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Maryland Appellate Court: COVID-19 Restrictions Not Excuse for Tenants' Failure to Pay Rent
Looking primarily to states like Connecticut for guidance, the Appellate Court of Maryland concluded that economic challenges stemming from COVID-19 executive orders themselves are not sufficient to establish the affirmative defenses of frustration of purpose and legal impossibility for failure to pay rent.
David and Carolyn Marquis leased an Annapolis, MD, property for a restaurant/pub known as the Chesapeake Brewing Co. The couple operated the business without substantial difficulties until the arrival of the COVID-19 pandemic and when Gov. Larry Hogan issued an executive order in March 2020 limiting bars and restaurants to carryout orders.
The Marquises asked their commercial property landlord, John Critzos II, to abate the April rent due to their inability to operate the restaurant/pub as usual. The landlord and tenants never reached an agreement and the Marquises never paid rent, but rather they informed Critzos on April 23, 2020, that they wished to terminate the lease, according to the appellate court's opinion filed in January. John Critzos, II v. David Marquis, et al., Md. App. Ct. No. 293, Sept. Term 2022. Opinion filed on Jan. 3, 2023, by Berger, J.
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'Huguenot LLC v. Megalith Capital Group Fund I, L.P.': A Tutorial On Contract Liability for Real Estate Purchasers
In June 2024, the First Department decided Huguenot LLC v. Megalith Capital Group Fund I, L.P., which resolved a question of liability for a group of condominium apartment buyers and in so doing, touched on a wide range of issues about how contracts can obligate purchasers of real property.
Strategy vs. Tactics: Two Sides of a Difficult Coin
With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.
CoStar Wins Injunction for Breach-of-Contract Damages In CRE Database Access Lawsuit
Latham & Watkins helped the largest U.S. commercial real estate research company prevail in a breach-of-contract dispute in District of Columbia federal court.
The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.