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Title 45
PROPERTY
Landlord Tenant
Attornments by tenant to strangers to title; effect:
Every attornment by a tenant of real estate to a stranger to the title to the leased real estate shall be absolutely null and void, to all intents and purposes whatsoever, and the possession of the landlord or lessor shall not, by any such attornment, be in any way changed, altered or affected. This section shall have no application to an attornment made pursuant to or in consequence of a judgment at law or a decree or order of a court of equity, or to an attornment made with the privity and consent of the landlord or lessor, or to an attornment to a mortgagee after the mortgage has become forfeited. 46:8-1.
Grantees or assignees of leased real estate or reversions thereof; rights same as those of original lessors:
From and after November tenth, one thousand seven hundred and ninety-seven, all persons and bodies politic and corporate, being grantees or assignees of any real estate, let to lease, or of the reversions thereof from any person, and the heirs, executors, administrators, successors and assigns of such grantees or assignees, shall have and enjoy the like advantages against the lessees, their executors, administrators and assigns, by entry for nonpayment of rent, or for waste, or other forfeitures; and also shall have and enjoy all the covenants, conditions and agreements contained in their leases, demises or grants, against the lessees, their executors, administrators and assigns, as the lessors themselves, or their heirs, ought or might have had or enjoyed at any time. 46:8-2.
Lessees of real estate; rights against grantees of reversion:
From and after November tenth, one thousand seven hundred and ninety-seven, all lessees of real estate for a term of years, life or lives, their executors, administrators or assigns, shall have the like action and advantage against all persons and bodies politic and corporate, their heirs, successors and assigns, who have or shall have any gift or grant of the reversions of such real estate so let, or any part thereof, for any condition, covenant or agreement contained in their leases, as the same lessees, or any of them, ought or might have had against such lessors, and their heirs, excepting the right to recover upon any warranty of title, by deed or implied by law. 46:8-3.
Original lease surrendered and new lease made; rights and duties under new lease:
Whenever a lease shall be duly surrendered in order to secure a renewal thereof, a new lease made and executed by the chief landlord, shall, without the surrender of all or any of the under leases, be as good and valid, to all intents and purposes, as if all of the under leases had been surrendered at or before the taking of the renewal lease. Every person, in whom any estate for life or lives or for years shall, from time to time, be vested by virtue of such renewal lease, and his executors and administrators, shall be entitled to the rents, covenants and duties, and have like remedy for the recovery thereof, and the underlessees shall hold and enjoy the premises comprised in their under leases, as if the original lease, under and by virtue of which the under leases exist, had not been surrendered. The chief landlord shall have and be entitled to the same remedy by distress or entry upon the premises comprised in any such under lease, for the rents and duties reserved by the renewal lease, to the extent that the same do not exceed the rents and duties reserved in the original lease, as he would have had if the original lease had not been surrendered, or as he would have had if the under leases had been renewed under the renewal lease. 46:8-4.
Judicial sale of leased interests:
The estate of any lessee of real estate, or of any estate or interest therein, for life or for a term not less than two years, the lease whereof shall have been recorded in the manner prescribed by law, shall be liable to sale under a judgment or decree, in like manner only as estates of freehold are liable to be sold thereunder. 46:8-5.
Injuries by fire to buildings on leased premises; repair by landlord:
Whenever any building or buildings erected on leased premises shall be injured by fire, without the fault of the lessee, the landlord shall repair the same as speedily as possible. In default of such repair the rent shall cease until such time as the building or buildings shall be put in complete repair. This section shall not extend or apply to cases wherein the parties have otherwise stipulated in their agreement of lease. 46:8-6.
Buildings on leased premises totally destroyed by fire or otherwise; lease terminated:
Whenever any building or buildings erected on leased premises shall be totally destroyed by fire or otherwise, without the fault of the lessee, the rent shall be paid up to the time of such destruction, and then, and from thenceforth, the lease shall cease and come to an end. This section shall not extend or apply to cases wherein the parties have otherwise stipulated in their agreement of lease. 46:8-7.
Forfeiture of lease of premises used for prostitution or assignation:
If the lessee of any dwelling house or other premises situated in this state shall use the same for purposes of prostitution or assignation, the lease or agreement for letting the same shall thereupon become immediately void, and the landlord may enter thereon, and shall have the same remedies to recover possession as are given by law when a tenant holds over after the expiration of his lease. 46:8-8.
Three months' notice to tenant to quit sufficient:
In all cases where a tenant is or may be entitled by law to notice to quit the leased premises, in order to determine his tenancy, three months' notice in writing to quit shall be deemed and taken to be sufficient. 46:8-9.
Termination on death:
Any lease for a term of one or more years of a property that has been leased and used by the lessee solely for the purpose of providing a dwelling place for himself, or for himself and his family, may be terminated prior to the expiration date thereof, in the event of the death of such lessee or in the event of the death of such lessee or his spouse, as the case may be, upon notice duly given by such lessee or by the executor or administrator of his estate or by the surviving spouse in the event that such lease was executed jointly by husband and wife. Such termination shall take effect on the fortieth day following the receipt by the lessor of written notice thereof, and the rent shall be paid up to the time of such termination, whereupon the lease shall cease and come to an end. The property shall be vacated and possession shall be turned over to the lessor at least five working days prior to the fortieth day following receipt by the lessor of written notice. The provisions of this act shall not apply to any lease the terms whereof shall explicitly provide otherwise. 46:8-9.1.
Termination on disability:
A lease for a term of one or more years of a property that has been leased and used by the lessee solely for the purpose of providing a dwelling place for himself, or himself and his family, may be terminated prior to the expiration date thereof if the lessee or his spouse, or both, suffer a disabling illness or accident, upon notice duly given by the lessee or his spouse, on a form to be provided by the Director of the Division of Housing and Development in the Department of Community Affairs, which form shall include: a. certification of a treating physician that the lessee or spouse is unable to continue to engage in gainful employment; b. proof of loss of income; and c. proof that any pension, insurance or other subsidy to which the lessee or his spouse is entitled is insufficient to supplement the income of the lessee or his spouse so that the rent on the property in question can be paid and that the income is necessary for payment of the rent.
A lease may be terminated at a dwelling place that is not handicapped accessible by a lessee or a member of his household who suffers a disabling illness or accident, provided that notice is given to the lessor by the lessee or his spouse or other adult family member, on a form to be provided by the director which shall include: (a) certification from a licensed physician that the lessee or a member of his household is handicapped and that the handicap is likely not to be of a temporary nature, and (b) a statement that the lessor has been asked to make the dwelling unit accessible to the lessee or to a member of his household at the lessor's expense and was unable or unwilling to do so. For purposes of this section, "handicapped" shall mean any person who would be considered a handicapped person pursuant to the definition in section 1 of P.L.1949, c.280 (C.39:4-204).
The termination shall take effect on the fortieth day following the receipt by the lessor of the written notice, and the rent shall be paid up to the time of termination, at which time the lease shall cease and come to an end. The property shall be vacated and possession shall be turned over to the lessor at least five working days prior to the fortieth day following receipt by the lessor of written notice. 46:8-9.2.
Rules, regulations:
The Director of the Division of Housing in the Department of Community Affairs shall, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), promulgate rules and regulations necessary to effectuate the purposes of this act. 46:8-9.3.
Tenant holding over; tenancy from month to month:
Whenever a tenant whose original term of leasing shall be for a period of one month or longer shall hold over or remain in possession of the demised premises beyond the term of the letting, the tenancy created by or resulting from acceptance of rent by the landlord shall be a tenancy from month to month in the absence of any agreement to the contrary. 46:8-10.
Security deposits; investment, deposit, disposition:
1. Whenever money or other form of security shall be deposited or
advanced on a contract, lease or license agreement for the use or rental
of real property as security for performance of the contract, lease or
agreement or to be applied to payments upon such contract, lease or agreement
when due, such money or other form of security, until repaid or so applied
including the tenant's portion of the interest or earnings accumulated
thereon as hereinafter provided, shall continue to be the property of the
person making such deposit or advance and shall be held in trust by the
person with whom such deposit or advance shall be made for the use in accordance
with the terms of the contract, lease or agreement and shall not be mingled
with the personal property or become an asset of the person receiving the
same.
