to determine ownership of goods is filed by any third person within seven days after the date of a levy under distress, all goods on the leased premises and included in the inventory conclusively are presumed to be the goods of the tenant and may be disposed of according to the applicable provisions of this subtitle without any liability to the owner for the disposal.

#### Section 8-312

(a) Levy on goods under distress does not affect or disturb the title to the goods. The claim or lien of the landlord under this subtitle on the goods continues until the goods are sold as provided in this subtitle.

(b) All risk of loss or destruction of goods of any nature is on the owner or the tenant of the leased premises, regardless of whether the goods were removed from the leased premises by the officer. However, the officer is responsible to the owner for willful damage to the goods.

#### Section 8-313

(a) The expense of removal of any goods from the leased premises to any other place for storage pending sale, including the expense of removal of goods which are affixed to the property, shall be included as a part of the costs of distress.

(b) An officer does not incur liability for removal of goods which are affixed to the property. The officer may require the plaintiff to mail or deliver an indemnity bond to the officer to protect the officer from any claim for damage or injury to any person or property caused by the officer's removal for sale of goods affixed to the property.

#### Section 8-314

(a) The defendant in an action of distress may file an answer, setting forth any defense the defendant may have to the action, including excessive rent distrained for or the rent sued is not distrainable.

(b) Hearing on the defendant's answer shall be held on not more than ten days' notice sent by regular mail to all parties and claimants. However, the court may postpone the hearing on due notice to all parties. At the hearing the court may determine and decide all issues raised, and issue an order of sale of the goods and may make any order in connection with them as required.

(c) In any final order for the sale of goods distrained, the court may increase the amount of the rent claim to an amount equal to the sum of the plaintiff's original claim plus rent accruing after the filing of the petition for distress up to the day prior to the date of sale on which rent may fall due.

(d) If the tenant named as defendant in an action for distress fails to file an answer within seven days after a levy has been made, the court, on motion of the plaintiff or on its motion, may issue an order for sale of the goods distrained.

(e) The date of sale is in the discretion of the court but shall be held as soon as feasible.

#### Section 8-315

(a) If a tenant removes the tenant's goods from the leased premises, and the officer can find no goods of the tenant on the premises, the officer shall report that fact to the court. If the court is satisfied the goods of the tenant have been removed, it may issue an order to follow goods under distress within six months after filing of an action of distress. The order shall authorize levy on the removed goods at any place the goods can be found within the jurisdiction of the court.

(b) If the goods are removed outside the court's jurisdiction, the plaintiff may file with the court in the jurisdiction where the goods are located, a certified copy of the original action of distress, together with a verified petition setting forth (i) the fact of the original petition for distress, (ii) the premises to which the tenant has removed the goods, and (iii) the name and address of the occupant of the premises. If the occupant of the premises to which the goods are removed is a person other than the tenant, an order shall be served by first-class mail or by an officer on the other person giving the occupant seven days from the date of service of the order to protest seizure of the goods. If not protested, the order becomes final and authorizes any officer to seize and remove the goods.

(c) Entry to premises under an order to follow goods under distress may be forcible.

#### Section 8-316

(a) Any person whose goods are levied on or seized under distress may petition the court for the return of the goods, free of any claim for distress. However, the court may require the filing of a bond with the court in a form and in an amount the court determines. The bond shall run to the State and indemnify injured persons against all claims for damage or injury resulting from the release of the goods.

(b) The court may order a complete or partial release from any claim for distress of any goods when requested in writing by all parties to the action of distress. No bond is required for release of any goods in this case.

#### Section 8-317

If goods are levied on under distress and remain on the leased premises and the officer is unable to gain access to the goods without force, the court may issue an order authorizing the officer to enter the premises by force.

#### Section 8-318

(a) Notice of sale of goods under an action of distress shall be given in a newspaper published at least once weekly and having general circulation within the jurisdiction of the court. The notice shall be published at least one time and an additional number of times as the court designates.

(b) If no newspaper meets the requirements of this section, notice may be made by posting it on the door of the courthouse. The notice of sale shall be published or posted at least seven days in advance of the date of the sale and the sale shall be held not more than 28 days after notice of sale.

(c) The notice shall contain the time and location of the sale.

#### Section 8-319

Sales under distress shall be held only at public auction. The officer may remove the goods from the leased premises to some suitable place for auction or hold the sale on the leased premises. Cost of the removal of goods for sale shall be included as costs of the sale.

#### Section 8-320

(a) Only those goods necessary to satisfy the claim for rent due and to pay all costs may be sold in a sale under distress. Any unsold goods shall be returned to the tenant if they have been removed or they shall be left on the premises. If a surplus of money remains after the sale and payment of the rent claim and all costs, it shall be returned to the tenant or paid as provided by order of the court. The cost of returning unsold goods to the premises, if removed, shall be included as costs of the sale.

(b) Before any distrainable goods of others are sold at a sale, the goods of the tenant shall be sold first and in their entirety, if necessary, to satisfy the claim for rent and costs. The sale of goods of others shall be made only to the extent necessary to satisfy the rent claim and all costs.

(c) If any surplus money or unsold goods remain in the possession of an officer on completion of proceedings in an action of distress and after payment of all claims and costs incurred, a judgment creditor or other person claiming a right to the money or goods may petition the court in which the action was brought for payment of the creditor's or claimant's judgment or claim out of the excess of money or goods, plus court costs expended by the creditor or claimant. After a hearing on the petition, the court may direct payment of the money or goods or order the sale of goods in the same manner and after proceedings similar to those in attachment or execution. Any exemption allowed by law is permitted in these proceedings if claimed.

#### Section 8-321

The officer may require a plaintiff to indemnify the officer for the anticipated costs of sale either in the form of a surety bond or by a certified check payable to the order of the officer in an amount sufficient to pay all expenses of the sale.

#### Section 8-322

(a)

  (1) The costs charged in actions of distress shall be as provided in this section.

  (2) If the amount of rent distrained for is $500 or less, the cost for a petition for distress is $10 regardless of the number of defendants to be served at the leased premises.

  (3) If the amount of rent distrained for exceeds $500, then in addition to the costs of paragraph (2) of this subsection, $5 shall be charged for each additional $500 or a fraction of $500 of rent distrained for.

  (4) The charge for each defendant to be served at an address other than the leased premises is $2.

  (5) The cost of any reissue of summons for a defendant is $2.

  (6) If the distress leads to an actual sale of property, the officer may charge and collect a poundage fee not less than $3 or more than $500, computed on the sale price of the personal property sold, as follows:

    (i) 3 percent of the first $5,000 of sale price;

    (ii) 2 percent of the second $5,000 of sale price; and

    (iii) 1 percent of any portion of the sale price over $10,000.

  (7) For filing and serving a petition on one other party or claimant, the officer may charge and collect $2. There is a $2 charge for service on each additional person whether party, claimant, or attorney of record.

  (8) Actual costs of sale, including publication of notice of sale, auctioneer's fees, cost of removal, storage of goods pending sale or for sale, and cost of returning unsold goods to the premises after sale shall be charged.

(b) Filing costs shall be paid at the time of filing the action, and other costs at the time of filing subsequent petitions. The award and distribution of costs are in the discretion of the court.

#### Section 8-323

If the goods of a third party are distrained on and sold under an action of distress, the third party has a right of action against the tenant for damages for any loss sustained by the third party as a result of the levy and sale of the third party's goods under distress. The action for damages may be brought before the court before which the original action was brought, regardless of any monetary limitation of the civil jurisdiction of the court. If the action for damages is brought in any other court, only a certified copy of the record in the original court need be filed as evidence of the proceedings.

#### Section 8-324

(a) If the plaintiff in an action of distress makes an election in writing, the court may declare the lease terminated and of no further force and effect. This election may be made only if all tenants have been served with a copy of the action of distress and after sale of all goods levied on. The court may not terminate any residential lease which runs for more than 15 years.

(b) If any tenant was not served with a copy of the action of distress, the court may declare the lease terminated if a copy of the nisi order of termination is twice returned non est as to the nonsummoned defendant.

(c) If the court declares a lease terminated under subsection (a) of this section, the court on application of the plaintiff, may issue its order or judgment of restitution of the premises. The court shall issue its warrant to the officer commanding the officer to deliver immediately to the plaintiff, possession in full and ample manner as set forth in Sec. 8-402(b) of this title. The costs of this action are the same as in the case of a tenant holding over.

#### Section 8-325

(a) If the amount received from a sale of goods under distress, after payment of all costs and expenses, is not sufficient to pay the plaintiff's claim, the plaintiff may file a verified petition with the court for a deficiency money judgment. Notice of the petition shall be served on the tenant, giving at least 14 days' notice of hearing on the petition. After the hearing, the court may order a money judgment entered for the deficiency against the defendant regardless of whether the amount exceeds the monetary limit of the civil jurisdiction of the court.

(b) A deficiency money judgment under a lease may be entered only against the person named in the lease as tenant, and who signed the lease as such, or against an assignee who has assumed a covenant in writing to pay rent.

(c) The general exemption laws of the State are applicable to the enforcement of any deficiency money judgment given in an action of distress.

#### Section 8-326

In a lease naming either husband or wife as tenant, all goods on the leased premises belonging to either, or both, are subject to levy under distress to the same extent as if both were named in the lease as tenants.

#### Section 8-327

A petition for distress, and any other petition or pleading filed, may be amended at any time on the terms the court orders.

#### Section 8-328

(a) If a tenant under a lease dies, or, if the tenant is a corporation and ceases to exist, distress may be brought against the tenant named in the lease regardless of death or nonexistence. The plaintiff shall give notice of an action of distress to the personal representative of a deceased defendant or to any person who was an officer at the time the corporation ceased to exist and the plaintiff shall certify to the court that the plaintiff has given notice. Then the plaintiff may proceed with levy and sale as provided in this subtitle.

(b) If a tenant dies and no personal representative is appointed by a court having jurisdiction, or if an officer of the nonexistent corporation cannot be found and, therefore, service of process is returned non est, then, on application of the plaintiff, an order may be passed requiring a copy of the petition for distress to be posted at the courthouse door at least one week before the date of sale. Failure of the plaintiff to apply for the order subjects the plaintiff to suit by the personal representative of the deceased tenant, or by the officer or surviving directors of the nonexistent corporation for any loss or damage sustained. If the plaintiff makes application for the order, the plaintiff is under no liability either to the estate of the deceased tenant, or to the surviving trustees or officers of the nonexistent corporation.

#### Section 8-329

(a) If a lease for more than three months is assigned, the assignee is liable to distress for any goods on the leased premises as though originally named in the lease as tenant.

(b) Any goods of the assignee on the leased premises shall be subject to the landlord's distress claim to the same extent as though the assignee was originally a tenant. This liability of goods exists regardless of whether the assignment was oral or written and regardless of the terms set out in the assignment. The obligation of the assignee of the lease for personal liability shall be restricted to the terms and agreements contained in the assignment of lease. The exercise of any right of the landlord against the assignee provided in this section does not bar any rights the landlord may have against the assignor.

#### Section 8-330

Service of all process by the court following service of the original petition in distress may be made by first-class mail. Every party and claimant is charged with notice of each step of the proceeding and is bound by it. A claim of nonreceipt of a notice mailed to a party or claimant does not affect the validity of the order or notice given by first-class mail.

#### Section 8-331

If the court finds that any notice required under this subtitle to be sent by mail actually has not been received by the person to whom the notice was addressed and that injustice will result, the court shall order a stay of further proceedings until it is satisfied that the person has had an opportunity to protect the person's interests.

#### Section 8-332

(a) Any aggrieved party may appeal from any final order or judgment in an action of distress to the circuit court of the county. The appeal shall be taken within 14 days from the date of the order or judgment.

(b) On appeal the case shall be tried de novo. On the application of any party to the action for a prompt hearing of the appeal, it shall be set for trial as soon as possible. Any party has the right to a jury trial on application in accordance with the rules adopted by the appellate court.

(c) An appeal does not stay or prevent a subsequent distress for rent falling due after the original petition for distress. However, the court may order a stay of all further proceedings, including those for subsequent rent, if the tenant files an appeal bond approved by the court.

(d) An appeal does not stay execution of a judgment or order unless an approved appeal bond is filed.

### Subtitle 4. Landlord's Remedies Other Than Distraint

#### Section 8-401

(a) Whenever the tenant or tenants fail to pay the rent when due and payable, it shall be lawful for the landlord to have again and repossess the premises in accordance with this section.

(b)

  (1) Whenever any landlord shall desire to repossess any premises to which the landlord is entitled under the provisions of subsection (a) of this section, the landlord or the landlord's duly qualified agent or attorney shall ensure that the landlord has completed the procedures required under subsection (c) of this section.

  (2) Subject to Sec. 8-406 of this subtitle and after completing the procedures required under subsection (c) of this section, a landlord or the landlord's duly qualified agent or attorney may file the landlord's written complaint under oath or affirmation, in the District Court of the county wherein the property is situated:

    (i) Describing in general terms the property sought to be repossessed;

    (ii) Setting forth the name of each tenant to whom the property is rented or any assignee or subtenant;

    (iii) Stating the amount of rent and any late fees due and unpaid, less the amount of any utility bills, fees, or security deposits paid by a tenant under Sec. 7-309 of the Public Utilities Article;

    (iv) Requesting to repossess the premises and, if requested by the landlord, a judgment for the amount of rent due, costs, and any late fees, less the amount of any utility bills, fees, or security deposits paid by a tenant under Sec. 7-309 of the Public Utilities Article;

    (v) If applicable, stating that, to the best of the landlord's knowledge, the tenant is deceased, intestate, and without next of kin; and

    (vi) If the property to be repossessed is an affected property as defined in Sec. 6-801 of the Environment Article, stating that the landlord has registered the affected property as required under Sec. 6-811 of the Environment Article and renewed the registration as required under Sec. 6-812 of the Environment Article and:

      (1)

        (A) If the current tenant moved into the property on or after February 24, 1996, stating the inspection certificate number for the inspection conducted for the current tenancy as required under Sec. 6-815(c) of the Environment Article; or

      (B) On or after February 24, 2006, stating the inspection certificate number for the inspection conducted for the current tenancy as required under Sec. 6-815(c), Sec. 6-817(b), or Sec. 6-819(f) of the Environment Article; or

      (2) Stating that the owner is unable to provide an inspection certificate number because:

      (A) The owner has requested that the tenant allow the owner access to the property to perform the work required under Title 6, Subtitle 8 of the Environment Article;

      (B) The owner has offered to relocate the tenant in order to allow the owner to perform work if the work will disturb the paint on the interior surfaces of the property and to pay the reasonable expenses the tenant would incur directly related to the relocation; and

      (C) The tenant has refused to allow access to the owner or refused to vacate the property in order for the owner to perform the required work.

  (3) For the purpose of the court's determination under subsection (e) of this section the landlord shall also specify the amount of rent due for each rental period under the lease, the day that the rent is due for each rental period, and any late fees for overdue rent payments.

  (4) The District Court shall issue its summons, directed to any constable or sheriff of the county entitled to serve process, and ordering the constable or sheriff to notify the tenant, assignee, or subtenant by first-class mail:

    (i) To appear before the District Court at the trial to be held on the fifth day after the filing of the complaint; and

    (ii) To answer the landlord's complaint to show cause why the demand of the landlord should not be granted.

