SUPERIOR COURT OF NEW JERSEY
APPELLATE DIVISION
A-1474-01T5
A-1481-01T5
RIVERVIEW TOWERS ASSOCIATES,
Plaintiff-Respondent,
v.
ANNA JONES,
Defendant-Appellant.
__________________________________
RIVERVIEW TOWERS ASSOCIATES,
Plaintiff-Respondent,
v.
VERNA BATEMAN,
Defendant-Appellant.
___________________________________
Argued: February 4, 2003 - Decided:
February 28, 2003
Before Judges PresslerSee footnote 11, Wallace, Jr., and
Axelrad.
On appeal from the Superior Court of New
Jersey, Law Division, Camden County, LT-7413-
01.
Sonia Bell argued the cause for appellants
(Camden Regional Legal Services, attorneys;
Ms. Bell, on the brief).
Respondent has not filed a brief.
The opinion of the court was delivered by
AXELRAD, J.T.C. (temporarily assigned).
We consolidate these appeals for the purposes of this opinion.
In these landlord-tenant actions for nonpayment of rent, tenants in
a subsidized housing complex contend the court was deprived of
jurisdiction to enter a judgment of possession because of the lack
of compliance with the HUD lease termination notice requirements,
24 C.F.R. § 247.4, prior to institution of the summary dispossess
complaint. We agree. We reverse and vacate the judgments of
possession.
Both defendants, Anna Jones and Verna Bateman, are residents
of a subsidized dwelling for senior citizens and the disabled
located in Camden. Jones resides in unit 706 and pays a monthly
rent of $164. Bateman resides in unit 709 and pays a monthly rent
of $282. In the past, both defendants had complained to the
landlord, plaintiff Riverview Towers Associates, about unauthorized
intrusions into their apartments by a maintenance staff member, and
Jones had withheld rent based on the landlord's purported failure
to rectify the problem. She thereafter paid the outstanding rent
to avoid the entry of a judgment of possession.
The summary dispossess actions which are the subject of these
appeals resulted from both tenants' failure to pay rent for the
months of August and September 2001. On September 5, 200l, the
landlord filed complaints in tenancy asserting nonpayment of rent
and seeking judgments for possession of the units. On the trial
date of October ll, 200l,See footnote 22 counsel for the tenants asserted that
the court did not have jurisdiction to hear the matter and sought
to dismiss the complaints based on landlord's failure to comply
with federal law. A discussion ensued between the court and
counsel about the landlord having sent its "standard notice" to
both tenants prior to instituting suit, and the court gave
landlord's counsel the option of supplementing the record with
copies of the notices. Landlord's counsel chose, however, not to
present the notices into evidence or provide any testimony
regarding the notices being sent to the tenants. Instead, landlord
took the position the complaints were sufficient notice to confer
jurisdiction on the court. The court concluded, with reference to
a prior ruling and no further explanation, that commencement of the
actions constituted sufficient notice under federal law. In each
of the cases a judgment of possession for nonpayment of rent was
issued and by order dated October 25, 2001, the matters were stayed
pending appeal contingent upon payment of outstanding rent into
escrow and payment of future rent to the landlord. We were advised
at argument by tenants' counsel that rent has been paid and the
tenants have continued to reside in their apartments. Landlord
chose not to respond to the appeal; we entered an order suppressing
its brief.
Subject to certain exceptions that are relevant here, a
landlord in New Jersey may remove a residential tenant from an
apartment complex for nonpayment of rent by a summary dispossess
action under the Anti-Eviction Act, N.J.S.A. 2A:18-61.1a. The
complaint itself serves as the jurisdictional foundation. Id. The
present case, however, involves a rent-subsidized tenancy created
by the federal Section 236 Rental Assistance Program,
12 U.S.C.A.
§1715z-1, administered under the auspices of the New Jersey
Housing Mortgage Finance Agency (NJHMFA) and the Department of
Housing and Urban Development (HUD). The controlling regulations,
24 C.F.R. § 247.1 et seq., direct the operation of the program, and
as a participant owner, this landlord is bound by these
regulations, in addition to state requirements.
Under federal law, an owner landlord is required to satisfy
specific requirements when attempting to terminate a subsidized
tenancy. We have held federal requirements to be jurisdictional
prerequisites to the establishment of good cause for eviction in
state court. See, e.g., Housing Auth. of City of Newark v.
