Bill
Bill > S2893
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 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.
AI Summary
This bill requires landlords to obtain written approval from the Department of Health (DOH) before taking any action, referred to as an "adverse possessory action," to remove a hospital operator or its successor from a property. An adverse possessory action is broadly defined to include terminating a lease, eviction, or any interference with the hospital's operation. The DOH will establish a process for landlords to request approval, which will only be granted if "just cause" is demonstrated. If a landlord proceeds without this approval, the action will be invalid, and the landlord could face a civil penalty of up to $1,000,000, have their DOH licenses suspended or revoked, and be liable for financial recovery to the hospital for any lost revenue. Furthermore, willful violations that lead to a hospital closure or interfere with a DOH-approved transition to a new operator will result in criminal penalties for disorderly persons offenses. The bill also clarifies that if the DOH approves a successor operator, that successor will automatically inherit the lease.
Committee Categories
Health and Social Services
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee (on 01/13/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/S2893 |
| BillText | https://pub.njleg.gov/Bills/2026/S3000/2893_I1.HTM |
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