  (5)

    (i) The constable or sheriff shall proceed to serve the summons upon the tenant, assignee, or subtenant or their known or authorized agent as follows:

      (1) If personal service is requested and any of the persons whom the sheriff shall serve is found on the property, the sheriff shall serve any such persons; or

      (2) If personal service is requested and none of the persons whom the sheriff is directed to serve shall be found on the property and, in all cases where personal service is not requested, the constable or sheriff shall affix an attested copy of the summons conspicuously upon the property.

    (ii) The affixing of the summons upon the property after due notification to the tenant, assignee, or subtenant by first-class mail shall conclusively be presumed to be a sufficient service to all persons to support the entry of a default judgment for possession of the premises, together with court costs, in favor of the landlord, but it shall not be sufficient service to support a default judgment in favor of the landlord for the amount of rent due.

  (6) Notwithstanding the provisions of paragraphs (1) through (5) of this subsection:

    (i) In an action to repossess nonresidential property under this section, service of process on a tenant:

      (1) Shall be directed to the sheriff of the appropriate county or municipality; and

      (2) On plaintiff's request, may be directed to any person authorized under the Maryland Rules to serve process; and

    (ii) In Wicomico County, in an action to repossess any premises under this section, service of process on a tenant may be directed to any person authorized under the Maryland Rules to serve process.

  (7)

    (i) Notwithstanding the provisions of paragraphs (4) through (6) of this subsection, if the landlord certifies to the court in the written complaint required under paragraph (1) of this subsection that, to the best of the landlord's knowledge, the tenant is deceased, intestate, and without next of kin, the District Court shall issue its summons, directed to any constable or sheriff of the county entitled to serve process, and ordering the constable or sheriff to notify the occupant of the premises or the next of kin of the deceased tenant, if known, by personal service:

      (1) To appear before the District Court at the trial to be held on the fifth day after the filing of the complaint; and

      (2) To answer the landlord's complaint to show cause why the demand of the landlord should not be granted.

    (ii)

      (1) The constable or sheriff shall proceed to serve the summons upon the occupant of the premises or the next of kin of the deceased tenant, if known, as follows:

      (A) If any of the persons whom the sheriff is directed to serve are found on the property or at another known address, the sheriff shall serve any such persons; or

      (B) If none of the persons whom the sheriff is directed to serve are found on the property or at another known address, the constable or sheriff shall affix an attested copy of the summons conspicuously upon the property.

      (2) The affixing of the summons upon the property shall conclusively be presumed to be a sufficient service to all persons to support the entry of a default judgment for possession of the premises, together with court costs, in favor of the landlord, but it shall not be sufficient service to support a default judgment in favor of the landlord for the amount of rent due.

(c)

  (1) Before a landlord may file a complaint under this section, the landlord shall provide to the tenant a written notice of the landlord's intent to file a claim in the District Court against the tenant to recover possession of the residential premises if the tenant does not cure within 10 days after the written notice is provided to the tenant.

  (2)

    (i) The written notice required under paragraph (1) of this subsection shall be in a form created by the Maryland Judiciary and notice shall occur when the notice is:

      (1) Sent by first-class mail, certificate of mailing;

      (2) Affixed to the door of the premises; or

      (3) If elected by the tenant, sent by electronic delivery in at least one of the following forms:

      (A) An e-mail message;

      (B) A text message; or

      (C) Through an electronic tenant portal.

    (ii) Electronic notice under subparagraph (i)3 of this paragraph shall provide the landlord with proof of the transmission of the notice.

  (3)

    (i) A complaint for repossession filed in accordance with this section shall include a statement that states and affirms the date on which the landlord provided the notice required under paragraph (1) of this subsection.

    (ii) A tenant may challenge assertions made by a landlord under this paragraph, and the court may dismiss the landlord's complaint on a showing of sufficient cause.

(d)

  (1) This subsection applies only to an action for the repossession of residential property for failure to pay rent due during a government shutdown.

  (2) Notwithstanding any other law, the court shall stay the proceeding if the tenant or an occupant of the property that is the subject of the proceeding presents evidence satisfactory to the court that the occupant:

    (i) Uses the property as the individual's primary residence;

    (ii) Is an employee of the federal or State government or an employee of a local government in the State; and

    (iii) Is involuntarily furloughed from work without pay because of a government shutdown, regardless of whether the employee is required to report to work during the furlough.

  (3)

    (i) Subject to subparagraph (ii) of this paragraph, a stay under this subsection shall be granted for a time that the court considers reasonable.

    (ii) A stay under this subsection may not be granted for a period that ends more than 30 days after the end of the government shutdown without a showing of sufficient cause by a party to the action.

(e)

  (1) If, at the trial on the fifth day indicated in subsection (b) of this section, the court is satisfied that the interests of justice will be better served by an adjournment to enable either party to procure their necessary witnesses, the court may adjourn the trial for a period not exceeding 1 day, except with the consent of all parties, the trial may be adjourned for a longer period of time.

  (2)

    (i) The information required under subsection (b)(2)(vi) of this section may be an issue of fact in a trial under this section.

    (ii) If, when the trial occurs, it appears to the satisfaction of the court, that the rent, or any part of the rent and late fees are actually due and unpaid, the court shall determine the amount of rent and late fees due as of the date the complaint was filed less the amount of any utility bills, fees, or security deposits paid by a tenant under Sec. 7-309 of the Public Utilities Article, if the trial occurs within the time specified by subsection (b)(4) of this section.

    (iii)

      (1) If the trial does not occur within the time specified in subsection (b)(4)(i) of this section and the tenant has not become current since the filing of the complaint, the court, if the complaint so requests, shall enter a judgment in favor of the landlord for possession of the premises and determine the rent and late fees due as of the trial date.

      (2) The determination of rent and late fees shall include the following:

      (A) Rent claimed in the complaint;

      (B) Rent accruing after the date of the filing of the complaint;

      (C) Late fees accruing in or prior to the month in which the complaint was filed; and

      (D) Credit for payments of rent and late fees and other fees, utility bills, or security deposits paid by a tenant under Sec. 7-309 of the Public Utilities Article after the complaint was filed.

    (iv) In the case of a residential tenancy, the court may also give judgment in favor of the landlord for the amount of rent and late fees determined to be due together with costs of the suit if the court finds that the residential tenant was personally served with a summons.

    (v) In the case of a nonresidential tenancy, if the court finds that there was such service of process or submission to the jurisdiction of the court as would support a judgment in contract or tort, the court may also give judgment in favor of the landlord for:

      (1) The amount of rent and late fees determined to be due;

      (2) Costs of the suit; and

      (3) Reasonable attorney's fees, if the lease agreement authorizes the landlord to recover attorney's fees.

    (vi) A nonresidential tenant who was not personally served with a summons shall not be subject to personal jurisdiction of the court if that tenant asserts that the appearance is for the purpose of defending an in rem action prior to the time that evidence is taken by the court.

  (3) The court, when entering the judgment, shall also order that possession of the premises be given to the landlord, or the landlord's agent or attorney, within 4 days after the trial.

  (4) The court may, upon presentation of a certificate signed by a physician certifying that surrender of the premises within this 4-day period would endanger the health or life of the tenant or any other occupant of the premises, extend the time for surrender of the premises as justice may require but not more than 15 days after the trial.

  (5) However, if the tenant, or someone for the tenant, at the trial, or adjournment of the trial, tenders to the landlord the rent and late fees determined by the court to be due and unpaid, together with the costs of the suit, the complaint against the tenant shall be entered as being satisfied.

(f)

  (1)

    (i) Except as provided in Sec. 8-407 of this subtitle and subject to the provisions of paragraph (2) of this subsection, if judgment is given in favor of the landlord, and the tenant fails to comply with the requirements of the order within 7 days, the court shall, at any time after the expiration of the 7 days, issue its warrant, directed to any official of the county entitled to serve process, ordering the official to cause the landlord to have again and repossess the property by putting the landlord, or the landlord's duly qualified agent or attorney, in possession of the property, and for that purpose to remove from the property, by force if necessary, all the furniture, implements, tools, goods, effects or other chattels of every description whatsoever belonging to the tenant, or to any person claiming or holding by or under the tenant.

    (ii) If the landlord does not order a warrant of restitution within 60 days from the later of the date of judgment or the expiration date of any stay of execution:

      (1) The judgment for possession shall be stricken; and

      (2) The judgment shall be applied to the number of judgments necessary to foreclose a tenant's right to redemption of the leased premises as established in subsection (h)(2) of this section unless the court in its discretion determines that the judgment may not apply for purposes of subsection (h)(2) of this section.

    (iii) If the landlord orders a warrant of restitution but takes no action on the warrant within 60 days from the later of the date the court issues the order for the warrant or the date as otherwise extended by the court:

      (1) The warrant of restitution shall expire and the judgment for possession shall be stricken; and

      (2) The judgment shall be applied to the number of judgments necessary to foreclose a tenant's right to redemption of the leased premises as established in subsection (h)(2) of this section unless the court in its discretion determines that the judgment may not apply for purposes of subsection (h)(2) of this section.

  (2)

    (i) The administrative judge of any district shall stay the execution of a warrant of restitution of a residential property, from day to day, in the event of extreme weather conditions affecting the residential property, including:

      (1) A temperature or next-day forecasted temperature of 32 degrees Fahrenheit or lower;

      (2) A winter storm warning or blizzard warning issued by the National Weather Service;

      (3) A hurricane warning or tropical storm warning issued by the National Weather Service; and

      (4) An excessive heat warning issued by the National Weather Service.

    (ii) When a stay has been granted under this paragraph, the execution of the warrant of restitution for which the stay has been granted shall be given priority and completed within 5 days after the extreme weather conditions cease.

(g) A warrant of restitution issued under this section shall be executed in compliance with the provisions of Sec. 8-407 of this subtitle.

(h)

  (1) Subject to paragraph (3) of this subsection, in any action of summary ejectment for failure to pay rent where the landlord is awarded a judgment giving the landlord restitution of the leased premises, the tenant shall have the right to redemption of the leased premises by tendering in cash, certified check, or money order to the landlord or the landlord's agent all past due amounts, as determined by the court under subsection (e) of this section, plus all court awarded costs and fees, at any time before actual execution of the eviction order.

  (2) An electronic or written check issued by a political subdivision or on behalf of a governmental entity shall have the same legal effect as a payment made by the tenant under paragraph (1) of this subsection.

  (3) This subsection does not apply to any tenant against whom three judgments of possession have been entered for rent due and unpaid in the 12 months prior to the initiation of the action to which this subsection otherwise would apply.

(i)

  (1) The tenant or the landlord may appeal from the judgment of the District Court to the circuit court for any county at any time within 4 days from the rendition of the judgment.

  (2) The tenant, in order to stay any execution of the judgment, shall give a bond to the landlord with one or more sureties, who are owners of sufficient property in the State of Maryland, with condition to prosecute the appeal with effect, and answer to the landlord in all costs and damages mentioned in the judgment, and other damages as shall be incurred and sustained by reason of the appeal.

  (3) The bond shall not affect in any manner the right of the landlord to proceed against the tenant, assignee or subtenant for any and all rents that may become due and payable to the landlord after the rendition of the judgment.

#### Section 8-402

(a)

  (1) A tenant under any periodic tenancy, or at the expiration of a lease, and someone holding under the tenant, who shall unlawfully hold over beyond the expiration of the lease or termination of the tenancy, shall be liable to the landlord for the actual damages caused by the holding over.

  (2) The damages awarded to a landlord against the tenant or someone holding under the tenant, may not be less than the apportioned rent for the period of holdover at the rate under the lease.

  (3)

    (i) Any action to recover damages under this section may be brought by suit separate from the eviction or removal proceeding or in the same action and in any court having jurisdiction over the amount in issue.

    (ii) The court may also give judgment in favor of the landlord for the damages determined to be due together with costs of the suit if the court finds that the residential tenant was personally served with a summons, or, in the case of a nonresidential tenancy, there was such service of process or submission to the jurisdiction of the court as would support a judgment in contract or tort.

    (iii) A nonresidential tenant who was not personally served with a summons shall not be subject to personal jurisdiction of the court if that tenant asserts that the appearance is for the purpose of defending an in rem action prior to the time that evidence is taken by the court.

  (4) Nothing in this section is intended to limit any other remedies which a landlord may have against a holdover tenant under the lease or under applicable law.

(b)

  (1)

    (i) Subject to Sec. 8-406 of this subtitle and where any tenancy is for any definite term or at will, and the landlord shall desire to repossess the property after the expiration of the term for which it was leased and shall give notice as required under subsection (c) of this section to the tenant or to the person actually in possession of the property to remove from the property at the end of the term, and if the tenant or person in actual possession shall refuse to comply, the landlord may make complaint in writing to the District Court of the county where the property is located.

    (ii) Subject to subparagraph (iii) of this paragraph:

      (1) The court shall issue a summons directed to any constable or sheriff of the county entitled to serve process, ordering the constable or sheriff to notify the tenant, assignee, or subtenant to appear on a day stated in the summons before the court to show cause why restitution should not be made to the landlord;

      (2) The constable or sheriff shall serve the summons on the tenant, assignee, or subtenant on the property, or on the known or authorized agent of the tenant, assignee, or subtenant;

      (3) If, for any reason the tenant, assignee, or subtenant on the property or the known or authorized agent of the tenant, assignee, or subtenant cannot be found, the constable or sheriff shall affix an attested copy of the summons conspicuously on the property; and

      (4) After notice to the tenant, assignee, or subtenant by first-class mail, the affixing of the summons on the property shall be conclusively presumed to be a sufficient service to support restitution.

    (iii)

      (1) This subparagraph applies only if the landlord or the landlord's spouse:

      (A) Is an active service member;

      (B) Has relocated to the State as a direct result of being an active service member;

      (C) Intends to occupy the property that is the subject of a complaint under this section following the entry of a judgment under this section; and

      (D) Submits documentation supporting the requirements of this subparagraph with the complaint.

      (2) The court shall order in the summons required under subparagraph (ii) of this paragraph that the tenant, assignee, or subtenant appear before the court on a day not later than 45 days after the date the landlord makes a complaint under this section to repossess the property.

      (3) If the constable or sheriff of the county fails to serve the summons required under subparagraph (ii) of this paragraph within 10 days after the summons is issued by the court, the summons may be served by a private process server.

    (iv) On the failure of either of the parties to appear before the court on the day stated in the summons, the court may continue the case to a day not less than 6 days or more than 10 days after the day first stated and notify the parties of the continuance.

  (2)

    (i) If on hearing the parties, or in case the tenant or person in possession shall neglect to appear after the summons and continuance the court shall find that the landlord had been in possession of the leased property, that the said tenancy is fully ended and expired, that due notice to quit as aforesaid had been given to the tenant or person in possession and that the tenant or person in possession had refused so to do, the court shall give judgment for the restitution of the possession of said premises and shall forthwith issue its warrant to the sheriff or a constable in the respective counties commanding the tenant or person in possession forthwith to deliver to the landlord possession thereof in as full and ample manner as the landlord was possessed of the same at the time when the tenancy was made, and shall give judgment for costs against the tenant or person in possession so holding over.

