Clark v. O'Malley
73 A.3d 1086
Md.2013Background
- Kevin P. Clark was removed as Police Commissioner of Baltimore City by the Mayor and the City Council under a Memorandum of Understanding (MOU) that purported to allow removal without cause.
- This Court previously decided Clark II (Clark v. O’Malley/Mayor & City Council) holding that the MOU’s not-for-cause termination provision conflicted with Public Local Law § 16-5(e) and was unenforceable.
- Clark II remanded to address outstanding issues, including waiver, estoppel, and damages, and did not decide reinstatement or full liability.
- Post-Clark II, Clark sought mandamus or injunctive relief for reinstatement and damages; the Circuit Court entered summary judgment for the City on several counts, finding § 2.B. (liquidated damages) valid and enforceable.
- The Court of Special Appeals affirmed, holding the MOU’s 12, 2.B, and related provisions were unenforceable only to the extent of the conflict with § 16-5(e); it rejected reinstatement as moot and upheld summary judgment on damages, with issues of waiver and estoppel considered on remand.
- This Court granted certiorari to determine whether Clark was bound by the MOU’s termination provisions and whether summary judgment on contractual issues was proper.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Clark is entitled reinstatement or mandamus despite Clark II. | Clark contends Clark II resolved liability and reinstatement must follow. | City argues Clark II did not decide reinstatement or full liability; waiver/estoppel remain unresolved. | No; Clark II did not decide reinstatement or full liability; remand preserved those issues. |
| Whether § 2.B. liquidated damages clause limits Clark’s damages claim. | Clark argues damages beyond § 2.B. are possible because § 2.B. is invalid or limited. | City argues § 2.B. is valid and enforceable and limits damages. | § 2.B. is valid, but its relation to total damages depends on remaining issues; court upheld its enforceability where not conflict with public policy. |
| Whether Clark’s damages claim is barred by public policy/estoppel/waiver. | Clark asserts no waiver/estoppel precludes claims; Clark II discussed policy but remand allowed further consideration. | City argues waiver/estoppel preclude additional damages. | Remand preserved waiver/estoppel questions; majority held not resolved, allowing further consideration. |
| Whether the intervention by Mrs. Clark on sealing NY records was moot and properly denied. | Mrs. Clark sought to protect confidentiality of NY family court records. | Record remained under seal; intervention unnecessary. | Moot; appeal dismissed. |
Key Cases Cited
- Mayor & City Council of Baltimore v. Clark, 404 Md. 13 (Md. 2008) (invalidates MOU termination not-for-cause clause; public policy conflict with PLL § 16-5(e))
- Clark v. O’Malley, 186 Md.App. 194 (Md. App. 2009) (intermediate appellate decision addressing reinstatement and damages remandability)
- Clark II—Mayor & City Council of Baltimore v. Clark, 404 Md. 13, 944 A.2d 1122 (Md. 2008) (affirmed remand and clarified scope of liability and damages issues)
- Medex v. McCabe, 372 Md. 28, 811 A.2d 297 (Md. 2002) (public policy invalidates contracts to the extent of conflict with policy)
- State Farm Mut. Auto. Ins. Co. v. Nationwide Mut. Ins. Co., 307 Md. 631, 516 A.2d 586 (Md. 1986) (contract provisions violating public policy invalid to extent of conflict)
- Bd. of Educ. v. Heister, 392 Md. 140, 896 A.2d 342 (Md. 2006) (liquidated damages clauses fair when reasonable compensation for anticipated loss)
