Bill > S403

Introduced Session

This bill would empower a court that convicts a corporation of violating a municipal housing code ordinance to impose upon the corporation a fine of up to three times the maximum fixed for violation of the ordinance. The bill also provides that when a corporation or its high managerial agent is convicted of violating a housing code ordinance, the court may request the Attorney General to institute proceedings to dissolve the corporation, forfeit its charter, revoke any franchises held by it, or to revoke the certificate authorizing the corporation to conduct business in this State. The bill defines "high managerial agent" as an officer of a corporation or any other agent of a corporation having duties of such responsibility that the agent's conduct may fairly be assumed to represent the policy of the corporation. Under current law a municipal governing body may provide the following penalties for the violation of its ordinances: imprisonment for any term not exceeding 90 days; a fine not exceeding $2,000; or a period of community service not exceeding 90 days. While the threat of imprisonment may serve as a sufficient inducement for an individual to comply with provisions of a municipal housing code, this penalty may not be imposed upon a corporation. Allowing a court to impose enhanced penalties upon a corporation will serve as an inducement for compliance with a municipality's housing code. Similarly, allowing a court to seek dissolution of a corporation will serve as an additional inducement for corporations to comply with municipal housing codes. These initiatives are modeled after N.J.S.2C:43-4 which authorizes courts to impose similar penalties when corporations are convicted of offenses under the criminal code.

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Shirley Turner (D)*, 

Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 01/14/2020)