§ 11-102.2. Termination of leases

   (a) "Terminate" defined. -- In this section, "terminate" means:

   (1) A giving of notice terminating a periodic tenancy of a dwelling within a residential rental facility; or

   (2) The failure to renew or continue an existing lease for a dwelling in a residential rental facility upon its expiration.

(b) Termination without notice prohibited. -- The owner of a residential facility may not terminate the lease of any tenant occupying any portion of the owner's residential facility in order to avoid such owner's obligation to give the tenant the notice required under § 11-102.1 of this title.

(c) List of terminated leases required in application for registration. -- The application for registration for a residential rental facility under § 11-127 of this title shall include, to the extent reasonably available, a list of all tenants whose leases were terminated during the 180-day period prior to the filing of the application for registration.

(d) Rejection of application for violation. -- After an agency hearing, if the Secretary of State determines that an owner has violated subsection (b) of this section within 180 days prior to filing an application for registration, the Secretary of State shall reject the application for registration filed by the owner.

(e) Revocation of application for violation. -- After a public offering statement has been registered, if the Secretary of State determines that an owner has violated subsection (b) of this section during the 12-month period prior to the time units are offered for sale, the Secretary of State shall revoke the registration.

(f) Determination of violation. -- In determining whether an owner has violated subsection (b) of this section, the Secretary of State shall consider:

   (1) (i) Whether the termination was due to the nonpayment of rent;

      (ii) Whether the termination was due to a breach of the lease; or

      (iii) Whether the owner intended at the time of termination to convert the residential facility to a condominium; and

   (2) Any other factors as the Secretary of State deems appropriate.

(g) Correction of violation. -- If an application for registration is rejected by the Secretary of State pursuant to subsection (d) of this section, or if a registration is revoked by the Secretary of State pursuant to subsection (e) of this section, the Secretary of State may not accept the application or reinstate the registration unless and until the owner has tendered to every tenant whose lease was terminated in violation of subsection (a) of this section an award for reasonable expenses.

HISTORY: 1987, ch. 769; 2009, ch. 60, § 5; 2010, ch. 72.