Contract Disputes and Property Disputes in Maryland

Contracts are legal tools used among individuals and entities in business. They contain details of each party’s obligations towards the fulfillment of an agreement. However, contracts may be complicated and sometimes could lead to disagreements between parties in a business relationship. Many contract disputes in Maryland are resolved through a breach of contract action or other contractual-based lawsuits. Identically, property disputes are issues or disagreements relating to real property in Maryland. These disputes are litigated in the Maryland District Court or Maryland Circuit Court of the State Court System.

Records that are considered public may be accessible from some third-party websites.  Operating independently of any federal, state or local agency, such platforms may make searching simpler, as they are not limited by geographic location. Third-party sites may also feature search tools that may ease the process of finding specific or multiple records. To conduct searches via a third-party or government website, interested parties may need to provide some or all of the following:

• The name of the person involved in the record, unless said person is a juvenile
• The location or assumed location of the record or person involved. This includes information such as the city, county, or state that person resides in or was accused in.

Third-party sites are independent from government sources, and are not sponsored by these government agencies. Therefore, the accuracy, availability, or record results cannot be guaranteed.

What are Contract Disputes in Maryland?

Contract disputes in Maryland generally occur when parties in a business relationship disagree on the terms of the contract. These disputes could apply to many types of contracts, such as sales agreements, commercial leases, landlord-tenant agreements, construction contracts, etc. When a contract dispute occurs in Maryland, such as a breach of contract, one of the parties, typically the non-breaching party, resorts to filing a lawsuit in court. According to the state commercial code, these cases can be filed in the Maryland district court (if the value in dispute is $5000 or less) and in the Maryland Circuit Court (if the value in dispute is above $5000).

However, there are other means of resolving contract disputes in the state that do not involve court trials or hearings. These Alternative dispute resolution (ADR) methods are less expensive than trials: Mediation, settlement conferencing, and community conferencing.

What are the Most Common Contract Disputes in Maryland

Typically, most contract disputes in Maryland arise from contracts used to formalize working relationships, structure operations, and exchange items in buying and selling. As a result, common contract disputes in the state include:

• Construction defect disputes
• Product liability disputes
• Purchase and sale service contracts
• Property contract disputes
• Breach of confidentiality agreements
• Violation of non-compete agreements

What is Maryland Contract Law?

Maryland Contract Law is enclosed in Title 2 Commercial Law Code. The law addresses the concepts of contract creation, contract validity, contract interpretation, and resolution of contract disputes in the state. The commercial code serves as a framework within which individuals or entities in the state must contract. It maintains that a valid contract in Maryland must include the following elements:

• Offer
• Acceptance
• Consideration
• Mutual Assent

An offer is a promise or obligation to act or refrain from acting. When a party agrees to this offer without disagreements, then there’s acceptance. Hence, these parties become legally bound to this contract through consideration. Consideration constitutes the value that each party has to offer that induces them to agree. Lastly, a valid and legally binding contract also includes mutual assent. Mutual assent is the unequivocal agreement to the terms and conditions of the contract by all parties involved. In addition to the above, the Maryland contract law emphasizes that a contract is only valid when the individuals or parties are competent. That is, they cannot be minors or mentally impaired.

What is a Breach of Contract in Maryland?

A breach of contract in Maryland constitutes the refusal or failure to abide by contractual terms and conditions without legally valid reasons. In Maryland, it occurs when either of the following occurs:

• A party has failed to perform as promised
• A party has made it difficult or impossible for the other party to perform their contractual obligations.
• A party has declared or announced an intent not to perform (repudiation of the contract)

After either or all of the following have occurred, a breach of contract is established. Therefore, the contract could be reconsidered, and the dispute resolved out of court. If an “out of court” resolution is impossible, the affected or non-breaching party may opt to file suit against the other party for failure to perform obligations under a valid and established contract.

Before filing a civil lawsuit for a contract dispute, the plaintiff must note the Statute of Limitations for these cases in Maryland is 3 years from the moment the breach occurs, according to Maryland Court and Judicial Proceedings Code §5–101. Pursuant to the state Commercial Law Code, the state of Maryland would recognize a contract dispute only if the violation of the contract terms and conditions was material or major. Hence, if the breach was non-material, minor, or accidental, it may be insufficient to make a legal claim because it might not equate to a contract violation. Plaintiffs are advised to seek legal counsel or advice before filing a lawsuit to determine if the case is valid in a Maryland Court of Law.

