A group of tenants in two neighboring West Baltimore buildings has won at least $1.4 million from landlords and a building manager in a yearslong legal battle that attorneys said could reshape how housing providers comply with rental licensing laws.

The five tenants — Margaret Little, Vivian Hires, Johnetta Johnson, Elwood Dorsey and Cora Williams — sued their property owner and management company in 2023 for charging them rent and entering into lease agreements despite not having consistent rental licenses, a violation of Maryland law. Their case included an uncommon charge of fraud and deceit, which attorneys at the time described as a high-risk, high-reward tactic.

That’s because it can be difficult to prove someone intended to deceive. The bar is much higher — and so is the potential monetary payout a successful complainant can receive.

Attorneys who argued the case said they hope the jury verdicts send a message to other noncompliant landlords that mismanagement can cost them.

The tenants previously reached a settlement with the property management firm, The Towner Management Co. Inc. Their claims against the building owners proceeded last month before two separate juries — one for each property. The win resulted in additional payouts: about $280,000 to $290,000 per plaintiff, all older adults, for reimbursement of unlawfully collected rent along with emotional distress and punitive damages.

“I’m not a young girl. I’m in my 70s, and I just wanted quality of life,” said Little, the lead plaintiff, in a statement. She said she felt the case centered on returning dignity, justice and a sense of calm to the tenants.

When they learned of the jury award, Little said, they didn’t quite believe it.

“It was like, ‘Oh my God. Jesus, is this true?’”

Maryland Legal Aid, a nonprofit law firm headquartered in Baltimore, represented the tenants.

The case began as multiple rent escrow actions, which tenants can initiate in court if their landlords don’t address maintenance issues that threaten their health and safety. When things didn’t change, attorneys filed the lawsuit, saying the ownership group violated the Maryland Consumer Protection Act and the Consumer Debt Collection Act by charging tenants despite not always having a rental license.

Meanwhile, the tenants alleged the conditions in their households worsened. Their concerns ranged from mold, rodents and vermin to unsecured windows and dirty water.

“The mice ask me for the remote,” said Johnetta Johnson, as the case advanced in 2024. “It’s like jail, basically.”

The landlords, Reginald and Marguerite Daniels Housing for Elderly Inc. — also known as Walker Daniels — and Bellevieu-Manchester Limited Partnership, have owned their respective buildings since the early 1990s, according to online property records. The U.S. Department of Housing and Urban Development subsidizes the rents at Walker Daniels, which holds 23 one-bedroom apartments meant for older adults. Bellevieu-Manchester, a property with 48 one-bedroom units, also leases exclusively to older adults.

The two properties used Towner Management as the property manager.

Representatives from Towner Management declined to comment, saying they reached a “confidential and amicable” resolution with the group of renters. An attorney for the building owners did not respond to a request for comment.

In a 2024 motion to dismiss the case, Towner, the property manager, argued it wasn’t liable because inspectors eventually licensed the properties. The company also said it didn’t deceive the residents because the properties were licensed when the tenants moved in.

In court, the tenants alleged their housing created stress in their lives, including panic attacks, loss of appetite, medical expenses and fear of going home. Attorneys said the buildings lacked required fire safety features and emergency exits, and that management was not regularly on-site to address complaints.

The city’s housing department has levied multiple violation notices, followed by citations and fines, against the two buildings, including for insufficient heat during some of the coldest days in January. This month, the Baltimore Department of Housing & Community Development filed an injunction against Bellevieu-Manchester ordering it to correct the deficiencies. The owners have not responded to the filing.

Maryland Legal Aid attorneys said they were focused on proving the fraud and deceit claim as a way to incentivize long-term changes from corporate landlords who specialize in housing low-income tenants.

“Many large landlords engage in this type of practice,” said Kyle Coleman, supervising attorney of the Housing & Consumer Law Unit. “We wanted to demonstrate that a jury could determine that this was intentional.”