EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *sb0644* SENATE BILL 644 N1 4lr1724 SB 504/23 – JPR CF HB 477 By: Senators Muse, Carter, and Sydnor Introduced and read first time: January 29, 2024 Assigned to: Judicial Proceedings A BILL ENTITLED AN ACT concerning 1 Landlord and Tenant – Residential Leases and Holdover Tenancies – Local Just 2 Cause Termination Provisions 3 FOR the purpose of authorizing a county, including Baltimore City, to adopt by local law 4 or ordinance provisions prohibiting a landlord of residential property from failing to 5 renew a lease during the lease period or from terminating a holdover tenancy 6 without just cause; establishing certain requirements for a local law or ordinance 7 adopted in accordance with this Act; and generally relating to residential leases and 8 holdover tenancies. 9 BY repealing and reenacting, without amendments, 10 Article – Real Property 11 Section 8–402(c)(1) and (d) 12 Annotated Code of Maryland 13 (2023 Replacement Volume) 14 BY repealing and reenacting, with amendments, 15 Article – Real Property 16 Section 8–402(c)(2) 17 Annotated Code of Maryland 18 (2023 Replacement Volume) 19 BY adding to 20 Article – Real Property 21 Section 8–402.3 22 Annotated Code of Maryland 23 (2023 Replacement Volume) 24 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 25 That the Laws of Maryland read as follows: 26 2 SENATE BILL 644 Article – Real Property 1 8–402. 2 (c) (1) This subsection applies to all cases of tenancies at the expiration of a 3 stated term, tenancies from year to year, tenancies from month to month, and tenancies 4 from week to week. 5 (2) Except as provided in paragraphs [3 and 4] (3) AND (4) of this 6 subsection, AND SUBJECT TO ANY L OCAL REQUIREMENT ADO PTED UNDER § 8–402.3 7 OF THIS SUBTITLE , a landlord shall provide written notice of the intent to terminate a 8 tenancy: 9 (i) If the parties have a written lease for a stated term in excess of 10 1 week or a tenancy from month to month, 60 days before the expiration of the tenancy; 11 (ii) In the case of tenancies from year to year, including tobacco farm 12 tenancies from year to year but excluding all other farm tenancies from year to year, 90 13 days before the expiration of the current year of the tenancy; 14 (iii) In the case of tenancies from year to year for all other farm 15 tenancies, 180 days before the expiration of the current year of the tenancy; and 16 (iv) In the case of tenancies from week to week: 17 1. If the parties have a written lease, 7 days before the 18 expiration of the tenancy; or 19 2. If the parties do not have a written lease, 21 days before 20 the expiration of the tenancy. 21 (d) Unless stated otherwise in the written lease and initialed by the tenant, when 22 a landlord consents to a holdover tenant remaining on the premises, the holdover tenant 23 becomes a periodic week–to–week tenant if the tenant was a week–to–week tenant before 24 the tenant’s holding over, and a periodic month–to–month tenant in all other cases. 25 8–402.3. 26 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 27 INDICATED. 28 (2) “HOLDOVER TENANCY ” MEANS A TENANCY ESTA BLISHED UNDER 29 § 8–402(D) OF THIS SUBTITLE. 30 (3) (I) “JUST CAUSE” MEANS GROUNDS ESTABL ISHED BY LOCAL 31 LAW OR ORDINANCE THA T JUSTIFY THE NONREN EWAL OF A LEASE OR T HE 32 SENATE BILL 644 3 TERMINATION OF A HOL DOVER TENANCY BY A L ANDLORD. 