Sept 2024

Recent Legal Developments Impacting Community Associations in New Jersey By Jennifer Alexander, Esq., Griffin Alexander, P.C.

I f you’re part of a community association in New Jersey, you’ve probably noticed a bunch of new laws rolling out that could change the way you operate. While some of these changes intersect with landlord-tenant laws, they also bring unique twists specifically for community associations. Here’s a rundown of what’s new and what you need to know. Employment Protections for Service Employees A new law came into effect on July 24, 2023, that strengthened job protections for service employees in New Jersey. This law, codified as N.J.S.A. §§ 34:21-16 to -20, covers: • Defining what a service contract is and which locations are covered (think large apartment buildings and shop ping centers). • Rules for awarding service contracts to keep current employees in place. • Requiring new employers to keep service workers for at least 60 days when taking over a contract. • Advance notice and job offers for service workers affect ed by contract changes. • Fines and legal remedies for any slip-ups.

Importantly, this law defines “covered location” to include, among other things, any “multi-family residential building with more than 50 units.” So, for this reason, the law would not apply to all community associations. In essence, this new law means new rules when switch ing service contractors to maintain jobs of maintenance and other service contractors. Credit Card Surcharges Legislation On August 18, 2023, a new law came into effect regu lating credit card surcharges by sellers, detailed in N.J.S.A. §§ 56:8-156.1 to -156.2. Under this law: • Sellers can’t charge a credit card fee higher than what it actually costs to process the payment. • Sellers have to disclose any surcharge to customers before they pay. • Applies to all goods and services except motor fuel. • Requires clear signage about surcharges at points of entry, sale, and on restaurant menus. • Violations fall under consumer protection laws. Even though this isn’t specifically aimed at community associations, it’s something to keep an eye on. If your asso ciation charges fees for certain payment methods, you’ll need to tweak your system to stay transparent and fair with residents about any surcharges.

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