The person receiving money so deposited or advanced shall:
a. (1) Invest that money in shares of an insured money market fund
established by an investment company based in this State and registered
under the "Investment Company Act of 1940," 54 Stat. 789 (15 U.S.C. s.80a-1
et seq.) whose shares are registered under the "Securities Act of 1933,"
48 Stat. 74 (15 U.S.C. s.77a. et seq.) and the only investments of which
fund are instruments maturing in one year or less, or (2) deposit that
money in a State or federally chartered bank, savings bank or savings and
loan association in this State insured by an agency of the federal government
in an account bearing a variable rate of interest, which shall be established
at least quarterly, which is similar to the average rate of interest on
active interest-bearing money market transaction accounts paid by the bank
or association under 12 C.F.R. Part 1204.108, or equal to similar accounts
of an investment company described in paragraph (1) of this subsection,
less an amount not to exceed 1% per annum of the amount so invested or
deposited for the costs of servicing and processing the account.
This subsection shall not apply to persons receiving money for less
than 10 rental units except where required by the Commissioner of Banking
and Insurance by rule or regulation.
The commissioner shall apply the provisions of this subsection
to some or all persons receiving money for less than 10 rental units where
the commissioner finds that it is practicable to deposit or invest the
money received with an investment company or State or federally chartered
bank, savings bank or savings and loan association in accordance with this
subsection. Except as expressly provided herein, nothing in this
subsection shall affect or modify the rights or obligations of persons
receiving money for rental premises or units, tenants, licensees or contractees
under any other law.
b. Persons not required to invest or deposit money in accordance
with subsection a. of this section shall deposit such money in a State
or federally chartered bank, savings bank or savings and loan association
in this State insured by an agency of the federal government in an account
bearing interest at the rate currently paid by such institutions and associations
on time or savings deposits.
The person investing the security deposit pursuant to subsection
a. or b. of this section shall thereupon notify in writing each of the
persons making such security deposit or advance, giving the name and address
of the investment company, State or federally chartered bank, savings bank
or savings and loan association in which the deposit or investment of security
money is made, and the amount of such deposit or investment.
All of the money so deposited or advanced may be deposited or invested
by the person receiving the same in one interest-bearing or dividend
yielding account as long as he complies with all the other requirements
of this act.
The person receiving money so deposited or so advanced shall be
entitled to receive as administrative expenses, a sum equivalent to 1%
per annum thereon or 12.5% of the aggregate interest yield on the security
deposit, whichever is greater, less the amount of any service fee charged
by an investment company, a State or federally chartered bank, savings
bank or savings and loan association for money deposited pursuant to this
section, which shall be in lieu of all other administrative and custodial
expenses. The balance of the interest or earnings paid thereon by the investment
company, State or federally chartered bank, savings bank or savings and loan association, hereinafter referred to as tenant's portion,
shall belong to the person making the deposit or advance and shall be permitted
to compound to the benefit of the tenant, or be paid to the tenant in cash,
or be credited toward the payment of rent due on the renewal or anniversary
of said tenant's lease.
In the event the person receiving a security deposit fails to invest
or deposit the security money in the manner required under this section
or notify the tenant of the name and address of the investment company,
State or federally chartered bank, savings bank or savings and loan association
in which the deposit or investment of such security is made, and the amount
thereof, within 30 days after receipt of same from the tenant, or within
30 days after the effective date of this 1990 amendatory act, whichever
occurs later, the tenant may give written notice to the person receiving
the same that such security money be applied on account of rent payment
or payments due or to become due from the tenant, and thereafter the tenant
shall be without obligation to make any further security deposit and the
person receiving the money so deposited shall not be entitled to make further
demand for a security deposit.
The provisions of this section requiring that the security advanced
be deposited or invested in a money market fund, or in an interest bearing
account in a State or federally chartered bank, savings bank or savings and loan association shall
not apply to any security advanced on a contract, lease or license agreement
for the seasonal use or rental of real property. For purposes of
this paragraph "seasonal use or rental" means use or rental for a term
of not more than 125 consecutive days for residential purposes by a person
having a permanent place of residence elsewhere. "Seasonal use or rental"
does not mean use or rental of living quarters for seasonal, temporary
or migrant farm workers in connection with any work or place where work
is being performed. The landlord shall have the burden of proving
that the use or rental of the residential property is seasonal. 46:8-19
Rules, regulations:
The Commissioner of Banking may, in his discretion, promulgate rules and regulations with respect to the establishment of the method of computing the interest due to either the person receiving the money as a security deposit or to the tenant pursuant to the provisions of P.L.1967, c.265 (C.46:8-19 et seq.) or P.L.1971, c.223 (C.46:8-21.1 et seq.) if the money is deposited in an account or in shares of an investment company upon which the interest varies on a periodic basis. 46:8-19.1.
Procedure on conveyance of property:
Any person, whether the owner or lessee of the property leased, who or which has or hereafter shall have received from a tenant or licensee a sum of money as a deposit or advance of rental as security for the full performance by such tenant or licensee of the terms of his contract, lease or license agreement, or who or which has or shall have received the same from a former owner or lessee, shall, upon conveying such property or assigning his or its lease to another, or upon the conveyance of such property to another person by a court in an action to foreclose a mortgage thereon, at the time of the delivery of the deed or instrument of assignment, or within five days thereafter, or in the event of the insolvency or bankruptcy of the person receiving said deposit, within five days after the making and entry of an order of the court discharging the receiver or trustee, deal with the security deposit by turning over to his or its grantee or assignee, or to the purchaser at the foreclosure sale the sum so deposited, plus the tenant's portion of the interest or earnings accumulated thereon, and notify the tenant or licensee by registered or certified mail of such turning over and the name and address of such grantee, assignee or purchaser. 46:8-20.
Liability on transfer:
Any owner or lessee turning over to his or its grantee, assignee, or to a purchaser of the leased premises at a foreclosure sale the amount of such security deposit, plus the tenant's portion of the interest or earnings accumulated thereon, is hereby relieved of and from liability to the tenant or licensee for the repayment thereof; and the transferee of such security deposit, plus the tenant's portion of the interest or earnings accumulated thereon, is hereby made responsible for the return thereof to the tenant or licensee, in accordance with the terms of the contract, lease, or agreement unless he or it shall thereafter and before the expiration of the term of the tenant's lease or licensee's agreement, transfer such security deposit to another, pursuant to section 2 hereof and give the requisite notice in connection therewith as provided thereby. 46:8-21.
Return of deposit; displaced tenant:
Within 30 days after the termination of the tenant's lease or licensee's agreement, the owner or lessee shall return by personal delivery, registered or certified mail the sum so deposited plus the tenant's portion of the interest or earnings accumulated thereon, less any charges expended in accordance with the terms of a contract, lease, or agreement, to the tenant or licensee, or, in the case of a lease terminated pursuant to P.L. 1971, c. 318 (C. 46:8-9.1), the executor or administrator of the estate of the tenant or licensee or the surviving spouse of the tenant or licensee so terminating the lease. The interest or earnings and any such deductions shall be itemized and the tenant, licensee, executor, administrator or surviving spouse notified thereof by personal delivery, registered or certified mail.
Within five business days after a. the tenant is caused to be displaced by fire, flood, condemnation, or evacuation, and b. an authorized public official posts the premises with a notice prohibiting occupancy, or c. any building inspector, in consultation with a relocation officer, where applicable, has certified within 48 hours that displacement is expected to continue longer than seven days and has so notified the owner or lessee in writing, the owner or lessee shall have available and return to the tenant or the tenant's designated agent upon his demand the sum so deposited plus the tenant's portion of the interest or earnings accumulated thereon, less any charges expended in accordance with the terms of the contract, lease or agreement and less any rent due and owing at the time of displacement.
