[Adopted 2-21-2023 by Ord. No. 23-07]
The following terms as used herein shall have the following
meanings:
A state-chartered bank, savings and loan association or credit
union, any person or entity required to be licensed under the provisions
of the New Jersey Residential Mortgage Lending Act, P.L. 2009, c.
53 (N.J.S.A. 17:11C-51 et seq.), any foreclosing entity subject to
the provisions of N.J.S.A. 46:10B-51 (P.L. 2008, c. 127, Section 17,
as amended from time to time) and any entity acting on behalf of the
creditor named in the debt obligation, including, but not limited
to, services.
A mortgagee or an agent or assignee of a mortgagee, such as
the servicer, who has filed a complaint in the Superior Court seeking
to foreclose upon a residential or commercial mortgage. If the entity
seeking to foreclose upon the residential or commercial mortgage changes
as a result of an assignment, transfer, or otherwise after the filing
of the foreclosure complaint in the Superior Court, the new entity
shall be deemed the creditor.
A creditor shall not include the state, a political subdivision
of the state, a state, county, or local government entity, or their
agent or assignee, such as the servicer.
The title holder of a vacant and abandoned property or a
creditor responsible for the maintenance of a property pursuant to
Section 17 of P.L. 2008, c. 127 (N.J.S.A. 46:10B-51).
An address at which a natural person who is the responsible
party or an authorized agent actually resides or actively uses for
business purposes, and shall include a street name or rural delivery
route.
Any residential or commercial building which is not legally
occupied by a mortgagor or tenant, which is in such condition that
it cannot be legally reoccupied, and at which at least two of the
following conditions exist:
Overgrown or neglected vegetation;
The accumulation of newspapers, circulars, flyers, or mail on
the property;
Disconnected gas, electric, or water utility services to the
property;
The accumulation of hazardous, noxious, or unhealthy substances
or materials on the property;
The accumulation of junk, litter, trash, or debris on the property;
The absence of window treatments such as blinds, curtains, or
shutters;
The absence of furnishings and personal items;
Statements of neighbors, delivery persons, or government employees
indicating that the property is vacant and abandoned;
Windows or entrances to the property that are boarded up or
closed off, or multiple window panes that are damaged, broken, and
unrepaired;
Doors to the property that are smashed through, broken off,
unhinged, or continuously unlocked;
A risk to the health, safety, or welfare of the public or any
adjoining or adjacent property owners due to acts of vandalism, loitering,
criminal conduct, or the physical destruction or deterioration of
the property;
An uncorrected violation of a municipal building, housing, or
similar code during the preceding year, or an order by municipal authorities
declaring the property to be unfit for occupancy and to remain vacant
and unoccupied;
The mortgagee or other authorized party has secured or winterized
the property due to the property being deemed vacant and unprotected
or in danger of freezing;
A written statement issued by a mortgagor expressing the clear
intent of all mortgagors to abandon the property; or
Any other reasonable indicia of abandonment.
A.
The responsible party for a vacant and abandoned property that is
vacant and abandoned on the effective date of P.L. 2021, c. 444,[1] shall file a certificate of registration with the Clerk
of the Township within 30 days after the effective date. The responsible
party for a property that becomes vacant and abandoned subsequent
to the effective date of P.L. 2021, c. 444, shall file a certificate
of registration with the Clerk of the Township within 90 days after
the property becomes vacant and abandoned or within 30 days after
the responsible party assumes ownership of or responsibility for an
already vacant and abandoned property, whichever is later. The certificate
of registration shall be filed on forms prescribed by the Commissioner
of Community Affairs and shall contain:
(1)
The name, street address, and telephone number of a natural person
who resides or maintains an office within the state and who is either
the responsible party or an authorized agent designated by the responsible
party to receive notices and complaints of property maintenance and
ordinance or code violations on behalf of the responsible party;
(2)
The name, street address, and telephone number of the person responsible
for maintaining the property, if different; and
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s1 et seq.
B.
A responsible party for a vacant and abandoned property shall file
an amended certificate of registration within 30 days after any change
in the information required to be included thereon.
C.
