An appeals court has ruled in favor of the City of Rockville in a lawsuit brought by a development company, saying the city is not required to provide utility service to a property outside its borders.
Potomac-based Westmore Development LLC sued the City of Rockville in 2011, claiming that city officials hampered the company’s efforts to develop a 10-acre site at 1000 Westmore Ave.
Westmore used to own a majority of the property, which is outside city limits but receives city water and sewer service, The Gazette reported last year. The property since has been divided into two pieces. Westmore’s plans for developing the property as an industrial site would require more water from the city, but Rockville officials said the city would not expand service unless the land was annexed. If Rockville annexed the site, however, it would zone it for residential uses, according to court documents.
In the lawsuit, Westmore claimed the city was required to provide water and sewer service to the entire property because it provided water service to a small radio station building on the property.
A Circuit Court judge dismissed most of Westmore’s claims against the city in 2012, saying the statute of limitations had expired, and also ruled that the city was not required to supply water to the property.
Westmore appealed the decision, but on June 6, the Court of Special Appeals upheld the Circuit Court ruling in favor of the city.
Attorneys for the city and Westmore were not immediately available for comment.