Such net sum shall continue to be available to be returned upon demand during normal business hours for a period of 30 days at a location in the same municipality in which the subject leased property is located and shall be accompanied by an itemized statement of the interest or earnings and any deductions. The owner or lessee may, by mutual agreement with the municipal clerk, have the municipal clerk of the municipality in which the subject leased property is located return said net sum in the same manner. Within three business days after receiving notification of the displacement, the owner or lessee shall provide written notice to a displaced tenant by personal delivery or mail to the tenant's last known address. Such notice shall include, but not be limited to, the location at which and the hours and days during which said net sum shall be available to him. The owner or lessee shall provide a duplicate notice in the same manner to the relocation officer. Where a relocation officer has not been designated, the duplicate notice shall be provided to the municipal clerk. When the last known address of the tenant is that from which he was displaced and the mailbox of that address is not accessible during normal business hours, the owner or lessee shall also post such notice at each exterior public entrance of the property from which the tenant was displaced. Any such net sum not demanded by and returned to the tenant or the tenant's designated agent within the period of 30 days shall be redeposited or reinvested by the owner or lessee in an appropriate interest bearing or dividend yielding account in the same investment company, State or federally chartered bank, savings bank or savings and loan association from which it was withdrawn. In the event that said displaced tenant resumes occupancy of the premises, said tenant shall redeliver to the owner or lessee one-third of the security deposit immediately, one-third in 30 days and one-third 60 days from the date of reoccupancy. Upon the failure of said tenant to make such payments of the security deposit, the owner or lessee may institute legal action for possession of the premises in the same manner that is authorized for nonpayment of rent.
In any action by a tenant, licensee, executor, administrator or surviving spouse for the return of moneys due under this section, the court upon finding for the tenant, licensee, executor, administrator or surviving spouse shall award recovery of double the amount of said moneys, together with full costs of any action and, in the court's discretion, reasonable attorney's fees. 46:8-21.1. L. 1971, c. 223, s. 3, eff. June 21, 1971.
Limitation on amount of deposit:
An owner or lessee may not require more than a sum equal to 1 1/2 times 1 month's rental according to the terms of contract, lease, or agreement as a security for the use or rental of real property used for dwelling purposes. 46:8-21.2.
Security deposits prior to effective date of act; date of compliance:
Security deposits made prior to the effective date of this act shall comply with the provisions of this act within 90 days of the effective date thereof. 46:8-21.3.
Enforcement of trust by civil action:
Any trust arising under the provisions of this act shall be enforceable by a civil action in a court of competent jurisdiction and that court shall have jurisdiction to make any appropriate order or judgment both pendente lite and final to fully effectuate the purposes of this act. 46:8-22.
Statutory trust upon insolvency or bankruptcy of person receiving security deposit:
In the event of the insolvency or bankruptcy of the person receiving the said moneys, the claim of the person who paid the said moneys shall constitute a statutory trust with respect to any moneys so received and not previously expended in accordance with the terms of the contract, lease or agreement. 46:8-23.
Waiver by depositor prohibited:
Any provision of such a contract, lease or agreement whereby a person who so deposits or advances money waives any provision of this act is absolutely void. 46:8-24.
Unlawful diversion of trust funds; penalty:
Any person party to said contract, lease or agreement, or any agent of said person, or any officer of a corporation receiving said moneys, who, with knowledge that such moneys constitute trust funds, unlawfully diverts or consents to an unlawful diversion of such moneys shall be a disorderly person and subject to a fine of not less than $200.00 or by imprisonment for not more than 30 days, or both. 46:8-25.
Application of act:
The provisions of this act shall apply to all rental premises or units used for dwelling purposes except owner-occupied premises with not more than two rental units where the tenant has failed to provide 30 days written notice to the landlord invoking the provisions of this act. 46:8-26.
Landlord and project defined:
The term "landlord", as used in this act, shall mean the person or persons who own or purport to own, or exercise control of any building or project in which there is rented or offered for rent housing space for living or dwelling purposes under either a written or oral lease, provided that this definition shall not include owner-occupied two unit premises. This definition shall include but not be limited to any multiple dwelling subject to the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76; C. 55:13A-1 et seq.).
The term "project" as used in this act shall mean a group of buildings which are or are represented to be under common or substantially common ownership and which stand on a single parcel of land or parcels of land which are contiguous and which group of buildings is named, designated or advertised as a common entity. The contiguity of such parcels shall not be adversely affected by public rights-of-way incidental to such buildings. 46:8-27.
Certificate of registration; filing; contents:
Every landlord shall, within 30 days following the effective date of this act, or at the time of the creation of the first tenancy in any newly constructed or reconstructed building, file with the clerk of the municipality in which the residential property is situated in the case of a one-dwelling unit rental or a two-dwelling unit non-owner occupied premises, or with the Bureau of Housing Inspection in the Department of Community Affairs in the case of a multiple dwelling as defined in section 3 of the "Hotel and Multiple Dwelling Law" (C.55:13A-3), a certificate of registration on forms prescribed by the Commissioner of Community Affairs, which shall contain the following information:
a. The name and address of the record owner or owners of the premises
and the record owner or owners of the rental business if not the same persons.
In the case of a partnership the names of all general partners shall be
provided;
b. If the record owner is a corporation, the name and address
of the registered agent and corporate officers of said corporation;
c. If the address of any record owner is not located in the
county in which the premises are located, the name and address of
a person who resides in the county in which the premises are located
and is authorized to accept notices from a tenant and to issue receipts
therefor and to accept service of process on behalf of the record
owner;
d. The name and address of the managing agent of the premises,
if any;
e. The name and address, including the dwelling unit, apartment
or room number of the superintendent, janitor, custodian or other individual
employed by the record owner or managing agent to provide regular maintenance
service, if any;
f. The name, address and telephone number of an individual
representative of the record owner or managing agent who may be reached
or contacted at any time in the event of an emergency affecting the premises
or any unit of dwelling space therein, including such emergencies as the
failure of any essential service or system, and who has the authority to
make emergency decisions concerning the building and any repair thereto
or expenditure in connection therewith;
g. The name and address of every holder of a recorded mortgage
on the premises;
h. If fuel oil is used to heat the building and the landlord
furnishes the heat in the building, the name and address of the fuel
oil dealer servicing the building and the grade of fuel oil used.
46:8-28.
Certificate; indexing and filing; public inspection; fee; validation:
In the case of a filing under section 2 of P.L.1974, c. 50 (C. 46:8-28) with the municipal clerk, the clerk shall index and file the certificate and make it reasonably available for public inspection. In the case of a filing with the Bureau of Housing Inspection, the filing shall be accompanied by the filing fee required pursuant to section 12 of P.L.1967, c. 76 (C. 55:13A-12). The bureau shall review the certificate and, if it is found to be in conformity with this law and any regulations promulgated hereunder, validate the certificate and issue a validated copy to the landlord and a validated copy to the clerk of the municipality in which the building or project is located. The clerk shall index the validated certificates and make them available as with the certificates required of one and two dwelling unit nonowner occupied premises. 46:8-28.1.
Certificate of registration; amendment; filing:
Every landlord required to file a certificate of registration as described in section 2 of P.L.1974, c. 50 (C. 46:8-28) shall file an amended certificate of registration within 20 days after any change in the information required to be included thereon. No fee shall be required for the filing of an amendment except where the ownership of the premises is changed. 46:8-28.2.
Registration under act if in compliance with L.1974, c. 50, or Hotel and Multiple Dwelling Law:
Nothing herein shall require a landlord who has heretofore complied with all provisions of P.L.1974, c. 50 (C. 46:8-27 et seq.) or the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76, C. 55:13A-1 et seq.), or both, applicable to any building or project to register the building or project again pursuant to this amendatory and supplementary act. Whenever, after the effective date of this amendatory and supplementary act, any owner or landlord shall be required to file an amended certificate of registration pursuant to the provisions of this amendatory and supplementary act, the "Hotel and Multiple Dwelling Law," or P.L.1974, c. 50, then that filing shall be in accordance with this amendatory and supplementary act. 46:8-28.3.
Inapplicability of act to current proceedings, liabilities or penalties:
This amendatory and supplementary act shall not affect any current proceedings, liabilities or penalties involving violations of the sections amended or repealed by this amendatory and supplementary act. All such proceedings, liabilities or penalties existing on the effective date of this amendatory and supplementary act shall be commenced or continued and be proceeded with in all respects as if the section had not been amended or repealed. 46:8-28.4.
