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COVID-19 | CLDDS Anticipates A Surge of COVID-19 Related Litigation!

COVID-19 | CLDDS Anticipates A Surge of COVID-19 Related Litigation!

July 17, 2020

COVID-19 restrictions and social distancing requirements have made it more challenging for businesses across New Jersey to be profitable.  Though the country and New Jersey are reopening, New Jersey businesses face ongoing restrictions, limitations and in some cases closures.  Many Jersey Shore small and mid-size businesses especially restaurants, bars, and concert venues rely on the…

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COVID-19 | NJ Tenants Can Now Use Security Deposit to Pay Rent!

COVID-19 | NJ Tenants Can Now Use Security Deposit to Pay Rent!

April 29, 2020

On April 24, 2020, Governor Murphy signed Executive Order 128-2020, which allows tenants to| direct their landlords to use a portion or all of the previously paid security deposit to satisfy rent. “Upon written request from a tenant, including electronic communication, a security deposit governed by the provisions of N.J.S.A. 46:8-19 et seq., as well…

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COVID-19 | Jersey Shore 2020 Rentals Payments, Cancellations, and Refunds | WHO IS ENTITLED TO WHAT?

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Summer rentals have a rich history at the Jersey Shore. Annually, scores of New Jersey residents and out of state visitors make annual pilgrimages to the resort and beach towns up and down the Jersey Coast, from Sandy Hook to Cape May, during the unofficial summer season, Memorial Day to Labor Day. While some have second homes, many more visitors enter into short term rental agreements to use and occupy private homes. The length of summer rentals can range from a single week to a full season and prices range from hundreds of dollars to tens of thousands of dollars, or more. The summer rental has been a tradition for generations, with many families renting the same residence during the same period year after year.

Traditionally, vacationers would call or head to a local real estate agency, where they would meet with a real estate professional and, after choosing their temporary beach house, enter into a short-term rental agreement or lease. Hopeful renters have been known to start their search for the perfect summer rental as early as November, if not during the previous summer. It is not uncommon for renters to sign leases and pay for summer rentals months before the season. Now, COVID-19 may impact the 2020 summer rental season as some renters look to cancel their leases. One issue that is being raised repeatedly, is if a renter cancels their lease, are they entitled to a full refund?

Though short-term rental agreements vary between real estate agencies, many contain similar cancellation clauses that require the property to be re-rented before any deposit is returned. On March 21, 2020, Governor Murphy signed Executive Order 2020-108 (amended by NJSP OEM Administrative Order 2020-8) which allows municipalities and counties to restrict the ability of private residences to accept seasonal tenants after Sunday, April 5, 2020.  Many local governments have passed such restrictions. A restriction on new leases prevents previously rented units from being re-rented.

Absent clarifying orders or regulations, the determination of whether a refund is required is uncertain and may be decided on a case by case basis based on the interpretation of the specific terms contained in the lease agreement, state statute and case law.  If you are a renter who has a question about how your lease has been affected by these changes or a property owner who may be affected by these changes, it is best to speak to an attorney regarding protecting your rights.  Contact Carluccio, Leone, Dimon, Doyle, and Sacks, L.L.C. with any questions and for further information about seasonal and 2020 summer rentals.

The information provided above is not, and is not intended to, constitute legal advice; instead, all information, content, and materials available are for general informational purposes only. The above information constitutes general information and may not reflect current legal developments, caselaw, or settlements. The Information does not, and is not intended to, constitute legal advice or other professional advice, or as a source of advertising or solicitation. You may not rely on the Information as such. Accessing or using the above information does not create an attorney-client relationship between you and the Carluccio, Leone, Dimon, Doyle and Sacks, L.L.C, and it is not intended to do so.

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