There is a court case that is currently before the Maryland Court of Appeals. If you own or are involved in Front Foot Benefit Charges, this case is very important to you. The case is Select Portfolio Servicing, Inc. v. Saddlebrook West Utility, LLC, et al. The case involves lien priorities. The utility company asserted that a priority lien for the front foot benefits is created upon the recordation of the declaration (which typically pre-dates all home sales), which is superior to any subsequently recorded mortgage or deed of trust. The lower courts have decided in favor of the utility company.
The Maryland Building Industry Association has hired an attorney to write an Amicus Brief in favor of the courts decision (and the existing lein priority). The Maryland Bankers Association and The Maryland Land Title Association will be writing briefs opposing the decision. In all the years since the establishment of the laws and regulations regarding these liens, there has not been one single threat greater to the value of these liens that even approaches what would occur if this court decision is reversed. We would be relegated to (less than) the lien position of condominium associations. The brief is due February 10th, so timing of the essence. We need your help to get this done. The brief will cost approximately $50,000. We are asking our members that have a financial interest in this to help with the cause.