Maryland 2024 Regular Session

Maryland Senate Bill SB725 Compare Versions

Only one version of the bill is available at this time.

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	5	sb0725
6	6
7	7	SENATE BILL 725
8	8	N1 4lr3023
9	9	CF HB 564
10	10	By: Senator Benson
11	11	Introduced and read first time: January 31, 2024
12	12	Assigned to: Judicial Proceedings
13	13
14	14	A BILL ENTITLED
15	15
16	16	AN ACT concerning 1
17	17
18	18	Real Property – Residential Leases – Renter’s Insurance Requirement 2
19	19
20	20	FOR the purpose of requiring a residential lease to include a requirement that a tenant 3
21	21	hold a renter’s insurance policy; prohibiting a lease from containing certain 4
22	22	requirements regarding a renter’s insurance policy; requiring a landlord to acquire 5
23	23	a renter’s insurance policy on behalf of a tenant under certain circumstances; and 6
24	24	generally relating to a renter’s insurance requirement for residential leases. 7
25	25
26	26	BY repealing and reenacting, without amendments, 8
27	27	Article – Real Property 9
28	28	Section 8–201 10
29	29	Annotated Code of Maryland 11
30	30	(2023 Replacement Volume) 12
31	31
32	32	BY repealing and reenacting, with amendments, 13
33	33	Article – Real Property 14
34	34	Section 8–208 15
35	35	Annotated Code of Maryland 16
36	36	(2023 Replacement Volume) 17
37	37
38	38	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
39	39	That the Laws of Maryland read as follows: 19
40	40
41	41	Article – Real Property 20
42	42
43	43	8–201. 21
44	44
45	45	(a) This subtitle is applicable only to residential leases unless otherwise provided. 22
46	46
47	47	(b) This subtitle does not apply to a tenancy arising after the sale of 23
48	48	owner–occupied residential property where the seller and purchaser agree that the seller 24 2 SENATE BILL 725
49	49
50	50
51	51	may remain in possession of the property for a period of not more than 60 days after the 1
52	52	settlement. 2
53	53
54	54	8–208. 3
55	55
56	56	(a) (1) On or after October 1, 1999, any landlord who offers 5 or more dwelling 4
57	57	units for rent in the State may not rent a residential dwelling unit without using a written 5
58	58	lease. 6
59	59
60	60	(2) If a landlord fails to comply with paragraph (1) of this subsection, the 7
61	61	term of the tenancy is presumed to be 1 year from the date of the tenant’s first occupancy 8
62	62	unless the tenant elects to end the tenancy at an earlier date by giving 1 month’s written 9
63	63	notice. 10
64	64
65	65	(b) A landlord who rents using a written lease shall provide, upon written request 11
66	66	from any prospective applicant for a lease, a copy of the proposed form of lease in writing, 12
67	67	complete in every material detail, except for the date, the name and address of the tenant, 13
68	68	the designation of the premises, and the rental rate without requiring execution of the lease 14
69	69	or any prior deposit. 15
70	70
71	71	(c) A lease shall include: 16
72	72
73	73	(1) A statement that the premises will be made available in a condition 17
74	74	permitting habitation, with reasonable safety, if that is the agreement, or if that is not the 18
75	75	agreement, a statement of the agreement concerning the condition of the premises; 19
76	76
77	77	(2) The landlord’s and the tenant’s specific obligations as to heat, gas, 20
78	78	electricity, water, and repair of the premises; [and] 21
79	79
80	80	(3) A receipt for the security deposit as specified in § 8–203.1 of this 22
81	81	subtitle; AND 23
82	82
83	83	(4) A REQUIREMENT THAT A T ENANT MAINTAIN A REN TER’S 24
84	84	INSURANCE POLICY COV ERING THE TENANT ’S PERSONAL PROPERTY THAT WILL BE 25
85	85	KEPT AT THE RENTAL P ROPERTY. 26
86	86
87	87	(d) A landlord may not use a lease or form of lease containing any provision that: 27
88	88
89	89	(1) Has the tenant authorize any person to confess judgment on a claim 28
90	90	arising out of the lease; 29
91	91
92	92	(2) Has the tenant agree to waive or to forego any right or remedy provided 30
93	93	by applicable law; 31
94	94	SENATE BILL 725 3
95	95
96	96
97	97	(3) (i) Provides for a penalty for the late payment of rent in excess of 1
98	98	5% of the amount of rent due for the rental period for which the payment was delinquent; 2
99	99	or 3
100	100
101	101	(ii) In the case of leases under which the rent is paid in weekly rental 4
102	102	installments, provides for a late penalty of more than $3 per week or a total of no more than 5
103	103	$12 per month; 6
104	104
105	105	(4) Has the tenant waive the right to a jury trial; 7
106	106
107	107	(5) Has the tenant agree to a period required for landlord’s notice to quit 8
108	108	which is less than that provided by applicable law; provided, however, that neither party is 9
