The New Jersey Builders Association, through its Legal Action Committee in conjunction with General Counsel, participates in matters of litigation affecting the building interests in New Jersey.

U.S. Supreme Court Refuses to Hear Ambush Acquisition Case

On October 1, 2007 the United States Supreme Court announced that it would not accept a petition for a writ of certiorari filed by the Builders League of South Jersey (BLSJ) and MiPro Homes.  BLSJ and MiPro Homes had filed the petition in an effort to overturn a December 2006 New Jersey Supreme Court decision which held that towns may use eminent domain to exclude families with school age children.  The New Jersey Supreme Court decision in Mount Laurel Township v. MiPro Homes (A-85/86-05) can be found at:

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Law Division Declares Recreation Fee Ordinance Invalid

On May 14, 2007, the Law Division declared a Jackson Township open space and recreation fee ordinance invalid.  The ordinance required homebuilders to allocate land within a development for common open space, and to construct a variety of recreational facilities within the development.  In the alternative, a developer could satisfy the ordinance requirements by making an off-site contribution. In invalidating the ordinance, the court found that the imposition of recreation fees on developments other than Planned Unit Developments went beyond the authority granted to municipalities through the Municipal Land Use Law.

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Appellate Division Strikes Down Tree Ordinance

The Appellate Division upheld an earlier Superior Court decision which declared a Jackson Township tree ordinance invalid.  The ordinance required homeowners and developers to replace every tree they removed on their site or pay a fee to enable the township to plant trees on public property.  The ordinance was intended to correct deficiencies in an earlier tree ordinance that was successfully challenged by the Shore Builders Association in 2001.

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State Fails Affordable Housing Obligations

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In response to a suit brought by NJBA, the Appellate Division of New Jersey’s courts has found that, like towns, state agencies have a constitutional obligation to take “affirmative steps to ensure adequate affordable housing” where they are responsible for planning and zoning.

Read NJBA Press Release

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Read Court Decision

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Court Awards NJBA Fees in Highlands OPRA Lawsuit

A Superior Court Judge has awarded NJBA over $13,000, payable by the Highlands Council, to cover attorney fees and costs for its Open Public Records Act (OPRA) lawsuit.  In December NJBA filed the suit to compel the Highlands Council to produce its consultant’s reports.  As a result of the suit the Superior Court ordered the Council to provide NJBA with full reports on the Highlands Transfer of Development Rights program and headwater stream mapping efforts.  Under the OPRA law, parties who prevail in lawsuits for the release of information are entitled to be reimbursed reasonable attorney fees.

NJ Supreme Court Rejects Attempt to Overturn Local Land Use Process

The NJ Supreme Court dismissed the township of Hamilton’s appeal without opinion and stated that certification was improvidently granted. NJBA had filed an amicus brief arguing that the town was asking the Court to overturn long-established principles of zoning law and allow it to reject a fully conforming site plan application. The facts in this case were not appropriate for the Court to reconsider the well-settled principle that planning boards enforce the local zoning ordinance and must approve a site plan application that complies with its provisions. The court’s dismissal is consistent with those arguments. (Levin Properties, L.P. v. Hamilton Township Planning Board)


NJBA Suit Yields Highlands Records

In December, NJBA filed suit under the Open Public Records Act (OPRA) to compel the Highlands Council to produce its consultants’ reports. Despite repeated requests by NJBA for copies of all consultants’ reports, the Council had provided only a few reports, some with redactions. On January 24, 2007, following a review of the disputed reports, Superior Court Judge Theodore Bosonelis ordered the Council to provide NJBA with the full reports on the Highlands Transfer of Development Rights program and headwater stream mapping efforts. He also ruled that the Council could withhold reports pertaining to the build out analysis and fiscal impact analysis, as these are still being reviewed for the Highlands Regional Master Plan.

Judge reaches split decision on release of Highlands data

Court Strikes Down COAH Rules

In its January 2007 decision on NJBA’s challenge to third round COAH rules, the Appellate Division found the agency’s growth share approach invalid and violative of the Mt. Laurel decisions and the New Jersey Fair Housing Act.  The Appellate Division subsequently granted a stay to municipal “pass through” ordinances that were already in effect at the time of its decision.   These ordinances impose affordable housing construction requirements and in lieu fees on development.

