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The Harborview Condominium Case

I am frequently asked to discuss my representation of the owner of a multi-million dollar penthouse condominium unit on the top floor of a residential high-rise building on Baltimore’s Inner Harbor known as Harborview Condominium.  The claim concerned the failure of the Condominium’s Council of Unit Owners to correct defects in the common elements of the roof, exterior façade and HVAC system.  These defects were alleged to have permitted water intrusion through the exterior envelope and into the Plaintiff’s unit, resulting in damage to building components, interior finishes and furnishings and other personal property, along with microbial contamination, which rendered the unit uninhabitable. 

The case was tried over five days before a three-judge arbitration panel in September 2011.  In November 2011, the arbitration panel awarded the Plaintiff cash damages in the amount of $1,252,487, representing the cost to repair damage to the unit and to remediate the environmental contamination, along with alternative living expenses and other related costs.  The panel also issued a specific performance award directing the Condominium to undertake an identified scope of work to repair to the roof, exterior façade and HVAC system.  The value of the repair is approximately $5,000.000.  The panel ordered that the HVAC repairs be completed within 60 days, and that the remaining building repairs be completed by December 2013. (more…)

Maryland Court of Appeals Revises Pit Bull Ruling — Strict Liability Remains For Owners Of Pure Breds and Their Landlords But Not Cross Breds

After granting a motion to reconsider its ruling imposing strict liability on the owners of pit bulls and their landlords, the Maryland Court of Appeals has revised its decision by keeping the ruling in place as to pure bred pit bulls, but deleting its application to cross breds.   The Court originally held that the owners of pit bull breeds, as well as landlords who permit tenants to own pit bulls, are strictly liable for damages arising from an attack by these dogs.  The decision in Tracy v. Solesky changed the common law, which requires that a plaintiff must prove knowledge on the part of the owner or landlord that the dog was dangerous.  Subsequently, the Court determined that it would hear arguments to reconsider the decision.  Interested groups on both sides of the contovery filed amicus curie briefs with the Court, and the matter was a subject of the recent special session of the Maryland General Assembly, which considered but did not pass legislation on the issue.  The revised ruling means that the common law, requiring proof of knowledge that the dog is dangerous, continues to apply in Maryland to all breeds, including those deemed to be cross-bred pit bulls, but that strict liability applies to pure bred pit bulls.  Look for this issue to again be taken up when the Maryland General Assembly meets in its regular session commencing in January 2013.

Proposed Insurance Requirement for Property Management Companies Fails in the Maryland Legislature

Another bill effecting condominiums and homeowners association that failed to pass during the 2012 session of the Maryland General Assembly related to insurance coverage for property management companies.  House Bill 741 would have required management companies, employed by condominiums, homeowners associations or housing cooperatives, to purchase fidelity insurance that would indemnify the assoication from an act or omission arising from fraud, dishonesty or criminal acts by an agent of employee of the mangagement company.  The proposed law received an umfavorable report from the Environmental Matters Committee, and never came to a vote.

Proposed Maryland Legislation Would Have Created State Board To Regulate Property Management Companies

House Bill 433 and Senate Bill 372 from the 2012 session of the Maryland General Assembly proposed the creation of a State Board of Common Interest Community Managers to regulate the provision of property management services to common interest communities, including condominiums, homeowner associations and housing cooperatives.  The legislation would have required the licensing of community association property managers through the new State Board.  It also would have required condominiums with more than 10 units, associations with more than 50 lots, and any community that is professionally managed, to register with the Board.  The bill was considered by the Environmental Matter Committee, but never came to a vote.

Maryland Special Session Considers But Does Not Act On Pit Bull Legislation

The recent special session of the Maryland General Assembly, called primarily to enact legislation expanding gambling, also considered but did not finalize legislation that would have addressed the decision of the Court of Appeals imposing strict liability on the owners of pit bulls and their landlords.  This means that the current process of reconsideration of the ruling by the Court of Appeals will proceed.  The Court held that the owners of pit bull breeds, as well as landlords who permit tenants to own pit bulls, are strictly liable for damages arising from an attack by these dogs.  The decision in Tracy v. Solesky changed the common law, which requires that a plaintiff must prove that the dog was known to be dangerous.  Subsequently, the Court determined that it will hear arguments to reconsider the decision.  Interested groups on both sides of the contovery have filed amicus curie briefs with the Court, and seek to be heard on the issue.