[Added 2-9-2023 by Ord. No. 23-02]
A. A creditor
serving a summons and complaint in an action to foreclose on a mortgage
on residential or commercial property in the Borough of Garwood shall,
within 10 days of serving the summons and complaint, notify the Borough
Clerk and the Mayor. The notice shall contain the full name, address,
telephone number, and email address (if applicable) of a person 21
years of age or older, who will act as the representative of the creditor
and is responsible for receiving complaints of property maintenance
and code violations. Additionally, the notice shall contain the full
name and contact information for any person or entity retained by
the creditor or representative of the creditor to be responsible for
any care, maintenance, security, or upkeep of the property. For representatives
which are firms, the name, street address, telephone number, and email
(if applicable) of the firm and the actual name(s) of the firm's individual
principal(s) responsible for maintaining the property shall be included.
The individual or representative of the firm responsible for maintaining
the property shall be available by telephone or in person on a twenty-four-hour-per-day,
seven-day-per-week basis. The two entities may be the same or different
persons. Both entities shown on the statement must maintain offices
in the State of New Jersey or reside within the State of New Jersey,
as applicable. In the event that the creditor that has served a summons
and a complaint in an action to foreclose on a commercial property
is located out-of-state, the registration shall also contain the full
name, address, and telephone number of an in-state representative
or agent who shall be responsible for the care, maintenance, security,
and upkeep of the exterior of the property if it becomes vacant and
abandoned. The notice may contain information about more than one
property. The notice shall be provided by mail or by electronic communication,
at the discretion of the Borough Clerk. In the event that the creditor
that has served a summons and a complaint in an action to foreclose
on a commercial property is located out-of-state, the notice shall
also contain the full name, address, and telephone number of an in-state
representative or agent who shall be responsible for the care, maintenance,
security, and upkeep of the exterior of the property if it becomes
vacant and abandoned.
B. The creditor
shall provide a notice to the Borough Clerk containing any change
in the name, address, or telephone number for a representative, agent,
or individual authorized to accept service on behalf of a creditor
within 10 days of the change in information.
C. For the purposes of §
67-17, "creditor" means a state-chartered bank, savings bank, savings-and-loan association or credit union, any person required to be licensed under the provisions of the New Jersey Residential Mortgage Lending Act, N.J.S.A. 17:11C-51 to N.J.S.A. 17:11C-89, and any entity acting on behalf of the creditor named in the debt obligation including, but not limited to, servicers. A creditor, as the term is used here, shall not include the state, a political subdivision of the state, or a state, county, or local government entity, or their agent or assignee, such as the servicer.
[Amended 11-15-2018 by Ord. No. 18-26; 2-9-2023 by Ord. No. 23-02
A. A creditor serving a summons and complaint in an action to foreclose
on a mortgage on residential or commercial property in the Borough
of Garwood shall, within 10 days of serving the summons and complaint,
register such residential or commercial property with the Borough
Clerk. The registration shall contain the full name, address, telephone
number, and email address (if applicable) of a person 21 years of
age or older, who will act as the representative of the creditor and
is responsible for receiving complaints of property maintenance, code
violations, and process in any court proceeding or administrative
enforcement proceedings on behalf of such creditor in connection with
the enforcement of any applicable code. Additionally, the registration
shall contain the full name and contact information for any person
or entity retained by the creditor or a representative of the creditor
to be responsible for any care, maintenance, security, or upkeep of
the property. For representatives which are firms, the name, street
address, telephone number, and email (if applicable) of the firm and
the actual name(s) of the firm's individual principal(s) responsible
for maintaining the property shall be included. The individual or
representative of the firm responsible for maintaining the property
shall be available by telephone or in person on a twenty-four-hour-per-day,
seven-day-per-week basis. The two entities may be the same or different
persons. Both entities shown on the statement must maintain offices
in the State of New Jersey or reside within the State of New Jersey,
as applicable. In the event that the creditor that has served a summons
and a complaint in an action to foreclose on a commercial property
is located out of state, the registration shall also contain the full
name, address, and telephone number of an in-state representative
or agent who shall be responsible for the care, maintenance, security,
and upkeep of the exterior of the property if it becomes vacant and
abandoned. The registration may contain information about more than
one property, but a separate registration fee shall be paid for each
property. The registration statement shall be provided by mail or
by electronic communication, at the discretion of the Borough Clerk.
B. The registration shall identify the date the summons and complaint in an action to foreclose was filed against the subject property, the court in which it was filed, and the docket number of the filing. Additionally, the registration shall identify whether the property is vacant and abandoned in accordance with the definition provided by §
67-24.
C. The registration shall remain valid for one year from the date of registration, except for the initial registration, which shall be prorated on a monthly basis through December 31. The creditor shall be required to renew the registration annually as long as the building remains a vacant and abandoned property and shall pay a registration or renewal fee in the amount prescribed in §
67-27.1 for each vacant property registered.
D. The annual renewal shall be completed by January 1 each year.
E. The creditor shall notify the Borough Clerk within 30 calendar days
of any change in the registration information by filing an amended
registration statement.
F. The registration statement shall be deemed prima facie proof of the
statements therein contained in any administrative enforcement proceeding
or court proceeding instituted by the Borough against the creditor
or the owner or owners of the building.
G. The creditor shall provide a notice to the Borough Clerk containing
any change in the name, address, or telephone number for a representative,
agent, or individual authorized to accept service on behalf of a creditor
within 10 days of the change in information.
H. The creditor filing a summons and complaint in an action to foreclose shall, if the registered property becomes vacant and abandoned in accordance with the definition supplied by §
67-24 after the property is initially registered with the Borough of Garwood, update the property registration with the Borough to the reflect the change in that information.
