[HISTORY: Adopted by the Board of Commissioners of the City of Margate
City as indicated in article histories. Amendments noted where applicable.]
[Adopted 8-24-1995 by Ord.
No. 1995-14]
The purpose of this article is to require insurance companies, prior
to the payment of any claims for fire damages in excess of $2,500, to pay
to the City of Margate the amount of any taxes certified as lien due on an
official tax search certificate.
No insurance company issuing a fire insurance policy on any real property located within the City of Margate City shall pay any claim against said policy in excess of $2,500 unless and until the insured person submits an official certificate of search for municipal liens, pursuant to N.J.S.A. 54:5-12, certifying that all taxes, assessments or other municipal liens or charges levied, assessed, due and payable against said property have been paid or the municipality submits a certified copy of a resolution adopted pursuant to § 163-4 of this chapter.
Unless a resolution adopted in accordance with § 163-4 of this chapter is received by an insurance company writing fire insurance policies in the City of Margate City, such insurance company is hereby authorized and required, prior to the payment of any claims for fire damages in excess of $2,500, to pay to the City of Margate City the amount of the liens appearing on the official certificate or other recorded liens or related charges as may be related to the insurance company; provided, however, that if any appeal is taken on 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 this state, shall be disbursed in accordance with the final judgment or order of the court.
The City Commissioners of Margate City may enter into an agreement by
formal resolution 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
New Jersey statutes, if the City Commission 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 the resolution of agreement
between the City Commission and the owner or insured of fire-damaged property
is authorized to make full payment of the claim to the insured person.
Nothing in this chapter shall be construed to:
A.
Obligate the insurance company for any amount in excess
of the value of the fire insurance policy on the property or the amount of
the liability of the insurance company thereunder.
B.
Obligate the insurance company for any liens not appearing
on the official certificate or any certified changes submitted by the bonded
official.
C.
Affect the authority of the City of Margate City to enforce
a municipal lien under any of the laws of this state.
A certified copy of this article shall be filed after final adoption
hereof with the State Commissioner of Insurance.