Certificate of registration and amendments; providing to occupants and tenants:
Within 30 days following the effective date hereof, and at the time of the creation of a new tenancy, every landlord shall provide each occupant or tenant in his building or project a copy of the certificate of registration required by section 2 of this act (C. 46:8-28). If an amended certificate is filed the landlord shall furnish each occupant or tenant with a copy of the amended certificate within 7 days after the amended certificate is filed with the municipal clerk in the case of a tenant occupied one family dwelling or a non-owner occupied two family dwelling and within 7 days of receipt of a validated certificate from the Bureau of Housing Inspection in the case of a building or project subject to the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76; C. 55:13A-1 et seq.). 46:8-29.
Date of preparation; stipulation:
All information required under section 2. and 3. of this act shall stipulate the date of preparation. 46:8-30.
Service by mail upon record owner:
In any action in the Superior Court, Law Division, Special Civil Part or municipal court by an occupant or tenant or to recover penalties against a landlord who has not complied with this act and who cannot be served within the county or municipality, the summons and complaint may be served by certified and regular mail upon the record owner at the last address listed in the tax records of either the municipality or county. Service of such summons and complaint by certified and regular mail shall be effective to bring the landlord before the Superior Court, Law Division, Special Civil Part or municipal court even if it were not served within the county or municipality in which the court issuing the summons is located. 46:8-31.
Service of process on Superior Court clerk:
Service of process on the clerk of the Superior Court, Law Division, Special Civil Part or municipal court having jurisdiction over the municipality in which the property is located shall be deemed service on the landlord upon submission to the court of the following:
a. A certification of the tenant stating that he does
not know the landlord's whereabouts after having made a diligent effort,
satisfactory to the court, to determine the same; and
b. Proof of failure of service by certified mail as
provided in section 5 of this act. 46:8-32.
Action for possession by landlord; compliance with act:
In any action for possession instituted by a landlord who has failed to comply with the provisions of this act, no judgment for possession shall be entered until there has been compliance. The court shall continue such case for up to 90 days and if there has not been compliance within such period, the action shall be dismissed. 46:8-33.
Jurisdiction of Superior Court; amounts under $3,000:
The Superior Court, Law Division, Special Civil Part shall have jurisdiction over any action between a landlord and tenant where the amount in controversy is $3,000.00 or less.
Penalty for violation; recovery to municipalities:
Any landlord who shall violate any provision of this act shall be liable for a penalty of not more than $500.00 for each offense, recoverable by a summary proceeding under "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county or the municipal court of the municipality in which the premises are located shall have jurisdiction to enforce said penalty.
The Attorney General, the municipality in which the premises are located, or any other person may institute the proceeding; where the municipality or any other person other than the Attorney General institutes the proceeding, a recovered penalty should be remitted by the court to the municipality in which the premises subject to the proceeding are located. 46:8-35.
Waiver of rights by agreement; unenforceability:
Any written or oral provision in any agreement whereby any tenant waives any rights under this act shall be deemed against public policy and unenforceable. 46:8-36.
Severability:
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered. 46:8-37.
Definitions:
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
a. The term "unit of dwelling space" shall mean any room
or rooms, or suite or apartment thereof, whether furnished or unfurnished,
which is occupied, or intended, arranged or designed to be occupied, for
sleeping or dwelling purposes by one or more persons, including but not
limited to the owner thereof, or any of his servants, agents or employees,
and shall include all privileges, services, furnishings, furniture, equipment,
facilities and improvements connected with the use or occupancy thereof.
b. The term "multiple dwelling" shall mean any building
or structure or group or complex of buildings or structures and any land
appurtenant thereto in which 10 or more units of dwelling space are
occupied or are intended to be occupied by 10 or more persons who
live independently of each other.
c. The term "owner" shall mean the person who
owns, purports to own or exercises control of any multiple dwelling.
46:8-38.
Information on crime insurance; advice to tenants:
Within 6 months of the effective date of this act, every owner of a multiple dwelling shall make available to all his tenants information regarding crime insurance through the Federal Crime Insurance Program of Title VI of the Housing and Urban Development Act of 1970, 12 U.S.C. Sec. 1749 b b b et seq., and advise the tenants where applications for such insurance may be obtained. All tenants who assume occupancy more than 6 months after the effective date of the act shall be provided with this information no more than 30 days after they assume occupancy. 46:8-39.
Owners of multiple dwellings; duties to make tenant insurable:
No owner of a multiple dwelling shall do or refuse to do any act or permit any tenant to do any act which would prevent or make any tenant ineligible for crime insurance through the Federal Crime Insurance Program of Title VI of the Housing and Urban Development Act of 1970, 12 U.S.C. Sec. 1749 b b b et seq. 46:8-40.
Penalties:
Any owner who fails to provide to any tenant the information required under section 2 of this act or violates any other provision of this act shall be liable for a penalty of not more than $200.00 for each offense, recoverable by the State in a civil action by a summary proceeding under "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county in which the premises are located shall have jurisdiction to enforce said penalty enforcement upon complaint of the Attorney General or any other person. 46:8-41.
Severability:
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered. 46:8-42.
Short title:
This act shall be known and may be cited as "The Truth-in-Renting Act." 46:8-43.
Definitions:
As used in this act:
a. "Landlord" means any person who rents or leases
or offers to rent or lease, for a term of at least 1 month, dwelling units,
except dwelling units in rental premises containing not more than
two such units, or in owner-occupied premises of not more than three
dwelling units, or in hotels, motels or other guest houses serving
transient or seasonal guests.
b. "Department" means the Department of Community
Affairs.
c. "Commissioner" means the Commissioner of the
Department of Community Affairs. 46:8-44.
Statement of legal rights and responsibilities of tenants and landlords of rental dwelling units:
a. The department shall, as soon as practicable and
annually thereafter, after public hearing, prepare and make available at
cost to the public a statement, in a form and size suitable for posting
and distributing pursuant to the provisions of this act, of the primary
clearly established legal rights and responsibilities of tenants and landlords
of rental dwelling units.
This statement shall be printed in both the English and Spanish
languages. The statement shall serve as an informational document,
and nothing therein shall be construed as binding on or affecting a judicial
determination under section 6 of this act of what constitutes a lease provision
which violates clearly established legal rights of tenants or responsibilities
of landlords.
b. Where practical considerations make it necessary
for the department to limit the extent of the statement, items to be included
shall be selected on the basis of the importance of their inclusion in
protecting the rights of the public. 46:8-45.
Statement; distribution and posting by landlords:
Every landlord shall distribute one copy of the statement prepared and made available pursuant to the provisions of this act to each of their tenants within 30 days after it has been made available by the department and shall thereafter provide a copy of the current statement to each new tenant at or prior to the time he assumes occupancy of the dwelling. In addition, every landlord shall keep a copy of the current statement posted in one or more locations so that the statement is prominent and accessible to all his tenants. 46:8-46.
Violations of act; penalty:
Any landlord who violates any provision of this act, contrary to the legal rights of tenants, shall be liable for a penalty of not more than $100.00 for each offense. Such penalty shall be collected and enforced by summary proceedings pursuant to "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county in which the rental premises are located shall have jurisdiction over such proceedings. Process shall be in the nature of a summons or warrant, and shall issue upon the complaint of the commissioner, the Attorney General, or any other person. 46:8-47.
Offer of or entry into lease in violation of rights of tenants; termination of lease; exception:
No landlord shall offer to any tenant or prospective tenant or enter into any written lease after the effective date of this act which includes a lease provision which violates clearly established legal rights of tenants or responsibilities of landlords as established by the law of this State at the time the lease is signed. A tenant shall have the right to petition a court of competent jurisdiction to terminate a lease containing any such provision. Nothing contained herein shall limit any rights or remedies a tenant may have under a lease.
No landlord shall be liable for any penalty under section 5 of this act nor any lease termination by a tenant under section 6 of this act, for any lease provision in violation of section 6 of this act where the proposal to include such lease provision originated from the tenant and not such landlord. 46:8-48.
Waiver of right to receive or refusal to accept statement; effect:
No waiver or refusal by a tenant of his right to receive a copy of the statement as provided herein shall alter the responsibilities of the landlord under any provision of this act. 46:8-49.
