STATE COURT CASES

ADMINISTRATIVE LAW — MOTOR VEHICLE COMMISSION

01-2-2363 Fathollahi v. New Jersey Motor Vehicle Commission, App. Div. (per curiam) (6 pp.) Appellant challenges defendant’s order suspending her driver’s license and auto registration privileges indefinitely because she failed to satisfy a Law Division judgment obtained by Eagle Insurance Co., by default, as subrogee after appellant, whose car was uninsured and unregistered, rear-ended its insured’s car. The suspension is affirmed. Because the suspensions were mandatory under New Jersey law, MVC was not required to afford appellant a hearing prior to the suspensions and appellant is not entitled to the safe-harbor provision of N.J.S.A. 39:6-37 because its prohibition on suspending the driving privileges of a judgment debtor applies only when the debtor was insured. Also, by defaulting, appellant forfeited the opportunity to claim that the attorney representing Eagle had no client in light of its liquidation status and she therefore is barred from collaterally attacking the judgment now. [Decided June 3, 2011.]

ADMINISTRATIVE LAW — RULEMAKING
01-2-2347 In the Matter of the Adoption of N.J.A.C. 13:70-1.32 to 1.41 and N.J.A.C. 13:71-1.27 to 1.36, App. Div. (per curiam) (39 pp.) New Jersey Thoroughbred Horsemen’s Association appeals from the promulgation of two sets of regulations by the New Jersey Racing Commission. N.J.A.C. 13:70-1.32 to -1.41 establishes rules of procedure for thoroughbred racing. N.J.A.C. 13:71-1.27 to -1.36 establishes identical rules for harness racing. The appellate panel agrees with appellant’s assertion that the portion of the regulations that permits the commission to recover misused funds fails to establish the criteria or the procedures for doing so. The panel also agrees with appellant’s argument that the portions of the regulations prohibiting all requests for the issuance of an administrative stay pending appeal, and directing that all court-ordered modifications of disbursements be deferred until the next grant cycle, are unsustainable. The panel vacates those sections of the regulations and remands for revision. In all other respects, the panel approves the adoption of the regulations. [Decided June 2, 2011.]