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New Jersey Tenants Can Pay Rent With Security Deposit: Court


Jared McClain of NCLA and Gov. Phil Murphy (Photos via iStock, NCLA, Getty)
Gov. Phil Murphy’s executive order allowing security deposits to be used towards rent is constitutional, a New Jersey appeals court ruled Tuesday.
Executive Order No. 128, which Murphy signed in April 2020, aims to help tenants struggling to pay rent during the pandemic.
Under the order, tenants can use their security deposit to pay rent, a practice that some property owners said has forced them to pay out-of-pocket for thousands of dollars’ worth of damage that tenants left behind.
Nonprofit group New Civil Liberties Alliance argued on landlords’ behalf that the order violated a separation of powers and deprived them of due process by waiving lease provisions that separate security deposits from rent. ....

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Judges back Murphy on pandemic renters protection


Credit: (AP Photo/Brennan Linsley, File)
A state appeals court has backed Gov. Phil Murphy in a lawsuit challenging his executive powers during the pandemic.
An appeals court on Tuesday defended Gov. Phil Murphy’s use of an executive order to allow tenants hit by the COVID-19 pandemic to use their security deposits to help pay rent.
The appellate judges rejected an appeal by five landlords and three businesses who argued that the order, issued last April, exceeded Murphy’s authority and violated their constitutional rights.
The court determined that Murphy was authorized under state law to exercise emergency powers such as allowing security deposits to be used as rent in his efforts to protect public health during the pandemic. And it dismissed the claims that the order violated several amendments to the state Constitution. ....

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