Mayor & City Council of Baltimore v. Prime Realty Associates, LLCAnnotate this Case
The Court of Appeals reversed the order of the circuit court invalidating, on due process grounds, an order ratifying the sale of Prime Realty's vacant property, holding that Maryland Rule 3-124(o), which allows for substituted service of process on an LLC by service on the State Department of Assessments and Taxation (SDAT), satisfies a litigant's due process rights.
The Mayor and City Council of Baltimore (the City) initiated a receivership action against Prime Realty Associates, LLC when property owned by Prime Realty fell into disrepair. The City attempted to serve Prime Realty's resident agent at the address on file with SDAT. When those attempts proved unsuccessful, the City made substitute service on SDAT pursuant to Maryland Rule 3-124(o). The property was subsequently sold, and the district court ratified the sale. Thereafter, Prime Realty moved to vacate the sale, arguing that its due process rights were violated because the City did not adequately serve Prime Realty. The district court denied the motion. On appeal, the circuit court vacated the sale of the property, holding that Prime Realty's due process were violated. The Court of Appeals reversed, holding that the method of substituted service upon SDAT prescribed by Maryland Rule 3-124(o) satisfies a litigant's due process rights.