Maryland 2024 Regular Session

Maryland Senate Bill SB946 Compare Versions

Only one version of the bill is available at this time.
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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *sb0946*
66
77 SENATE BILL 946
88 N1 4lr1965
99 CF 4lr1054
1010 By: Senator Kelly
1111 Introduced and read first time: February 2, 2024
1212 Assigned to: Judicial Proceedings
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Landlord and Tenant – Failure to Repair Serious and Dangerous Defects – 2
1919 Tenant Remedies 3
2020 (Tenant Safety Act of 2024) 4
2121
2222 FOR the purpose of establishing that a landlord that offers a dwelling for rent is deemed to 5
2323 warrant the dwelling fit for human habitation; clarifying that certain mold hazards 6
2424 constitute dangerous conditions and defects for which a tenant may obtain relief; 7
2525 authorizing multiple tenants to join as plaintiffs in the same civil action against a 8
2626 landlord; establishing that, prior to a certain court order, there is a rebuttable 9
2727 presumption that a tenant is entitled to have a court adjudicate a request for rent 10
2828 abatement; establishing a rebuttable presumption related to the abatement of 11
2929 prospective rent and the requirements for rent escrow; establishing a rebuttable 12
3030 presumption that limits rent escrow payments to rent that is due and unpaid 13
3131 subsequent to a court order; authorizing the award of attorney’s fees, costs, and 14
3232 expenses related to litigation and a tenant who prevails in certain actions; 15
3333 establishing that certain local laws preempt certain provisions of this Act; 16
3434 authorizing certain remedies for a tenant if a landlord breaches the warranty of 17
3535 habitability; providing that a landlord may raise certain defenses in a civil action 18
3636 related to the breach of the warranty of habitability; providing that a court may order 19
3737 certain relief in civil actions related to the breach of the warranty of habitability, 20
3838 including actual damages, abatement of rent due and unpaid, and the termination 21
3939 of a lease; and generally relating to remedies for a landlord’s failure to repair serious 22
4040 and dangerous defects. 23
4141
4242 BY repealing and reenacting, with amendments, 24
4343 Article – Real Property 25
4444 Section 8–211 26
4545 Annotated Code of Maryland 27
4646 (2023 Replacement Volume) 28
4747
4848 BY adding to 29 2 SENATE BILL 946
4949
5050
5151 Article – Real Property 1
5252 Section 8–212 2
5353 Annotated Code of Maryland 3
5454 (2023 Replacement Volume) 4
5555
5656 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 5
5757 That the Laws of Maryland read as follows: 6
5858
5959 Article – Real Property 7
6060
6161 8–211. 8
6262
6363 (a) (1) The purpose of this section is to provide tenants with a mechanism for 9
6464 encouraging the repair of serious and dangerous defects which exist within or as part of 10
6565 any residential dwelling unit, or [upon the] ON property used in common of which the 11
6666 dwelling unit forms a part. 12
6767
6868 (2) The defects sought to be reached by this section are those which present 13
6969 a substantial and serious threat of danger to the life, health, and safety of the occupants of 14
7070 the dwelling unit, and not those which merely impair the aesthetic value of the premises, 15
7171 or which are, in those locations governed by such codes, housing code violations of a 16
7272 nondangerous nature. 17
7373
7474 (3) The intent of this section is not to provide a remedy for dangerous 18
7575 conditions in the community at large which exists apart from the leased premises or the 19
7676 property in common of which the leased premises forms a part. 20
7777
7878 (b) It is the public policy of [Maryland] THE STATE that meaningful sanctions be 21
7979 imposed [upon those who allow] ON A LANDLORD THAT A LLOWS dangerous conditions 22
8080 and defects to exist in leased premises, and that an effective mechanism be established for 23
8181 repairing these conditions and halting their creation. 24
