Township of Union, NJ
Union County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the Township Committee of the Township of Union 4-10-1979 by Ord. No. 3362 (Ch. 147 of the 1986 Code). Amendments noted where applicable.]
GENERAL REFERENCES
Fire prevention — See Ch. 285.

§ 281-1 Taxes and assessments to be paid prior to payment of claims.

It shall be unlawful for any insurance company authorized to issue fire insurance policies in the State of New Jersey to pay to any claimant any claim in excess of $2,500 for fire damages on any real property located within the Township of Union pursuant to any fire insurance policy issued or renewed after the adoption of this chapter and after the filing of this chapter with the State Commissioner of Insurance, until such time as all taxes and assessments and all other municipal liens or charges due and payable appearing on the official certificate of search shall have been paid.

§ 281-2 Official certificate of search.

The official certificate of search shall be provided by the Tax Collector of the Township of Union upon proper application of the claimant and such certificate may, from time to time, be altered by the bonded official responsible for preparing such certificates in order to correct any errors or omissions or to add any municipal liens or related charges due and payable subsequent to the preparation of the official certificate.

§ 281-3 Taxes, assessments and municipal liens; appeals.

All taxes and assessments and other municipal liens or charges due and payable appearing on the official certificate of search shall be paid by the owner of the property or any insurance company prior to the payment of any claims in excess of $2,500 on the property and such insurance company is hereby authorized and required to pay to the municipality the amount of the liens appearing on the official certificate of search and such other recorded liens or related charges which may be certified to said insurance company; provided, however, that if an appeal is taken to the amount of any lien or charge (other than an appeal on the assessed valuation of real property, pursuant to N.J.S.A. 54:3-21), the insurance company shall withhold 75% of the full amount of the lien or charge being contested, pending termination of all proceedings, at which time such moneys and all interest accruing thereon at a rate paid on interest-bearing accounts, in banking institutions or savings and loan associations in the state, shall be disbursed in accordance with the final order or judgment of the court.

§ 281-4 Agreement to pay all delinquent taxes.

The governing body of the Township of Union may enter into an agreement with the owner of any fire-damaged property to pay in full all delinquent taxes, assessments or other municipal liens by installments, pursuant to N.J.S.A. 54:5-19, or for the redemption of the tax sale lien by installment payments, pursuant to Article 7 of Chapter 5 of Title 54 of the Revised Statutes of New Jersey, if the governing body of the municipality is satisfied that the claim for fire damages is to be used to restore or improve the fire-damaged property. An insurance company receiving a certified copy of a resolution of agreement from the governing body of the municipality is authorized to make full payment on the claim to the insured person.

§ 281-5 Processing claims. [1]

A municipal claim made in accordance with the provisions of this chapter shall be paramount to any other claims on the proceeds of the fire insurance policy, except the claim of a holder of a mortgage on the fire-damaged property, where the fire insurance policy at the time of the loss listed the mortgagee as a named insured, in which event the claim of the mortgagee to the proceeds shall be paramount to the municipal lien under this chapter only to the extent of the amount due and payable to the mortgagee under the mortgage contract.
[1]
Editor's Note: As to municipal claims generally, see Ch. 17, Claims Approval and Payment.

§ 281-6 Provision not to affect municipal lien enforcement.

This chapter shall not affect the authority of the Township of Union to enforce a municipal lien under any other law of this state.

§ 281-7 Filing of provision with State Commissioner of Insurance.

The Township Clerk shall file a certified copy of this chapter with the State Commissioner of Insurance within 15 days of its enactment.