Read Appellate Division Decision

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Appellate Division Finds Fee Shifting Provisions of Ordinance Invalid

The Borough of Fair Lawn created the position of municipal public advocate to oppose applications before the planning and zoning board on behalf of neighboring residents in the “public interest”. The Law Division held that the MLUL authorizes the fee shifting requiring applicants to fund the fees and costs incurred by the municipal advocate, as well as any experts or other professionals retained by it in opposing the application on behalf of neighboring residents. On December 1, 2004 NJBA participated as amicus in Appellate Division oral arguments and on January 27, 2005 the Appellate panel found the fee shifting provisions contrary to the MLUL and this invalid. (The Cerebral Palsy Center v. Borough of Fair Lawn)

Superior Court, Appellate Division Opinion, January 27, 2005

Relevant Cases and Decisions

Appellate Division invalidates increased notice requirements
On February 2, 2006 an Appellate panel unanimously rejected an Edison Township ordinance that expanded the notice requirements for applicants seeking local land use approvals.  The Appellate Division found that the town exceeded its authority under the MLUL by requiring each applicant to (1) place a sign on site describing the development and (2) give notice to neighboring property owners within 300 feet of the proposed development.  NJBA’s amicus brief argued that these requirements were not permitted by the MLUL and that the appeals panel should affirm the trial court’s decision invalidating the ordinance. (Verizon Wireless v. Township of Edison)

Superior Court, Appellate Division Decision, February 2, 2006

Supreme Court Reverses Appellate Panel and Permits NOV’s after CO
NJBA filed an amicus brief challenging a municipality’s enforcement authority to issue a Notice of Violation (NOV) against a developer years after a certificate of occupancy (CO) was issued for residential structures and title transferred to new owners. An Appellate Division panel ruled in favor of DKM that a municipal construction official does not have the authority to issue a NOV to a residential builder years after a CO was issued and title transferred to the new homeowner. On January 24, 2005 the New Jersey Supreme Court unanimously reversed holding that NOV’s may be issued (and penalties assessed) against developers subsequent to a CO so long as the statute of repose (i.e. 10 years) has not triggered. (DKM Residential Properties v. Twp. of Montgomery)

Superior Court, Appellate Division Opinion, January 24, 2005

NJ Supreme Court Rejects DEP’s Wetlands Regulations
NJBA challenged DEP’s freshwater wetlands regulations which require residential developments to add 20-ft. buffers to the perimeters of houses, in addition to the buffers of up to 150-ft. around the wetlands themselves. The rules also impermissibly limit the law’s “general permits.” The NJ Supreme Court reversed the Appellate Division and voided DEP’s rules as ultra vires and invalid. (NJBA v. NJDEP)

NJ Supreme Court Opinion, July 26, 2004


NJ Supreme Court Upholds Broad Grant of Municipal Authority
NJBA challenged a municipal ordinance imposing a cap on the calculation of “floor area ratio” inconsistent with existing provisions for determining density contained in the Municipal Land Use Law. Under the MLUL, “floor area ratio” is defined as the sum of all floors compared to the total area of a site. However, the municipal ordinance established an arbitrary cap of 2,200 square feet regardless of lot size, which the NJBA argued is ultra vires the MLUL. The NJ Supreme Court agreed with the Appellate Division upholding the ordinance and held “that with a narrow exception, the MLUL does not preclude a municipality from adopting a zoning ordinance that defines terms differently from the definitions in the MLUL.” (Rumson Estates, Inc. v. Mayor & Council of the Borough of Fair Haven – Amicus)

NJ Supreme Court Opinion, August 5, 2003


NJ Supreme Court Upholds Time Limits on Approvals
NJBA filed an amicus in an appeal involving the permanency of preliminary approvals. The MLUL gives preliminary site plan approvals perpetual life but only a limited period of protection from changes in zoning. The trial court held that an ordinance that imposed a time limit on the life of a preliminary approval was valid. The Appellate Division reversed and the NJ Supreme Court upheld the ordinance. (D.L. Real Estate v. Pt. Pleasant Beach Planning Board – Amicus)

NJ Supreme Court Opinion, April 28, 2003


Appellate Division Upholds DEP’s Use of Landscape Project to Determine Wetlands Classifications
NJBA challenged DEP’s use of its Landscape Project method in determining the size of the buffer of freshwater wetlands. The DEP rules, which provide that the Landscape Project method will be used to identify threatened and endangered species habitats in determining the “resource classification” of wetlands, were upheld by the Appellate Division. (NJBA v. NJDEP I/M/O NJAC 7:7A-2.4)

Superior Court, Appellate Division Decision, December 23, 2003


Appellate Panel Upholds 20-Year Maintenance Guarantee Ordinance

NJBA challenged the ordinance requiring a 20-year maintenance guarantee for stormwater management systems (basins). The trial court held that the ordinance exceeds its authority under the MLUL and the guarantee results in an unlawful exaction / illegal tax. The Appellate Division reversed the trial court upholding the maintenance guarantee ordinance. (NJBA v. Township Of Egg Harbor)

Superior Court, Appellate Division Decision, March 6, 2003




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