New Jersey Lawyer & Attorney : Stark & Stark Law Firm : New Jersey Law Blog

If your New Jersey community association tows vehicles from its private parking areas and roadways, it should be complying with the Predatory Towing Prevention Act (“Act”).  Signed into law in October 2007, the Act primarily increases oversight of tow companies but also regulates a private property owner in towing vehicles from the premises without the vehicle owner’s permission.  A community association is included in the definition of private property owner and must comply with the Act.
 

Many of the provisions of the Act as originally enacted were particularly problematic to community associations.  The Act was amended in 2009; several changes benefit community associations.  Following are the main things you should know before you tow vehicles from privately-owned community association property:  

1) The tow company must have a towing contract with the community association. 

2) The tow company must be in compliance with the Act

3) Signs must be posted.  If you are towing from unassigned parking spaces or other common property these signs must be at least 36 x 36 inches in size, must be conspicuously posted at all vehicle entrances to the property, and must include the following information:

• the purpose for which parking is authorized and time during which parking is permitted,
• that unauthorized parking is prohibited and unauthorized vehicles will be towed at the owner’s expense,
• the name, address, and telephone number of the tow company,
• the charges for the towing and storage of vehicles,
• the address of the facility where towed vehicles can be redeemed and the time during which vehicles can be redeemed, and
• contact information for the Department of Community Affairs.
• The signage requirement is simplified if a residential community association is enforcing parking in assigned spaces as long as the parking spaces are clearly marked as assigned and the community association has specifically documented approval authorizing removal of a particular vehicle.  The simplified sign required in this case must be posted in a conspicuous place at all vehicular entrances and state that unauthorized parking in an assigned space is prohibited and unauthorized vehicles will be towed at the owner’s expense, and provide a telephone number enabling vehicle owners to immediately obtain information on towed vehicles.  The size of the sign is not specified in the Act except that it must be easily seen by the public. 
• No sign is required if the vehicle to be towed is blocking access to a driveway or garage entrance. 
• Vehicles must be towed to a secure storage facility located within a reasonable distance from the community association.
• A property manager or board member does not need to be present when towing occurs (although the tow company may have its own requirements). 

           
While the Act has been relaxed slightly with regard to community associations, there are still important legal requirements that must be carefully followed.  To ensure your community association is in compliance with the Act, you should consult with your legal counsel.

• Email This
• Print
• Comments
• Trackbacks

It is common knowledge that exterior modifications in a community association must be approved by the board of trustees.  Right?  Well, except for certain satellite dish antennas which, by federal law, can be installed on exclusive use areas without pre-approval (Over the Air Reception Devices, (OTARD), 47 C.F.R. Section 1.4000),  and United States flags and certain signs of troop support (such as yellow ribbons) all of which may be displayed as long as there is no threat to public safety, necessary maintenance activities can be performed and the property rights of others are not impaired (Planned Real Estate Development Full Disclosure Act (PREDFDA), N.J.S.A. 45:22A-48.1 This New Jersey law also states that flags can be prohibited if they are displayed in a manner inconsistent with the federal flag Code or other laws or guidelines. ).  There is another notable exception to that “common knowledge”: solar collectors.  Effective August 2007, New Jersey law prohibits a community association from adopting or enforcing any “restriction, covenant, bylaw, rule or regulation prohibiting the installation of solar collectors on certain roofs of dwelling units” (PREDFDA, N.J.S.A. 45:22A-48.2).   The law only applies to the roofs of single family dwelling units which are not designated common elements and the roofs of certain types of townhouse units where repair is unit owner’s responsibility.  Associations still under developer control are exempt from the law.
 

While an association may not prohibit the installation of solar collectors on such roofs, it may adopt rules to regulate their installation and maintenance.  However, an association is limited to the following installation rules: 

1. The qualifications, certification and insurance requirements of personnel or contractors who may install the solar collectors;
2. The location where solar collectors may be placed on roofs;
3. The concealment of solar collectors’ supportive structures, fixtures and piping; and
4. The color harmonization of solar collectors with the colors of structures or landscaping in the development; and
5. The aggregate size or coverage or total number of solar collectors
    

Lest an association attempt to indirectly prevent solar collectors by strict rules, the law clearly prohibits rules in which the effectiveness of the solar collectors are significantly reduced or the cost of installing them is significantly increased.  An association may not adopt or enforce any rule which would “increase the solar collectors’ installation or maintenance costs by an amount which is estimated to be greater than 10 percent of the total cost of the initial installation of the solar collectors, including the costs of labor and equipment.”  Additionally, none of the rules regulating installation and maintenance of a solar collector on the roofs may inhibit the solar collectors from functioning at their “intended maximum efficiency.” 
 

It is important to understand that not all unit owners may be entitled under this law to install solar collectors.  And, while the law does limit rules restricting installations where permitted, an association can and should implement policies for solar collector installation and maintenance. Consulting with the association’s legal counsel is necessary to ensure that policies conform to the law.  No matter where you stand on solar collectors, having policies in place will help ensure that your community maintains consistent aesthetic standards.