8282
8383 (c) (1) [This] EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS 25
8484 SUBSECTION, THIS section applies to ALL residential dwelling units leased for the purpose 26
8585 of human habitation within the State [of Maryland. This section does not apply to farm 27
8686 tenancies. 28
8787
8888 (d) This section applies to all applicable dwelling units] whether they are [(1) 29
8989 publicly]: 30
9090
9191 (I) PUBLICLY or privately owned; or [(2) single] 31
9292
9393 (II) SINGLE or multiple units. 32
9494
9595 (2) THIS SECTION DOES NOT APPLY TO FARM TENANC IES. 33
9696 SENATE BILL 946 3
9797
9898
9999 [(e)] (D) [This section provides a remedy and imposes an obligation upon 1
100100 landlords] A LANDLORD THAT OFFERS A RESIDENTIAL DWELLI NG UNIT FOR RENT , 2
101101 WHETHER BY WRITTEN O R ORAL LEASE OR AGRE EMENT, SHALL BE DEEMED TO 3
102102 WARRANT THAT THE RES IDENTIAL DWELLING UN IT IS FIT FOR HUMAN HABITATION 4
103103 AND THAT THE LANDLORD IS OBLI GATED to repair and eliminate conditions and defects 5
104104 which constitute, or if not promptly corrected will constitute, a fire hazard or a serious and 6
105105 substantial threat to the life, health, or safety of occupants, including[, but not limited to]: 7
106106
107107 (1) Lack of heat, light, electricity, or hot or cold running water, except 8
108108 where the tenant is responsible for the payment of the utilities and the lack thereof is the 9
109109 direct result of the tenant’s failure to pay the charges; 10
110110
111111 (2) Lack of adequate sewage disposal facilities; 11
112112
113113 (3) Infestation of rodents in two or more dwelling units; 12
114114
115115 (4) The existence of any structural defect which presents a serious and 13
116116 substantial threat to the physical safety of the occupants; [or] 14
117117
118118 (5) The existence of any condition which presents a health or fire hazard to 15
119119 the dwelling unit; OR 16
120120
121121 (6) THE EXISTENCE OF MOLD IN A DWELLING UNIT T HAT PRESENTS A 17
122122 SERIOUS AND SUBSTANT IAL THREAT TO THE HE ALTH OF THE OCCUPANT S. 18
123123
124124 [(f)] (E) (1) This section does not [provide a remedy for the] APPLY TO A 19
125125 landlord’s failure to repair and eliminate minor defects or, in those locations governed by 20
126126 such codes, housing code violations of a nondangerous nature. 21
127127
128128 (2) There is a rebuttable presumption that the following conditions, when 22
129129 they do not present a serious and substantial threat to the life, health, and safety of the 23
130130 occupants, are not covered by this section: 24
131131
132132 [(1)] (I) Any defect which merely reduces the aesthetic value of the leased 25
133133 premises, such as the lack of fresh paint, rugs, carpets, paneling, or other decorative 26
134134 amenities; 27
135135
136136 [(2)] (II) Small cracks in the walls, floors, or ceilings; 28
137137
138138 [(3)] (III) The absence of linoleum or tile [upon] ON the floors, provided 29
139139 that they are otherwise safe and structurally sound; or 30
140140
141141 [(4)] (IV) The absence of air conditioning. 31
142142 4 SENATE BILL 946
143143
144144
145145 [(g)] (F) (1) In order to employ the remedies provided by this section, the 1
146146 tenant shall notify the landlord of the existence of the defects or conditions. 2
147147
148148 (2) Notice shall be given by [(1) a]: 3
149149
150150 (I) A written communication sent by certified mail listing the 4
151151 asserted conditions or defects[, or (2) actual]; 5
152152
153153 (II) ACTUAL notice of the defects or conditions[,]; or [(3) a] 6
154154
155155 (III) A written violation, condemnation or other notice from an 7
156156 appropriate State, county, municipal, or local government agency stating the asserted 8
157157 conditions or defects. 9
158158
159159 [(h)] (G) (1) The landlord has a reasonable time after receipt of notice in 10
160160 which to make the repairs or correct the conditions. 11
161161
162162 (2) The length of time deemed to be reasonable is a question of fact for the 12
