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EBERHART v. CITY OF BALTIMORE

[No. 3, September Term, 1981.]

291 Md. 92 (1981)

433 A.2d 1118

WILLIAM F. EBERHART, JR. ET UX. v. MAYOR AND CITY COUNCIL OF BALTIMORE, ET AL.

Court of Appeals of Maryland.

Decided August 25, 1981.

Attorney(s) appearing for the Case

Roger D. Redden, with whom was David M. Funk on the brief, for appellants.

Robert A. Shelton, with whom were Jacques T. Schlenger, Ronald B. Sheff, Benjamin L. Brown, City Solicitor, and William Hughes, Associate City Solicitor, on the brief, for appellees.

The cause was argued before MURPHY, C.J., and SMITH, DIGGES, ELDRIDGE, COLE, DAVIDSON and RODOWSKY, JJ.

MURPHY, C.J., delivered the opinion of the Court. SMITH and DIGGES, JJ., dissent. SMITH, J., filed a dissenting opinion at page 115 infra, in which DIGGES, J., concurred.

The primary issue in this case is whether a sale-leaseback transaction, which the Mayor and City Council of Baltimore (the City) proposes to enter into, contravenes the debt limitation provisions of Art. XI, § 7 of the Constitution of Maryland:

"[N]o debt ... shall be created...

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