    (ii) Either party shall have the right to appeal therefrom to the circuit court for the county within 10 days from the judgment.

    (iii) If the tenant appeals and files with the District Court an affidavit that the appeal is not taken for delay, and also a good and sufficient bond with one or more securities conditioned that the tenant will prosecute the appeal with effect and well and truly pay all rent in arrears and all costs in the case before the District Court and in the appellate court and all loss or damage which the landlord may suffer by reason of the tenant's holding over, including the value of the premises during the time the tenant shall so hold over, then the tenant or person in possession of said premises may retain possession thereof until the determination of said appeal.

    (iv) The appellate court shall, on application of either party, set a day for the hearing of the appeal, not less than 5 days or more than 15 days after the application, and notice for the order for a hearing shall be served on the opposite party or that party's counsel at least 5 days before the hearing.

    (v) If the judgment of the District Court shall be in favor of the landlord, a warrant shall be issued by the appellate court to the sheriff, who shall proceed forthwith to execute the warrant.

  (3) A warrant of restitution under paragraph (2)(i) of this subsection shall be executed in compliance with the provisions of Sec. 8-407 of this subtitle.

(c)

  (1) This subsection applies to all cases of tenancies at the expiration of a stated term, tenancies from year to year, tenancies from month to month, and tenancies from week to week.

  (2) Except as provided in paragraphs (3) and (4) of this subsection, a landlord shall provide written notice of the intent to terminate a tenancy:

    (i) If the parties have a written lease for a stated term in excess of 1 week or a tenancy from month to month, 60 days before the expiration of the tenancy;

    (ii) In the case of tenancies from year to year, including tobacco farm tenancies from year to year but excluding all other farm tenancies from year to year, 90 days before the expiration of the current year of the tenancy;

    (iii) In the case of tenancies from year to year for all other farm tenancies, 180 days before the expiration of the current year of the tenancy; and

    (iv) In the case of tenancies from week to week:

      (1) If the parties have a written lease, 7 days before the expiration of the tenancy; or

      (2) If the parties do not have a written lease, 21 days before the expiration of the tenancy.

  (3)

    (i) When the tenant shall give notice by parol to the landlord or to the landlord's agent or representatives, at least 30 days before the expiration of the lease or tenancy in all cases except in cases of tenancies from year to year, and at least 90 days' notice in all cases of tenancy from year to year (except in all cases of farm tenancy, the notice shall be 180 days), of the intention of the tenant to remove at the end of that year and to surrender possession of the property at that time, and the landlord, the landlord's agent, or representative shall prove the notice from the tenant by competent testimony, it shall not be necessary for the landlord, the landlord's agent or representative to provide a written notice to the tenant, but the proof of such notice from the tenant as aforesaid shall entitle the landlord to recover possession of the property hereunder.

    (ii) This paragraph shall not apply in Baltimore City.

  (4)

    (i) This paragraph does not apply to a property that is:

      (1) In Baltimore City or Montgomery County;

      (2) Owned by a landlord who offers 5 or more residential dwelling units for rent in the State; or

      (3) Subject to an order to docket under Sec. 7-105.1(e) of this article.

    (ii) If a landlord receives notice of an intent to foreclose on the property under Sec. 7-105.1(c)(1) of this article and desires to terminate the tenancy, the landlord shall provide written notice of the intent to terminate a tenancy:

      (1) At least 30 days before the expiration of the lease in cases of tenancies from month to month or tenancies from week to week; or

      (2) At least 60 days before the expiration of the lease in cases of tenancies from year to year.

  (5)

    (i) Acceptance of any payment after notice but before eviction shall not operate as a waiver of any notice to quit, notice of intent to vacate or any judgment for possession unless the parties specifically otherwise agree in writing.

    (ii) Any payment accepted shall be first applied to the rent or the equivalent of rent apportioned to the date that the landlord actually recovers possession of the premises, then to court costs, including court awarded damages and legal fees and then to any loss of rent caused by the holdover.

    (iii) Any payment which is accepted in excess of the foregoing shall not bear interest but will be returned to the tenant in the same manner as security deposits as defined under Sec. 8-203 of this title but shall not be subject to the penalties of that section.

(d) Unless stated otherwise in the written lease and initialed by the tenant, when a landlord consents to a holdover tenant remaining on the premises, the holdover tenant becomes a periodic week-to-week tenant if the tenant was a week-to-week tenant before the tenant's holding over, and a periodic month-to-month tenant in all other cases.

#### Section 8-402.1

(a)

  (1)

    (i) Subject to Sec. 8-406 of this subtitle and where an unexpired lease for a stated term provides that the landlord may repossess the premises prior to the expiration of the stated term if the tenant breaches the lease, the landlord may make complaint in writing to the District Court of the county where the premises is located if:

      (1) The tenant breaches the lease;

      (2)

        (A) The landlord has given the tenant 30 days' written notice that the tenant is in violation of the lease and the landlord desires to repossess the leased premises; or

      (B) The breach of the lease involves behavior by a tenant or a person who is on the property with the tenant's consent, which demonstrates a clear and imminent danger of the tenant or person doing serious harm to themselves, other tenants, the landlord, the landlord's property or representatives, or any other person on the property and the landlord has given the tenant or person in possession 14 days' written notice that the tenant or person in possession is in violation of the lease and the landlord desires to repossess the leased premises; and

      (3) The tenant or person in actual possession of the premises refuses to comply.

    (ii) The court shall summons immediately the tenant or person in possession to appear before the court on a day stated in the summons to show cause, if any, why restitution of the possession of the leased premises should not be made to the landlord.

  (2)

    (i) If, for any reason, the tenant or person in actual possession cannot be found, the constable or sheriff shall affix an attested copy of the summons conspicuously on the property.

    (ii) After notice is sent to the tenant or person in possession by first-class mail, the affixing of the summons on the property shall be conclusively presumed to be a sufficient service to support restitution.

  (3) If either of the parties fails to appear before the court on the day stated in the summons, the court may continue the case for not less than 6 days or more than 10 days and notify the parties of the continuance.

(b)

  (1) If the court determines that the tenant breached the terms of the lease and that the breach was substantial and warrants an eviction, the court shall give judgment for the restitution of the possession of the premises and issue its warrant to the sheriff or a constable commanding the tenant to deliver possession to the landlord in as full and ample manner as the landlord was possessed of the same at the time when the lease was entered into. The court shall give judgment for costs against the tenant or person in possession.

  (2) Either party may appeal to the circuit court for the county, within 10 days from entry of the judgment. If the tenant (i) files with the District Court an affidavit that the appeal is not taken for delay; (ii) files sufficient bond with one or more securities conditioned on diligent prosecution of the appeal; (iii) pays all rent in arrears, all court costs in the case; and (iv) pays all losses or damages which the landlord may suffer by reason of the tenant's holding over, the tenant or person in possession of the premises may retain possession until the determination of the appeal. On application of either party, the court shall set a day for the hearing of the appeal not less than 5 days or more than 15 days after the application, and notice of the order for a hearing shall be served on the other party or that party's counsel at least 5 days before the hearing. If the judgment of the District Court is in favor of the landlord, a warrant shall be issued by the court which hears the appeal to the sheriff, who shall execute the warrant.

(c) A warrant of restitution issued under this section shall be executed in compliance with the provisions of Sec. 8-407 of this subtitle.

(d)

  (1) Acceptance of any payment after notice but before eviction shall not operate as a waiver of any notice of breach of lease or any judgment for possession unless the parties specifically otherwise agree in writing.

  (2) Any payment accepted shall be first applied to the rent or the equivalent of rent apportioned to the date that the landlord actually recovers possession of the premises, then to court costs, including court awarded damages and legal fees and then to any loss of rent caused by the breach of lease.

  (3) Any payment which is accepted in excess of the rent referred to in paragraph (2) of this subsection shall not bear interest but will be returned to the tenant in the same manner as security deposits as defined under Sec. 8-203 of this title but shall not be subject to the penalties of that section.

#### Section 8-402.2

(a)

  (1) This section applies to property:

    (i) Leased for business, commercial, manufacturing, mercantile, or industrial purposes, or any other purpose that is not primarily residential;

    (ii) Improved or to be improved by any apartment, condominium, cooperative, or other building for multifamily use of greater than four dwelling units; or

    (iii) Leased for dwellings or mobile homes that are erected or placed in a mobile home development or mobile home park.

  (2) This section does not apply to residential property that is or was used, intended to be used, or authorized to be used for four or fewer dwelling units.

(b)

  (1) Whenever, in a case that involves a 99-year ground lease renewable forever, at least 6 months ground rent is in arrears and the landlord has the lawful right to reenter for the nonpayment of the rent, the landlord, no less than 45 days after sending to the tenant by certified mail, return receipt requested, at the tenant's last known address, and also by first-class mail to the title agent or attorney listed on the deed to the property or the intake sheet recorded with the deed, a bill for the ground rent due, may bring an action for possession of the property under Sec. 14-108.1 of this article.

  (2)

    (i) If the tenant cannot be personally served in accordance with paragraph (1) of this subsection, or there is no tenant in actual possession of the property, service by posting notice on the property may be made in accordance with the Maryland Rules.

    (ii) Personal service or posting in accordance with the Maryland Rules shall stand in the place of a demand and reentry.

(c)

  (1) Before entry of a judgment the landlord shall give written notice of the pending entry of judgment to each mortgagee of the lease, or any part of the lease, who before entry of the judgment has recorded in the land records of each county where the property is located a timely request for notice of judgment.

  (2) A request for notice of judgment described under paragraph (1) of this subsection shall:

    (i) Be recorded in a separate paper or electronic index that is indexed under the name of the mortgagor;

    (ii) Identify the property on which the mortgage is held and refer to the date and recording reference of that mortgage;

    (iii) State the name and address of the holder of the mortgage; and

    (iv) Identify the ground lease by stating:

      (1) The name of the original lessor;

      (2) The date the ground lease was recorded; and

      (3) The office, docket or book, and page where the ground lease is recorded.

  (3)

    (i) The landlord shall mail the notice by certified mail return receipt requested to the mortgagee at the address stated in the recorded request for notice of judgment.

    (ii) If the notice is not given, judgment in favor of the landlord does not impair the lien of the mortgagee.

    (iii) Except as otherwise provided in this subsection, the property is discharged from the lease and the rights of all persons claiming under the lease are foreclosed unless, within 6 calendar months after execution of the judgment for possession, the tenant or any other person claiming under the lease:

      (1) Pays the ground rent, arrears, and all costs awarded against that person; and

      (2) Commences a proceeding to obtain relief from the judgment.

(d) This section does not bar the right of any mortgagee of the lease, or any part of the lease, who is not in possession at any time before expiration of 6 calendar months after execution of the judgment awarding the landlord possession, to pay all costs and damages sustained by the landlord and to perform all the covenants and agreements that are to be performed by the tenant.

#### Section 8-403

(a) If the court in any case brought under Sec. 8-401 or Sec. 8-402 of this subtitle or Sec. 14-132 of this article orders an adjournment of the trial for a longer period than provided for in the section under which the case has been instituted, the tenant or the person in possession shall pay into the court exercising jurisdiction in the case an amount and in the manner determined by the court to be appropriate as specified in Sec. 8-118 of this title or, in the case of wrongful detainer, Sec. 8-118.1 of this title.

(b) However, the court may order a tenant to pay rents due and as come due into an administrative agency of any county which is empowered by local law to hold rents in escrow pending investigation and disposition of complaints by tenants; the court also may refer that case to the administrative agency for investigation and report to the court.

(c) The payment into the court shall be due before the date to which the trial is adjourned or within 5 days after adjournment if the trial is adjourned more than 5 days, or to the administrative agency within 5 days after the court has ordered the rent paid into an administrative agency.

(d) If, on motion of the plaintiff and after hearing, the court determines that the payment was not made as ordered by the court and that there is no legal justification for the failure to pay, the court shall give judgment in favor of the plaintiff and issue a warrant for possession in accordance with the provisions of the section under which the case is brought.

#### Section 8-404

(a) In this section, "claimant" means the person identified by a tenant or person in possession as someone who claims title to the property leased or possessed by the tenant or person in possession.

(b)

  (1) In any action brought under Sec. 8-401 or Sec. 8-402 of this subtitle or Sec. 14-132 of this article, if the tenant or person in possession shall allege that the title to the property is disputed and in the case of a lease, that title is claimed by a claimant whom the tenant shall name, by virtue of a right or title accruing or happening since the commencement of the lease, by descent or deed from or by devise under the last will or testament of the landlord and, otherwise, if the person in possession or any claimant is alleged to have title, then the court shall, upon determination that title is relevant, forbear to give judgment for possession and costs.

  (2) The tenant or person in possession so claiming shall cause a summons to be immediately issued to the claimant by the District Court and made returnable within 5 days next following.

  (3) The claimant shall appear before the court and shall under oath, declare that the claimant claims title to the property which is the subject of the action and shall, with two sufficient securities, enter into bond to the plaintiff or parties in interest, in such sum as the court shall determine to be proper and reasonable security to said plaintiff or parties in interest, to prosecute with effect the claimant's claim in the circuit court for the county.

  (4) If the said claim shall not be commenced in the circuit court within 10 days of the first appearance of the claimant in the District Court, the District Court shall proceed to give judgment for possession and costs and issue its warrant.

#### Section 8-405

(a) If a tenant under a lease dies intestate and without next of kin, the landlord may bring an action for summary ejectment under Sec. 8-401 of this subtitle against the tenant named in the lease notwithstanding the tenant's death.

(b) The landlord shall certify to the court in the written complaint required under Sec. 8-401(b)(1) of this subtitle that, to the best of the landlord's knowledge, the tenant is deceased, intestate, and without next of kin.

(c) Property or income from property that a landlord holds for a deceased, intestate tenant without next of kin shall be presumed abandoned in accordance with Title 17 of the Commercial Law Article.

#### Section 8-406

(a)

  (1) This section applies only in a county, a municipality, or any other jurisdiction that requires a license for the lawful operation of residential rental property.

  (2) This section does not apply to an action to repossess under Sec. 8-402.1(a)(1)(i)2B of this subtitle.

(b) On the filing of a written complaint to repossess residential property under Sec. 8-401, Sec. 8-402, or Sec. 8-402.1 of this subtitle or under Subtitle 9 of the Code of Public Local Laws of Baltimore City, the landlord shall plead with supporting facts in the form prescribed by the Judiciary that the property is:

  (1) Licensed in compliance with applicable local rental licensing requirements;

  (2) Exempt from applicable local rental licensing requirements; or

  (3) Unlicensed for reasons described under subsection (c)(1)(iii), (iv), or (v) of this section.

