Everything You Should Know About Proposed Assembly Bill No 1921
Owners of contaminated residential properties often have great difficulty selling them due to real or perceived health threats associated with said contamination. However, if Assembly Bill No 1921 is enacted into law, owners of residential property contaminated with volatile organic compounds (VOCs) may be able to demand that the New Jersey Department of Environmental Protection (DEP) offer to purchase the property.
Levels of VOCs in the indoor air of the residence exceed applicable screening levels and require remedial action to protect the health of the residents;
Levels of VOCs in the soil at the property exceed applicable soil remediation standards; and
The owner had no notice that the property was contaminated with VOCs at the time of purchase.
Components of Assembly Bill No 1921
The bill would require homeowners to request purchase by the DEP within one year after the date of enactment of the bill or within one year after the date of discovery of the contamination – whichever is later. The DEP would then be required to make its purchase offer within 60 days. In addition, the DEP would be required to purchase the property at fair market value without allowing for any diminution in value caused by the contamination.
Once purchased, the structures at the property would be demolished and the property would be remediated for use as open space. Funding for the proposed actions would be made available from the New Jersey Spill Compensation Fund. The Assembly passed the proposed bill by a vote of 60-13 in June, and it is currently pending before the Senate Budget and Appropriations Committee. The DEP opposes the bill, citing the costs of purchasing contaminated properties. We will be closely tracking Assembly Bill No 1921 as it proceeds through the Legislature and we will post updates as they become available.
Are you a residential property owner? Are you unsure how Assembly Bill No 1921 could affect you? Please contact me, Dan McKillop, with any questions regarding the proposed bill.
Section 363 Sales in Bankruptcy: What Businesses, Lenders, and Buyers Need to Know
When a company enters Chapter 11 bankruptcy, many assume the process will culminate in a lengthy reorganization plan. However, distressed businesses are increasingly being sold through a different mechanism — a sale under Section 363 of the United States Bankruptcy Code. A Section 363 sale allows a company, as a debtor-in-possession in bankruptcy, to sell […]
Zoning Laws Explained: What You Need to Know Before Buying Property
Before buying property, it is critical to determine whether local zoning laws may affect your plans. If you plan to redevelop the property, you will want to confirm that local zoning regulations permit development as intended. If acquiring property that is already developed, you must verify that the use is permitted in the underlying zoning […]
Special Needs Trusts in New Jersey: Planning for Your Loved One’s Future
For parents of a child with a disability, estate planning raises concerns that go well beyond deciding who will inherit their assets. Parents may spend years making sure their child has the right care, services, and support. Eventually, they must also confront a difficult question: Who will take over when they can no longer do […]
What Every Real Estate Investor Should Know Before Buying a Rental Property
Before buying a New Jersey rental property, an investor should verify realistic operating numbers, the property’s legal and regulatory status, lead-based paint and flood compliance, the existing leases and tenant protections, and the right ownership structure. A rental property is more than a piece of real estate; it is an operating business subject to legal, […]
Can You Change an Irrevocable Trust in New Jersey?
In New Jersey, an irrevocable trust can sometimes be modified even though its name suggests otherwise, and one of the primary tools for doing so is a process called decanting. Whether decanting is available depends on the specific terms of the trust and the discretion given to the trustee. Key takeaways: New Jersey has no […]
How Intellectual Property Valuation Will Impact Business Transactions
Intellectual property valuation determines the monetary value of a business’s IP assets, and it drives outcomes in licensing deals, joint ventures, mergers and acquisitions, financing, and ownership disputes. The most valuable assets of a business are often the things that cannot be seen or touched: a proprietary process, a copyrighted work, brand recognition, or the […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
