Business ProfileforWestminster Management

The following describes a government action that has been resolved by either a settlement or a decision by a court or administrative agency. If the matter is being appealed, it will be noted below.

BALTIMORE, MD (September 23, 2022) – Maryland Attorney General Brian E. Frosh today announced that his Consumer Protection Division has reached a settlement with Westminster Management, LLC, a New Jersey-based corporation, and the 25 companies that own or owned 17 residential communities managed by Westminster Management in Maryland. The settlement addresses charges that Westminster and the property owners violated the Consumer Protection Act by charging tenants illegal fees and by failing to maintain the properties. The properties in question contained more than 9,000 rental units across Baltimore City, Baltimore County, and Prince George’s County, and the settlement will potentially pay restitution to thousands of current and former residents of the communities. The settlement, contained in a Final Order entered by the Consumer Protection Division, requires Westminster to return to consumers excessive application fees; improper agent fees, writ fees, and court costs charged in summary ejectment actions; small credit balances that were improperly retained by the company; and security deposit interest that was not paid to vacating tenants.

To address the charges, the settlement provides for a claims procedure where current and past tenants of properties managed by Westminster can make claims to a special master, who can return rent to consumers if, during their tenancies, they faced serious maintenance issues that impacted their use and enjoyment of their apartments.

Today’s settlement also requires Westminster to pay a civil penalty of $3,250,000. Westminster may receive a credit of up to $800,000 against the penalty amount for money it pays to consumers who file claims for shoddy maintenance or who were improperly charged court costs. The total amount of restitution that Westminster must pay, however, must include all of the fees it has agreed to return and all allowed maintenance claims.

The Division’s Final Order also contains injunctive terms that prohibit Westminster and the property owners from charging illegal fees, and requires Westminster and the property owners to employ adequate maintenance staff to respond timely to consumers’ maintenance requests; to collect, maintain, and return security deposits consistent with the Maryland Security Deposit Law; and maintain required licenses.

Consumers who are entitled to relief under the settlement will receive claims forms on which they can make maintenance-related claims or will receive payments if they were charged improper fees or are owed other amounts under the settlement