Title 45
PROPERTY
Landlord Tenant
Attornments by tenant to strangers to title; effect:
Every attornment by a tenant of real estate to a stranger to the title to the leased real estate shall be absolutely null and void, to all intents and purposes whatsoever, and the possession of the landlord or lessor shall not, by any such attornment, be in any way changed, altered or affected. This section shall have no application to an attornment made pursuant to or in consequence of a judgment at law or a decree or order of a court of equity, or to an attornment made with the privity and consent of the landlord or lessor, or to an attornment to a mortgagee after the mortgage has become forfeited. 46:8-1.
Grantees or assignees of leased real estate or reversions thereof; rights same as those of original lessors:
From and after November tenth, one thousand seven hundred and ninety-seven, all persons and bodies politic and corporate, being grantees or assignees of any real estate, let to lease, or of the reversions thereof from any person, and the heirs, executors, administrators, successors and assigns of such grantees or assignees, shall have and enjoy the like advantages against the lessees, their executors, administrators and assigns, by entry for nonpayment of rent, or for waste, or other forfeitures; and also shall have and enjoy all the covenants, conditions and agreements contained in their leases, demises or grants, against the lessees, their executors, administrators and assigns, as the lessors themselves, or their heirs, ought or might have had or enjoyed at any time. 46:8-2.
Lessees of real estate; rights against grantees of reversion:
From and after November tenth, one thousand seven hundred and ninety-seven, all lessees of real estate for a term of years, life or lives, their executors, administrators or assigns, shall have the like action and advantage against all persons and bodies politic and corporate, their heirs, successors and assigns, who have or shall have any gift or grant of the reversions of such real estate so let, or any part thereof, for any condition, covenant or agreement contained in their leases, as the same lessees, or any of them, ought or might have had against such lessors, and their heirs, excepting the right to recover upon any warranty of title, by deed or implied by law. 46:8-3.
Original lease surrendered and new lease made; rights and duties under new lease:
Whenever a lease shall be duly surrendered in order to secure a renewal thereof, a new lease made and executed by the chief landlord, shall, without the surrender of all or any of the under leases, be as good and valid, to all intents and purposes, as if all of the under leases had been surrendered at or before the taking of the renewal lease. Every person, in whom any estate for life or lives or for years shall, from time to time, be vested by virtue of such renewal lease, and his executors and administrators, shall be entitled to the rents, covenants and duties, and have like remedy for the recovery thereof, and the underlessees shall hold and enjoy the premises comprised in their under leases, as if the original lease, under and by virtue of which the under leases exist, had not been surrendered. The chief landlord shall have and be entitled to the same remedy by distress or entry upon the premises comprised in any such under lease, for the rents and duties reserved by the renewal lease, to the extent that the same do not exceed the rents and duties reserved in the original lease, as he would have had if the original lease had not been surrendered, or as he would have had if the under leases had been renewed under the renewal lease. 46:8-4.
Judicial sale of leased interests:
The estate of any lessee of real estate, or of any estate or interest therein, for life or for a term not less than two years, the lease whereof shall have been recorded in the manner prescribed by law, shall be liable to sale under a judgment or decree, in like manner only as estates of freehold are liable to be sold thereunder. 46:8-5.
Injuries by fire to buildings on leased premises; repair by landlord:
Whenever any building or buildings erected on leased premises shall be injured by fire, without the fault of the lessee, the landlord shall repair the same as speedily as possible. In default of such repair the rent shall cease until such time as the building or buildings shall be put in complete repair. This section shall not extend or apply to cases wherein the parties have otherwise stipulated in their agreement of lease. 46:8-6.
Buildings on leased premises totally destroyed by fire or otherwise; lease terminated:
Whenever any building or buildings erected on leased premises shall be totally destroyed by fire or otherwise, without the fault of the lessee, the rent shall be paid up to the time of such destruction, and then, and from thenceforth, the lease shall cease and come to an end. This section shall not extend or apply to cases wherein the parties have otherwise stipulated in their agreement of lease. 46:8-7.
Forfeiture of lease of premises used for prostitution or assignation:
If the lessee of any dwelling house or other premises situated in this state shall use the same for purposes of prostitution or assignation, the lease or agreement for letting the same shall thereupon become immediately void, and the landlord may enter thereon, and shall have the same remedies to recover possession as are given by law when a tenant holds over after the expiration of his lease. 46:8-8.
Three months' notice to tenant to quit sufficient:
In all cases where a tenant is or may be entitled by law to notice to quit the leased premises, in order to determine his tenancy, three months' notice in writing to quit shall be deemed and taken to be sufficient. 46:8-9.
Termination on death:
Any lease for a term of one or more years of a property that has been leased and used by the lessee solely for the purpose of providing a dwelling place for himself, or for himself and his family, may be terminated prior to the expiration date thereof, in the event of the death of such lessee or in the event of the death of such lessee or his spouse, as the case may be, upon notice duly given by such lessee or by the executor or administrator of his estate or by the surviving spouse in the event that such lease was executed jointly by husband and wife. Such termination shall take effect on the fortieth day following the receipt by the lessor of written notice thereof, and the rent shall be paid up to the time of such termination, whereupon the lease shall cease and come to an end. The property shall be vacated and possession shall be turned over to the lessor at least five working days prior to the fortieth day following receipt by the lessor of written notice. The provisions of this act shall not apply to any lease the terms whereof shall explicitly provide otherwise. 46:8-9.1.
Termination on disability:
A lease for a term of one or more years of a property that has been leased and used by the lessee solely for the purpose of providing a dwelling place for himself, or himself and his family, may be terminated prior to the expiration date thereof if the lessee or his spouse, or both, suffer a disabling illness or accident, upon notice duly given by the lessee or his spouse, on a form to be provided by the Director of the Division of Housing and Development in the Department of Community Affairs, which form shall include: a. certification of a treating physician that the lessee or spouse is unable to continue to engage in gainful employment; b. proof of loss of income; and c. proof that any pension, insurance or other subsidy to which the lessee or his spouse is entitled is insufficient to supplement the income of the lessee or his spouse so that the rent on the property in question can be paid and that the income is necessary for payment of the rent.
A lease may be terminated at a dwelling place that is not handicapped accessible by a lessee or a member of his household who suffers a disabling illness or accident, provided that notice is given to the lessor by the lessee or his spouse or other adult family member, on a form to be provided by the director which shall include: (a) certification from a licensed physician that the lessee or a member of his household is handicapped and that the handicap is likely not to be of a temporary nature, and (b) a statement that the lessor has been asked to make the dwelling unit accessible to the lessee or to a member of his household at the lessor's expense and was unable or unwilling to do so. For purposes of this section, "handicapped" shall mean any person who would be considered a handicapped person pursuant to the definition in section 1 of P.L.1949, c.280 (C.39:4-204).
The termination shall take effect on the fortieth day following the receipt by the lessor of the written notice, and the rent shall be paid up to the time of termination, at which time the lease shall cease and come to an end. The property shall be vacated and possession shall be turned over to the lessor at least five working days prior to the fortieth day following receipt by the lessor of written notice. 46:8-9.2.
Rules, regulations:
The Director of the Division of Housing in the Department of Community Affairs shall, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), promulgate rules and regulations necessary to effectuate the purposes of this act. 46:8-9.3.
Tenant holding over; tenancy from month to month:
Whenever a tenant whose original term of leasing shall be for a period of one month or longer shall hold over or remain in possession of the demised premises beyond the term of the letting, the tenancy created by or resulting from acceptance of rent by the landlord shall be a tenancy from month to month in the absence of any agreement to the contrary. 46:8-10.
Security deposits; investment, deposit, disposition:
1. Whenever money or other form of security shall be deposited or
advanced on a contract, lease or license agreement for the use or rental
of real property as security for performance of the contract, lease or
agreement or to be applied to payments upon such contract, lease or agreement
when due, such money or other form of security, until repaid or so applied
including the tenant's portion of the interest or earnings accumulated
thereon as hereinafter provided, shall continue to be the property of the
person making such deposit or advance and shall be held in trust by the
person with whom such deposit or advance shall be made for the use in accordance
with the terms of the contract, lease or agreement and shall not be mingled
with the personal property or become an asset of the person receiving the
same.