(c)

  (1) At trial, the landlord must demonstrate by a preponderance of the evidence that the property listed in the written complaint is:

    (i) Licensed in compliance with applicable local rental licensing requirements;

    (ii) Exempt from applicable local rental licensing requirements;

    (iii) Not licensed in compliance with applicable local rental licensing requirements because of a wrongful act of the tenant, regardless of intention, that caused the licensing authority to suspend, revoke, or refuse to grant or renew the rental license;

    (iv) Not licensed in compliance with applicable local rental licensing requirements because an administrative error or omission by the licensing authority caused the licensing authority to suspend, revoke, or refuse to grant or renew the rental license; or

    (v) Part of a multi-unit property not licensed in compliance with local rental licensing requirements because of a condition affecting another unit in the multi-unit property and where:

      (1) There is one license for multiple units;

      (2) The property listed in the written complaint and the surrounding common areas:

      (A) Satisfy the inspection requirements of the local licensing authority; and

      (B) Are free of defects that threaten the life, health, or safety of the tenant; and

      (3) The landlord has taken all necessary steps to obtain or renew the rental license for the property but is unable to obtain or renew the license due to a condition affecting another unit not subject to the eviction action on the multi-unit rental license.

  (2) The court shall grant one postponement in the event that a party seeks additional evidence related to the assertion in paragraph (1) of this subsection.

  (3) To satisfy the requirements of this subsection, a landlord may provide electronic proof of licensure.

#### Section 8-407

(a) This section applies to a warrant of restitution issued to a landlord to take possession of residential property under Sec. 8-401, Sec. 8-402, or Sec. 8-402.1 of this subtitle or an equivalent provision of public local law.

(b)

  (1) Subject to subsection (e) of this section, after a court has issued a warrant of restitution, the landlord shall, at least 6 days before the scheduled date of repossession as set by the sheriff, provide written notice to the tenant of the date on which the warrant of restitution is scheduled to be executed by:

    (i) Sending the notice by first-class mail with certificate of mailing;

    (ii) Posting the notice on the front door of the leased premises and taking a date-stamped photograph of the notice posted on the front door; and

    (iii) If the landlord knows or has on file the e-mail address or cellphone number of the tenant, sending the notice electronically to the tenant by an e-mail message or a text message.

  (2) The notice required under paragraph (1) of this subsection shall include:

    (i) The District Court case number;

    (ii) The tenant's name as stated in the summary ejectment case;

    (iii) The address of the leased premises;

    (iv) The date on which the warrant of restitution was ordered by the court;

    (v) The initial scheduled date of the eviction;

    (vi) A statement that the repossession may occur unless the tenant:

      (1) Returns possession of the leased premises to the landlord; or

      (2) For a warrant of restitution issued under Sec. 8-401 of this subtitle, exercises the right to redemption under Sec. 8-401 of this subtitle, if available;

    (vii) If the tenant still has a right to redemption of the leased premises under Sec. 8-401(h) of this subtitle, a statement showing the amount still due to redeem the property;

    (viii) A statement that the notice is the final notice to the tenant of the intended repossession, even if the repossession is stayed for any reason;

    (ix) The following statement:

    "You could lose all your personal belongings left inside your home when the eviction occurs. Local laws and practices about disposal of any of your personal belongings upon eviction vary.

    You may seek advice by calling 211 for a legal referral or by contacting the District Court Help Center at (insert the telephone number for the District Court Help Center) or (insert the address for the website of the District Court Help Center) to speak to an attorney."; and

    (x) The telephone number, e-mail address, and mailing address at which the landlord may be contacted.

  (3) A landlord may charge the tenant for expenses actually incurred in providing notice under paragraph (1) of this subsection in an amount not to exceed $5.

  (4) There is a rebuttable presumption that a tenant was notified as required under paragraph (1) of this subsection if the landlord provides to the sheriff or constable:

    (i) The certificate of mailing;

    (ii) A photograph of the notice posted on the front door of the leased premises containing a readable timestamp indicating the date and time that the notice was posted; and

    (iii) A signed affidavit of the person who posted the notice on the front door of the leased premises.

  (5)

    (i) If the sheriff reasonably believes that the landlord has not provided the notice required under paragraph (1) of this subsection or that the tenant may have redeemed the property, the sheriff:

      (1) Shall notify the District Court; and

      (2) May not execute the warrant of restitution without further order of the District Court.

    (ii) If the District Court finds that the landlord did not provide the notice required under paragraph (1) of this subsection, the District Court shall vacate the warrant of restitution.

(c) Except as provided in subsection (b)(5) of this section, if the landlord presents the documentation listed in subsection (b)(1) of this section, the sheriff or constable shall:

  (1) File the documentation with the clerk of the court; and

  (2) Subject to Sec. 14-806 of this article, execute the warrant of restitution by putting the landlord in possession of the premises.

(d) If a tenant is not present during the execution of the warrant of restitution, the sheriff or constable shall post a notice on the front door of the premises stating that repossession of the premises has been completed.

(e) Nothing in this section may be interpreted to restrict the authority of local jurisdictions to enact or enforce legislation that:

  (1) Increases the minimum number of days of notice required in subsection (b)(1) of this section to as many as 14 days;

  (2) Decreases the minimum number of days of notice required in subsection (b)(1) of this section to as few as 4 days; or

  (3) Establishes penalties for a violation of this section.

(f) If a court finds in favor of a tenant based on a violation of this section, the tenant is entitled to:

  (1) Actual damages;

  (2) Reasonable attorney's fees and costs;

  (3) Injunctive relief to recover possession of the leased premises or personal property; or

  (4) Any other remedy the court may find reasonable.

### Subtitle 5. Tenant Remedies

#### Section 8-501

No written agreement between a landlord and tenant shall provide for a longer notice period to be furnished by the tenant to the landlord in order to terminate the tenancy than that required of the landlord to the tenant in order to terminate the tenancy.

#### Section 8-502

(a)

  (1) In this section the following words have the meanings indicated.

  (2)

    (i) "Court record" means an official record of a court proceeding kept by the clerk of the court or other court personnel.

    (ii) "Court record" includes:

      (1) An index, a docket entry, a petition, a memorandum, a transcription of proceedings, an electronic recording, an order, and a judgment; and

      (2) Any electronic information about a proceeding on a website maintained by the Maryland Judiciary.

  (3) "Shield" means to remove information from public inspection in accordance with this section.

  (4) "Shielding" means:

    (i) With respect to a record kept in a courthouse, removing the record to a separate secure area to which persons who do not have a legitimate reason for access are denied access; and

    (ii) With respect to electronic information about a proceeding on a website maintained by the Maryland Judiciary, completely removing all information concerning the proceeding from the public website, including the names of the parties, case numbers, and any reference to the proceeding or any reference to the removal of the proceeding from the public website.

(b)

  (1) This section applies only to a court record relating to an action for repossession of residential property for a failure to pay rent filed on or after March 5, 2020, but before January 1, 2022.

  (2) This section does not apply to any record relating to an action for repossession for failure to pay rent that resulted in a money judgment entered in favor of a landlord unless the petitioner provides evidence to the court that the judgment has been satisfied.

(c)

  (1) An individual may petition the court to shield court records relating to any action for repossession for failure to pay rent filed against the individual if the failure to pay rent was due to a loss of income arising out of the COVID-19 pandemic.

  (2) A petition may not be filed under this section until the appeal period for the action to which a record relates has lapsed.

(d) The court shall grant a petition under this section for any record relating to an action for repossession in which there was not a judgment entered in favor of a landlord.

(e)

  (1) For any record relating to an action for repossession in which a judgment was entered in favor of a landlord, the petitioner shall serve a copy of the petition for shielding on the landlord.

  (2) A landlord may file an objection to a petition no later than 15 days after receipt of service.

  (3) If the landlord files a timely objection to the petition, the court shall hold a hearing.

  (4) If the petitioner demonstrates at the hearing that the petitioner's failure to pay rent that led to the judgment in favor of the landlord was due to a loss of income arising out of the COVID-19 pandemic, the court may grant the shielding of records relating to that judgment.

  (5) If the landlord does not file a timely objection to the petition, the court:

    (i) May grant the petition; or

    (ii) If it denies the petition, shall provide the specific reasons for that denial in the order denying the petition.

#### Section 8-503

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Court record" has the meaning stated in Sec. 8-502(a) of this subtitle.

  (3) "Failure to pay rent proceeding" means an action initiated by a landlord under Sec. 8-401 of this title.

  (4) "Shield" has the meaning stated in Sec. 8-502(a) of this subtitle.

(b)

  (1) Within 60 days after the final resolution of a failure to pay rent proceeding, the District Court shall shield all court records relating to the proceeding if the proceeding did not result in a judgment of possession.

  (2)

    (i) On motion by a tenant, the District Court may shield all court records relating to a failure to pay rent proceeding that results in a judgment of possession if:

      (1) The tenant demonstrates by a preponderance of the evidence that the tenant exercised the right of redemption under Sec. 8-401(g) of this title and at least 12 months have passed since the final resolution of the proceeding that the tenant seeks to shield; or

      (2) The District Court determines that there is good cause to shield the court records.

    (ii) Subject to subparagraph (iii) of this paragraph, the District Court shall seal the court records within 30 days after granting the tenant's motion to shield.

    (iii) If a judgment for possession is entered in a proceeding in which the tenant asserted a rent escrow defense under Sec. 8-211 of this title, the District Court may shield only the court records related to the judgment for possession.

(c) Court records shielded under subsection (b) of this section may be opened only:

  (1) On written request by the tenant; or

  (2) On order of the District Court for good cause shown.

(d) A tenant may obtain a copy of an order issued under this section at any time from a clerk of the District Court, on proper identification, without a showing of need.

(e) An order to shield court records under this section may not affect any action in which an appeal is pending.

### Subtitle 5A. Rental Housing -- Victims of Domestic Violence and Sexual Assault

#### Section 8-5A-01

(a) In this subtitle the following words have the meanings indicated.

(b) "Abuse" has the meaning stated in Sec. 4-501(b) of the Family Law Article.

(c) "Legal occupant" means an occupant who resides on the premises with the actual knowledge and permission of the landlord.

(d) "Offender" means a person who commits an act of abuse.

(e) "Peace order" means an enforceable final peace order.

(f) "Protective order" means an enforceable final protective order.

(g) "Qualified third party" means:

  (1) A physician who is authorized to practice medicine under the Health Occupations Article;

  (2) A psychologist who is authorized to practice psychology under the Health Occupations Article;

  (3) A social worker or caseworker of any public or private health or social services agency or provider; or

  (4) An advocate from a domestic violence or sexual assault prevention or assistance program.

(h) "Report by a qualified third party" means a report based on information received by a qualified third party while acting in a professional capacity that:

  (1) Indicates that the tenant or a legal occupant is seeking assistance as a result of an act of abuse;

  (2) Includes the following elements:

    (i) The name of the tenant or legal occupant;

    (ii) A statement that the tenant or legal occupant is a victim of abuse;

    (iii) The date, time, location, and a brief description of the incident;

    (iv) The name and physical description of the alleged offender, if known;

    (v) The name and address of the employer of the qualified third party;

    (vi) The licensing entity and license number of the qualified third party, if the qualified third party is required to be licensed; and

    (vii) The signature of the qualified third party, under seal of a notary public; and

  (3) Is signed and acknowledged by the tenant or legal occupant under penalty of perjury.

#### Section 8-5A-02

(a) Subject to the requirements of subsections (b) and (c) of this section, a tenant may terminate the tenant's future liability under a residential lease if the tenant or legal occupant is a victim of abuse.

(b) If a tenant or legal occupant is a victim of abuse, the tenant may provide to the landlord the written notice required under Sec. 8-5A-03 of this subtitle and, if the written notice is provided, the tenant shall have 30 days to vacate the leased premises from the date of providing the written notice.

(c)

  (1) A tenant who vacates leased premises under this section is responsible for rent only for the time following the tenant providing notice of an intent to vacate until the tenant vacates the leased premises, up to a maximum of 30 days.

  (2)

    (i) If a tenant vacates the leased premises earlier than 30 days after the date the tenant provides written notice of an intent to vacate, the tenant shall provide the landlord with written notice, signed by the tenant and notarized, by first-class mail or hand delivery stating that the tenant has vacated the leased premises.

    (ii) On receiving a notice identified in subparagraph (i) of this paragraph, a landlord shall inspect the leased premises and, if the tenant has vacated the leased premises, provide the tenant with a written statement that:

      (1) Confirms the tenant has vacated the leased premises;

      (2) States the rent that the tenant is responsible for under this subsection; and

      (3) States the amount of rent still owed by the tenant or the amount of any overpayment of rent to be refunded.

    (iii) For the purpose of calculating the rent that a tenant is responsible for under this subsection, the tenant shall be deemed to have vacated the leased premises:

      (1) If notice is delivered by first-class mail, on the date the notice was postmarked; or

      (2) If notice is hand delivered, on the date the notice was hand delivered to the landlord.

    (iv) A tenant who vacates the leased premises earlier than 30 days after the date the tenant provided written notice of an intent to vacate and who fails to provide the written notice required under this paragraph shall be responsible for the maximum rent required under paragraph (1) of this subsection.

(d) If a tenant does not vacate the leased premises within 30 days of providing to the landlord the written notice required under Sec. 8-5A-03 of this subtitle, the landlord is, at the landlord's option and with written notice to the tenant, entitled to:

  (1) All legal remedies against a tenant holding over available under Sec. 8-402 of this title; or

  (2) Deem the tenant's notice of an intent to vacate to have been rescinded and the terms of the original lease to be in full force and effect.

(e) The termination of a tenant's future liability under a residential lease under this section does not terminate or in any other way impact the future liability of a tenant who is the respondent in the action that results in:

  (1) A protective order issued for the benefit of the victim tenant or victim legal occupant under Sec. 4-506 of the Family Law Article; or

  (2) A peace order issued for the benefit of the victim tenant or victim legal occupant under Sec. 3-1505 of the Courts Article for which the underlying act was an act of abuse.

#### Section 8-5A-03

(a) If a tenant or legal occupant is a victim of abuse, the tenant may terminate the tenant's future liability under a residential lease under Sec. 8-5A-02 of this subtitle if the tenant provides the landlord with written notice by first-class mail or hand delivery of an intent to vacate the leased premises, including the tenant's or legal occupant's status as a victim of abuse.

(b) The notice provided under subsection (a) of this section shall include:

  (1) A copy of a protective order issued for the benefit of the tenant or legal occupant under Sec. 4-506 of the Family Law Article;

  (2) A copy of a peace order issued for the benefit of the tenant or legal occupant under Sec. 3-1505 of the Courts Article for which the underlying act was an act of abuse; or

  (3) A copy of a report by a qualified third party, provided that:

    (i) The name and physical description of the alleged perpetrator are redacted; and

    (ii) The report was signed by the qualified third party within the preceding 60 days.

#### Section 8-5A-04

(a) This section applies to an action for possession of property under Sec. 8-402.1 of this title against a tenant or legal occupant who is a victim of abuse.

(b)

  (1) A tenant is deemed to have raised a rebuttable presumption that the alleged breach of the lease does not warrant an eviction if the tenant provides to the court:

    (i) A copy of a protective order issued for the benefit of the tenant or legal occupant under Sec. 4-506 of the Family Law Article;

    (ii) A copy of a peace order issued for the benefit of the tenant or legal occupant under Sec. 3-1505 of the Courts Article for which the underlying act was an act of abuse; or

    (iii) A report by a qualified third party, provided that:

      (1) The name and physical description of the alleged perpetrator are redacted; and

      (2) The alleged breach of the lease occurred within 60 days of the date the report was signed by the qualified third party.