I. The creditor filing the summons and complaint in an action to foreclose
shall be responsible for the care, maintenance, security, and upkeep
of the exterior of the property if the property is vacant and abandoned
at any time while the property is registered with the property registration
program.
J. The creditor must secure a property that is or has become vacant
and abandoned, relating to the care, maintenance, security, and upkeep
of the of the exterior of the property against unauthorized entry,
post a sign affixed to the inside of the property and visible to the
public indicating the name, address, and telephone number of the creditor
or an out-of-state creditor's in-state representative or agent
for the purpose of receiving service of process, or acquire and otherwise
maintain liability insurance by procuring a vacancy policy, covering
any damage to any person or any property caused by any physical condition
of the property while registered with the property registration program.
K. For the purposes of §
67-18, "creditor" means a mortgagee or an agent or assignee of a mortgagee, such as the servicer, who has filed a complaint in the Superior Court seeking to foreclose upon a residential or commercial mortgage. If the entity seeking to foreclose upon the mortgage changes as a result of an assignment, transfer, or otherwise after the filing of the foreclosure complaint in the Superior Court, the new entity shall be deemed the creditor for purposes of this article. A creditor, as the term is used here, shall not include the state, a political subdivision of the state, or a state, county, or local government entity, or their agent or assignee, such as the servicer.
[Amended 2-9-2023 by Ord. No. 23-02]
The Borough Clerk shall forward a copy of the notice and registrations
received pursuant to this article to the Chief of Police and the Property
Maintenance Officer. The notice shall also include the street address,
lot, and block number of the property.
In the event that the property being foreclosed on is an affordable
unit pursuant to the Fair Housing Act, N.J.S.A. 52-27D-301 et seq.,
then the creditor shall identify in the registration that the property
is subject to the Fair Housing Act.
[Amended 2-9-2023 by Ord. No. 23-02]
In addition to the foregoing information, the notice and registration
shall also include the street address, lot and block of the property,
and the full name and contact information of an individual located
within the State of New Jersey who is authorized to accept service
on behalf of the creditor. The notice shall be provided to the Borough
Clerk within 10 days of service of a summons and complaint in an action
to foreclose on a mortgage against the subject property.
If the owner of a residential property vacates or abandons any
property on which a foreclosure proceeding has been initiated, or
if a residential property becomes vacant at any point subsequent to
the creditor's filing of the summons and complaint in an action to
foreclose on a mortgage against the subject property, but prior to
vesting of title in the creditor or any other third party, and the
exterior of the property is found to be a nuisance or in violation
of any applicable state or local code, the Chief of Police, Borough
Clerk, Property Maintenance Officer or any other municipal official
authorized by the Mayor and Council shall notify the creditor or the
representative or agent of any out-of-state creditor, as applicable,
which creditor shall have the responsibility to abate or correct the
violation in the same manner and as to the same extent as the title
owner of the property, to the standard and specification required
by state law and by municipal ordinance. The notice shall include
a description of the condition which gave rise to the violation with
the notice of violation, and shall provide a period of not less than
30 days of the creditor's receipt of the notice for the creditor to
remedy the violation. If the creditor fails to remedy the violation
within that time period, the Borough may impose penalties allowed
for the violation of its ordinances pursuant to N.J.S.A. 40:49-5.
If the Borough expends public funds in order to abate a nuisance or correct a violation on a residential property in a situation in which the creditor was given notice pursuant to §
67-22 but failed to abate the nuisance or correct the violation as directed, the Borough shall have the same recourse against the creditor as it would have had against the title owner of the property, including, but not limited to, the recourse provided under N.J.S.A. 55:19-100 of the Abandoned Properties Rehabilitation Act.
Any creditor filing a summons and complaint in an action to
foreclose on any residential property shall be responsible for the
care, maintenance, security and upkeep of the exterior of any vacant
and abandoned residential property, and, if located out-of-state,
shall be responsible for appointing an in-state representative or
agent to act for the foreclosing creditor.
The creditor shall maintain such property to the standard required by Article
V of this chapter and according to all other standards for the care, maintenance, security and upkeep of the exterior of property contained in the ordinances of the Borough of Garwood.
The Borough Clerk, Chief of Police or any other municipal official
responsible for any property maintenance or public nuisance code for
the Borough of Garwood or the State of New Jersey is hereby authorized
to issue a notice to any creditor filing a summons and complaint in
an action to foreclose, if the public officer or other authorized
municipal official determines that the creditor has violated this
article by failing to provide for the care, maintenance, security
or upkeep of the exterior of the property. Such notice shall require
the person or entity to correct the violation within 30 days of receipt
of the notice, or within 10 days of receipt of the notice if the violation
presents an imminent threat to the public health and safety. The issuance
of a notice pursuant to this section shall constitute proof that a
property is "vacant" and "abandoned" for the purposes of N.J.S.A.
2A:50-73.
[Amended 2-9-2023 by Ord. No. 23-02]
The registration and renewal fee for each building, subject to §
67-18, shall be $500 per annum. For each building that is vacant and abandoned, the fee is an additional $2,000 per annum. Upon transfer of ownership to another creditor, the registration fee must be paid again by the new creditor. Annual fees for registration will be due January 1 of each year. All registration fees will be payable to the Borough Clerk.
The provisions of this article shall be effective immediately.
All properties to which it applies shall be registered by the creditor
within 30 days of the effective date of the amendments to this article,
notwithstanding that the foreclosure action may have been instituted
prior to such date.