[HISTORY: Adopted by the Township Committee (now Township Council)
of the Township of Hillside: Art. I, 5-15-1979 by Ord.
No. G-154-79 (Ch. XIII, Sec. 13-15, of the 1971 Code). Amendments
noted where applicable.]
Any insurance company authorized to issue fire insurance policies in
the State of New Jersey on real properties located within the Township of
Hillside is prohibited from paying to a claimant any claim in excess of $2,500
for fire damages on any real property located within the Township of Hillside
pursuant to any fire insurance policy issued or renewed after the final adoption
of this chapter and after filing of the same with the New Jersey State Commissioner
of Insurance until such time as anticipated demolition cost and all taxes
and assessments and all other municipal liens or charges due and payable to
the Township of Hillside appearing on the official certificate of search shall
have been paid by the owner of such real property or by the insurance company.
It shall be the responsibility of the claimant to inform his or her insurance
carrier of its inability to accept payment pursuant to this chapter absent
the satisfaction of all official liens as assessed to the subject property.
The owner has an additional responsibility not to accept payment absent the
satisfaction of all obligations to the municipality referred to herein.
An 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
Township of Hillside the amount of the liens appearing on the official certificate
and such other recorded liens or related charges as may be certified to the
insurance company; provided, however, that if an appeal is taken on the amount
of the 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 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.
The Township Council may enter into or may authorize the Tax Collector
by resolution to enter into agreements with the owners 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 redemption of the
tax sale lien by installment payments pursuant to Article 7 of Chapter 5 of
Title 54 of the Revised Statutes, if the Township Council 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 such resolution
adopted by the Township Council is authorized to make full payment on the
claim to the insured person.
