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Foreclosure Legislation

 “NJ-LAC is pleased to report that two foreclosure reform bills favorable to common interest communities in New Jersey (A5002/S3414 and A5005/S3413), which were part of a larger package of bills addressing the foreclosure crisis in New Jersey, were passed unanimously by both the New Jersey Senate and the New Jersey Assembly on March 25, 2019, and now head to the Governor for his signature. A5002 extends CIC lien priority to HOAs (where until now it was only applicable to condominiums), and also extends the one-time 6 month lien priority to an annual 6 month lien priority. S3413 shortens the time period within which a Sheriff’s Sale must take place after foreclosure judgment has been entered on a vacant and abandoned property. The Governor now has 45 days to sign the legislation…

 Foreclosure reform is one of the main legislative and regulatory priorities of CAI’s Legislative Action Committee (LAC) in New Jersey, and once signed into law will ease the financial burden on common interest communities caused by unpaid assessments and vacant and abandoned properties. The passage of these two bills resulted in large part from the hard work and persistence of your LAC”

 Larry Thomas, CAI-NJ Executive Director states, “Through the continued efforts of our Legislative Action Committee and MBI Gluckshaw (our lobbyist firm), we were able to work very closely with the sponsors of the bills who were the primary crafters of the language and changes outlined in these bills.  The NJ-LAC spent hours meeting with and educating the bills’ sponsors as to the importance and need for these changes to the current foreclosure laws. These bills, when signed by Governor Murphy will give great financial relief to all of New Jersey’s common interest communities that are faced with vacant foreclosed units along with the unpaid assessments associated with these vacancies”.