Bill Text: NJ S2545 | 2014-2015 | Regular Session | Introduced
Bill Title: Concerns expedited process for foreclosing vacant and abandoned residential properties in uncontested actions.*
Spectrum: Slight Partisan Bill (Democrat 2-1)
Status: (Engrossed - Dead) 2016-01-11 - Received in the Assembly without Reference, 2nd Reading [S2545 Detail]
Download: New_Jersey-2014-S2545-Introduced.html
Sponsored by:
Senator RONALD L. RICE
District 28 (Essex)
SYNOPSIS
Provides expedited process for foreclosing vacant and abandoned residential properties in uncontested actions.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning foreclosure of residential properties and supplementing P.L.1995, c. 244 (C.2A:50-53 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Notwithstanding any other law or rule to the contrary, if a residential mortgage lender's action to foreclose a mortgage on real property pursuant to the "Fair Foreclosure Act," P.L.1995, c.244 (C.2A:50-53 et seq.), is uncontested as defined pursuant to R.4:64-1(c) of the Rules Governing the Courts of the State of New Jersey, and vacant and abandoned pursuant to the criteria set forth in section 1 of P.L.2012, c.70 (C.2A:50-73), the lender may file a Motion for Expedited Judgment and Sale. The motion shall be accompanied by an affidavit from a person having personal knowledge of the contents and shall plead the specific facts to establish that the action is uncontested and that the property is vacant and abandoned.
2. If the motion and affidavit filed pursuant to section 1 of this act are found to be in compliance with the provisions of that section, have been served on the debtor and other appropriate parties in accordance with the Rules Governing the Courts of the State of New Jersey, and are otherwise satisfactory, the Superior Court shall:
a. enter final judgment in foreclosure;
b. direct issuance of a writ of execution to the Sheriff of the county in which the real property is situate that provides for the public sale of the property within 90 days of the filing of the service of the notice of intention that commenced the foreclosure action pursuant to the "Fair Foreclosure Act," P.L.1995, c.244 (C.2A:50-53 et seq.); and
c. order payment by the lender of $1,000 as a fee for the costs associated with the use of the process for expedited judgment and sale of the property as provided for in this act.
3. In a manner consistent with the Rules Governing the Courts of the State of New Jersey, the debtor or any interested party may present a defense in response to the Motion for Expedited Judgment and Sale. The defense shall be accompanied by an affidavit stating that the defense is not made solely for the purpose of delaying the relief requested pursuant to the Motion for Expedited Judgment and Sale. The defense shall be presented within 90 days of the filing of the service of the notice of intention that commenced the foreclosure action. Any defense that is presented without the affidavit, or that is not presented within the 90 day time period, shall not be considered by the court.
4. Nothing in this act shall be construed to affect the rights of a tenant to possession of a leasehold interest under the Anti-Eviction Act, P.L.1974, c.49 (C.2A:18-61.1 et seq.), the "New Jersey Foreclosure Fairness Act," P.L.2009, c.296 (C.2A:50-69 et seq.), or any other applicable law.
5. This act shall take effect on the 90th day next following enactment.
STATEMENT
This bill supplements New Jersey's "Fair Foreclosure Act" P.L.1995, c.244 (C.2A:50-53 et seq.), by providing an expedited process for mortgage lenders to use to foreclose residential properties and proceed to a public sale in actions that are uncontested and that involve vacant and abandoned property.
The bill provides that, notwithstanding any other law or rule to the contrary, if a residential mortgage lender's action to foreclose a mortgage on real property is uncontested as defined pursuant to R.4:64-1(c) of the Rules Governing the Courts of the State of New Jersey, and the property is vacant and abandoned pursuant to the criteria set forth in section 1 of P.L.2012, c.70 (C.2A:50-73), the lender may file a Motion for Expedited Judgment and Sale. The motion shall be accompanied by an affidavit from a person having personal knowledge of the contents and shall plead the specific facts to establish that the action is uncontested and that the property is vacant and abandoned.
If the Motion for Expedited Judgment and Sale and affidavit are found to be in compliance with the provisions of the bill, have been served on the debtor and other appropriate parties in accordance with the Rules Governing the Courts of the State of New Jersey, and are otherwise satisfactory, the Superior Court shall: (1) enter final judgment in foreclosure; (2) direct issuance of a writ of execution to the Sheriff of the county in which the real property is situate that provides for the public sale of the property within 90 days of the filing of the service of the notice of intention that commenced the foreclosure action pursuant to the "Fair Foreclosure Act"; and (3) order payment by the lender of $1,000 as a fee for costs associated with the use of the process for expedited judgment and sale of the property as provided for in this bill.
In a manner consistent with the Rules Governing the Courts of the State of New Jersey, any debtor or interested party may present a defense in response to the Motion for Expedited Judgment and Sale. The bill also requires that the defense shall be accompanied by an affidavit stating that the defense is not made solely for the purpose of delaying the relief requested pursuant to the Motion for Expedited Judgment and Sale. The bill also requires the defense to be presented within 90 days of the filing of the service of the notice of intention that commenced the foreclosure action. Finally, any defense that is presented without the affidavit, or that is not presented within the 90 day time period, shall not be considered by the court.
The bill further provides that nothing in the bill shall be construed to affect the rights of a tenant to possession of a leasehold interest under the Anti-Eviction Act, P.L.1974, c. 49 (C.2A:18-61.1 et seq.), the "New Jersey Foreclosure Fairness Act," P.L.2009, c.296 (C.2A:50-69 et seq.), or any other applicable law.