  (2) If an act of abuse is raised as a defense in an action for possession of property under Sec. 8-402.1 of this title, the court, in its discretion, may enter a judgment in favor of a tenant who does not provide the evidence described in paragraph (1) of this subsection.

#### Section 8-5A-05

(a) A person who is a victim of abuse and who is a tenant under a residential lease may provide to the landlord a written request to change the locks of the leased premises if the protective order or peace order issued for the benefit of the tenant or legal occupant requires the respondent to refrain from entering or to vacate the residence of the tenant or legal occupant.

(b) The written request provided under subsection (a) of this section shall include:

  (1) A copy of a protective order issued for the benefit of the tenant or legal occupant under Sec. 4-506 of the Family Law Article; or

  (2) A copy of a peace order issued for the benefit of the tenant or legal occupant under Sec. 3-1505 of the Courts Article for which the underlying act was an act of abuse.

(c)

  (1) The landlord shall change the locks on the leased premises by the close of the next business day after receiving a written request under subsection (a) of this section.

  (2) If the landlord fails to change the locks as required under paragraph (1) of this subsection, the tenant:

    (i) May have the locks changed by a certified locksmith on the leased premises without permission from the landlord; and

    (ii) Shall give a duplicate key to the landlord or the landlord's agent by the close of the next business day after the lock change.

(d) If a landlord changes the locks on a tenant's leased premises under subsection (c) of this section, the landlord:

  (1) Shall provide a copy of the new key to the tenant who made the request for the change of locks at a mutually agreed time not to exceed 48 hours following the lock change; and

  (2) May charge a fee to the tenant not exceeding the reasonable cost of changing the locks.

(e)

  (1) If a landlord charges a fee to the tenant for changing the locks on a tenant's leased premises under subsection (d) of this section, the tenant shall pay the fee within 45 days of the date the locks are changed.

  (2) If a tenant does not pay a fee as required under paragraph (1) of this subsection, the landlord may:

    (i) Charge the fee as additional rent; or

    (ii) Withhold the amount of the fee from the tenant's security deposit.

#### Section 8-5A-06

A landlord may not disclose any information provided by a tenant under this subtitle to a third party unless:

(1) The tenant consents in writing to the disclosure; or

(2) The disclosure is required by law or a court order.

### Subtitle 6. Jury Demands

#### Section 8-601

Any party to an action brought in the District Court under this title or Sec. 14-132 of this article in which the amount in controversy meets the requirements for a trial by jury may, in accordance with this subtitle, demand a trial by jury.

#### Section 8-602

(a) A jury demand must be made by a separate written pleading. Except as provided in subsection (b) of this section, a jury demand under this subsection shall be filed with the court as provided in item (1) or (2) of this subsection or the right to trial by jury is waived:

  (1) In nonresidential cases, within fifteen days of posting or personal service, or at the parties' first scheduled appearance before the court, whichever occurs sooner; and

  (2) In residential cases, at the parties' first scheduled appearance before the court.

(b) The time for filing the jury demand may be extended by agreement of all parties and that extension shall not be later than the first scheduled appearance of the parties.

#### Section 8-603

(a) A provision contained within a residential lease in which a tenant is occupying the space as that tenant's primary residence which waives a trial by jury shall be invalid and unenforceable.

(b) A provision in any lease other than that specified in subsection (a) of this section which waives a trial by jury shall be valid and enforceable.

#### Section 8-604

(a) A demand for trial by jury under this subtitle shall be subject to review by the District Court.

(b) If the jury demand is filed at the first scheduled appearance in accordance with Sec. 8-602(b) of this subtitle, then any party to the action contesting the jury demand shall, at the first scheduled appearance, object to the jury demand and describe the basis of the invalidity of the jury demand.

(c) If the jury demand is filed at a time other than the first scheduled appearance in accordance with Sec. 8-602(a) or (b) of this subtitle, then any other party to the action contesting the validity of the jury demand shall file an "objection to jury demand" within 10 days of the filing of the jury demand which such objection shall describe the basis of the invalidity of the jury demand, provided, however, that the "objection to jury demand" shall be filed at the first scheduled appearance if that occurs prior to the expiration of the period set forth in Sec. 8-602 of this subtitle.

(d) In the event that a jury demand and an "objection to jury demand" is filed in accordance with Sec. 8-602 of this subtitle and subsection (b) of this section:

  (1) If an "objection to jury demand" is filed under subsection (b) of this section, the court shall consider the validity of the jury demand at the time of the first scheduled appearance of the parties;

  (2) If an "objection to jury demand" is filed under subsection (c) of this section at a time other than trial, the court shall set the objection in for a hearing before the trial; or

  (3) If the "objection to jury demand" is filed at the time of trial under subsection (c) of this section, the court shall consider the validity of the jury demand at trial.

(e) In the event a jury demand is filed prior to the first scheduled appearance and the time for filing an objection under subsection (c) of this section shall not have expired prior to the first scheduled appearance, and all other parties to the action file a "nonobjection to jury demand" at least 1 day prior to the first scheduled appearance, or if the time for filing an objection under subsection (c) of this section shall have expired prior to the first scheduled appearance and no objection having been filed, then the action shall be removed from the docket and transferred to the circuit court.

(f) In the event that a jury demand is made under this subtitle, the District Court shall not be divested of jurisdiction and the matter shall not be removed to the circuit court until such time as the District Court has reviewed the jury demand, provided, however, that any hearing on the validity of a jury demand under this subtitle must occur within 10 days of the date of jury demand.

(g)

  (1) The District Court's review of the validity of a jury demand shall be limited to:

    (i) Timeliness of the jury demand;

    (ii) The amount in controversy; and

    (iii) The existence of a valid waiver.

  (2) In the event that the District Court finds that the jury demand is invalid, the matter shall proceed in the District Court; however, upon conclusion of the District Court trial any party filing a jury demand determined invalid by the court may include the validity of the jury demand in an appeal, as set forth under the Maryland Rules.

### Subtitle 7. Registry of Ground Leases

#### Section 8-701

(a) In this subtitle the following words have the meanings indicated.

(b) "Current ground rent deed of record" means the document that vests title to the reversionary interest in the current ground lease holder.

(c) "Department" means the State Department of Assessments and Taxation.

(d) "Ground lease" means a residential lease or sublease for a term of years renewable forever subject to the payment of a periodic ground rent.

(e)

  (1) "Ground lease holder" means the holder of the reversionary interest under a ground lease.

  (2) "Ground lease holder" includes an agent of the ground lease holder.

(f) "Ground rent" means a rent issuing out of, or collectible in connection with, the reversionary interest under a ground lease.

(g) "Leasehold interest" means the tenancy in real property created under a ground lease.

(h) "Leasehold tenant" means the holder of the leasehold interest under a ground lease.

#### Section 8-702

(a) This subtitle applies to residential property that was or is used, intended to be used, or authorized to be used for four or fewer dwelling units.

(b) This subtitle does not apply to property:

  (1) Leased for business, commercial, manufacturing, mercantile, or industrial purposes, or any other purpose that is not primarily residential;

  (2) Improved or to be improved by any apartment, condominium, cooperative, or other building for multifamily use of greater than four dwelling units; or

  (3) Leased for dwellings or mobile homes that are erected or placed in a mobile home development or mobile home park.

#### Section 8-703

(a)

  (1) The Department shall maintain an online registry of all properties that are subject to ground leases.

  (2) The online registry shall:

    (i) Identify properties for which a renewal notice to preserve the irredeemability of an irredeemable ground lease has been filed; and

    (ii) Include a clear notation of the expiration date for each renewal notice.

(b) A ground lease or an amendment is not registered until the ground lease or amendment is posted on the online registry.

(c) The Department is not responsible for the completeness or accuracy of the contents of the online registry.

#### Section 8-704

(a) A ground lease holder shall register a ground lease with the Department by submitting a registration form that the Department requires.

(b) The registration form shall include:

  (1) The premise address and tax identification number of the property for which the ground lease was created;

  (2)

    (i) The name and address of the ground lease holder; and

    (ii) A section that provides the ground lease holder the option to include the ground lease holder's telephone number and e-mail address;

  (3) The name and address of the leasehold tenant;

  (4) The name and address of the person to whom the ground rent payment is sent;

  (5) The amount and payment dates of the ground rent installments;

  (6) To the best of the ground lease holder's knowledge, a statement of the range of years in which the ground lease was created; and

  (7) The liber and folio information for the current ground rent deed of record.

(c) The reporting form for changes or corrections to a ground lease registration shall include a section that provides the ground lease holder the option to include the ground lease holder's telephone number and e-mail address.

#### Section 8-705

(a) The Department shall register a ground lease when the Department receives a registration form.

(b) If for any reason the Department is unable to register a ground lease for which a registration form has been submitted, the Department shall notify the ground lease holder of that ground lease, within 30 days of processing the registration form, of any information needed by the Department so as to complete the registration.

#### Section 8-706

After a ground lease is registered, the ground lease holder shall promptly notify the Department of:

(1) A change in the name or address of the ground lease holder or person to whom the ground rent payment is sent;

(2) A redemption of the ground lease; and

(3) Any other information the Department requires.

#### Section 8-707

(a) If a ground lease is not registered in accordance with this subtitle:

  (1) The ground lease holder may not:

    (i) Collect or attempt to collect any ground rent payments, late fees, interest, collection costs, or other expenses related to the ground lease;

    (ii) Bring a civil action against the leasehold tenant to enforce any rights the ground lease holder may have under the ground lease; or

    (iii) Bring an action against the leasehold tenant under Subtitle 8 of this title; and

  (2) The leasehold tenant of the unregistered ground lease may not be required to hold more than 3 years of ground rent in escrow for the unregistered ground lease.

(b)

  (1) A leasehold tenant who believes that a ground lease holder has collected or attempted to collect ground rent payment, late fees, interest, collection costs, or other expenses related to the ground lease in violation of subsection (a)(1) of this section may submit to the Department an affidavit stating the factual basis for the leasehold tenant's belief and any documents in support of the affidavit.

  (2) On receipt of an affidavit and any supporting documents submitted under paragraph (1) of this subsection, the Department shall send notice to the ground lease holder that is the subject of the submission stating that:

    (i) The Department has received a submission alleging that the ground lease holder has violated subsection (a)(1) of this section; and

    (ii) The relevant ground lease registration or amendment submitted to the Department by the ground lease holder for the property in question may be voided in the Department's records unless, within 45 days after the notice, the ground lease holder submits to the Department a counter-affidavit and any documents in support of the counter-affidavit that sets forth the ground lease holder's belief that any collection or attempted collection described in the affidavit did not violate subsection (a)(1) of this section and the factual basis for that belief.

  (3) Notice sent to the ground lease holder under paragraph (2) of this subsection shall:

    (i) Be sent by certified mail, return receipt requested, and by first-class mail to the address provided in the ground lease holder's ground lease registration or amendment, or to any other address used by the ground lease holder known to the Department; and

    (ii) Include a copy of the affidavit and any supporting documents submitted by the leasehold tenant to the Department.

(c)

  (1) If, after reviewing any affidavits, timely submitted counter-affidavits, and any supporting documents, the Department reasonably believes that the ground lease holder violated subsection (a)(1) of this section, the Department may make a final decision.

  (2) Following a decision made under paragraph (1) of this subsection, the Department shall promptly send to all persons who submitted affidavits and counter-affidavits notice of the decision.

  (3) Notice required under paragraph (2) of this subsection shall:

    (i) Be sent by certified mail, return receipt requested, and by first-class mail; and

    (ii) State that the Department:

      (1) Reasonably believes that the ground lease holder has violated subsection (a)(1) of this section; and

      (2) May void a relevant ground lease registration or amendment in the Department's records unless, within 45 days after the date of the notice, the ground lease holder files an action in the circuit court under subsection (e) of this section.

(d)

  (1) If, after reviewing any affidavits, timely submitted counter-affidavits, and supporting documents, the Department reasonably believes that the ground lease holder did not violate subsection (a)(1) of this section, the Department shall promptly send to all persons who submitted affidavits or timely filed counter-affidavits notice of the decision.

  (2) Notice required under paragraph (1) of this subsection shall:

    (i) Be sent by certified mail, return receipt requested, and by first-class mail; and

    (ii) State that:

      (1) The Department reasonably believes that the ground lease holder did not violate subsection (a)(1) of this section; and

      (2) The Department will take no further action unless, within 45 days after the date of the notice, the leasehold tenant files an action in the circuit court under subsection (e) of this section.

(e)

  (1) Following notice of a final decision by the Department made under this section, a ground lease holder or a leasehold tenant may file an action in the circuit court.

  (2) An action filed under this subsection shall be filed:

    (i) Within 45 days after the date of notice by the Department; and

    (ii)

      (1) In the circuit court for the county in which the petitioner resides; or

      (2) If the person does not reside in the State, in the circuit court for the county in which the property subject to the ground lease is located.

  (3) An action filed under this subsection shall be heard de novo by the circuit court.

  (4) Each person who was sent a notice under subsection (c) or (d) of this section shall be a party to an action filed under this subsection.

  (5) The Department may not be joined as a party in an action under this subsection.

(f)

  (1) If a court determines that a ground lease holder has violated subsection (a)(1) of this section:

    (i) The court shall enter an order requiring the Department to void the appropriate ground lease registration or amendment in the Department's records;

    (ii) The prevailing party shall provide a copy of the order to the Department; and

    (iii) The Department shall promptly void the registration or amendment and enter a notation in the Department's records that the relevant ground lease registration or amendment is void under a court order.

  (2) If a court determines that the ground lease holder has not violated subsection (a)(1) of this section:

    (i) The court shall enter an order finding that the collection or attempted collection that was the subject of the complaint was not unlawful; and

    (ii) The prevailing party shall provide a copy of the order to the Department.

(g)

  (1) A ground lease holder or leasehold tenant who files an action under subsection (e) of this section shall mail a copy of the complaint to the Department within 45 days after the date of notice of decision issued by the Department.

  (2) If the Department does not receive a copy of a complaint filed under subsection (e) of this section within 45 days after the date of the notice of decision issued by the Department, the Department shall take action in accordance with its final decision.

(h) A ground lease registration or amendment that has been voided by the Department under this section may not be considered registered.

(i) The Department shall include notice on all ground rent forms and on its website in substantially the following form:

"Notice required by law: A ground rent lease holder may not collect or attempt to collect ground rent, late fees, interest, collection costs, or any other expenses related to a ground lease that is not registered and posted on the Department's online ground rent registry.". 

(j)

  (1) The Department shall develop a form affidavit and a form counter-affidavit that shall be used by a leasehold tenant and ground lease holder, respectively, for submissions made to the Department under subsection (b) of this section.

  (2) The form affidavit and form counter-affidavit developed by the Department shall include an acknowledgment that the form is being signed under penalty of perjury.

(k) The Department may not charge a fee to carry out this section.

(l) The Department may adopt regulations to carry out this section.

#### Section 8-707.1

(a)

  (1) Subject to paragraph (2) of this subsection, a leasehold tenant or an interested party may submit to the Department documentation satisfactory to the Department of the redemption of a ground lease if:

    (i) The ground lease is redeemed in a private transaction between the ground lease holder and the leasehold tenant; and

    (ii) The ground lease holder has failed to notify the Department of the redemption as required under Sec. 8-706(2) of this subtitle.