Raindrop,
287 N.J. Super. 222 (App. Div. 1996) (holding the trial
court was deprived of jurisdiction over a summary dispossess action
to terminate a public housing tenancy for drug-related activity on
the leased premises because of the landlord's failure to comply
with HUD lease termination notice requirements,
42 U.S.C.A.
§1437d(l)(3)(c), 24 C.F.R. § 966.4(l)(3)); Housing Auth. of City of
Bayonne v. Isler,
127 N.J. Super. 568 (App. Div. l974) (holding
landlord's failure to give notice of termination of a public
housing tenancy as required by the lease in accordance with HUD's
administrative circular, RHM 7465.8, was fatal to its right to
terminate the lease for purposes of the holdover provisions of the
dispossess statute); N.C. Housing Assocs. v. Hightower-Cooper,
281 N.J. Super. 317 (Law Div. l995) (holding sponsor of low and
moderate income housing project had duty of proving compliance with
HMFA pre-eviction notice requirements, N.J.A.C. 5:80-20.5(c) and -
20.9, as part of its prima facie case in a summary dispossess
action to evict the tenant for failing to recertify her income
annually).
The regulation pertaining to landlord evictions under a
subsidized assistance program sets forth the requisites of a
termination notice:
The landlord's determination to terminate the
tenancy shall be in writing and shall: (1)
State that the tenancy is terminated on a date
specified therein; (2) state the reasons for
the landlord's actions with enough specificity
so as to enable the tenant to prepare a
defense; (3) advise the tenant that if he or
she remains in the leased unit on the date
specified for termination, the landlord may
seek to enforce the termination only by
bringing a judicial action, at which time the
tenant may present a defense; and (4) be
served on the tenant in the manner prescribed
by paragraph (b) of this section.
[24 C.F.R. § 247.4(a).]
This regulation provides the following specificity of notice in
rent nonpayment cases:
In any case in which a tenancy is terminated
because of the tenant's failure to pay rent, a
notice stating the dollar amount of the
balance due on the rent account and the date
of such computation shall satisfy the
requirement of specificity set forth in
paragraph (a)(2) of this section.
[24 C.F.R. § 247.4(e).]
The leases between the parties mandate that any termination of
the tenancy by the landlord must be carried out in accordance with
HUD regulations. Further, paragraph 23c of the leases mirrors the
language of the federal regulation:
If the Landlord proposes to terminate this
Agreement, the Landlord agrees to give the
Tenant written notice of the proposed
termination . . . . All termination notices
must:
specify the date this Agreement will be
terminated;
state the grounds for termination with enough
detail for the Tenant to prepare a defense;
advise the Tenant that he/she has l0 days
within which to discuss the proposed
termination of tenancy with the Landlord. . .;
advise the Tenant of his/her right to defend
the action in court.
Jones included in her appendix one of the landlord's "standard
notices" previously sent to her for illustrative purposes. She
contends the notice is defective as it does not meet the
requirements of 24 C.F.R. § 247.4, and seeks to have us make such
determination to avoid recurring problems with this landlord. We
decline to do so. As this notice was not placed in evidence and
there was no testimony as to notices sent to these tenants prior to
the institution of these summary dispossess actions, such issue is
not appropriately before us. It is clear the express language of
24 C.F.R. § 247.4(a) and (e) requires the issuance and service of
a written termination notice in rent nonpayment cases. Although
the complaint for summary dispossess is sufficient to confer
jurisdiction on the court under New Jersey Law, N.J.S.A. 2A:18-
61.1a, it is insufficient notice under federal law and the terms of
the lease. "Like our state law, the federal statutes and attendant
regulations reflect that the stern remedy of dispossession should
be available to the landlord only when the landlord has afforded
the tenant all the required pre-eviction statutory and regulatory
protections." Housing Auth. of City of Newark v. Raindrop, supra,
287 N.J. Super. at 229.
Based on the landlord's failure to comply with the HUD lease
termination notice requirements, the trial court lacked
jurisdiction to enter the judgments of possession. Accordingly, we
reverse and vacate the judgments of possession previously entered
against these tenants. We direct that the rental payments made to
the court as a condition of the orders for stay be paid to the
landlord. We do not retain jurisdiction.
Footnote: 1 1Judge Pressler did not participate in oral argument. However, appellant has consented to her participation in the decision. Footnote: 2 2Although the summonses indicates a trial date of September 27, 2001, the matter was continued to October ll, 2001.