Bill Text: NJ A1195 | 2016-2017 | Regular Session | Introduced
Bill Title: Prohibits mortgage loan discrimination based on familial status.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Engrossed - Dead) 2017-12-11 - Received in the Senate, Referred to Senate Commerce Committee [A1195 Detail]
Download: New_Jersey-2016-A1195-Introduced.html
STATE OF NEW JERSEY
217th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2016 SESSION
Sponsored by:
Assemblywoman GABRIELA M. MOSQUERA
District 4 (Camden and Gloucester)
SYNOPSIS
Prohibits mortgage loan discrimination based on familial status.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning mortgage loan discrimination and supplementing Title 17 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in this act:
"Commissioner" means the Commissioner of Banking and Insurance.
"Depository institution" means any banking institution as defined in section 1 of "The Banking Act of 1948," P.L.1948, c.67 (C.17:9A-1), any association as defined in the "Savings and Loan Act (1963)," P.L.1963, c.144 (C.17:12B-1 et seq.), and any State or Federal credit union.
"Familial status" means being the natural parent of a child, the adoptive parent of a child, the resource family parent of a child, having a parent and child relationship with a child as defined by State law, or having sole or joint legal or physical custody, care, guardianship, or visitation with a child, or any person who is pregnant or is in the process of securing legal custody of any individual who has not attained the age of 18 years.
"Mortgage loan" means a loan which is secured by residential real property or a home improvement loan.
2. A depository institution that makes a mortgage loan in this State shall not discriminate against any person in making available that mortgage loan, or in the terms or conditions of that mortgage loan, based on a person's familial status.
3. Any person who has been discriminated against as a result of a violation of section 2 of this act may bring an action in New Jersey in a court of competent jurisdiction. Upon finding that a depository institution is in violation of this act, the court may award actual damages, reasonable attorneys' fees, and court costs.
4. The commissioner shall have the power to:
a. Make such investigations into any matter pertaining to this act, including the power to hold hearings and issue subpoenas to compel the attendance of witnesses and the production of evidence. In case of a failure of any person to comply with any subpoena, the Superior Court may issue an order requiring the attendance of such person and the giving of testimony or production of evidence. Any person failing to obey the court's order may be punished for contempt.
b. Order an institution found to be in violation of this act to cease its unlawful practices, subject to review, hearing, and relief in the Superior Court. A depository institution which continues to violate the provisions of this act after having been ordered by the commissioner to cease such practices shall be liable to a penalty of $10,000 for each offense. The penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The penalty provided by this section shall be in addition to and not in lieu of any other provision of law applicable upon a depository institution's failure to comply with an order of the commissioner.
5. The commissioner may adopt, pursuant to provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to effectuate the provisions of this act.
6. This act shall take effect immediately.
STATEMENT
This bill prohibits depository institutions that make mortgage loans in this State from discriminating against any person in making available a mortgage loan, or in the terms or conditions of a mortgage loan, because of that person's familial status.
The bill defines "familial status" as being the natural parent of a child, the adoptive parent of a child, the resource family parent of a child, having a "parent and child relationship" with a child as defined by State law, or having sole or joint legal or physical custody, care, guardianship, or visitation with a child, or any person who is pregnant or is in the process of securing legal custody of any individual who has not attained the age of 18 years.
The bill provides that any person who has been discriminated against in violation of the bill may bring an action in New Jersey in a court of competent jurisdiction. Upon finding that a depository institution is in violation, the court may award actual damages, reasonable attorneys' fees, and court costs.
The bill also empowers the Commissioner of Banking and Insurance to make such investigations into any matters pertaining to the bill, including the power to hold hearings and issue subpoenas to compel the attendance of witnesses and the production of evidence. The commissioner may also order institutions found to be in violation to cease any unlawful practices, subject to review, hearing, and relief in the Superior Court.
