A growing concern about an avalanche of landlord-tenant matters expected after the moratorium on evictions expires in New Jersey was among the catalysts that prompted the New Jersey Supreme Court to create a special committee to reexamine longstanding court practices and procedures on landlord-tenant matters and make recommendations.

The NJSBA Board of Trustees recently agreed with the majority of the special committee's proposed changes to the process for handling tenant matters, but approved submitting some suggested alterations based on comments from several NJSBA committees and sections. In addition, NJSBA Trustee Janice Heinold and Bruce Gudin were among 18 attorneys representing tenants, landlords and other stakeholders who sat on a committee chaired by Acting Administrative Director Glenn A. Grant to review new procedures for landlord-tenant court drafted by the Judiciary.

In a letter to Grant, NJSBA President Domenick Carmagnola wrote that the NJSBA believes the process set forth by the special committee "increases access to the judicial system, is fair to all parties and treats litigants with dignity and respect."

The havoc the pandemic created also affected the housing market, with millions losing their jobs and unable to pay rent or becoming sick with COVID-19 and unable to work and pay rent.

In March 2020, at the start of the pandemic, Gov. Phil Murphy issued an executive order that prohibited landlords from evicting tenants. Although the infection rate has slowed and the state has begun reopening, recent legislation extended the governor's executive order on evictions until Jan. 1, 2022, but that date could change under pending legislation.

Under the moratorium, landlords can still file complaints for possession for evictions in landlord tenant court, but no evictions can take place. Monetary damages under $15,000 could still be filed in the Special Civil Part.

As of March, there were 52,000 pending eviction filings. That number is expected to swell to over 200,000 sometime between now and the end of the year, according to the Judiciary.

The Judiciary report recommended changes to the process that include establishing a case management conference and settlement conference before a hearing and trial in landlord-tenant court.

Carmagnola noted in his letter that the process "may take a little longer," but "both landlords and tenants will benefit from a structured exchange of information, enhanced opportunities for resolution and, if need be, a more focused trial."

Under the new procedures, the landlord and tenant are required to appear at a case management conference to review the landlord's complaint and proof, and hear the tenant's defense. If one or both of the parties fail to show up, the conference will be rescheduled.

At the settlement conference, a neutral third party, called a landlord-tenant legal specialist, will try to settle the matter before it goes to trial. Before the pandemic, an attempt to settle the matter would normally happen on the hearing date, Heinold said.

"Before the pandemic, if you filed for eviction, you could expect a hearing date in three or four weeks. Now, with the new process, it's probably going to be 60 to 90 days," said Heinold, a partner at Raymond Coleman Heinold in Moorestown, where her practice includes landlord-tenant law.

"The addition of the conferences is an attempt to get cases settled before a hearing date because otherwise the system is just going to be overwhelmed," she said.

The large number of expected filings indicates "there is clearly a crisis that is going to occur for the court, for the community, for landlords and for tenants," she said. The goal was to make the process fair to all litigants, said Diane K. Smith, a former NJSBA trustee who was a trustee liaison to the NJSBA Special Civil Part and Pro Bono committees and Access to Justice Subcommittee of the Pandemic Task Force, which reviewed the Judiciary report.

The goal was to make the process fair to all litigants, Smith said.

"More than 98% of tenants are unrepresented in court, while 83% of landlords are represented. So, this process will even the playing field. The hope is that the process will give more opportunities for a fair resolution to the matter. It means tenants don't lose their homes and landlords get paid, which is a good thing for everybody," she said.

Heinold noted that "Judge Grant said it's not a system set in stone. The court is going to try this and, where needed, make modifications and be willing to revisit it. The system has been in place since the 1950s, so it was probably time for an update."

The NJSBA also recommended that the Judiciary engage in community outreach to educate individuals about what to expect in landlord-tenant proceedings and where to find resources for assistance. The Association committed to doing the same within the legal community and the community at large.