  (2) The documentation submitted under paragraph (1) of this subsection shall include a certified copy of the ground lease redemption deed that has been filed in the land records of the county in which the property that was subject to the ground lease is located.

(b) After accepting documentation under subsection (a) of this section, the Department shall update the online registry as required under Sec. 8-703 of this subtitle to indicate that a ground lease has been redeemed.

#### Section 8-708

The Department shall work with the State Archives to coordinate the recordation, indexing, and linking of ground leases registered under this subtitle.

#### Section 8-710

The Department shall adopt regulations to carry out this subtitle.

### Subtitle 8. Residential Ground Leases

#### Section 8-801

(a) In this subtitle the following words have the meanings indicated.

(b) "Department" means the State Department of Assessments and Taxation.

(c) "Ground lease" means a residential lease or sublease for a term of years renewable forever subject to the payment of a periodic ground rent.

(d)

  (1) "Ground lease holder" means the holder of the reversionary interest under a ground lease.

  (2) "Ground lease holder" includes an agent of the ground lease holder.

(e) "Ground rent" means a rent issuing out of, or collectible in connection with, the reversionary interest under a ground lease.

(f) "Leasehold interest" means the tenancy in real property created under a ground lease.

(g) "Leasehold tenant" means the holder of the leasehold interest under a ground lease.

#### Section 8-801.1

(a) The General Assembly declares that it is in the public interest for ground rents to be redeemed.

(b) It is the intent of the General Assembly that the Department use its ground rent redemption program to assist in the redemption of ground rents.

#### Section 8-802

(a) This subtitle applies to residential property that was or is used, intended to be used, or authorized to be used for four or fewer dwelling units.

(b) This subtitle does not apply to property:

  (1) Leased for business, commercial, manufacturing, mercantile, or industrial purposes, or any other purpose that is not primarily residential;

  (2) Improved or to be improved by any apartment, condominium, cooperative, or other building for multifamily use of greater than four dwelling units; or

  (3) Leased for dwellings or mobile homes that are erected or placed in a mobile home development or mobile home park.

#### Section 8-803

(a) This section does not apply to property that is subject to an affordable housing land trust agreement executed under Title 14, Subtitle 5 of this article.

(b) On or after January 22, 2007, the owner of a fee simple or leasehold estate in residential property that is or was used, intended to be used, or authorized to be used for four or fewer dwelling units may not create a reversionary interest in the property under a ground lease or a ground sublease for a term of years renewable forever subject to the payment of a periodic ground rent.

#### Section 8-804

(a)

  (1) Except as provided in subsection (f) of this section, this section does not apply to irredeemable ground leases preserved under Sec. 8-805 of this subtitle.

  (2) This section does not apply to an affordable housing land trust agreement executed under Title 14, Subtitle 5 of this article.

(b)

  (1) Except for apartment and cooperative leases, any reversion reserved in a ground lease for longer than 15 years is redeemable at any time, at the option of the leasehold tenant, after 30 days' notice to the ground lease holder. Notice shall be given by certified mail, return receipt requested, and by first-class mail to the last known address of the ground lease holder.

  (2) The reversion is redeemable:

    (i) For a sum equal to the annual ground rent reserved multiplied by:

      (1) 25, which is capitalization at 4 percent, if the ground lease was executed from April 8, 1884 to April 5, 1888, both inclusive;

      (2)

        (8) 33, which is capitalization at 12 percent, if the ground lease was or is created after July 1, 1982; or

      (3)

        (16) 66, which is capitalization at 6 percent, if the ground lease was created at any other time;

    (ii) For a lesser sum if specified in the ground lease; or

    (iii) For a sum to which the parties may agree at the time of redemption.

  (3)

    (i) If the leasehold tenant is in default under a security instrument, the holder of the secured interest in the property that is subject to a ground lease, or any portion of a ground lease, that is recorded in the land records of the county in which the property is located may apply to the State Department of Assessments and Taxation to redeem the reversion as provided under this section.

    (ii) If a holder of a secured interest applies to redeem a reversion as authorized under subparagraph (i) of this paragraph, the holder also shall pay to the ground lease holder the outstanding amount due, including, if authorized under the ground lease, reasonable late fees, interest, collection costs, and expenses as provided under Sec. 8-807 of this subtitle.

(c) If a leasehold tenant has power to redeem the reversion from a trustee or other person who does not have a power of sale, the reversion nevertheless may be redeemed in accordance with the procedures prescribed in the Maryland Rules.

(d) Notwithstanding subsection (b) of this section, any regulatory changes made by a federal agency, instrumentality, or subsidiary, including the Department of Housing and Urban Development, the Federal Housing Administration, the Government National Mortgage Association, the Federal National Mortgage Association, and the U.S. Department of Veterans Affairs, shall be applicable to redemption of reversions of ground leases for longer than 15 years.

(e)

  (1) Before the entry of a judgment foreclosing a leasehold tenant's right of redemption, a reversion in a ground rent or ground lease for 99 years renewable forever held on abandoned property in Baltimore City, as defined in Sec. 14-817 of the Tax - Property Article, may be donated to Baltimore City or, at the option of Baltimore City, to an entity designated by Baltimore City.

  (2) Valuation of the donation of a reversionary interest under this subsection shall be in accordance with subsection (b) of this section.

(f)

  (1)

    (i) A leasehold tenant who has given the ground lease holder notice in accordance with subsection (b) of this section may apply to the Department to redeem a ground rent as provided in this subsection.

    (ii) When the Mayor and City Council of Baltimore City acquires property that is subject to an irredeemable ground rent, the City shall become the leasehold tenant of the ground rent and, after giving the ground lease holder notice in accordance with subsection (b) of this section, may apply to the Department to extinguish the ground rent as provided in this subsection.

    (iii) When the Mayor and City Council of Baltimore City acquires abandoned or distressed property that is subject to a redeemable ground rent, the City shall become the leasehold tenant of the ground rent and, after giving the ground lease holder notice in accordance with subsection (b) of this section, may apply to the Department to redeem the ground rent as provided in this subsection.

  (2) The leasehold tenant shall provide to the Department:

    (i) Documentation satisfactory to the Department of the ground lease and the notice given to the ground lease holder; and

    (ii) Payment of a $20 fee, and any expediting fee required under Sec. 1-203 of the Corporations and Associations Article.

  (3)

    (i) On receipt of the items stated in paragraph (2) of this subsection, the Department shall post notice on its website that application has been made to redeem or extinguish the ground rent.

    (ii) The notice shall remain posted for at least 90 days.

  (4) Except as provided in paragraph (5) of this subsection, a leasehold tenant seeking to redeem a ground rent shall provide to the Department:

    (i) Payment of the redemption amount and up to 3 years' past due ground rent to the extent required under this section and Sec. 8-806 of this subtitle, in a form satisfactory to the Department; and

    (ii) An affidavit made by the leasehold tenant, in the form adopted by the Department, certifying that:

      (1) The leasehold tenant has not received a bill for ground rent due or other communication from the ground lease holder regarding the ground rent during the 3 years immediately before the filing of the documentation required for the issuance of a redemption certificate under this subsection; or

      (2) The last payment for ground rent was made to the ground lease holder identified in the affidavit and sent to the same address where the notice required under subsection (b) of this section was sent.

  (5) A leasehold tenant seeking to extinguish an irredeemable ground rent or to redeem a redeemable ground rent on abandoned or distressed property that was acquired or is being acquired by the Mayor and City Council of Baltimore shall provide to the Department:

    (i) Payment of up to 3 years' past due ground rent to the extent required under this section and Sec. 8-806 of this subtitle, in a form satisfactory to the Department; and

    (ii) An affidavit made by the Commissioner of the Baltimore City Department of Housing and Community Development or the Commissioner's designee certifying that:

      (1) The property is abandoned property, as defined in Sec. 21-17(a)(2) of the Public Local Laws of Baltimore City, or distressed property, as defined in Sec. 21-17(a)(3) of the Public Local Laws of Baltimore City;

      (2) The property was acquired or is being acquired by the Mayor and City Council of Baltimore City; and

      (3) The existence of the ground rent is an impediment to redevelopment of the site.

  (6) At any time, the leasehold tenant may submit to the Department notice that the leasehold tenant is no longer seeking redemption or extinguishment under this subsection.

  (7) The Department shall issue to a leasehold tenant a ground rent redemption certificate or a ground rent extinguishment certificate, as appropriate, when:

    (i) Notice that application has been made to redeem or extinguish the ground rent has been posted on the Department's website for at least 90 days; and

    (ii) The Department has received the documentation, fees, and, where applicable, the redemption amount and 3 years' past due ground rent to the extent required under this section and Sec. 8-806 of this subtitle.

  (8) The redemption or extinguishment of the ground rent is effective to conclusively divest the ground lease holder of the reversion and vest the reversion in the leasehold tenant, and eliminate all right, title, or interest of the ground lease holder, any lien of a creditor of the ground lease holder, and any person claiming by, through, or under the ground lease holder when the leasehold tenant records the certificate in the land records of the county in which the property is located.

  (9) The ground lease holder, any creditor of the ground lease holder, or any other person claiming by, through, or under the ground lease holder may file a claim with the Department in order to collect all, or any portion of, where applicable, the redemption amount and 3 years' past due ground rent to the extent required under this section and Sec. 8-806 of this subtitle, without interest, by providing to the Department:

    (i) Documentation satisfactory to the Department of the claimant's interest; and

    (ii) Payment of a $20 fee, and any expediting fee required under Sec. 1-203 of the Corporations and Associations Article.

  (10)

    (i) A ground lease holder whose ground rent has been extinguished may file a claim with the Baltimore City Director of Finance to collect an amount equal to the annual ground rent reserved multiplied by 16.66, which is capitalization at 6 percent, by providing to the Director:

      (1) Proof of payment to the ground lease holder by the Department of past due ground rent under paragraph (9) of this subsection; and

      (2) Payment of a $20 fee.

    (ii) A ground lease holder of abandoned or distressed property acquired by the Mayor and City Council of Baltimore City whose ground rent has been redeemed may file a claim with the Baltimore City Director of Finance to collect the redemption amount, by providing to the Director:

      (1) Proof of payment to the ground lease holder by the Department of past due ground rent under paragraph (9) of this subsection; and

      (2) Payment of a $20 fee.

  (11)

    (i) In the event of a dispute regarding the extinguishment amount as calculated under paragraph (10)(i) of this subsection, the ground lease holder may refuse payment from the Baltimore City Director of Finance and file an appeal regarding the valuation in the Circuit Court of Baltimore City.

    (ii) In an appeal, the ground lease holder is entitled to receive the fair market value of the ground lease holder's interest in the property at the time of the extinguishment.

  (12) In the event of a dispute regarding the payment by the Department to any person of all or any portion of the collected redemption amount and up to 3 years' past due ground rent to the extent required by this section and Sec. 8-806 of this subtitle, the Department may:

    (i) File an interpleader action in the circuit court of the county where the property is located; or

    (ii) Reimburse the ground lease holder from the fund established in Sec. 1-203.3 of the Corporations and Associations Article.

  (13) The Department is not liable for any sum received by the Department that exceeds the sum of:

    (i) The redemption amount; and

    (ii) Up to 3 years' past due ground rent to the extent required by this section and Sec. 8-806 of this subtitle.

  (14) The Department shall credit all fees and funds collected under this subsection to the fund established under Sec. 1-203.3 of the Corporations and Associations Article. Redemption and extinguishment amounts received shall be held in a ground rent redemption and ground rent extinguishment account in that fund.

  (15) The Department shall maintain a list of properties for which ground rents have been redeemed or extinguished under this subsection.

  (16) The Department shall adopt regulations to carry out the provisions of this subsection.

  (17) Any redemption or extinguishment funds not collected by a ground lease holder under this subsection within 20 years after the date of the payment to the Department by the leasehold tenant shall escheat to the State. The Department shall annually transfer any funds that remain uncollected after 20 years to the State General Fund at the end of each fiscal year.

#### Section 8-805

(a)

  (1) In this section the following words have the meanings indicated.

  (2) "Irredeemable ground rent" means a ground rent created under a ground lease executed before April 9, 1884, that does not contain a provision allowing the leasehold tenant to redeem the ground rent.

  (3) "Redeemable ground rent" means a ground rent that may be redeemed in accordance with this section or redeemed or extinguished in accordance with Sec. 8-804(f) of this subtitle.

(b)

  (1) An irredeemable ground rent shall be converted to, and become, a redeemable ground rent, unless within the times specified in subsection (e) of this section, a notice of intention to preserve irredeemability is recorded among the land records of the county where the property is located and filed with the Department.

  (2) The conversion of an irredeemable ground rent to a redeemable ground rent occurs on the day following the end of the period in which the notice may be recorded among the land records of the county where the property is located or filed with the Department.

  (3) A disability or lack of knowledge of any kind does not prevent the conversion of an irredeemable ground rent to a redeemable ground rent if no notice of intention to preserve irredeemability is filed within the times specified in subsection (e) of this section.

(c)

  (1) Any ground lease holder of an irredeemable ground rent may record a notice of intention to preserve irredeemability among the land records of the county where the land is located.

  (2) The notice may be recorded by:

    (i) The person claiming to be the ground lease holder; or

    (ii) If the ground lease holder is under a disability or otherwise unable to assert a claim on the ground lease holder's own behalf, any other person acting on the ground lease holder's behalf.

(d)

  (1) To be effective and to be entitled to be recorded, the notice shall be executed by the ground lease holder, acknowledged before a notary public, and contain substantially the following information:

    (i) An accurate description of the leasehold interest affected by the notice, including, if known, the property improvement address;

    (ii) The name of every ground lease holder of an irredeemable ground rent;

    (iii) The name of every leasehold tenant as of the time the notice is filed according to the land records or the records of the Department;

    (iv) The recording reference of the ground lease;

    (v) The recording reference of every leasehold tenant's leasehold deed, as of the time the notice is filed, according to the land records or the records of the Department;

    (vi) The recording reference of every irredeemable ground rent ground lease holder's deed; and

    (vii) The block number for the leasehold interest if the property is located in Baltimore City.

  (2)

    (i) A notice that substantially meets the requirements of this section shall be accepted for recording among the land records on payment of the same fees as are charged for the recording of deeds.

    (ii) The filing of a notice is exempt from the imposition of a State or local excise tax.

  (3) The notice shall be indexed as "Notice of Intention to Preserve Irredeemability":

    (i) In the grantee indices of deeds under the name of every ground lease holder of an irredeemable ground rent;

    (ii) In the grantor indices of deeds under the name of every leasehold tenant as of the time the notice is filed according to the land records or the records of the Department; and

    (iii) In the block index in Baltimore City.

(e)

  (1) To preserve the irredeemability of an irredeemable ground rent, a notice of intention to preserve shall be recorded on or before December 31, 2010.

  (2) If a notice of intention to preserve is not recorded on or before December 31, 2010, the ground rent becomes a redeemable ground rent.

  (3) If a notice is recorded on or before December 31, 2010, the ground rent shall remain irredeemable for a period of 10 years from January 1, 2011, to December 31, 2020, both inclusive.