163163 court, taking into account the severity of the defects or conditions and the danger which 13
164164 they present to the occupants. 14
165165
166166 (3) There is a rebuttable presumption that a period in excess of 30 days 15
167167 from receipt of notice is unreasonable. 16
168168
169169 [(i)] (H) (1) If the landlord refuses to make the repairs or correct the 17
170170 conditions, or if after a reasonable time the landlord has failed to do so, the tenant may 18
171171 [bring] TAKE ONE OR BOTH OF THE FOLLOWING ACTION S: 19
172172
173173 (I) BRING an action of rent escrow to pay rent into court because of 20
174174 the asserted defects or conditions[, or the tenant may refuse]; AND 21
175175
176176 (II) REFUSE to pay rent and raise the existence of the asserted 22
177177 defects or conditions as an affirmative defense, IN ADDITION TO ANY O THER DEFENSE , 23
178178 to an action for distress for rent or to any complaint proceeding brought by the landlord to 24
179179 recover rent or the possession of the leased premises. 25
180180
181181 (2) MULTIPLE TENANTS MAY JOIN AS PLAINTIFFS I N AN ACTION 26
182182 UNDER THIS SECTION I N ACCORDANCE WITH TH E MARYLAND RULES ON JOINDER . 27
183183
184184 (I) THERE IS A REBUTTABLE PRESUMPTION THAT : 28
185185
186186 (1) A TENANT IS ENTITLED T O THE ADJUDICATION O F A REQUEST FOR 29
187187 RENT ABATEMENT ; 30
188188 SENATE BILL 946 5
189189
190190
191191 (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH AN D 1
192192 SUBSECTION (M) OF THIS SECTION, THERE IS A REBUTTABL E PRESUMPTION THAT A 2
193193 TENANT: 3
194194
195195 1. IS ENTITLED TO AN ABA TEMENT OF PROSPECTIV E 4
196196 RENT; AND 5
197197
198198 2. MAY NOT BE RE QUIRED TO PAY INTO E SCROW MORE 6
199199 THAN 50% OF THE AMOUNT OF REN T REQUIRED BY THE LE ASE. 7
200200
201201 (II) A DETERMINATION UNDER THIS PARAGRAPH IS WI THOUT 8
202202 PREJUDICE TO A FINAL DISPOSITION OF RENT THAT IS DUE AND UNPA ID TO THE 9
203203 LANDLORD. 10
204204
205205 (3) THERE IS A REBUTTABLE PRESUMPTION THAT A C OURT ORDER 11
206206 REQUIRING RENT ESCRO W IS LIMITED TO THE PAYMENT OF RENT THAT IS DUE AND 12
207207 UNPAID SUBSEQUENT TO THE COURT ORDER . 13
208208
209209 (4) A PARTY MAY REQUEST TH AT THE COURT ADJUST THE AMOUNT 14
210210 OF RENT THAT A TENAN T PAYS INTO COURT AT ANY TIME. 15
211211
212212 (j) (1) Whether the issue of rent escrow is raised affirmatively or defensively, 16
213213 the tenant may request one or more of the forms of relief set forth in this section. 17
214214
215215 (2) In addition to any other relief sought, if within 90 days after the court 18
216216 finds that the conditions complained of by the tenant exist AND the landlord has not made 19
217217 the repairs or corrected the conditions complained of, the tenant may file a petition of 20
218218 injunction in the District Court requesting the court to order the landlord to make the 21
219219 repairs or correct the conditions. 22
220220
221221 (k) Relief under this section is conditioned on: 23
222222
223223 (1) Giving proper notice, and where appropriate, the opportunity to correct, 24
224224 as described [by] IN subsection [(h)] (G) of this section; 25
225225
226226 (2) Payment by the tenant[, into court,] of the amount of rent required by 26
227227 the lease INTO THE COURT , unless this amount is modified by the court as provided in 27
228228 subsection (I) OR (m) of this section; 28
229229
230230 (3) In the case of tenancies measured by a period of [one] 1 month or more, 29
231231 the court having not entered against the tenant three prior judgments of possession for rent 30
232232 due and unpaid in the 12–month period immediately prior to the initiation of the action by 31
233233 the tenant or by the landlord; and 32
234234 6 SENATE BILL 946
235235
236236
237237 (4) In the case of periodic tenancies measured by the weekly payment of 1
238238 rent, the court having not entered against the tenant more than five judgments of 2
239239 possession for rent due and unpaid in the 12–month period immediately prior to the 3
240240 initiation of the action by the tenant or by the landlord, or, if the tenant has lived on the 4
