Maryland 2024 Regular Session

Maryland House Bill HB853 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3		EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4		[Brackets] indicate matter deleted from existing law.
5		-	Underlining indicates amendments to bill.
6		-	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7		-	amendment.
8	5		hb0853
9	6
10	7		HOUSE BILL 853
11	8		N1 4lr0988
12	9
13	10		By: Delegates Allen, Stewart, Boafo, Grossman, J. Lewis, J. Long, and Ruth
14	11		Introduced and read first time: February 2, 2024
15	12		Assigned to: Environment and Transportation
16		-	Committee Report: Favorable
17		-	House action: Adopted
18		-	Read second time: February 26, 2024
19	13
20		-	~~CHAPTER ______~~
	14	+	A BILL ENTITLED
21	15
22	16		AN ACT concerning 1
23	17
24	18		Residential Leases – Late Payment Penalties – Calculation 2
25	19
26	20		FOR the purpose of altering a prohibition concerning the maximum penalty for the late 3
27	21		payment of rent that a landlord may charge in a residential lease to prohibit a 4
28	22		penalty in excess of a certain percentage of the amount of the unpaid rent rather 5
29	23		than of the amount due; and generally relating to residential leases and penalties 6
30	24		for the late payment of rent. 7
31	25
32	26		BY repealing and reenacting, without amendments, 8
33	27		Article – Real Property 9
34	28		Section 8–201 and 8–208(g) 10
35	29		Annotated Code of Maryland 11
36	30		(2023 Replacement Volume) 12
37	31
38	32		BY repealing and reenacting, with amendments, 13
39	33		Article – Real Property 14
40	34		Section 8–208(d)(3) 15
41	35		Annotated Code of Maryland 16
42	36		(2023 Replacement Volume) 17
43	37
44	38		SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
45	39		That the Laws of Maryland read as follows: 19
46	40
47	41		Article – Real Property 20
48		-	2 HOUSE BILL 853
	42	+
	43	+	8–201. 21
	44	+
	45	+	(a) This subtitle is applicable only to residential leases unless otherwise provided. 22
	46	+
	47	+	(b) This subtitle does not apply to a tenancy arising after the sale of 23
	48	+	owner–occupied residential property where the seller and purchaser agree that the seller 24 2 HOUSE BILL 853
49	49
50	50
51		-	8–201. 1
	51	+	may remain in possession of the property for a period of not more than 60 days after the 1
	52	+	settlement. 2
52	53
53		-	~~(a) This subtitle is applicable only to residential leases unless otherwise provided~~. 2
	54	+	8–208. 3
54	55
55		-	(b) This subtitle does not apply to a tenancy arising after the sale of 3
56		-	owner–occupied residential property where the seller and purchaser agree that the seller 4
57		-	may remain in possession of the property for a period of not more than 60 days after the 5
58		-	settlement. 6
	56	+	(d) A landlord may not use a lease or form of lease containing any provision that: 4
59	57
60		-	8–208. 7
	58	+	(3) (i) Provides for a penalty for the late payment of rent in excess of 5
	59	+	5% of the amount of UNPAID rent due for the rental period for which the payment was 6
	60	+	delinquent; or 7
61	61
62		-	(d) A landlord may not use a lease or form of lease containing any provision that: 8
	62	+	(ii) In the case of leases under which the rent is paid in weekly rental 8
	63	+	installments, provides for a late penalty of more than $3 per week or a total of no more than 9
	64	+	$12 per month; 10
63	65
64		-	(3) (i) Provides for a penalty for the late payment of rent in excess of 9
65		-	5% of the amount of UNPAID rent due for the rental period for which the payment was 10
66		-	delinquent; or 11
	66	+	(g) (1) Any lease provision which is prohibited by terms of this section shall be 11
	67	+	unenforceable by the landlord. 12
67	68
68		-	(ii) In the case of leases under which the rent is paid in weekly rental 12
69		-	installments, provides for a late penalty of more than $3 per week or a total of no more than 13
70		-	$12 per month; 14
	69	+	(2) If the landlord includes in any lease a provision prohibited by this 13
	70	+	section or made unenforceable by § 8–105 of this title or § 8–203 of this subtitle, at any time 14
	71	+	subsequent to July 1, 1975, and tenders a lease containing such a provision or attempts to 15
	72	+	enforce or makes known to the tenant an intent to enforce any such provision, the tenant 16
	73	+	may recover any actual damages incurred as a reason thereof, including reasonable 17
	74	+	attorney’s fees. 18
71	75
72		-	(g) (1) Any lease provision which is prohibited by terms of this section shall be 15
73		-	unenforceable by the landlord. 16
74		-
75		-	(2) If the landlord includes in any lease a provision prohibited by this 17
76		-	section or made unenforceable by § 8–105 of this title or § 8–203 of this subtitle, at any time 18
77		-	subsequent to July 1, 1975, and tenders a lease containing such a provision or attempts to 19
78		-	enforce or makes known to the tenant an intent to enforce any such provision, the tenant 20
79		-	may recover any actual damages incurred as a reason thereof, including reasonable 21
80		-	attorney’s fees. 22
81		-
82		-	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 23
83		-	October 1, 2024. 24
84		-
85		-
86		-
87		-	Approved:
88		-	________________________________________________________________________________
89		-	Governor.
90		-	________________________________________________________________________________
91		-	Speaker of the House of Delegates.
92		-	________________________________________________________________________________
93		-	President of the Senate.
	76	+	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 19
	77	+	October 1, 2024. 20