  (4)

    (i) The effectiveness of a filed notice to preserve irredeemability shall lapse on January 1, 2021, and the ground rent shall become a redeemable ground rent, unless:

      (1) A renewal notice containing substantially the same information as the notice of intention to preserve irredeemability is recorded within 6 months before the expiration of the 10-year period set forth in paragraph (3) of this subsection; and

      (2) The renewal notice is filed with the Department on or before April 1, 2023.

    (ii) The effectiveness of any subsequently filed renewal notice shall lapse after the expiration of the applicable 10-year period and the ground rent shall become a redeemable ground rent, unless:

      (1) Further renewal notices are recorded within 6 months before the expiration of the applicable 10-year period; and

      (2) Each renewal notice is filed with the Department within 3 months after the date of recordation in the land records.

(f) A ground rent made redeemable in accordance with this section:

  (1) Is redeemable at any time following the date of conversion of the irredeemable ground rent to a redeemable ground rent; and

  (2) Shall be redeemable for a sum equal to the annual rent reserved multiplied by 16.66, which is capitalization at 6 percent.

#### Section 8-806

(a)

  (1) In any suit, action, or proceeding by a ground lease holder, or the transferee of the reversion in property subject to a ground lease, to recover past due ground rent, the ground lease holder, or the transferee of the reversion is entitled to demand or recover not more than 3 years' past due ground rent, calculated from the date notice was sent under Sec. 8-807(c)(1) of this subtitle.

  (2) Notwithstanding any other provision of law, a ground lease holder may not bring any suit, action, or proceeding against the current leasehold tenant or a former leasehold tenant to recover the ground rent that was due and owing before the date the current leasehold tenant acquired title to the leasehold interest if the ground lease was not registered in accordance with Subtitle 7 of this title before the date the current leasehold tenant acquired title.

(b) If authorized under the ground lease, a ground lease holder may be reimbursed for reasonable late fees, interest, collection costs, and expenses, subject to the same limitations as provided in Sec. 8-807 of this subtitle.

(c)

  (1) Notwithstanding any other provision of law, in any suit, action, or proceeding to recover past due ground rent, a ground lease holder may only recover not more than 3 years' past due ground rent, calculated from the date notice was sent under Sec. 8-807(c)(1) of this subtitle, if the property is:

    (i) Owned or acquired by any means by the Mayor and City Council of Baltimore; and

    (ii) Distressed property, as defined in Sec. 21-17(a)(3) of the Public Local Laws of Baltimore City.

  (2) Notwithstanding any other provision of law, a ground lease holder may not bring any suit, action, or proceeding against the current leasehold tenant to recover the ground rent that was due and owing from a former leasehold tenant before the date that the current leasehold tenant acquired title, if the property is:

    (i) Owned or acquired by any means by the current leasehold tenant; and

    (ii) Abandoned property, as defined in Sec. 21-17(a)(2) of the Public Local Laws of Baltimore City.

  (3) With regard to property described under paragraphs (1) and (2) of this subsection, a ground lease holder may request in writing that the current leasehold tenant acquire the reversionary interest under the ground lease for the market value established at the time of the acquisition by the current leasehold tenant under the ground lease.

#### Section 8-807

(a) For property subject to a ground lease in effect on or after July 1, 2007, a ground lease holder may bring an action for possession for nonpayment of ground rent only:

  (1) If the ground lease holder has the lawful right to claim possession for nonpayment of ground rent;

  (2) If the ground lease is registered with the Department under Subtitle 7 of this title;

  (3) If the payment of ground rent is at least 6 months in arrears; and

  (4) As provided under this section.

(b) A holder of a secured interest in the property that is subject to the ground lease, or any portion of the ground lease, that is recorded in the land records of the county in which the property is located may cure the default by paying the outstanding amount due, including, if authorized under the ground lease, reasonable late fees, interest, collection costs, and expenses subject to the same provisions that are applicable to a leasehold tenant who cures a default after receiving notice under subsection (c) or (d) of this section or receiving personal service of process in an action filed under subsection (f) of this section.

(c)

  (1)

    (i) No less than 60 days before filing an action for possession, the ground lease holder shall send a notice, in the form required under paragraph (2) of this subsection, to the leasehold tenant's last known address and to the premises address as shown in the records of the Department by first-class mail and certified mail, return receipt requested.

    (ii) If a leasehold tenant's last known mailing address and the premises address listed in the records of the Department are different, the ground lease holder shall mail one copy of the notice by first-class mail and one copy of the notice by certified mail, return receipt requested, to each address, respectively.

    (iii) A ground lease holder may not require a leasehold tenant to reimburse the ground lease holder for costs incurred in providing notice required under this subsection.

  (2) The Department shall develop and make available on its website the form a ground lease holder must use to provide to a leasehold tenant the notice required under paragraph (1) of this subsection.

  (3) If authorized under the ground lease, a ground lease holder may be reimbursed for reasonable late fees, interest, collection costs, and expenses not exceeding $100, provided the outstanding amount due is paid after the notice sent under paragraph (1) of this subsection and before a notice is sent under subsection (d) of this section.

(d)

  (1)

    (i) After notice has been sent under subsection (c) of this section and no fewer than 30 days before filing an action for possession, the ground lease holder shall send a notice, in the form required under paragraph (2) of this subsection, to the leasehold tenant's last known address and to the premises address as shown in the records of the Department by first-class mail and certified mail, return receipt requested.

    (ii) If a leasehold tenant's last known mailing address and the premises address listed in the records of the Department are different, the ground lease holder shall mail one copy of the notice by first-class mail and one copy of the notice by certified mail, return receipt requested, to each address, respectively.

    (iii) A ground lease holder may not require a leasehold tenant to reimburse the ground lease holder for costs incurred in providing notice required under this subsection.

  (2)

    (i) The Department shall develop and make available on its website the form a ground lease holder must use to provide to a leasehold tenant the notice required under paragraph (1) of this subsection.

    (ii) The form shall be in 14 point bold font and require the following:

      (1) An itemized bill for the payment due;

      (2) The amount necessary to cure the default, including late fees, interest, collection costs, and expenses authorized under paragraph (3) of this subsection;

      (3) The name and address of the person to whom to send the payment due;

      (4) The name and contact information of the person to contact for questions about the notice; and

      (5) A statement that unless the default is cured in 30 days:

      (A) The ground lease holder intends to file an action for possession; and

      (B) The leasehold tenant may be liable for reimbursing the ground lease holder for expenses and costs incurred in connection with the collection of past due ground rent and the filing of the action for possession.

  (3) If authorized under the ground lease, a ground lease holder may be reimbursed for reasonable late fees, interest, collection costs, and expenses not exceeding $650, including:

    (i) Title abstract and examination fees;

    (ii) Judgment report costs;

    (iii) Photocopying and postage fees; and

    (iv) Attorney's fees.

(e)

  (1) The ground lease holder shall send a copy of the notice required under subsection (d) of this section to any holder of record of a secured interest in the property that is subject to the ground lease, or any portion of the ground lease, that is recorded in the land records of the county in which the property is located, to the address shown in the land records or another address if known, by:

    (i) First-class mail; and

    (ii) Certified mail, return receipt requested.

  (2) The notice required under paragraph (1) of this subsection shall be accompanied by a statement that the holder of a secured interest may:

    (i) Cure the default by paying the outstanding amount due, including reasonable late fees, interest, collection costs, and expenses authorized under subsection (d)(3) of this section; or

    (ii)

      (1) Redeem the property in accordance with Sec. 8-804 of this subtitle; and

      (2) Cure the default by paying the outstanding amount due, including reasonable late fees, interest, collection costs, and expenses authorized under subsection (d)(3) of this section.

  (3) If notice is not sent to a holder of record of a secured interest in the property that is subject to the ground lease, or any portion of the ground lease, that is recorded in the land records of the county in which the property is located, a judgment in favor of the ground lease holder does not impair the right of the holder of the secured interest to enforce the secured interest against the property.

(f)

  (1) If the default is not cured, the ground lease holder may file in circuit court an action for possession no less than 30 days after notice is sent under subsection (d) of this section.

  (2) An action filed under this subsection shall be accompanied by:

    (i) An itemized bill for the payment due;

    (ii) The amount necessary to cure the default, including reasonable late fees, interest, collection costs, and expenses authorized under paragraph (3) of this subsection;

    (iii) The name and address of the person to whom to send the payment due;

    (iv) An affidavit affirming compliance with the notice requirements under subsections (b), (c), and (d) of this section, including copies of the proofs of mailing from the United States Postal Service; and

    (v) A list of each holder of record of a secured interest in the property that is subject to the ground lease, or any portion of the ground lease, that is recorded in the land records of the county in which the property is located.

  (3) If authorized under the ground lease, a ground lease holder may be reimbursed for reasonable late fees, interest, collection costs, and expenses, including:

    (i) Filing fees and court costs;

    (ii) Expenses incurred in the service of process or otherwise providing notice;

    (iii) Reasonable attorney's fees not exceeding $500; and

    (iv) Taxes, including interest and penalties, that have been paid by the ground lease holder or plaintiff.

(g)

  (1) Personal service of process in an action filed under subsection (f) of this section shall be made in accordance with the Maryland Rules.

  (2) The individual making service of process under this subsection shall file proof of service with the court in accordance with the Maryland Rules.

(h)

  (1) A holder of record of a secured interest in the property that is subject to the ground lease, or any portion of the ground lease, that is recorded in the land records of the county in which the property is located, shall be made a party, as provided under the Maryland Rules, to an action filed under subsection (f) of this section.

  (2) The ground lease holder shall send to each holder of record of a secured interest that is made a party to the action under paragraph (1) of this subsection a statement that the holder of a secured interest may:

    (i) Cure the default by paying the outstanding amount due, including reasonable late fees, interest, collection costs, and expenses authorized under subsection (f)(3) of this section; or

    (ii)

      (1) Redeem the property in accordance with Sec. 8-804 of this subtitle; and

      (2) Cure the default by paying the outstanding amount due, including reasonable late fees, interest, collection costs, and expenses authorized under subsection (f)(3) of this section.

  (3) If a holder of record of a secured interest is not made a party to the action as provided under paragraph (1) of this subsection, a judgment in favor of the ground lease holder does not impair the right of the holder of the secured interest to enforce the secured interest against the property.

(i) Within 6 months after execution of a writ of possession in favor of the ground lease holder, the leasehold tenant or any other person claiming under the ground lease may:

  (1) Pay the past due ground rent and any late fees, interest, collection costs, and expenses authorized under this section; and

  (2) Commence a proceeding to obtain relief from the writ.

(j)

  (1) Except as provided in this section, a ground lease holder or plaintiff is not entitled to reimbursement for any costs or expenses related to the collection of ground rent.

  (2) A ground lease holder or plaintiff may not receive a writ of possession or reimbursement for any costs or expenses related to the collection of ground rent unless all the notice requirements of this section are met.

(k) If a ground lease holder receives and executes a writ of possession, and if authorized under the ground lease, the ground lease holder may be reimbursed for reasonable late fees, interest, collection costs, and expenses as specified in subsection (c)(3), (d)(3), or (f)(3) of this section.

(l) This section does not preclude a ground lease holder from using other legal means to enforce a ground lease.

#### Section 8-808

(a) Within 30 days of any change of address of a leasehold tenant, the leasehold tenant shall notify the ground lease holder of the change, including the new address and the date of the change.

(b) Within 30 days of any transfer of a leasehold interest on property subject to a ground lease, the leasehold tenant shall notify the ground lease holder of the transfer. The notification shall include the name and address of the transferee, and date of transfer.

(c) A leasehold tenant shall send notice under this section to the last known address of the ground lease holder.

#### Section 8-809

(a)

  (1) A ground lease holder may not collect a yearly or half-yearly installment payment of a ground rent due under the ground lease unless:

    (i) The ground lease is registered with the Department under Subtitle 7 of this title; and

    (ii) At least 60 days before the payment is due, the ground lease holder mails a bill, in the form required under subsection (b) of this section, to the last known address of the leasehold tenant and to the premises address of the property subject to the ground lease listed in the records of the Department.

  (2) If a leasehold tenant's last known mailing address and the premises address listed in the records of the Department are identical, the ground lease holder shall mail one copy of the bill to the address by first-class mail and one copy of the bill to the address by certified mail, return receipt requested.

  (3) If a leasehold tenant's last known mailing address and premises address listed in the records of the Department are different, the ground lease holder shall mail one copy of the bill by first-class mail and one copy of the bill by certified mail, return receipt requested, to each address, respectively.

  (4) A ground lease holder may not require the leasehold tenant to reimburse the ground lease holder for costs incurred to provide a bill under this subsection.

(b)

  (1) The Department shall develop and make available on its website the form a ground lease holder must use to provide to a leasehold tenant the bill required under subsection (a)(1)(ii) of this section.

  (2) The form shall include a notice in boldface type, at least as large as 14 point, in substantially the following form:

  "NOTICE REQUIRED BY MARYLAND LAW 

  REGARDING YOUR GROUND RENT 

  This property (address) is subject to a ground lease. The annual payment on the ground lease ("ground rent") is $(dollar amount), payable in yearly or half-yearly installments on (date or dates). 

  The next ground rent payment is due (day, month, year) in the amount of $(dollar amount).

  The payment of the ground rent should be sent to:

  (name of ground lease holder)

(address) (phone number)

NOTE REGARDING YOUR RIGHTS AND RESPONSIBILITIES UNDER MARYLAND LAW:

The ground lease holder is required to register the ground lease with the State Department of Assessments and Taxation and is prohibited from collecting ground rent payments unless the ground lease is registered. If the ground lease is registered, as the owner of this property, you are obligated to pay the ground rent to the ground lease holder. To determine whether the ground lease is registered, you may check the website of the State Department of Assessments and Taxation. It is also your responsibility to notify the ground lease holder if you change your address or transfer ownership of the property. 

If you fail to pay the ground rent on time, you are still responsible for paying the ground rent. In addition, if the ground lease holder files an action in court to collect the past due ground rent, you may be required to pay the ground lease holder for fees and costs associated with the collection of the past due ground rent. In addition, the ground lease holder may also file an action in court to take possession of the property, which may result in your being responsible for additional fees and costs and ultimately in your loss of the property. Please note that under Maryland law, a ground lease holder may demand not more than 3 years of past due ground rent, and there are limits on how much a ground lease holder may be reimbursed for fees and costs. If you fail to pay the ground rent on time, you should contact a lawyer for advice. 

As the owner of this property, you are entitled to redeem, or purchase, the ground lease from the ground lease holder and obtain absolute ownership of the property. Unless you and the ground lease holder agree to a lesser amount, the amount to redeem your ground lease is _______. If you wish to redeem the ground lease, contact the ground lease holder. If the identity of the ground lease holder is unknown, the State Department of Assessments and Taxation provides a process to redeem the ground lease that may result in your obtaining absolute ownership of the property. If you would like to obtain absolute ownership of this property, you should contact a lawyer for advice.".

#### Section 8-810

(a) Within 30 days after any transfer of a ground lease, the transferee shall notify the leasehold tenant and the Department of the transfer.

(b)

  (1) The notification shall include the name and address of the new ground lease holder and the date of the transfer.

