Bill Text: NJ A1496 | 2012-2013 | Regular Session | Introduced


Bill Title: Limits ability of non-residents to bring tort suits in NJ courts.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-01-10 - Introduced, Referred to Assembly Judiciary Committee [A1496 Detail]

Download: New_Jersey-2012-A1496-Introduced.html

ASSEMBLY, No. 1496

STATE OF NEW JERSEY

215th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2012 SESSION

 


 

Sponsored by:

Assemblyman  MICHAEL PATRICK CARROLL

District 25 (Morris and Somerset)

 

 

 

 

SYNOPSIS

     Limits ability of non-residents to bring tort suits in NJ courts.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel

  


An Act concerning civil actions and supplementing Title 2A of the New Jersey Statutes.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.  As used in this act:

     "Non-resident" means a person who is not a resident.

     "Non-resident entity" means an entity that is not a resident entity.

     "Resident" means a person who resides in this State.  For the purposes of this act, a person may reside in at most one state, and the state of a person's residence means the state (1) where the person spends the majority of his or her nonworking time, and (2) which is most clearly the center of his or her domestic life, and (3) which is designated as his or her legal address and legal residence for voting.  

     "Resident entity" means a corporation or association incorporated under the laws of this State and duly authorized to transact business in this State. 

     "Site of the tort" means the location where the injury giving rise to the liability occurred.

 

     2.  Notwithstanding any provision of law to the contrary, no cause of action shall exist for a tort committed by a non-resident or a non-resident entity against a non-resident or a non-resident entity where the site of the tort is not within New Jersey. 

 

     3.  Notwithstanding any provision of law to the contrary, if a non-resident or non-resident entity brings a cause of action in tort against a resident or resident entity, the law of the site of the tort shall control the case.

 

     4.  This act shall take effect on the first day of the third month following enactment and apply to any cause of action filed after the effective date.

 

 

STATEMENT

 

     The bill would limit the ability and the incentive for non-residents to bring tort suits in this State. 

     Section 1 of the bill provides that no cause of action shall exist for a tort committed by a non-resident or non-resident entity against a non-resident or non-resident entity where the site of the tort is not within New Jersey.  Under current law, tort liability does not depend on residency. 

     Section 2 of the bill provides that if a non-resident or non-resident entity brings a cause of action in tort against a resident or resident entity, the law of the site of the tort shall control the case.  Under current law, whether New Jersey's law or another state's law governs a particular case is decided by the court applying a common law "governmental-interest" standard.  See, Smith v. Alza Corp., 400 N.J.Super. 529, 542 (App. Div. 2008).

      As used in the bill, "non-resident" means a person who is not a resident.  "Non-resident entity" means an entity that is not a resident entity.  "Resident" means a person who resides in this State.  For the purposes of the bill, a person may reside in at most one state, and the state of a person's residence means the state (1) where the person spends the majority of his or her nonworking time, and (2) which is most clearly the center of his or her domestic life, and (3) which is designated as his or her legal address and legal residence for voting. "Resident entity" means a corporation or association incorporated under the laws of this State and duly authorized to transact business in this State.  "Site of the tort" means the location where the injury occurred.

     The purpose of the bill is to save money by (1) avoiding situations where the State is providing a forum for foreign plaintiffs to sue non-residents and non-resident entities for torts that occurred elsewhere and (2) providing a disincentive for non-residents and non-resident entities to bring actions in the courts of this State.

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