Bill Text: NJ S1664 | 2010-2011 | Regular Session | Amended

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Bill Title: Provides limit on number of multiple timeshare interests that may be included in a single foreclosure complaint under "New Jersey Real Estate Timeshare Act." *

Sponsorship: Partisan Bill (Democrat 1)

Status: (Engrossed - Dead) 2010-09-13 - Transferred to Assembly Financial Institutions and Insurance Committee [S1664 Detail]

Download: New_Jersey-2010-S1664-Amended.html

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[First Reprint]

SENATE, No. 1664

STATE OF NEW JERSEY

214th LEGISLATURE

 

INTRODUCED MARCH 11, 2010

 

 

Sponsored by:

Senator  ROBERT M. GORDON

District 38 (Bergen)

 

 

 

 

SYNOPSIS

     Provides limit on number of multiple timeshare interests that may be included in a single foreclosure complaint under "New Jersey Real Estate Timeshare Act."

 

CURRENT VERSION OF TEXT

     As reported by the Senate Commerce Committee on May 10, 2010, with amendments.

  

An Act concerning foreclosure procedures for timeshare interests and amending P.L.2006, c.63.

 

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

 

     1.    Section 17 of P.L.2006, c.63 (C.45:15-16.66) is amended to read as follows:

     17.  a.  Before the first sale of a timeshare interest, the developer shall create or provide for a managing entity, which shall be either the developer, a separate manager or management firm, the board of directors of an owners' association, or some combination thereof.

     b.    The duties of the managing entity shall include, but not be limited to:

     (1)   Management and maintenance of all accommodations constituting the timeshare plan;

     (2)   Collection of all assessments as provided in the timeshare instrument;

     (3)   Providing to all purchasers each year an itemized annual budget, which shall include all estimated revenues and expenses;

     (4)   Maintenance of all books and records concerning the timeshare plan;

     (5)   Scheduling occupancy of accommodations, when purchasers are not entitled to use specific timeshare periods, so that all purchasers will be provided the opportunity to possess and use the accommodations of the timeshare plan which they have purchased; and

     (6)   Performing any other functions and duties that are necessary and proper to maintain the accommodations or that are required by the timeshare instrument.

     c.     In the event a developer, managing entity or association files a complaint in a foreclosure proceeding involving timeshare interests, the developer, managing entity or association may join in the same action multiple defendant obligers and junior interest holders of separate timeshare interests ¹[in accordance with the Rules Governing the Courts of the State of New Jersey]¹, provided:

     (1)   The foreclosure proceeding involves a single timeshare plan;

     (2)   The foreclosure proceeding is filed by a single plaintiff;

     (3)   The default and remedy provisions in the written instruments on which the foreclosure proceeding is based are substantially the same for each defendant; and

     (4)   The nature of the defaults alleged is the same for each defendant.

     ¹For a foreclosure action involving multiple timeshare interests,
the number of multiple timeshare interests that may be included in a single complaint shall not exceed 15 or a greater number as determined by the Supreme Court through the Rules of Court.¹

     d.    In any foreclosure proceeding involving multiple defendants filed under subsection c. of this section, the court shall, if appropriate, sever for separate trial any count of the complaint in which a defense or counterclaim is timely raised by a defendant.

(cf:  P.L.2006, c.63, s.17)

 

     2.    This act shall take effect immediately.