  (2) If the property is subject to a redeemable ground rent, the notification shall also include the following notice:

  "As the owner of the property subject to this ground lease, you are entitled to redeem, or purchase, the ground lease from the ground lease holder and obtain absolute ownership of the property. The redemption amount is fixed by law but may also be negotiated with the ground lease holder for a different amount. For information on redeeming the ground lease, contact the ground lease holder."

(c)

  (1) A ground lease holder shall send notice under this section to the last known address of the leasehold tenant and the premises address listed in the records of the Department by first-class mail and certified mail, return receipt requested.

  (2) If a leasehold tenant's last known mailing address and premises address listed in the records of the Department are different, the ground lease holder shall mail one copy of the notice by first-class mail and one copy of the notice by certified mail, return receipt requested, to each address, respectively.

  (3) A ground lease holder may not require a leasehold tenant to reimburse the ground lease holder for costs incurred in providing notice required under this section.

#### Section 8-811

A contract for the sale of real property subject to a ground rent shall contain the following notice in boldface type, at least as large as 14 point, in substantially the following form:

"NOTICE REQUIRED BY MARYLAND LAW 

REGARDING YOUR GROUND RENT 

This property (address) is subject to a ground lease. The annual payment on the ground lease ("ground rent") is $(dollar amount), payable in yearly or half-yearly installments on (date or dates).  

The next ground rent payment is due (day, month, year) in the amount of $(dollar amount).

The payment of the ground rent should be sent to:

(name of ground lease holder)

(address) (phone number)

NOTE REGARDING YOUR RIGHTS AND RESPONSIBILITIES UNDER MARYLAND LAW:

As the owner of this property, you are obligated to pay the ground rent to the ground lease holder. It is also your responsibility to notify the ground lease holder if you change your address or transfer ownership of the property.  

If you fail to pay the ground rent on time, you are still responsible for paying the ground rent. In addition, if the ground lease holder files an action in court to collect the past due ground rent, you may be required to pay the ground lease holder for fees and costs associated with the collection of the past due ground rent. In addition, the ground lease holder may also file an action in court to take possession of the property, which may result in your being responsible for additional fees and costs and ultimately in your loss of the property. Please note that under Maryland law, a ground lease holder may demand not more than 3 years of past due ground rent,  and there are limits on how much a ground lease holder may be reimbursed for fees and costs. If you fail to pay the ground rent on time, you should contact a lawyer for advice.  

As the owner of this property, you are entitled to redeem, or purchase, the ground lease from the ground lease holder and obtain absolute ownership of the property. The redemption amount is fixed by law as follows:

  (1) For a sum equal to the annual rent reserved multiplied by:

    (i) 25, which is capitalization at 4 percent, if the lease was executed from April 8, 1884, to April 5, 1888, both inclusive;

    (ii)

      (8) 33, which is capitalization at 12 percent, if the lease was or is created after July 1, 1982; or

    (iii)

      (16) 66, which is capitalization at 6 percent, if the lease was created at any other time;

  (2) For a lesser sum if specified in the lease; or

  (3) For a sum to which the parties may agree at the time of redemption.

  The amount to redeem your ground lease is _____. If you wish to redeem the ground lease, contact the ground lease holder. If the identity of the ground lease holder is unknown, the State Department of Assessments and Taxation provides a process to redeem the ground lease that may result in your obtaining absolute ownership of the property. If you would like to obtain absolute ownership of this property, you should contact a lawyer for advice.".

#### Section 8-812

(a) This section does not apply to a:

  (1) Home equity line of credit;

  (2) Loan secured by an indemnity deed of trust; or

  (3) Commercial loan.

(b) Before the settlement of a loan secured by a mortgage or deed of trust on residential real property improved by four or fewer single-family units that is subject to a redeemable ground rent, the settlement agent shall notify the borrower that:

  (1) The borrower has the right to redeem the ground rent under Sec. 8-804 of this subtitle;

  (2) The redemption amount is fixed by law but may also be negotiated with the ground lease holder for a different amount;

  (3) It may be possible to include the amount of the redemption in this loan;

  (4) For information on redeeming the ground rent, the borrower should contact the ground lease holder; and

  (5) For information on including the amount of the redemption in this loan, the borrower should contact the lender or credit grantor making this loan.

### Subtitle 9. Access to Legal Representation in Eviction Cases

#### Section 8-901

(a) In this subtitle the following words have the meanings indicated.

(b) "Community group" means a nonprofit entity with the capacity to conduct tenant outreach and provide engagement, education, and information.

(c) "Covered individual" means an individual who:

  (1) Occupies a residential property under a claim of legal right other than owner, including:

    (i) A tenant in a building owned, operated, or managed by a public housing authority; and

    (ii) An individual who occupies premises of a mobile home park under Title 8A of this article; and

  (2) Is a member of a household with an income that is not greater than 50% of the median income, adjusted for household size, in the State as determined by the United States Department of Health and Human Services or its successor.

(d) "Designated organization" means a nonprofit entity designated by MLSC with the ability to provide legal representation to covered individuals.

(e) "Fund" means the Access to Counsel in Evictions Special Fund.

(f) "Legal representation" includes all representation by an attorney beyond brief legal advice and is not limited to the formal entry of appearance in court.

(g) "MLSC" means the Maryland Legal Services Corporation.

(h) "Program" means the Access to Counsel in Evictions Program.

(i) "Resident" has the meaning stated in Sec. 8A-101 of this article.

(j) "Task Force" means the Access to Counsel in Evictions Task Force.

#### Section 8-902

A covered individual shall have access to legal representation as provided under this subtitle.

#### Section 8-903

(a) There is an Access to Counsel in Evictions Program administered by MLSC.

(b) The purpose of the Program is to organize and direct services and resources in order to provide all covered individuals in the State with access to legal representation as required under this subtitle.

#### Section 8-904

(a)

  (1) Under the Program, MLSC shall provide for access to legal representation by a covered individual for a judicial or administrative proceeding to:

    (i) Evict or terminate the tenancy or housing subsidy of a covered individual; or

    (ii) Repossess the premises of a covered individual under Title 8A of this article.

  (2) The access to legal representation under paragraph (1) of this subsection includes the first appeal of a decision in the proceeding if the designated organization determines that there are sufficient legal grounds for the appeal.

(b)

  (1) Under the Program, a designated organization shall ensure that a covered individual receives access to legal representation by an attorney in a proceeding as required under this subtitle as soon as possible after:

    (i) A landlord provides notice to terminate a tenancy;

    (ii) The initiation of an eviction proceeding; or

    (iii) The determination by a designated organization that a proceeding related to a constructive eviction on behalf of a covered individual should be initiated.

  (2) If feasible, legal representation required under this subsection should begin no later than the time of the covered individual's first appearance in a proceeding.

(c) MLSC may contract with a designated organization to provide all or part of the services required under this section.

#### Section 8-905

(a) MLSC shall develop an informational pamphlet in both English and other languages MLSC determines appropriate:

  (1) Describing the legal rights of tenants and residents and the access to counsel established under this subtitle; and

  (2) Providing information on resources available to tenants and residents.

(b) A sheriff or constable shall provide a copy of the pamphlet described under subsection (a) of this section in addition to the process served on a tenant, an assignee, or a subtenant in accordance with the following provisions of this article:

  (1) An eviction proceeding for a failure to pay rent under Sec. 8-401 of this title;

  (2) An eviction proceeding for a tenant holding over under Sec. 8-402 of this title;

  (3) An eviction proceeding for a breach of lease under Sec. 8-402.1 of this title; and

  (4) A repossession proceeding under Title 8A, Subtitle 17 of this article.

#### Section 8-906

MLSC shall designate and contract with appropriate community groups to conduct outreach and provide education to tenants and residents locally and throughout the State regarding the rights and access to legal representation under this subtitle.

#### Section 8-907

On or before August 31 each year, MLSC shall report to the Governor and, in accordance with Sec. 2-1257 of the State Government Article, the General Assembly the following information for the immediately preceding fiscal year:

(1) The number of cases in which a covered individual was provided legal representation, disaggregated by case type, including:

  (i) Nonpayment of rent under Sec. 8-401 of this title or Sec. 8A-1701 of this article;

  (ii) Holdover under Sec. 8-402 of this title or Sec. 8A-1702 of this article;

  (iii) Breach of lease under Sec. 8-402.1 of this title; and

  (iv) Breach of rental agreement under Sec. 8A-1703 of this article;

(2) The amount paid to attorneys for each case managed;

(3) The geographic distribution of cases;

(4) Data on the disposition of cases decided;

(5) The amount of State and federal funds allocated to each designated organization; and

(6) The number of covered individuals provided legal representation for multiple cases.

#### Section 8-908

(a) There is an Access to Counsel in Evictions Task Force.

(b)

  (1) The Task Force consists of up to 15 members appointed by the Secretary of Housing and Community Development and shall include:

    (i) At least two representatives of the Maryland State Bar Association;

    (ii) At least two representatives of tenant advocacy groups or designated organizations;

    (iii) At least two representatives of the Judiciary;

    (iv) At least two representatives of community groups;

    (v) At least two representatives of landlords;

    (vi) Representatives of MLSC; and

    (vii) Tenants and other interested citizens.

  (2) At least three members of the Task Force must be tenants whose income does not exceed 50% of the State median income adjusted for household size.

(c) The Secretary of Housing and Community Development shall designate the chair of the Task Force.

(d) The Department of Housing and Community Development shall provide staff for the Task Force.

(e)

  (1) Except as provided in paragraph (2) of this subsection, a member of the Task Force:

  (i) May not receive compensation as a member of the Task Force; but

  (ii) Is entitled to reimbursement for expenses under the Standard State Travel Regulations, as provided in the State budget.

  (2) A member of the Task Force described under subsection (b)(2) of this section may receive reasonable compensation, including a stipend, as determined by the Secretary of Housing and Community Development.

(f) The Task Force shall:

  (1) Evaluate the provision of services under this subtitle, including the performance of designated organizations and community groups;

  (2) Study potential funding sources; and

  (3) Make recommendations to improve the implementation of this subtitle, including necessary policy and statutory changes.

(g) On or before January 1, 2026, the Task Force shall report its findings and recommendations to the Governor and, in accordance with Sec. 2-1257 of the State Government Article, the General Assembly.

(h) The Task Force may apply for grants from public and private entities to carry out the duties of the Task Force.

#### Section 8-909

(a) There is an Access to Counsel in Evictions Special Fund.

(b) The purpose of the Fund is to provide funding to fully implement access to legal representation in evictions and other related proceedings in the State.

(c) MLSC shall administer the Fund.

(d)

  (1) The Fund is a special, nonlapsing fund that is not subject to Sec. 7-302 of the State Finance and Procurement Article.

  (2) The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund.

(e) The Fund consists of:

  (1) Money received by the Division of Consumer Protection in the Office of the Attorney General from any final settlement or agreement with or judgment against a party relating to an investigation or enforcement of the Maryland Consumer Protection Act for an unfair, abusive, or deceptive trade practice for rental residential property, excluding any restitution and the costs of the action the Attorney General is entitled to recover;

  (2) Money appropriated in the State budget to the Fund;

  (3) Money distributed to the Fund under Sec. 17-317 of the Commercial Law Article;

  (4) Interest earnings of the Fund; and

  (5) Any other money from any other source accepted for the benefit of the Fund.

(f) The Fund may be used only for:

  (1) Services provided by a designated organization or activity by a community group to implement the Program as provided in this subtitle, including all costs associated with required legal representation in any proceeding and any outreach and education activities;

  (2) If a local jurisdiction enacts a program authorized under this subtitle, services provided by the local jurisdiction to implement access to counsel in eviction proceedings as provided for in this subtitle, including all costs associated with required legal representation in any proceeding and any outreach and education activities;

  (3) Administrative expenses of MLSC; and

  (4) Expenses related to the study and evaluation of:

    (i) Services and activities provided under this subtitle; and

    (ii) Funding amounts and sources necessary to fully effectuate access to counsel in eviction proceedings.

(g)

  (1) The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.

  (2) Any interest earnings of the Fund shall be credited to the Fund.

(h)

  (1) Expenditures from the Fund may be made only in accordance with the State budget.

  (2) For each of fiscal years 2024 through 2028, the Governor shall include in the annual budget bill an appropriation of $14,000,000 from the Fund to MLSC.

(i) Money expended from the Fund is supplemental to and is not intended to take the place of funding that otherwise would be appropriated for civil legal services from any other source.

#### Section 8-910

(a) Legal representation as required under this subtitle shall be phased in over time in a manner that MLSC determines appropriate with the goal of full implementation before October 1, 2025.

(b) Priority in funding during the phase-in period will be given to tenants in a local jurisdiction that provides or agrees to provide significant additional local funding to effectuate access to counsel in eviction proceedings in the local jurisdiction.

(c) Access to legal representation under this subtitle is subject to the availability of funding.

#### Section 8-911

(a) A local jurisdiction may enact a local law providing for legal representation in eviction proceedings filed in the local jurisdiction.

(b) If a local jurisdiction enacts a local law under subsection (a) of this section providing for legal representation in eviction proceedings substantially similar to that described in this subtitle, MLSC shall direct funding that would have been allocated under this subtitle for the benefit of that local jurisdiction's tenants to the local program.

### Subtitle 10. Rent Court Workforce Solutions Pilot Program

#### Section 8-1001

(a) In this subtitle the following words have the meanings indicated.

(b) "Covered individual" means a defendant tenant of a residential rental property in a failure to pay rent case filed under Sec. 8-401 of this title.

(c) "Designated organization" means the fiscal and administrative agent of a county's local workforce development board.

(d) "Pilot Program" means the Rent Court Workforce Solutions Pilot Program.

#### Section 8-1002

This subtitle applies only in Montgomery County and Prince George's County.

#### Section 8-1003

(a) There is a Rent Court Workforce Solutions Pilot Program.

(b) The purpose of the Pilot Program is to provide covered individuals with:

  (1) Workforce resources; and

  (2) Information on:

    (i) Workforce development; and

    (ii) Registered apprenticeships and other employment opportunities.

(c) A designated organization shall administer the Pilot Program.

#### Section 8-1004

(a) The District Court may allow at least one representative from a designated organization to operate in a District Court courthouse on days on which cases filed for a failure to pay rent under Sec. 8-401 of this title are heard.

(b) The operation of a designated organization in a District Court courthouse shall be governed by a memorandum of understanding signed by a representative of the designated organization and the administrative judge for the applicable District Court.

(c) Nothing in this subtitle may be construed to require the District Court to allow a representative from a designated organization to operate within a courtroom.

#### Section 8-1005

On or before January 1, 2026, and each January 1 thereafter, a designated organization shall report to the Governor and, in accordance with Sec. 2-1257 of the State Government Article, the General Assembly on the number of individuals that were connected to workforce development programs or employment opportunities through the Pilot Program.

#### Section 8-1006

For each of fiscal years 2026 through 2028, the Governor shall include in the annual budget bill an appropriation of:

(1) $100,000 to the designated organization for Montgomery County to be used for the Pilot Program; and

(2) $100,000 to the designated organization for Prince George's County to be used for the Pilot Program.

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Md. Code Ann., Real Prop. (as displayed at mgaleg.maryland.gov, October 16, 2026)