241241 premises [six] 6 months or less, the court having not entered against the tenant three 5
242242 judgments of possession for rent due and unpaid. 6
243243
244244 (l) It is a sufficient defense to the allegations of the tenant that the tenant, the 7
245245 tenant’s family, agent, employees, or assignees or social guests have caused the asserted 8
246246 defects or conditions, or that the landlord or the landlord’s agents were denied reasonable 9
247247 and appropriate entry for the purpose of correcting or repairing the asserted conditions or 10
248248 defects. 11
249249
250250 (m) The court shall make appropriate findings of fact and make any order that the 12
251251 justice of the case may require, including any one or a combination of the following: 13
252252
253253 (1) Order the termination of the lease and return of the leased premises to 14
254254 the landlord, subject to the tenant’s right of redemption; 15
255255
256256 (2) Order that the action for rent escrow be dismissed; 16
257257
258258 (3) Order that the amount of rent required by the lease, whether paid into 17
259259 court or to the landlord, be abated and reduced in an amount determined by the court to be 18
260260 fair and equitable to represent the existence of the conditions or defects found by the court 19
261261 to exist; or 20
262262
263263 (4) Order the landlord to make the repairs or correct the conditions 21
264264 complained of by the tenant and found by the court to exist. 22
265265
266266 (n) (1) After rent escrow has been established, the court: 23
267267
268268 [(1)] (I) Shall, after a hearing, if so ordered by the court or one is 24
269269 requested by the landlord, order that the money in the escrow account be disbursed to the 25
270270 landlord after the necessary repairs have been made; 26
271271
272272 [(2)] (II) May, after an appropriate hearing, order that some or all money 27
273273 in the escrow account be paid to the landlord or the landlord’s agent, the tenant or the 28
274274 tenant’s agent, or any other appropriate person or agency for the purpose of making the 29
275275 necessary repairs of the dangerous conditions or defects; 30
276276
277277 [(3)] (III) May, after a hearing if one is requested by the landlord, appoint 31
278278 a special administrator who shall cause the repairs to be made, and who shall apply to the 32
279279 court to pay for them out of the money in the escrow account; 33
280280 SENATE BILL 946 7
281281
282282
283283 [(4)] (IV) May, after an appropriate hearing, order that some or all money 1
284284 in the escrow account be disbursed to pay any mortgage or deed of trust on the property in 2
285285 order to stay a foreclosure; 3
286286
287287 [(5)] (V) May, after a hearing, if one is requested by the tenant, order, if 4
288288 no repairs are made or if no good faith effort to repair is made within [six] 6 months of the 5
289289 initial decision to place money in the escrow account, that the money in the escrow account 6
290290 be disbursed to the tenant THAT HAVE PAID INTO ESCROW[. Such an order will not 7
291291 discharge the right on the part of the tenant to pay rent into court and an appeal will stay 8
292292 the forfeiture]; or 9
293293
294294 [(6)] (VI) May, after an appropriate hearing, order that the money in the 10
295295 escrow account be disbursed to the landlord if the tenant does not regularly pay, into that 11
296296 account, the rent owed. 12
297297
298298 (2) AN ORDER ISSUED UNDER PARAGRAPH (1)(V) OF THIS 13
299299 SUBSECTION: 14
300300
301301 (I) DOES NOT AFFECT THE RIGHT OF A TENANT TO PAY R ENT 15
302302 INTO COURT; AND 16
303303
304304 (II) MAY BE STAYED ON APPE AL BY THE LANDLORD . 17
305305
306306 (O) IF A COURT ORDERS ANY RELIEF TO A TENANT U NDER THIS SECTION , 18
307307 THE TENANT MAY RECOV ER: 19
308308
309309 (1) REASONABLE ATTORNEY ’S FEES AND COSTS ; AND 20
310310
311311 (2) REASONABLE EXPENSES R ELATED TO LITIGATION , SUCH AS 21
312312 EXPENSES FOR A MOLD ASSESSMENT AT THE RE SIDENCE OF THE TENAN T. 22
313313