109	109	prohibited from agreeing to a longer notice period than that required by applicable law; 10
110	110
111	111	(6) Authorizes the landlord to take possession of the leased premises, or 11
112	112	the tenant’s personal property unless the lease has been terminated by action of the parties 12
113	113	or by operation of law, and the personal property has been abandoned by the tenant without 13
114	114	the benefit of formal legal process; 14
115	115
116	116	(7) Is against public policy and void pursuant to § 8–105 of this title; 15
117	117
118	118	(8) Permits a landlord to commence an eviction proceeding or issue a notice 16
119	119	to quit solely as retaliation against any tenant for planning, organizing, or joining a tenant 17
120	120	organization with the purpose of negotiating collectively with the landlord; 18
121	121
122	122	(9) Requires the tenant to accept notice of rent increases under § 8–209 by 19
123	123	electronic delivery; [or] 20
124	124
125	125	(10) (i) Limits the ability of a tenant to summon the assistance of law 21
126	126	enforcement or emergency services or penalizes a tenant solely for summoning the 22
127	127	assistance of law enforcement or emergency services; or 23
128	128
129	129	(ii) Penalizes a tenant for the actions of another individual solely 24
130	130	because the individual summoned the assistance of law enforcement or emergency services; 25
131	131	OR 26
132	132
133	133	(11) REQUIRES THE TENANT T O MAINTAIN A RENTER ’S INSURANCE 27
134	134	POLICY: 28
135	135
136	136	(I) FROM A PARTICULAR INS URER OR LIST OF INSU RERS; 29
137	137
138	138	(II) THAT INCLUDES THE LAN DLORD AS A BENEFICIA RY, AN 30
139	139	INSURED PARTY , OR AN ADDITIONAL INS URED; OR 31
140	140
141	141	(III) THAT MEETS A NY OTHER REQUIREMENT S SET BY THE 32
142	142	LANDLORD . 33 4 SENATE BILL 725
143	143
144	144
145	145
146	146	(e) (1) Except for a lease containing an automatic renewal period of 1 month 1
147	147	or less, a lease that contains a provision calling for an automatic renewal of the lease term 2
148	148	unless prior notice is given by the party or parties seeking to terminate the lease, shall 3
149	149	have the provision distinctly set apart from any other provision of the lease and provide a 4
150	150	space for the written acknowledgment of the tenant’s agreement to the automatic renewal 5
151	151	provision. 6
152	152
153	153	(2) An automatic renewal provision that is not specifically accompanied by 7
154	154	either the tenant’s initials, signature, or witnessed mark is unenforceable by the landlord. 8
155	155
156	156	(f) No provision of this section shall be deemed to be a bar to the applicability of 9
157	157	supplementary rights afforded by any public local law enacted by the General Assembly or 10
158	158	any ordinance or local law enacted by any municipality or political subdivision of this State; 11
159	159	provided, however, that no such law can diminish or limit any right or remedy granted 12
160	160	under the provisions of this section. 13
161	161
162	162	(g) (1) Any lease provision which is prohibited by terms of this section shall be 14
163	163	unenforceable by the landlord. 15
164	164
165	165	(2) If the landlord includes in any lease a provision prohibited by this 16
166	166	section or made unenforceable by § 8–105 of this title or § 8–203 of this subtitle, at any time 17
167	167	subsequent to July 1, 1975, and tenders a lease containing such a provision or attempts to 18
168	168	enforce or makes known to the tenant an intent to enforce any such provision, the tenant 19
169	169	may recover any actual damages incurred as a reason thereof, including reasonable 20
170	170	attorney’s fees. 21
171	171
172	172	(h) If any word, phrase, clause, sentence, or any part or parts of this section shall 22
173	173	be held unconstitutional by any court of competent jurisdiction such unconstitutionality 23
174	174	shall not affect the validity of the remaining parts of this section. 24
175	175
176	176	(I) (1) IF A TENANT FAILS TO COMPLY WITH THE LEAS E REQUIREMENT 25
177	177	DESCRIBED UNDER PARA GRAPH (C)(4) OF THIS SECTION , THE LANDLORD SHALL 26
178	178	ACQUIRE A RENTER ’S INSURANCE POLICY ON BEHALF OF THE TENANT. 27
179	179
180	180	(2) A LANDLORD WHO ACQUIRE S A RENTER’S INSURANCE POLICY O N 28
181	181	BEHALF OF A TENANT U NDER PARAGRAPH (1) OF THIS SUBSECTION M AY CHARGE 29
182	182	THE INSURANCE PREMIU M TO THE TENANT UNTI L THE TENANT ACQUIRE S A 30
183	183	RENTER’S INSURANCE POLICY . 31
184	184
185	185	(3) A LANDLORD MAY NOT BE THE BENEFICIARY , AN INSURED PARTY , 32
186	186	OR AN ADDITIONAL INS URED OF A RENTER ’S INSURANCE POLICY A CQUIRED UNDER 33
187	187	PARAGRAPH (1) OF THIS SUBSECTION . 34
188	188
189	189	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 35
190	190	October 1, 2024. 36