Lucky Ned Pepper's Ltd. v. Columbia Park & Recreation Ass'n

494 A.2d 947, 64 Md. App. 222, 1985 Md. App. LEXIS 459
CourtCourt of Special Appeals of Maryland
DecidedJuly 10, 1985
Docket1508, September Term, 1984
StatusPublished
Cited by8 cases

This text of 494 A.2d 947 (Lucky Ned Pepper's Ltd. v. Columbia Park & Recreation Ass'n) is published on Counsel Stack Legal Research, covering Court of Special Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lucky Ned Pepper's Ltd. v. Columbia Park & Recreation Ass'n, 494 A.2d 947, 64 Md. App. 222, 1985 Md. App. LEXIS 459 (Md. Ct. App. 1985).

Opinion

*225 ALPERT, Judge.

Trial by jury has been described as “the only anchor ever yet imagined by man, by which a government can be held to the principles of its constitution.” 1 In this appeal we explore the extent to which the right to a jury trial may be curtailed. Because of such curtailment, in this appeal the constitutionality of one of Maryland’s rent escrow statutes is challenged. Specifically, appellant challenges Maryland Real Property Code Ann. § 8-118 (1981 Repl.Vol., 1984 Cum.Supp.) 2 which provides, in pertinent part:

Rent escrow account in certain landlord-tenant actions.
(a) Tenant to pay rents into account. — In an action under § 8-401, § 8-402, or § 8-402.1 of this article in which a party prays a jury trial, the District Court shall enter an order directing the tenant or anyone holding under the tenant to pay all accrued and unpaid rents, and all rents due and as they come due during the pendency of the action, as prescribed in subsection (b) of this section.
(b) Escrow accounts into which rents to be paid. —The District Court shall order that the rents to be paid into the registry of an escrow account of:
(1) The clerk of the circuit court; or
(2) If directed by the District Court, an administrative agency of the county which is empowered by local law to hold rents in escrow pending investigation and disposition of complaints by tenants.
(c) Failure to pay rent. — In an action under § 8-401, § 8-402, or § 8-402.1 of this article, if the tenant or anyone holding under the tenant fails to pay rent accrued or as it comes due pursuant to the terms of the order, the circuit court, on motion of the landlord and certification *226 of the clerk or agency of the status of the account, shall give judgment in favor of the landlord and issue a warrant for possession.

(emphasis added).

FACTS

The appellant is Lucky Ned Pepper’s, Ltd. (“Lucky Ned”), a tenant of appellee, Columbia Park and Recreation Association. Lucky Ned operates the bar and restaurant at the Allview Golf Course in Howard County, Maryland. This appeal arises out of appellee’s suit filed in the District Court of Maryland for Howard County requesting possession of and accrued rent on the area of the golf course clubhouse occupied by appellant.

The action was filed under § 8-401 of the Real Property Code, providing for summary eviction proceedings based upon a tenant’s failure to pay rent. At the scheduled trial date, July 9, 1984, appellant prayed a jury trial. Following the prayer for jury trial, the District Court (through appellee’s counsel) requested that appellant show cause within two (2) days, as to why appellant ought not be ordered to pay, into escrow, accrued rents on the property pursuant to § 8-118(a) of the Real Property Code. On July 10th appellant responded, by letter, to the judge’s request, indicating that § 8-118 ought not be applied in this case because (1) it is unconstitutional and (2) “the amount claimed [by appellee] is a shameful fraud.” Finally, appellant’s counsel requested “to be heard in order to lay bare the fraudulent Statement of Claim.”

On July 11th, apparently without ever having seen appellant’s correspondence of July 10th, the district court judge ordered appellant to pay $6,710.66 into escrow. This sum represents the amount allegedly owed by appellant, exclusive of late charges and attorney’s fees, as sworn to in appellee’s original statement of claim. Appellant was also ordered to pay into escrow future rents as they became due. Appellant was given two days to comply with this order. *227 Pursuant to the prayer for jury trial, this case reached the Circuit Court for Howard County on July 16, 1983.

In the meantime, appellant paid no money into escrow and on July 19th promptly moved to strike the district court’s July 11th order. The motion was based upon three grounds: (1) that § 8-118 of the Real Property Code was unconstitutional; (2) that even if constitutional, § 8-118 did not apply; and (3) that the amount of rent claimed by appellee was fraudulent. Appellant also requested a hearing on this motion.

In September, appellee moved for judgment against appellant pursuant to § 8-118(c) which provides that “[i]n an action under § 8-401 ... if the tenant ... fails to pay rent accrued or as it becomes due pursuant to the terms of the order, the circuit court, on motion of the landlord, ... shall give judgment in favor of the landlord----” Appellee also requested a hearing on this motion.

On November 11, 1984, the Circuit Court for Howard County heard arguments on the pending motions including appellant’s motion to strike the escrow order. At the hearing appellant again claimed that § 8-118 was unconstitutional and that, in any event, it was denied due process by the district court’s failure to afford him a hearing prior to its July 11th order.

From the bench, the circuit court judge ruled that § 8-118 was constitutional and that appellant was not denied due process by virtue of the July 11th order. He then granted appellee’s motion for judgment which included all rents that had accrued as of the district court proceeding plus rents that were accruing and had accrued to October 20, 1984, a total of $9,210.66. He denied appellant’s motion to strike the district court order. Orders to this effect were filed on November 8, 1984, and November 13, 1984, respectively. An appeal was taken November 8, 1984. 3

*228 I.

Section 8-118 of the Real Property Code is alleged to be repugnant to articles 23 and 24 of the Maryland Declaration of Rights. These articles provide:

Article 23:
The right of trial by Jury of all issues of fact in civil proceedings in the several courts of law in this State, where the amount in controversy exceeds the sum of five hundred dollars, shall be inviolably preserved.
Article 24:
That no man ought to be taken or imprisoned or disseized of his freehold, liberties or privileges, or outlawed, or exiled, or, in any manner, destroyed, or deprived of his life, liberty or property but by the judgment of his peers, or by the Law of the Land.

Specifically, appellant argues: (1) that § 8-118 interferes with the exercise of one’s right to a jury trial, and (2) that subsections (a) and (c) of § 8-118 violate one’s due process rights because they provide for the payment of money and entry of a judgment without providing for a hearing.

II.

A. Interference with Jury Trial Right

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Cite This Page — Counsel Stack

Bluebook (online)
494 A.2d 947, 64 Md. App. 222, 1985 Md. App. LEXIS 459, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lucky-ned-peppers-ltd-v-columbia-park-recreation-assn-mdctspecapp-1985.