Thursday, November 10, 2022

Jury trial entitlement further restricted in Maryland.

 The most recent election brought further restriction on your entitlement to a jury trial in civil matters that fall below the new limits. This, from the Daily Record:

Maryland voters on Tuesday approved a constitutional amendment raising the amount in controversy that entitles litigants to a jury trial from more than $15,000 to more than $25,000.

The change marks the state’s first increase to the jury trial threshold since 2010, when Marylanders approved a boost from more than $10,000 to more than $15,000.

Voters approved the amendment by an unofficial margin of 62% to 38% as of Wednesday afternoon, according to the Maryland State Board of Elections.

We are deeply disappointed. This creates further impediment to a fundamental right. The right to trial by a jury of peers is a building block of democracy that has been diminished. 

Tuesday, March 29, 2022

Blow limitations, file for arbitration.

 The three-year Statute of Limitations is Maryland Canon- if you fail to file a lawsuit for breach of contract or most torts within three years, you are out-of-court. Many lawsuits are dead on arrival where a claim has been filed even one-day beyond the Statute of Limitations.

The Statue of Limitations is memorialized in the Maryland Code, established by the Legislature, and enforced daily by the judiciary at all levels. It is an ancillary fact that a top cause of legal malpractice is missing Statutes of Limitations, resulting in a total loss of client rights to sue. The deadline for filing claims is just that important.

Contracts sued upon often contain arbitration clauses. These give parties to a contract the right to elect privately conducted arbitration, complete with all the trappings of a court case, such as written discovery, depositions, witness subpoenas and evidentiary hearings. For decades, it has been an article of faith that the same three-year Statute of Limitations applicable to court cases also limited the time for filing a demand for arbitration. 

But not anymore. On March 25, 2022, Maryland's highest appellate court issued its opinion that the Statute of Limitations does not impose the same three-year limitation on a demand for arbitration that it imposes on a civil court filing.

In Park Plus v. Palisades Parking, the Court held that an arbitration provision in a written contract is not automatically constrained by the Statute of Limitations. The Statute of Limitations applies only to "a civil action at law." A demand for private arbitration is not "a civil action at law."

A decision that may well breathe life into otherwise stagnate and expired claims.

The Court did make clear that parties to a contract are free to impose filing deadlines on arbitration demands. You can expect language doing just this in your next contract, as lawyers throughout the State are now bent over keyboards, pecking out language that will quickly bring arbitration demands to heel within three-years, or less. 


Monday, January 31, 2022

Baltimore City is coming for your vacant. Are you ready?

 Rehabbing vacant Baltimore City rowhouses is essential for continued revitalization. A refreshed housing stock supports surrounding property values, attracts  new residents, and provides the basis for community stabilization. All of these elements are essential to lower Baltimore's crime rate.

However, many rehab projects never take-off, or stall for unforeseen difficulties-- owners can fall victim to a range of personal and business problems that delay or interrupt construction. We have seen them all.

Mayor Scott recently announced a thirty day study period by all departments of City Government. His stated goal is to immediately reduce the City's glut of vacant properties. To this end, the City's January 31, 2022 press release announces that:

As of January 28, 2022, there were 15,032 vacant houses in Baltimore City. About 13,560 of these vacant properties have private owners. Approximately one-third of the vacant buildings are already under a transformation: being rehabbed by a private owner; part of a larger redevelopment plan; in court under a vacant building receivership action; being prepared for demolition; or a City-owned vacant available for immediate sale to a qualified buyer ready to rehab. The Department of Housing and Community Development under Commissioner Alice Kennedy has ongoing initiatives in place to acquire and convert, stabilize or demolish these vacant houses. This directive aims to accelerate, expand, and enhance these processes and reduce the number of vacant homes in Baltimore City.

Young & Valkenet has represented owners, lenders, title insurers and contractors in all phases of Baltimore City receivership actions. We also represent adjoining neighbors who own property that has been damaged by the poor condition of a Baltimore City vacant.