The person receiving money so deposited or advanced shall:
a. (1) Invest that money in shares of an insured money market fund
established by an investment company based in this State and registered
under the "Investment Company Act of 1940," 54 Stat. 789 (15 U.S.C. s.80a-1
et seq.) whose shares are registered under the "Securities Act of 1933,"
48 Stat. 74 (15 U.S.C. s.77a. et seq.) and the only investments of which
fund are instruments maturing in one year or less, or (2) deposit that
money in a State or federally chartered bank, savings bank or savings and
loan association in this State insured by an agency of the federal government
in an account bearing a variable rate of interest, which shall be established
at least quarterly, which is similar to the average rate of interest on
active interest-bearing money market transaction accounts paid by the bank
or association under 12 C.F.R. Part 1204.108, or equal to similar accounts
of an investment company described in paragraph (1) of this subsection,
less an amount not to exceed 1% per annum of the amount so invested or
deposited for the costs of servicing and processing the account.
This subsection shall not apply to persons receiving money for less
than 10 rental units except where required by the Commissioner of Banking
and Insurance by rule or regulation.
The commissioner shall apply the provisions of this subsection
to some or all persons receiving money for less than 10 rental units where
the commissioner finds that it is practicable to deposit or invest the
money received with an investment company or State or federally chartered
bank, savings bank or savings and loan association in accordance with this
subsection. Except as expressly provided herein, nothing in this
subsection shall affect or modify the rights or obligations of persons
receiving money for rental premises or units, tenants, licensees or contractees
under any other law.
b. Persons not required to invest or deposit money in accordance
with subsection a. of this section shall deposit such money in a State
or federally chartered bank, savings bank or savings and loan association
in this State insured by an agency of the federal government in an account
bearing interest at the rate currently paid by such institutions and associations
on time or savings deposits.
The person investing the security deposit pursuant to subsection
a. or b. of this section shall thereupon notify in writing each of the
persons making such security deposit or advance, giving the name and address
of the investment company, State or federally chartered bank, savings bank
or savings and loan association in which the deposit or investment of security
money is made, and the amount of such deposit or investment.
All of the money so deposited or advanced may be deposited or invested
by the person receiving the same in one interest-bearing or dividend
yielding account as long as he complies with all the other requirements
of this act.
The person receiving money so deposited or so advanced shall be
entitled to receive as administrative expenses, a sum equivalent to 1%
per annum thereon or 12.5% of the aggregate interest yield on the security
deposit, whichever is greater, less the amount of any service fee charged
by an investment company, a State or federally chartered bank, savings
bank or savings and loan association for money deposited pursuant to this
section, which shall be in lieu of all other administrative and custodial
expenses. The balance of the interest or earnings paid thereon by the investment
company, State or federally chartered bank, savings bank or savings and loan association, hereinafter referred to as tenant's portion,
shall belong to the person making the deposit or advance and shall be permitted
to compound to the benefit of the tenant, or be paid to the tenant in cash,
or be credited toward the payment of rent due on the renewal or anniversary
of said tenant's lease.
In the event the person receiving a security deposit fails to invest
or deposit the security money in the manner required under this section
or notify the tenant of the name and address of the investment company,
State or federally chartered bank, savings bank or savings and loan association
in which the deposit or investment of such security is made, and the amount
thereof, within 30 days after receipt of same from the tenant, or within
30 days after the effective date of this 1990 amendatory act, whichever
occurs later, the tenant may give written notice to the person receiving
the same that such security money be applied on account of rent payment
or payments due or to become due from the tenant, and thereafter the tenant
shall be without obligation to make any further security deposit and the
person receiving the money so deposited shall not be entitled to make further
demand for a security deposit.
The provisions of this section requiring that the security advanced
be deposited or invested in a money market fund, or in an interest bearing
account in a State or federally chartered bank, savings bank or savings and loan association shall
not apply to any security advanced on a contract, lease or license agreement
for the seasonal use or rental of real property. For purposes of
this paragraph "seasonal use or rental" means use or rental for a term
of not more than 125 consecutive days for residential purposes by a person
having a permanent place of residence elsewhere. "Seasonal use or rental"
does not mean use or rental of living quarters for seasonal, temporary
or migrant farm workers in connection with any work or place where work
is being performed. The landlord shall have the burden of proving
that the use or rental of the residential property is seasonal. 46:8-19
Rules, regulations:
The Commissioner of Banking may, in his discretion, promulgate rules and regulations with respect to the establishment of the method of computing the interest due to either the person receiving the money as a security deposit or to the tenant pursuant to the provisions of P.L.1967, c.265 (C.46:8-19 et seq.) or P.L.1971, c.223 (C.46:8-21.1 et seq.) if the money is deposited in an account or in shares of an investment company upon which the interest varies on a periodic basis. 46:8-19.1.
Procedure on conveyance of property:
Any person, whether the owner or lessee of the property leased, who or which has or hereafter shall have received from a tenant or licensee a sum of money as a deposit or advance of rental as security for the full performance by such tenant or licensee of the terms of his contract, lease or license agreement, or who or which has or shall have received the same from a former owner or lessee, shall, upon conveying such property or assigning his or its lease to another, or upon the conveyance of such property to another person by a court in an action to foreclose a mortgage thereon, at the time of the delivery of the deed or instrument of assignment, or within five days thereafter, or in the event of the insolvency or bankruptcy of the person receiving said deposit, within five days after the making and entry of an order of the court discharging the receiver or trustee, deal with the security deposit by turning over to his or its grantee or assignee, or to the purchaser at the foreclosure sale the sum so deposited, plus the tenant's portion of the interest or earnings accumulated thereon, and notify the tenant or licensee by registered or certified mail of such turning over and the name and address of such grantee, assignee or purchaser. 46:8-20.
Liability on transfer:
Any owner or lessee turning over to his or its grantee, assignee, or to a purchaser of the leased premises at a foreclosure sale the amount of such security deposit, plus the tenant's portion of the interest or earnings accumulated thereon, is hereby relieved of and from liability to the tenant or licensee for the repayment thereof; and the transferee of such security deposit, plus the tenant's portion of the interest or earnings accumulated thereon, is hereby made responsible for the return thereof to the tenant or licensee, in accordance with the terms of the contract, lease, or agreement unless he or it shall thereafter and before the expiration of the term of the tenant's lease or licensee's agreement, transfer such security deposit to another, pursuant to section 2 hereof and give the requisite notice in connection therewith as provided thereby. 46:8-21.
Return of deposit; displaced tenant:
Within 30 days after the termination of the tenant's lease or licensee's agreement, the owner or lessee shall return by personal delivery, registered or certified mail the sum so deposited plus the tenant's portion of the interest or earnings accumulated thereon, less any charges expended in accordance with the terms of a contract, lease, or agreement, to the tenant or licensee, or, in the case of a lease terminated pursuant to P.L. 1971, c. 318 (C. 46:8-9.1), the executor or administrator of the estate of the tenant or licensee or the surviving spouse of the tenant or licensee so terminating the lease. The interest or earnings and any such deductions shall be itemized and the tenant, licensee, executor, administrator or surviving spouse notified thereof by personal delivery, registered or certified mail.
Within five business days after a. the tenant is caused to be displaced by fire, flood, condemnation, or evacuation, and b. an authorized public official posts the premises with a notice prohibiting occupancy, or c. any building inspector, in consultation with a relocation officer, where applicable, has certified within 48 hours that displacement is expected to continue longer than seven days and has so notified the owner or lessee in writing, the owner or lessee shall have available and return to the tenant or the tenant's designated agent upon his demand the sum so deposited plus the tenant's portion of the interest or earnings accumulated thereon, less any charges expended in accordance with the terms of the contract, lease or agreement and less any rent due and owing at the time of displacement.
