Yim, LLC v. Tuzeer, 211 Md. App. 1

Background

YIM, LLC owns 123-129 West 27th Street in Baltimore City, including the restaurant at 127 West 27th Street adjacent to a bakery run by D’Souza.
Two Sisters, LLC operated the restaurant under a 2007 liquor license that lapsed after non-renewal, with the Board noting 180-day death-by-operation-of-law rules for licenses after closing.
The Board granted hardship extensions in 2008, extending the license life up to 360 days if warranted, while renewal and transfer applications were filed intermittently by Two Sisters and later Mid Atlantic Capital Holding, LLC.
D’Souza sought to transfer the license from Two Sisters to Gluten Free, LLC and subsequently to operate a gluten-free restaurant at the same location, filing renewal and transfer applications in 2009–2010.
The Board held multiple hearings in 2010, denying the transfer in June but later reconsidering and granting the transfer in August 2010 under an agreement restricting operating hours, which prompted judicial review by Neighbors and others.
The circuit court and appellate panel remanded for further factfinding on whether D’Souza is a Baltimore City taxpayer and on the impact of a newly enacted law altering the voter-registration requirement for license applicants.

Issues

Issue	Plaintiff's Argument	Defendant's Argument	Held
Did the license expire by statute in 2008 precluding renewal?	Neighbors: license died in 2008; renewal invalid.	Board: § 10-504(d) tolls life with hardship/transfer pending; local provisions apply.	No; life tolled under § 10-504(d) and renewal/transfer allowed.
May the Board accept renewal and transfer applications after expiration and amend defective filings?	Neighbors: invalid and untimely; amendments improper.	Board had authority to accept late renewals and amended transfer applications.	Board authorized to accept late renewals and amended applications.
Did the Board have authority to renew and transfer despite prior expirations and to transfer to D’Souza?	Neighbors: no viable license; transfer denied was final.	Board authorized to reconsider and grant transfer given evidence of public need and product uniqueness.	Board had authority to reconsider; August 2010 grant upheld on remand grounds.
Does § 9-101(c) voter registration/taxpayer status prevent D’Souza from receiving a license?	D’Souza nonresident voter status and unclear taxpayer status defeat eligibility.	Statutory interpretation plus new law may alter voter requirement; remand necessary to determine status.	Remand to determine taxpayer status; voter requirement reviewed in light of new law; substantial evidence insufficient on current record.
Is the voter-registration requirement violative of equal protection?	Arises from disparate treatment between types of corporate applicants and citizens vs non-citizens.	Constitutional challenges were not preserved; potential mootness due to new law; cannot decide on equal protection here.	Not reached; standing/preservation issues; remand guidance provided for Board and consideration of new statute.

Key Cases Cited

HNS Development, LLC v. People's Counsel, 425 Md. 436 (Md. 2012) (substantial evidence review and agency deference framework)
Thanner Enters., LLC v. Baltimore County, 414 Md. 265 (Md. 2010) (statutory interpretation and deference to agency expertise)
Opert v. Criminal Injuries Compensation Bd., 403 Md. 587 (Md. 2008) (agency interpretation of ambiguous statutes given weight)
Buckley v. Brethren Mut. Ins. Co., 207 Md.App. 574 (Md. App. 2012) (three-factor method for statutory interpretation—text, purpose, consequences)
Paek v. Prince George's County Bd. of License Comm’rs, 381 Md. 583 (Md. 2004) (substantial evidence standard in licensure decisions)
Rupinski v. Biel, 43 Md.App. 635 (Md. App. 1979) (vacation of license and when license is considered vacated)
Grasslands Plantation v. Frizz-King Enters., 410 Md. 191 (Md. 2009) (remand when new statute impacts analysis)
Philip Morris, Inc. v. Glendening, 349 Md. 660 (Md. 1998) (arbitrary discretion standard for agency determinations)