NJSBA headquarters, New Brunswick, NJ. Credit: Google

Capitol Report

Governor conditionally vetoes Community Wealth Preservation Program legislation

New Jersey Gov. Phil Murphy conditionally vetoed S1427 (Gill)/A793 (Timberlake), which would create the Community Wealth Preservation Program to foster home ownership among the community. The NJSBA shared its concerns with Assemblywoman Britnee N. Timberlake that the bill may have a negative impact on homeownership due to the constraints imposed by the bill during the sheriff's sale process.

"We appreciate the aim of this bill to create equity in the purchase process to preserve communities," said the NJSBA in a letter to the sponsors. "However, the bill creates an artificial bidding process that does not appear to achieve the aim intended by the sponsors."

Among those concerns the NJSBA raised was that the upset price be 50% of the actual upset price for residential foreclosures for next of kin and nonprofits.

The "upset price" is defined as the minimum amount for which the property can be sold at a sheriff's sale. The upset price is usually the amount that is still owed on the mortgage (the "actual upset price").

This mandate would strip lenders of the ability to recover 50% of the balance of any loan and may result in an unconstitutional taking. In addition, the NJSBA pointed out that limiting the upset price at 50% of the judgment would create an artificial bidding process for non-kin or nonprofits who are bidding because the lender will always prevail up to the actual upset price of the property.

The governor's conditional veto highlighted the concerns raised by the NJSBA and other stakeholders and recommends removing the cap on the upset price and requiring that the upset price be set at least two weeks prior to the foreclosure sale with notice on the sheriff's office website. The governor made additional recommended changes to expand and incentivize the creation of nonprofits eligible to bid on these properties.

"I applaud the bill sponsors' dedication to seeking creative solutions to keep homeowners in their homes and communities and to create more opportunities for affordable owner-occupied housing," Murphy said.

According to the bill sponsors, foreclosures disproportionately impact urban areas and residents of color. The bill was aimed to allow families whose homes are in foreclosure to be able to keep ownership of the homes within their families or allow nonprofits to purchase the homes in order to preserve ownership among those in the community.

The NJSBA continues to monitor the bill's progress in the Legislature, which has returned from the summer break.

NJSBA urges passage of veterans bill to ease parking privilege applications

The Assembly Military and Veterans Affairs Committee passed out of committee A2438 (Wirths)/S660 (Oroho), which would relax the application requirements for 100% disabled veterans to renew parking privileges through the Motor Vehicle Commission. The NJSBA supports the measure to make the process more efficient, especially since the pandemic has made MVC accessibility more challenging.

"Permanently disabled veterans will not be required to submit proof of disability on renewal applications, which will ultimately allow them to easily maintain the benefits that they have rightfully earned," the NJSBA said to committee members.

The NJSBA continues to monitor this bill as it moves through the Legislature.

NJSBA members enjoy a night of networking and baseball

The Somerset Patriots hosted 30 New Jersey State Bar Association members for a networking event on Sept. 15. Members watched the game over food and drinks from a private suite. The NJSBA membership department is planning similar outings in the future. Members with suggestions are encouraged to contact Abram Garcia at [email protected].

Diversity Summit aims to define progress in the profession

Judges, lawyers and legal professionals from across the state will convene at the New Jersey Law Center on Oct. 6 for the return of the New Jersey State Bar Association's Diversity Summit, an annual, daylong educational and networking program that dives deep into issues of diversity, equity and inclusion (DEI) in the legal profession.

"We're really excited to have the Diversity Summit back in-person at the Law Center after a hiatus due to the pandemic," said NJSBA Diversity Committee Co-Chair Albertina Webb. "Once again, the Diversity Summit will look beyond soundbites and headlines to examine the actual lived experience of attorneys of color in the legal profession and beyond."

This year's theme—"From Performing to Transforming"—will examine what "real" progress on DEI issues looks like in the profession. There have been numerous headlines in recent years about historic occurrences in the profession—particularly with the first Black women ascending to seats on both the New Jersey Supreme Court and the U.S. Supreme Court. Still, questions persist about true equity in both the legal profession and in the justice system overall. What do numbers tell us? And what can't they tell us?

The day will include a keynote address from Lora Fong, chief diversity, equity and inclusion officer for the state Department of Law and Public Safety. Fong, who has been in the trenches of diversity work for decades in the corporate world, at law firms and in government, will give her perspective on how initiatives have evolved through the years, which are the most effective and the work that still needs to happen.

In addition, the day will include panels on the value of diversity on the bench; why some practice areas seemingly don't attract many attorneys of color (and how it feels to be one of a few); and a chief diversity officer roundtable with representation from law firms, government and more. The day will end with a networking reception.

CLE credits are available for the program, which runs from 8:30 a.m. to 4 p.m. There is also an option to attend remotely. In-person attendance includes lunch and a late afternoon networking reception.

The NJSBA Diversity Summit is co-sponsored by the Asian Pacific American Lawyers Association of New Jersey, Association of Black Women Lawyers of New Jersey, Garden State Bar Association, Hispanic Bar Association of New Jersey, New Jersey Muslim Lawyers Association, New Jersey Women Lawyers Association and the South Asian Bar Association of New Jersey.

Speakers continue to be added. Visit njsba.com for the latest agenda and how to register.

Longtime Supreme Court justice, prominent litigator presented NJSBF Medal of Honor for 2022

The New Jersey State Bar Foundation awarded the 2022 Medal of Honor, the Foundation's most prestigious award, to retired New Jersey Supreme Court Justice Jaynee LaVecchia and Raymond M. Brown on Sept. 20. The pair were honored during a ceremony at the Park Chateau in East Brunswick that paid tribute to their exemplary careers and service to the legal community in New Jersey. Justice LaVecchia stands as one of the most consequential justices in modern history, sitting longer than any woman on the state Supreme Court. Brown is an internationally recognized criminal defense and civil rights attorney, who has tried several high-profile cases in the state, and represented victims in the Darfur genocide. To view photos from the celebration, visit the NJSBA's Facebook page.