Such net sum shall continue to be available to be returned upon demand during normal business hours for a period of 30 days at a location in the same municipality in which the subject leased property is located and shall be accompanied by an itemized statement of the interest or earnings and any deductions. The owner or lessee may, by mutual agreement with the municipal clerk, have the municipal clerk of the municipality in which the subject leased property is located return said net sum in the same manner. Within three business days after receiving notification of the displacement, the owner or lessee shall provide written notice to a displaced tenant by personal delivery or mail to the tenant's last known address. Such notice shall include, but not be limited to, the location at which and the hours and days during which said net sum shall be available to him. The owner or lessee shall provide a duplicate notice in the same manner to the relocation officer. Where a relocation officer has not been designated, the duplicate notice shall be provided to the municipal clerk. When the last known address of the tenant is that from which he was displaced and the mailbox of that address is not accessible during normal business hours, the owner or lessee shall also post such notice at each exterior public entrance of the property from which the tenant was displaced. Any such net sum not demanded by and returned to the tenant or the tenant's designated agent within the period of 30 days shall be redeposited or reinvested by the owner or lessee in an appropriate interest bearing or dividend yielding account in the same investment company, State or federally chartered bank, savings bank or savings and loan association from which it was withdrawn. In the event that said displaced tenant resumes occupancy of the premises, said tenant shall redeliver to the owner or lessee one-third of the security deposit immediately, one-third in 30 days and one-third 60 days from the date of reoccupancy. Upon the failure of said tenant to make such payments of the security deposit, the owner or lessee may institute legal action for possession of the premises in the same manner that is authorized for nonpayment of rent.
In any action by a tenant, licensee, executor, administrator or surviving spouse for the return of moneys due under this section, the court upon finding for the tenant, licensee, executor, administrator or surviving spouse shall award recovery of double the amount of said moneys, together with full costs of any action and, in the court's discretion, reasonable attorney's fees. 46:8-21.1. L. 1971, c. 223, s. 3, eff. June 21, 1971.
Limitation on amount of deposit:
An owner or lessee may not require more than a sum equal to 1 1/2 times 1 month's rental according to the terms of contract, lease, or agreement as a security for the use or rental of real property used for dwelling purposes. 46:8-21.2.
Security deposits prior to effective date of act; date of compliance:
Security deposits made prior to the effective date of this act shall comply with the provisions of this act within 90 days of the effective date thereof. 46:8-21.3.
Enforcement of trust by civil action:
Any trust arising under the provisions of this act shall be enforceable by a civil action in a court of competent jurisdiction and that court shall have jurisdiction to make any appropriate order or judgment both pendente lite and final to fully effectuate the purposes of this act. 46:8-22.
Statutory trust upon insolvency or bankruptcy of person receiving security deposit:
In the event of the insolvency or bankruptcy of the person receiving the said moneys, the claim of the person who paid the said moneys shall constitute a statutory trust with respect to any moneys so received and not previously expended in accordance with the terms of the contract, lease or agreement. 46:8-23.
Waiver by depositor prohibited:
Any provision of such a contract, lease or agreement whereby a person who so deposits or advances money waives any provision of this act is absolutely void. 46:8-24.
Unlawful diversion of trust funds; penalty:
Any person party to said contract, lease or agreement, or any agent of said person, or any officer of a corporation receiving said moneys, who, with knowledge that such moneys constitute trust funds, unlawfully diverts or consents to an unlawful diversion of such moneys shall be a disorderly person and subject to a fine of not less than $200.00 or by imprisonment for not more than 30 days, or both. 46:8-25.
Application of act:
The provisions of this act shall apply to all rental premises or units used for dwelling purposes except owner-occupied premises with not more than two rental units where the tenant has failed to provide 30 days written notice to the landlord invoking the provisions of this act. 46:8-26.
Landlord and project defined:
The term "landlord", as used in this act, shall mean the person or persons who own or purport to own, or exercise control of any building or project in which there is rented or offered for rent housing space for living or dwelling purposes under either a written or oral lease, provided that this definition shall not include owner-occupied two unit premises. This definition shall include but not be limited to any multiple dwelling subject to the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76; C. 55:13A-1 et seq.).
The term "project" as used in this act shall mean a group of buildings which are or are represented to be under common or substantially common ownership and which stand on a single parcel of land or parcels of land which are contiguous and which group of buildings is named, designated or advertised as a common entity. The contiguity of such parcels shall not be adversely affected by public rights-of-way incidental to such buildings. 46:8-27.
Certificate of registration; filing; contents:
Every landlord shall, within 30 days following the effective date of this act, or at the time of the creation of the first tenancy in any newly constructed or reconstructed building, file with the clerk of the municipality in which the residential property is situated in the case of a one-dwelling unit rental or a two-dwelling unit non-owner occupied premises, or with the Bureau of Housing Inspection in the Department of Community Affairs in the case of a multiple dwelling as defined in section 3 of the "Hotel and Multiple Dwelling Law" (C.55:13A-3), a certificate of registration on forms prescribed by the Commissioner of Community Affairs, which shall contain the following information:
a. The name and address of the record owner or owners of the premises
and the record owner or owners of the rental business if not the same persons.
In the case of a partnership the names of all general partners shall be
provided;
b. If the record owner is a corporation, the name and address
of the registered agent and corporate officers of said corporation;
c. If the address of any record owner is not located in the
county in which the premises are located, the name and address of
a person who resides in the county in which the premises are located
and is authorized to accept notices from a tenant and to issue receipts
therefor and to accept service of process on behalf of the record
owner;
d. The name and address of the managing agent of the premises,
if any;
e. The name and address, including the dwelling unit, apartment
or room number of the superintendent, janitor, custodian or other individual
employed by the record owner or managing agent to provide regular maintenance
service, if any;
f. The name, address and telephone number of an individual
representative of the record owner or managing agent who may be reached
or contacted at any time in the event of an emergency affecting the premises
or any unit of dwelling space therein, including such emergencies as the
failure of any essential service or system, and who has the authority to
make emergency decisions concerning the building and any repair thereto
or expenditure in connection therewith;
g. The name and address of every holder of a recorded mortgage
on the premises;
h. If fuel oil is used to heat the building and the landlord
furnishes the heat in the building, the name and address of the fuel
oil dealer servicing the building and the grade of fuel oil used.
46:8-28.
Certificate; indexing and filing; public inspection; fee; validation:
In the case of a filing under section 2 of P.L.1974, c. 50 (C. 46:8-28) with the municipal clerk, the clerk shall index and file the certificate and make it reasonably available for public inspection. In the case of a filing with the Bureau of Housing Inspection, the filing shall be accompanied by the filing fee required pursuant to section 12 of P.L.1967, c. 76 (C. 55:13A-12). The bureau shall review the certificate and, if it is found to be in conformity with this law and any regulations promulgated hereunder, validate the certificate and issue a validated copy to the landlord and a validated copy to the clerk of the municipality in which the building or project is located. The clerk shall index the validated certificates and make them available as with the certificates required of one and two dwelling unit nonowner occupied premises. 46:8-28.1.
Certificate of registration; amendment; filing:
Every landlord required to file a certificate of registration as described in section 2 of P.L.1974, c. 50 (C. 46:8-28) shall file an amended certificate of registration within 20 days after any change in the information required to be included thereon. No fee shall be required for the filing of an amendment except where the ownership of the premises is changed. 46:8-28.2.
Registration under act if in compliance with L.1974, c. 50, or Hotel and Multiple Dwelling Law:
Nothing herein shall require a landlord who has heretofore complied with all provisions of P.L.1974, c. 50 (C. 46:8-27 et seq.) or the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76, C. 55:13A-1 et seq.), or both, applicable to any building or project to register the building or project again pursuant to this amendatory and supplementary act. Whenever, after the effective date of this amendatory and supplementary act, any owner or landlord shall be required to file an amended certificate of registration pursuant to the provisions of this amendatory and supplementary act, the "Hotel and Multiple Dwelling Law," or P.L.1974, c. 50, then that filing shall be in accordance with this amendatory and supplementary act. 46:8-28.3.
Inapplicability of act to current proceedings, liabilities or penalties:
This amendatory and supplementary act shall not affect any current proceedings, liabilities or penalties involving violations of the sections amended or repealed by this amendatory and supplementary act. All such proceedings, liabilities or penalties existing on the effective date of this amendatory and supplementary act shall be commenced or continued and be proceeded with in all respects as if the section had not been amended or repealed. 46:8-28.4.