• Email This
• Print
• Comments
• Trackbacks

Times are tough all over and those who live in community associations are no exception.  When money is tight, some association members make paying their maintenance fees a low priority.  This can be a big mistake because, if ignored, a small amount of delinquent maintenance fees can expand into an unexpectedly large debt.  

   
Each member of a community association is responsible for paying his or her share of the common expenses.  Common expenses are things like snow removal, swimming pool maintenance, and lawn care.  When a member does not pay his share, the other members must pay more to subsidize the delinquent member.  In the same way, when the association must pay its legal counsel to collect those delinquent maintenance fees, the other members must pay more to subsidize that cost, as well.  Fortunately, the governing documents of most condominium associations, as well as New Jersey law, permit the association to pass on those costs to the person responsible: the delinquent member.  

   
An association member will be given many opportunities to address his delinquent maintenance fees before significant legal costs begin to accrue.  The association will first send out reminder letters to the member.  After a certain point, if the debt is not paid, the account will be referred to the association’s legal counsel.  The attorney will typically send out a collection letter.  The amount due in the collection letter will include the total debt plus a small amount of legal fees to review the file, calculate the amounts due, and prepare the letter.  If, after 30 days, the member has not paid the account or made arrangements to pay it, further action must be taken such as recording a lien against the unit and filing collection litigation.  Each time the association’s legal counsel must perform work to collect the delinquent maintenance fees, the association will charge these fees to the member’s account.  Legal fees will continue to accrue against the member’s account until the matter is resolved and all amounts due are paid.  Thus, while a member may believe his maintenance fees total only a couple thousand dollars, the legal fees may eventually equal or exceed that amount.  The association’s board of directors has an obligation to the association and all of the members who pay their fees each month to see that as much of this amount is recouped as possible.

   
Accordingly, it is extremely important for an association member to ensure his maintenance fees are paid when due and that if he becomes delinquent that he makes repayment a priority.

• Email This
• Print
• Comments
• Trackbacks

When a parking war erupted last year between two adjacent restaurants in northern New Jersey, the battle resulted in a law which affects the rights of community associations to tow vehicles from their premises. In October 2007, Governor Corzine signed a new bill into law called the “Predatory Towing Prevention Act” (“Towing Act”) which primarily increases oversight of tow companies. While a law regulating tow companies may not seem relevant to your community association, if you want to tow vehicles from private property areas, it does have implications which could affect your ability to do so.


As expected, the Towing Act mainly regulates what tow companies must do and not do. One provision, however, directly addresses what a private property owner must do before removing a vehicle from its premises without the vehicle owner’s permission. A property owner may only cause removal of a motor vehicle parked on the property if certain signage is posted, the storage facility is a reasonable distance from the property, and the tow company complies with the Towing Act. The Towing Act further requires a tow company to obtain written authorization from the property owner for the tow.


The signage requirement of the Towing Act is burdensome and may be aesthetically undesirable. Signs which are at least 36 inches high and 36 inches wide must be installed “in a conspicuous place at all vehicular entrances to the property which can easily be seen by the public”. The signs must state the following:

1. The purpose for which parking is authorized and the times during which it is permitted.
2. That unauthorized parking is prohibited and unauthorized vehicles will be towed at the vehicle owner’s expense.
3. The name, address, and telephone number of the towing company that will perform the towing.
4. The charges for the towing and storage.
5. The street address of the storage facility where towed cars can be redeemed and the times during which the vehicles may be redeemed.

If the required signs are not posted, a property owner may still tow vehicles parked (a) on a lot on which a single family home is located, (b) on a lot on which an owner occupied multi-unit structure of not more than six units is located, or (c) in front of any driveway where the motor vehicle is blocking access to that driveway. While legal arguments could be made that the first two exceptions should exempt many associations from the signage requirements, it is likely a tow company would still require compliance before removing vehicles.


A community association also must provide written authorization and have a representative present in order to get a vehicle towed. The Towing Act requires that a tow company obtain written authorization from the property owner (or its agent) and that the property owner (or agent) be present at the time the vehicle is towed to verify the alleged violation. A general written authorization is permissible for towing done outside of the property owner’s normal business hours or to remove a vehicle which blocks a fire hydrant or entrance to the property. Vehicles must be removed to a storage facility which is a reasonable distance from the property.


The Towing Act does not address the many obvious differences between community associations and a busy mall or restaurant parking lot. Community associations will often have very different reasons for towing vehicles than a retail center. A community association may tow a vehicle if the owner’s membership rights have been suspended for delinquency in the payment of maintenance fees or if a vehicle violates the rules in some way. Community associations also have more opportunities for communicating directly with vehicle owners than businesses serving a transient population and can give unit owners advance written notice of any actions or rules changes. Unit owners, as members of the community association, have the obligation to know and comply with the rules. Despite these differences, the Towing Act as currently written appears to apply to community association and it is not clear how it will ultimately be enforced.


What is clear is that the Towing Act is scheduled to go into effect in October 2008. If your community association uses towing services to remove vehicles from its private property, you will want to discuss the Towing Act with your towing company and ensure that the proper signage is posted. You should also be aware that there may be regulations established by the local municipality which apply to the removal of vehicles from private property. With any vehicle towing policy, legal counsel should always be consulted first to establish proper procedures.

• Email This
• Print
• Comments
• Trackbacks