A certificate of registration shall remain valid for one year and
shall be renewed on an annual basis if the property remains vacant
and abandoned. The Township hereby establishes, may collect and shall
be paid a fee of $250 for a certificate of registration and for the
annual renewal of the certificate of registration for a vacant and
abandoned property. The Township hereby establishes, may collect and
shall be paid a renewal fee of $500 for a renewal if there is an outstanding
property maintenance or ordinance violation on a vacant and abandoned
property that remains unabated at the time of renewal. The Township
hereby establishes, may collect and shall be paid a renewal fee of
$750 for a subsequent renewal if there continues to be an outstanding
property maintenance or ordinance or code violation or there is a
new such violation on a vacant and abandoned property that remains
unabated at the time of renewal.
D.
The registration statement shall be deemed prima facie proof of the
statements therein contained in any administrative enforcement proceeding
or court proceeding instituted by the Township against the responsible
party.
Forty-five days after the Township notifies the responsible
party that the property is vacant and abandoned and until the property
is lawfully reoccupied, the responsible party for a vacant and abandoned
property shall:
A.
Secure the property against unauthorized entry.
B.
Post a sign affixed to the inside of the property and visible to
the public indicating the name, address, and telephone number of the
responsible party, any authorized agent designated by the responsible
party for the purpose of receiving service of process, and the person
responsible for maintaining the property if different from the responsible
party or authorized agent. The sign shall be of a size and placed
in such a location so as to be legible from the nearest public street
or sidewalk, whichever is nearer, but shall be no smaller than 15
inches by 17 inches.
C.
Acquire and otherwise maintain liability insurance by procuring a
vacancy policy in an amount of not less than $300,000 for buildings
designed primarily for use as residential units and not less than
$1,000,000 for any other building, including, but not limited to,
buildings designed for manufacturing, industrial, storage or commercial
uses, covering any damage to any person or any property caused by
any physical condition of the property. The responsible party shall
attach evidence of the insurance to the responsible party's registration
statement, including the Township of Clark as an additional insured/certificate
holder. Any registration statement submitted that does not include
such evidence shall be deemed to not be a valid registration.
A responsible party that violates any provision of § 255-22 or § 255-23 of this article shall be liable for a penalty of not less than $500 and not more than $1,000. Each day that a violation continues shall constitute an additional, separate, and distinct offense. Any penalty imposed pursuant to this section shall be recoverable by a summary proceeding under the Penalty Enforcement Law of 1999, P.L. 1999, c. 274 (N.J.S.A. 2A:58-10 et seq.). The Superior Court, Law Division, Union County, or the Municipal Court of the Township, shall have jurisdiction to enforce such penalty.
This article shall not be construed to diminish any property
maintenance responsibilities of property owners who are not subject
to the provisions of this article.
A.
A creditor serving a summons and complaint in an action to foreclose
on a mortgage on commercial property in the Township shall, within
10 days of serving the summons and complaint, notify the Municipal
Clerk, the Mayor and the Business Administrator that a summons and
complaint in an action to foreclose on a mortgage has been filed against
the subject property thereof in writing. The notice shall contain
the full name, address, and telephone number for the representative
of the creditor who is responsible for receiving complaints of property
maintenance and ordinance or code violations and the full name and
contact information for any person or entity retained by the creditor
or a representative of the creditor to be responsible for any care,
maintenance, security, or upkeep of the property. The notice may contain
information about more than one property and shall be provided by
certified mail, return receipt requested. In the event the creditor
that has served a summons and complaint in an action to foreclose
on a commercial property is located out of state, the notice shall
also contain the full name, address, and telephone number of an in-state
representative or agent who shall be responsible for the care, maintenance,
security, and upkeep of the exterior of the property if it becomes
vacant and abandoned. If the Township has designated or appointed
a public officer pursuant to P.L. 1942, c. 112 (N.J.S.A. 40:48-2.3
et seq.), the Municipal Clerk shall forward a copy of the notice to
the public officer or shall otherwise provide it to any other local
official responsible for administration of any property maintenance
or public nuisance ordinance. The notice shall also include the street
address, lot, and block number of the property. If there is any change
in the name, address, or telephone number for a representative, agent,
or individual authorized to accept service on behalf of a creditor
required to be provided in a notice pursuant to this subsection following
the filing of the summons and complaint, the creditor shall provide
a notice to the applicable Municipal Clerk containing the updated
name, address, or telephone number within 10 days of the change in
that information.
B.