1 (II) “JUST CAUSE” MAY INCLUDE: 2 1. A TENANT COMMITTING A SUBSTANTIAL BREACH O F 3 THE LEASE OR CAUSING SUBSTANTIAL DAMAGE T O THE LEASED PREMISE S OR 4 ANOTHER AREA OF THE PROPERTY AND , AFTER RECEIVING NOTI CE TO CURE OR 5 CORRECT THE BREACH O R PAY THE REASONABLE COST OF REPAIRING THE DAM AGE, 6 THE TENANT FAILS TO COMPLY WITHIN A REAS ONABLE PERIOD OF TIM E 7 ESTABLISHED UNDER LO CAL LAW OR ORDINANCE ; 8 2. AFTER RECEIVING NOTIC E FROM A LANDLORD , A 9 TENANT FAILING TO CE ASE DISORDERLY CONDU CT THAT DISTURBS THE PEACE AND 10 QUIET OF OTHER TENAN TS WITHIN A REASONAB LE PERIOD ESTABLISHE D UNDER 11 LOCAL LAW OR ORDINAN CE; 12 3. A TENANT ENGAGING IN I LLEGAL ACTIVITY ON T HE 13 LEASED PREMISES , ANOTHER AREA OF THE PROPERTY, OR A PUBLIC RIGHT –OF–WAY 14 ABUTTING THE LEASED PREMISES; 15 4. A TENANT, WITHOUT REASONABLE C AUSE, REFUSING 16 TO GRANT THE LANDLOR D ACCESS TO THE LEAS ED PREMISES FOR THE PURPOSE OF 17 MAKING REPAIRS OR IM PROVEMENTS OR INSPEC TING THE LEASED PREM ISES, OR 18 AS OTHERWISE AUTHORI ZED UNDER THE RESIDE NTIAL LEASE OR APP LICABLE LAW; 19 5. A LANDLORD, IN GOOD FAITH, SEEKING TO RECOVER 20 POSSESSION OF THE LE ASED PREMISES FOR US E BY THE LANDLORD OR THE 21 LANDLORD’S SPOUSE, CHILD, PARENT, OR GRANDPARENT ; OR 22 6. A LANDLORD, IN GOOD FAITH, SEEKING TO REMOVE 23 THE LEASED PREMISE S PERMANENTLY FROM T HE RENTAL MARKET . 24 (B) THIS SECTION APPLIES ONLY TO RESIDENTIAL LEASES. 25 (C) (1) (I) A COUNTY MAY ENACT , BY LOCAL LAW OR ORDI NANCE, 26 PROVISIONS THAT PROH IBIT A LANDLORD FROM FAILING TO RENEW A L EASE 27 DURING THE LEASE PER IOD OR SEEKING T O TERMINATE A HOLDOV ER TENANCY 28 WITHOUT JUST CAUSE . 29 (II) A LOCAL LAW OR ORDINAN CE MAY NOT REQUIRE A 30 LANDLORD TO PROVIDE JUST CAUSE IF A TENA NT PROVIDES NOTICE T O THE 31 LANDLORD THAT EXPRES SES THE TENANT ’S INTENT NOT TO RENE W THE LEASE OR 32 TO CONTINUE WITH THE HOLDOVER TENANCY . 33 4 SENATE BILL 644 (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , 1 NOTHING IN THIS SECT ION MAY BE INTERPRET ED TO ALTER THE RIGH TS OF A 2 LANDLORD THAT SEEKS RELIEF UNDER THIS SU BTITLE. 3 (II) A LANDLORD IN A COUNTY THAT HAS ADOPTED A L OCAL 4 LAW OR ORDINANCE UNDER THIS SUBSECTION MAY SEEK RELIEF UNDER § 8–402 OF 5 THIS SUBTITLE ONLY A FTER DECLINING TO EN TER INTO A NEW LEASE OR TO 6 CONTINUE A HOLDOVER TENANCY IN ACCORDANC E WITH THE PROVISION S OF THE 7 LOCAL LAW OR ORDINAN CE. 8 (D) A LOCAL LAW OR ORDIN ANCE ADOPTED UNDER S UBSECTION (C) OF THIS 9 SECTION SHALL REQUIR E THAT: 10 (1) A LANDLORD PROVIDE WRI TTEN NOTICE BY FIRST –CLASS MAIL 11 WITH A CERTIFICATE O F MAILING TO A TENAN T STATING THE JUST C AUSE FOR THE 12 NONRENEWAL OF A LEAS E OR THE TERMINATION OF A HOLDOV ER TENANCY; 13 (2) A COMPLAINT FILED UNDE R § 8–402 OF THIS SUBTITLE INC LUDE 14 A STATEMENT OF THE J UST CAUSE FOR THE NO NRENEWAL OF A LEASE OR THE 15 TERMINATION OF A HOL DOVER TENANCY ; AND 16 (3) A LANDLORD THAT FILES A COMPLAINT UNDER § 8–402 OF THIS 17 SUBTITLE PLEAD SPECIFIC FACTS DEMONSTRATING JUST C AUSE FOR THE 18 NONRENEWAL OF A LEAS E OR THE TERMINATION OF A HOLDOVER TENANC Y. 19 (E) A LOCAL LAW OR ORDINAN CE ADOPTED UNDER THI S SECTION MAY NOT 20 CONFLICT WITH THE NO TICE REQUIREMENTS OF § 8–402(C) OF THIS SUBTITLE. 21 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 22 October 1, 2024. 23