314314 [(o)] (P) Except as provided in § 8–211.1(e) of this subtitle, [in the event any 23
315315 county or Baltimore City is subject to a public local law or has enacted an ordinance or 24
316316 ordinances comparable in subject matter to this section, commonly referred to as a “Rent 25
317317 Escrow Law”, any such ordinance or ordinances shall supersede the provisions of this 26
318318 section] THIS SECTION SHALL SUPERS EDE ANY LOCAL LAW OR ORDINANCE 27
319319 COMPARABLE IN SUBJEC T MATTER TO THIS SEC TION EXCEPT TO THE EXTENT THAT 28
320320 THE LOCAL LAW OR ORD INANCE PROVIDES BROA DER APPLICABILITY OR MORE 29
321321 PROTECTIONS FOR TENA NTS THAN THIS SECTIO N. 30
322322
323323 8–212. 31
324324
325325 (A) IN THIS SECTION , “WARRANTY OF HABITABI LITY” MEANS THE 32
326326 WARRANTY BY A LANDLO RD DESCRIBED UNDER § 8–211 OF THIS SUBTITLE. 33 8 SENATE BILL 946
327327
328328
329329
330330 (B) THIS SECTION APPLIES TO LANDLORDS , TENANTS, AND RESIDENTIAL 1
331331 DWELLING UNITS THAT ARE SUBJECT TO § 8–211 OF THIS SUBTITLE . 2
332332
333333 (C) RELIEF FOR BREACH OF THE WARRANTY OF HABITABILITY UNDER T HIS 3
334334 SECTION MAY NOT BE C ONDITIONED ON PAYMEN T BY THE TENANT OF R ENT INTO 4
335335 ESCROW WITH THE COUR T. 5
336336
337337 (D) (1) IN ORDER TO EMPLOY TH E REMEDIES PROVIDED BY THIS 6
338338 SECTION, A TENANT SHALL NOTIF Y THE LANDLORD OF TH E EXISTENCE OF THE 7
339339 DEFECTS OR CO NDITIONS IN ACCORDAN CE WITH § 8–211 OF THIS SUBTITLE. 8
340340
341341 (2) WITHIN A REASONABLE P ERIOD OF TIME AFTER RECEIPT OF 9
342342 NOTICE UNDER PARAGRA PH (1) OF THIS SUBSECTION , THE LANDLORD SHALL M AKE 10
343343 THE REPAIRS OR CORRE CT THE CONDITIONS IN ACCORDANCE WITH § 8–211(G) OF 11
344344 THIS SUBTITLE. 12
345345
346346 (E) (1) IF A LANDLORD BREACHE S THE WARRANTY OF HA BITABILITY 13
347347 UNDER § 8–211 OF THIS SUBTITLE AND REFUSES TO MAKE THE REPAIRS OR 14
348348 CORRECT THE CONDITIO NS, OR IF AFTER A REASON ABLE TIME THE LANDLO RD HAS 15
349349 FAILED TO DO SO, THE TENANT MAY : 16
350350
351351 (I) BRING AN ACTION FOR DA MAGES AND THE ABATEM ENT OF 17
352352 RENT AGAINST THE LAN DLORD; AND 18
353353
354354 (II) REFUSE TO PAY RENT AN D RAISE THE EXISTENC E OF THE 19
355355 ASSERTED DEFECTS OR CONDITIONS AS AN AFF IRMATIVE DEFENSE TO AN ACTION 20
356356 OF DISTRESS FOR RENT OR TO ANY OTHER ACTI ON BROUG HT BY THE LANDLORD T O 21
357357 RECOVER RENT OR THE POSSESSION OF THE LE ASED PREMISES . 22
358358
359359 (2) MULTIPLE TENANTS MAY JOIN AS PLAINTIFFS I N AN ACTION 23
360360 UNDER THIS SUBSECTIO N IN ACCORDANCE WITH THE MARYLAND RULES ON 24
361361 JOINDER. 25
362362
363363 (3) THE REMEDIES UNDER TH IS SUBSECTION ARE I N ADDITION TO 26
364364 ANY OTHER REMEDIES P ROVIDED BY LAW . 27
365365
366366 (F) IT IS A DEFENSE TO A CLAIM UNDER THIS SEC TION THAT: 28
367367
368368 (1) THE TENANT , THE TENANT ’S FAMILY, AGENT, EMPLOYEES, 29
369369 ASSIGNEES, OR SOCIAL GUESTS CAU SED THE ASSERTED DEF ECTS OR CONDITIONS ; 30
370370 OR 31
371371 SENATE BILL 946 9
372372
373373
374374 (2) THE LANDLORD OR THE LANDLOR D’S AGENTS WERE DENIED 1
375375 REASONABLE AND APPRO PRIATE ENTRY FOR THE PURPOSE OF CORRECTIN G OR 2
376376 REPAIRING THE ASSERT ED CONDITIONS OR DEF ECTS. 3
377377
378378 (G) THE COURT SHALL MAKE APPROPRIATE FINDINGS OF FACT AND ISSUE 4
379379 ANY ORDER THAT THE J USTICE OF THE CASE MAY REQUIRE , INCLUDING ORDERING 5
380380 ANY OF THE FOLLOWING : 6
381381
382382 (1) AN AWARD OF ACTUAL DA MAGES; 7
383383
384384 (2) AN ABATEMENT OF RENT DUE AND UNPAID ; OR 8
385385
386386 (3) THE TERMINATION OF TH E LEASE, RETURN OF ANY UNUSED 9
387387 PORTION OF A SECURIT Y DEPOSIT TO THE TEN ANT, AND RELOCATION EXPENSES 10
388388 FOR A TENANT. 11
389389
390390 (H) IF A COURT ORDERS ANY RELIEF TO A TENANT U NDER THIS SECTION , 12
391391 THE TENANT MAY RECOV ER REASONABLE : 13
392392
393393 (1) ATTORNEY’S FEES AND COSTS ; AND 14
394394
395395 (2) EXPENSES RELATED TO L ITIGATION, SUCH AS EXPENSES FOR A 15
396396 MOLD ASSESSMENT AT THE RESIDENCE OF THE TENANT. 16
397397
398398 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 17
399399 October 1, 2024. 18