Within 30 days following the effective date of P.L. 2021, c. 444,[1] any creditor that has initiated a foreclosure proceeding
on any commercial property that is pending in Superior Court shall
provide to the Municipal Clerk of the Township a listing of all commercial
properties in the Township for which the creditor has foreclosure
actions pending by street address and lot and block number. If the
Township has designated or appointed a public officer pursuant to
P.L. 1942, c. 112 (N.J.S.A. 40:48-2.3 et seq.), the Municipal Clerk
shall forward a copy of the notice to the public officer, or shall
otherwise provide it to any other local official responsible for administration
of any property maintenance or public nuisance code.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s1 et seq.
C.
If the owner of a commercial property vacates or abandons any property
on which a foreclosure proceeding has been initiated or if a commercial
property becomes vacant at any point subsequent to the creditor's
filing the summons and complaint in an action to foreclose on a mortgage
against the subject property, but prior to vesting of title in the
creditor or any other third party, and the exterior of the property
is found to be a nuisance or in violation of any applicable state
law or Township ordinance or code, the local public officer, Municipal
Clerk, or other authorized municipal official shall notify the creditor
or the representative or agent of an out-of-state creditor, as applicable,
which shall have the responsibility to abate the nuisance or correct
the violation in the same manner and to the same extent as the title
owner of the property, to such standard or specification as may be
required by state law or Township ordinance or code. The Township
shall include a description of the conditions that gave rise to the
violation with the notice of violation. The creditor shall remedy
the violation within 30 days from the date of receipt of the notice
of violation by the creditor. If the creditor fails to remedy the
violation within such thirty-day period, the Township may impose penalties
allowed for the violation of Township ordinances.
D.
If the Township expends public funds in order to abate a nuisance or correct a violation on a commercial property in situations in which the creditor or the representative or agent of an out-of-state creditor, as applicable, was given notice pursuant to the provisions of Subsection C of this section but failed to abate the nuisance or correct the violation as directed within such thirty-day period, the Township shall have the same recourse against the creditor as it would have against the title owner of the property, including but not limited to the recourse provided under Section 23 of P.L. 2003, c. 210 (N.J.S.A. 55:19-100).
E.
For the purposes of this section, "creditor" means a state-chartered
bank, savings bank, savings and loan association or credit union,
any person required to be licensed under the provisions of the New
Jersey Residential Mortgage Lending Act, Sections 1 through 39 of
P.L. 2009, c. 53 (N.J.S.A. 17:11C-51 through 17:11C-89), and any entity
acting on behalf of the creditor named in the debt obligation, including,
but not limited to, servicers. For purposes of this section, a creditor
shall not include the state, a political subdivision of the state,
or state, county, or local government entity, or their agent or assignee,
such as the servicer.
A.
The creditor filing a summons and complaint in an action to foreclose
shall, in addition to the notice provided to the Township pursuant
to Section 17 of P.L. 2008, c. 127 (N.J.S.A. 46:10B-51), Section 2
of P.L. 2021, c. 444,[1] or § 255-26 hereof, register the residential or commercial property with the Township's property registration program as a property in foreclosure and, as part of that registration: a) provide the Township with the information regarding the creditor required by paragraph (1) of Subsection a of Section 17 of P.L. 2008, c. 127 [N.J.S.A. 46:10B-51a(1)], paragraph (1) of Subsection a of Section 2 of P.L. 2021, c. 444,[2] or § 255-26 hereof; b) identify the date the summons and complaint in an action to foreclose on the mortgage was filed against the subject property, the court in which it was filed, and the docket number of the filing; and c) identify whether the property is vacant and abandoned as defined in Subsection H of this section;
B.
The creditor filing a summons and complaint in an action to foreclose
shall, if there is any change in the name, address, or telephone number
for a representative, agent, or individual authorized to accept service
on behalf of a creditor required to register pursuant to the property
registration program following the filing of the summons and complaint,
update the property registration program within 10 days of the change
in that information;
C.
The creditor filing a summons and complaint in an action to foreclose shall, if the registered property becomes vacant and abandoned in accordance with the definition in this article required by Subsection H of this section after the property is initially registered with the Township, update the property registration with the Township to reflect the change in the property's status;
D.
The creditor filing a summons and complaint in an action to foreclose
shall be responsible for the care, maintenance, security, and upkeep
of the exterior of the property if the property is vacant and abandoned
at any time while the property is registered with the property registration
program;
E.
A creditor located out of state shall be responsible for appointing
an in-state representative or agent to act for the foreclosing creditor;
G.