In Maryland, legally, enforceable contracts may be oral or written. Notwithstanding, some contracts such as land sales and leases have to be written to be legally enforceable. Therefore before filing a legal claim, the individual must determine if the contract is legally binding and enforceable. As earlier stated, a legally binding contract must have an offer, an acceptance of the offer, consideration, and mutual assent. Also, the contract has to show that both parties understood their obligations under the contract, and the court has to be able to understand the purpose and intent of the agreement. The Maryland Court of Appeals states that “The parties in a contract must express themselves clearly and concisely such that it can be ascertained to a reasonable degree of certainty what they mean.” If the agreement is vague, indefinite, or unclear, and the party’s intentions cannot be deduced, the contract is void, and the court may be unable to decide on the contract for the parties. Finally, the plaintiff has to prove to the court that they suffered damages or losses due to the breach.

The laws governing breach of contract claims in Maryland may sometimes be complex and complicated. Plaintiffs are advised to consult with legal practitioners to ensure recovery for the damages caused by a contract breach.

What are the Remedies for a Breach of Contract in Maryland?

Parties that suffer damages or losses because of a breach of contract may receive the following remedies if they successfully prove their case in court:

• Monetary Compensation
• A completion of performance order from the court, mandating that the breaching party complete the service agreed upon in the initial contract. (specific performance).
• Rescission or cancellation of the contract, which relieves all parties of their contractual obligations. The court usually employs this remedy if it determines that the contract should never have existed in the first place.
• In some cases, instead of undoing the contract, the court may edit it and make a just version of an illegitimate contract. Hence, the parties will follow the terms and conditions of the new and edited contract.
• Restitution demands that the breaching party pay to restore the plaintiff to the position they were in before the breach occurred.

The type of remedy awarded also depends on the circumstances surrounding the case.

What Defenses Can Be Used Against a Breach of Contract Claim in Maryland?

Legally, there are several reasons an individual or entity in a legally binding contract might claim as reasons for failure to fulfill their contracts. These include:

• Lack of capacity to contract: This implies that the individual, often a minor, does not possess the ability to fully understand the terms of the contract. As a result, the contract is void and legally unenforceable. Minors under the age of 18 and seniors with cognitive impairment are examples of individuals who cannot contract.
• Lack of consideration: In this case, the defendant argues that the contract is unfair and does not benefit all parties.
• The frustration of contract: The defendant argues that the contract cannot be executed due to certain reasons beyond the party’s control. The court has to determine that the reasons are valid and acceptable. For instance, if the execution would have resulted in the individual committing illegal actions, the court will forgive the non-performance.
• Mistakes of fact: The defense may claim that there were mistakes in the contract that changed the meaning and interpretation of the contract.

Generally, the defense has to prove to the court that the breached contract was unenforceable.

What are Property Disputes in Maryland?

Property disputes in Maryland constitute legal disputes and lawsuits over property rights and real estate in the state. They generally include disagreements between neighbors about shared boundaries, property ownership issues, or the transfer of property ownership rights.

The Real Property Article of the Maryland Code governs the buying, selling, use, and ownership of land and property. It also addresses the resolution of the disputes that may ensue in the course of performing these actions.

What Are Some Common Types of Property Disputes in Maryland?

Maryland property disputes are generally categorized under the following:

• Property access and property line disputes; fence laws and boundary disputes, adverse possession lawsuits, tree damage disputes, easement matters, etc.
• Property ownership disputes: transfer of ownership rights, lease and sale disputes, probate disputes, and liability concerns.
• Property liability disputes: Trespassing, dangers, or harm caused by property or trees.

How to Find Property Lines

In addition to the property deed or survey acquired after purchasing a property, property owners in Maryland may be able to access information on their properties, including property or boundary line, by contacting the Maryland Department of Planning. The department maintains a visually accessible dataset called MdProperty View. This software allows property owners to view and interact with the jurisdiction’s tax maps and parcel information. The maps provide a graphic representation of real property within the state, and it shows and defines the property lines or boundaries of each.

How do I Find a Property Dispute Lawyer Near me?

The Maryland Courts provide free legal assistance through the court self-help center lawyers. These lawyers do not provide legal representation; they only provide legal advice for self-representation. The court also offers free or low-cost legal help and representation to individuals that qualify based on their income. Although property lawyers are not a requirement in resolving property disputes, they are important to the success of complicated cases.