Bill

Bill > S4191


NJ S4191

NJ S4191
Requires DOH approval for adverse possessory action against hospitals.


summary

Introduced
11/22/2021
In Committee
12/20/2021
Crossed Over
12/20/2021
Passed
Dead
01/11/2022

Introduced Session

2020-2021 Regular Session

Bill Summary

This bill prohibits landlords from initiating adverse possessory actions against an operator of a hospital, or a successor to the operator, without first obtaining written approval for the action from the department. An adverse possessory action initiated without the written approval of the department will be deemed invalid. The department is to establish a process for landlords to submit requests to initiate adverse possessory actions, and will have the authority to approve requests upon finding that just cause exists for the adverse possessory action. A landlord that initiates an adverse possessory action against an operator or successor without written approval by the department will be liable to a civil penalty of up to $1,000,000. The department shall also suspend or revoke any license or permit granted by the department to the landlord due to violation of the act. To the extent an adverse possessory action taken without department approval results in the loss of revenue to a hospital, the operator or successor, as applicable, shall be entitled to financial recovery from the landlord to the extent necessary to place the hospital in as good a position as if such adverse possessory action had not occurred, as determined by court appointed arbitration. A landlord that willfully violates this act in a manner which results in the closure of a hospital or that interferes with the transition of the maintenance, supervision, or operation of a hospital from an operator to a successor as approved by the department, shall be subject to criminal penalties imposed for disorderly persons offenses. The bill will take effect 30 days after the date of enactment and will apply to operators, successors and landlords prior to and subsequent to, the effective date of this act.

AI Summary

This bill prohibits landlords from initiating adverse possessory actions, such as terminating a lease, evicting, or interfering with the operation of a hospital, without first obtaining written approval from the Department of Health (DOH). The DOH can approve such actions upon finding just cause. If a landlord initiates an adverse possessory action without DOH approval, they can face civil penalties of up to $1 million, suspension or revocation of any DOH-issued licenses or permits, and potential financial recovery by the hospital operator or successor to restore any lost revenue. The bill also establishes a process for the DOH to approve successors to hospital operators and allows the Commissioner of Health to adopt regulations to implement the provisions of the act.

Committee Categories

Health and Social Services

Sponsors (1)

Last Action

Received in the Assembly, Referred to Assembly Health Committee (on 12/20/2021)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...