A creditor required to register a property pursuant to this section shall pay a fee on the date on which it is required to register the property to the Township in an amount not to exceed: a) $500 per property annually for any property that is required to be registered because a summons and complaint in an action to foreclose was filed by the creditor; and b) an additional $2,000 per property annually if the property is vacant or abandoned as defined in Subsection H of this section when the summons and complaint in an action to foreclose is filed, or becomes vacant and abandoned at any time thereafter while the property is in foreclosure.
H.
A property shall be considered vacant and abandoned if it is not
legally occupied by a mortgagor or tenant, which is in such condition
that it cannot be legally reoccupied because of the presence or finding
of at least two of the following:
(1)
Overgrown or neglected vegetation;
(2)
The accumulation of newspapers, circulars, flyers, or mail on the
property;
(3)
Disconnected gas, electric, or water utility services to the property;
(4)
The accumulation of hazardous, noxious, or unhealthy substances or
materials on the property;
(5)
The accumulation of junk, litter, trash, or debris on the property;
(6)
The absence of window treatments such as blinds, curtains, or shutters;
(7)
The absence of furnishings and personal items;
(8)
Statements of neighbors, delivery persons, or government employees
indicating that the property is vacant and abandoned;
(9)
Windows or entrances to the property that are boarded up or closed
off, or multiple window panes that are damaged, broken, and unrepaired;
(10)
Doors to the property that are smashed through, broken off,
unhinged, or continuously unlocked;
(11)
A risk to the health, safety, or welfare of the public or any
adjoining or adjacent property owners due to acts of vandalism, loitering,
criminal conduct, or the physical destruction or deterioration of
the property;
(12)
An uncorrected violation of a municipal building, housing, or
similar code during the preceding year, or an order by municipal authorities
declaring the property to be unfit for occupancy and to remain vacant
and unoccupied;
(13)
The mortgagee or other authorized party has secured or winterized
the property due to the property being deemed vacant and unprotected
or in danger of freezing;
(14)
A written statement issued by a mortgagor expressing the clear
intent of all mortgagors to abandon the property; or
(15)
Any other reasonable indicia of abandonment.
The Township Construction Code Official is authorized to issue
a notice to the creditor filing the summons and complaint in an action
to foreclose if the Township Construction Code Official determines
that the creditor has violated this article. In the case of a violation
for failure to provide care, maintenance, security, and upkeep of
the exterior of vacant and abandoned property, such notice shall require
the creditor to correct the violation within 30 days of receipt of
the notice, or within 10 days of receipt of the notice if the violation
presents an imminent threat to public health and safety.
A.
An out-of-state creditor subject to § 255-26 of this article found by the Municipal Court of the Township, or by any other court of competent jurisdiction, to be in violation of the requirement to appoint an in-state representative or agent pursuant to this article shall be subject to a fine of $2,500 for each day of the violation. Any fines imposed on a creditor for the failure to appoint an in-state representative or agent shall commence on the day after the ten-day period set forth in paragraph (1) of Subsection a of Section 17 of P.L. 2008, c. 127 [N.J.S.A. 46:10B-51a(1)], or paragraph (1) of Subsection a of Section 2 of P.L. 2021, c. 444,[1] for providing notice to the Municipal Clerk that a summons
and complaint in an action to foreclose on a mortgage has been served.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s2a(1).
B.
A creditor subject to § 255-26 of this article found by the Municipal Court of the Township, or by any other court of competent jurisdiction, to be in violation, excluding only a violation addressed by Subsection A of this section, shall be subject to a fine of $1,500 for each day of the violation. Any fines imposed pursuant to this subsection shall commence 31 days following receipt of the notice of violation, except if the violation presents an imminent risk to public health and safety, in which case any fines shall commence 11 days following receipt of the notice.
A mortgagee or an agent or assignee of a mortgagee, such
as the servicer, who has filed a complaint in the Superior Court seeking
to foreclose upon a residential or commercial mortgage. If the entity
seeking to foreclose upon the residential or commercial mortgage changes
as a result of an assignment, transfer, or otherwise after the filing
of the foreclosure complaint in the Superior Court, the new entity
shall be deemed the creditor for purposes of this section. For purposes
of this section, a creditor shall not include the state, a political
subdivision of the state, a state, county, or local government entity,
or their agent or assignee, such as the servicer.
A municipality, a county, or a county improvement authority
or other subdivision of a municipality or county.