Certificate of registration and amendments; providing to occupants and tenants:
Within 30 days following the effective date hereof, and at the time of the creation of a new tenancy, every landlord shall provide each occupant or tenant in his building or project a copy of the certificate of registration required by section 2 of this act (C. 46:8-28). If an amended certificate is filed the landlord shall furnish each occupant or tenant with a copy of the amended certificate within 7 days after the amended certificate is filed with the municipal clerk in the case of a tenant occupied one family dwelling or a non-owner occupied two family dwelling and within 7 days of receipt of a validated certificate from the Bureau of Housing Inspection in the case of a building or project subject to the "Hotel and Multiple Dwelling Law" (P.L.1967, c. 76; C. 55:13A-1 et seq.). 46:8-29.
Date of preparation; stipulation:
All information required under section 2. and 3. of this act shall stipulate the date of preparation. 46:8-30.
Service by mail upon record owner:
In any action in the Superior Court, Law Division, Special Civil Part or municipal court by an occupant or tenant or to recover penalties against a landlord who has not complied with this act and who cannot be served within the county or municipality, the summons and complaint may be served by certified and regular mail upon the record owner at the last address listed in the tax records of either the municipality or county. Service of such summons and complaint by certified and regular mail shall be effective to bring the landlord before the Superior Court, Law Division, Special Civil Part or municipal court even if it were not served within the county or municipality in which the court issuing the summons is located. 46:8-31.
Service of process on Superior Court clerk:
Service of process on the clerk of the Superior Court, Law Division, Special Civil Part or municipal court having jurisdiction over the municipality in which the property is located shall be deemed service on the landlord upon submission to the court of the following:
a. A certification of the tenant stating that he does
not know the landlord's whereabouts after having made a diligent effort,
satisfactory to the court, to determine the same; and
b. Proof of failure of service by certified mail as
provided in section 5 of this act. 46:8-32.
Action for possession by landlord; compliance with act:
In any action for possession instituted by a landlord who has failed to comply with the provisions of this act, no judgment for possession shall be entered until there has been compliance. The court shall continue such case for up to 90 days and if there has not been compliance within such period, the action shall be dismissed. 46:8-33.
Jurisdiction of Superior Court; amounts under $3,000:
The Superior Court, Law Division, Special Civil Part shall have jurisdiction over any action between a landlord and tenant where the amount in controversy is $3,000.00 or less.
Penalty for violation; recovery to municipalities:
Any landlord who shall violate any provision of this act shall be liable for a penalty of not more than $500.00 for each offense, recoverable by a summary proceeding under "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county or the municipal court of the municipality in which the premises are located shall have jurisdiction to enforce said penalty.
The Attorney General, the municipality in which the premises are located, or any other person may institute the proceeding; where the municipality or any other person other than the Attorney General institutes the proceeding, a recovered penalty should be remitted by the court to the municipality in which the premises subject to the proceeding are located. 46:8-35.
Waiver of rights by agreement; unenforceability:
Any written or oral provision in any agreement whereby any tenant waives any rights under this act shall be deemed against public policy and unenforceable. 46:8-36.
Severability:
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered. 46:8-37.
Definitions:
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
a. The term "unit of dwelling space" shall mean any room
or rooms, or suite or apartment thereof, whether furnished or unfurnished,
which is occupied, or intended, arranged or designed to be occupied, for
sleeping or dwelling purposes by one or more persons, including but not
limited to the owner thereof, or any of his servants, agents or employees,
and shall include all privileges, services, furnishings, furniture, equipment,
facilities and improvements connected with the use or occupancy thereof.
b. The term "multiple dwelling" shall mean any building
or structure or group or complex of buildings or structures and any land
appurtenant thereto in which 10 or more units of dwelling space are
occupied or are intended to be occupied by 10 or more persons who
live independently of each other.
c. The term "owner" shall mean the person who
owns, purports to own or exercises control of any multiple dwelling.
46:8-38.
Information on crime insurance; advice to tenants:
Within 6 months of the effective date of this act, every owner of a multiple dwelling shall make available to all his tenants information regarding crime insurance through the Federal Crime Insurance Program of Title VI of the Housing and Urban Development Act of 1970, 12 U.S.C. Sec. 1749 b b b et seq., and advise the tenants where applications for such insurance may be obtained. All tenants who assume occupancy more than 6 months after the effective date of the act shall be provided with this information no more than 30 days after they assume occupancy. 46:8-39.
Owners of multiple dwellings; duties to make tenant insurable:
No owner of a multiple dwelling shall do or refuse to do any act or permit any tenant to do any act which would prevent or make any tenant ineligible for crime insurance through the Federal Crime Insurance Program of Title VI of the Housing and Urban Development Act of 1970, 12 U.S.C. Sec. 1749 b b b et seq. 46:8-40.
Penalties:
Any owner who fails to provide to any tenant the information required under section 2 of this act or violates any other provision of this act shall be liable for a penalty of not more than $200.00 for each offense, recoverable by the State in a civil action by a summary proceeding under "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county in which the premises are located shall have jurisdiction to enforce said penalty enforcement upon complaint of the Attorney General or any other person. 46:8-41.
Severability:
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered. 46:8-42.
Short title:
This act shall be known and may be cited as "The Truth-in-Renting Act." 46:8-43.
Definitions:
As used in this act:
a. "Landlord" means any person who rents or leases
or offers to rent or lease, for a term of at least 1 month, dwelling units,
except dwelling units in rental premises containing not more than
two such units, or in owner-occupied premises of not more than three
dwelling units, or in hotels, motels or other guest houses serving
transient or seasonal guests.
b. "Department" means the Department of Community
Affairs.
c. "Commissioner" means the Commissioner of the
Department of Community Affairs. 46:8-44.
Statement of legal rights and responsibilities of tenants and landlords of rental dwelling units:
a. The department shall, as soon as practicable and
annually thereafter, after public hearing, prepare and make available at
cost to the public a statement, in a form and size suitable for posting
and distributing pursuant to the provisions of this act, of the primary
clearly established legal rights and responsibilities of tenants and landlords
of rental dwelling units.
This statement shall be printed in both the English and Spanish
languages. The statement shall serve as an informational document,
and nothing therein shall be construed as binding on or affecting a judicial
determination under section 6 of this act of what constitutes a lease provision
which violates clearly established legal rights of tenants or responsibilities
of landlords.
b. Where practical considerations make it necessary
for the department to limit the extent of the statement, items to be included
shall be selected on the basis of the importance of their inclusion in
protecting the rights of the public. 46:8-45.
Statement; distribution and posting by landlords:
Every landlord shall distribute one copy of the statement prepared and made available pursuant to the provisions of this act to each of their tenants within 30 days after it has been made available by the department and shall thereafter provide a copy of the current statement to each new tenant at or prior to the time he assumes occupancy of the dwelling. In addition, every landlord shall keep a copy of the current statement posted in one or more locations so that the statement is prominent and accessible to all his tenants. 46:8-46.
Violations of act; penalty:
Any landlord who violates any provision of this act, contrary to the legal rights of tenants, shall be liable for a penalty of not more than $100.00 for each offense. Such penalty shall be collected and enforced by summary proceedings pursuant to "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court, Law Division, Special Civil Part in the county in which the rental premises are located shall have jurisdiction over such proceedings. Process shall be in the nature of a summons or warrant, and shall issue upon the complaint of the commissioner, the Attorney General, or any other person. 46:8-47.
Offer of or entry into lease in violation of rights of tenants; termination of lease; exception:
No landlord shall offer to any tenant or prospective tenant or enter into any written lease after the effective date of this act which includes a lease provision which violates clearly established legal rights of tenants or responsibilities of landlords as established by the law of this State at the time the lease is signed. A tenant shall have the right to petition a court of competent jurisdiction to terminate a lease containing any such provision. Nothing contained herein shall limit any rights or remedies a tenant may have under a lease.
No landlord shall be liable for any penalty under section 5 of this act nor any lease termination by a tenant under section 6 of this act, for any lease provision in violation of section 6 of this act where the proposal to include such lease provision originated from the tenant and not such landlord. 46:8-48.
Waiver of right to receive or refusal to accept statement; effect:
No waiver or refusal by a tenant of his right to receive a copy of the statement as provided herein shall alter the responsibilities of the landlord under any provision of this act. 46:8-49.