CAI-NJ Sept.2017(1)

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tificate. Prior to 1994, an owner, his

heirs, holder of an outstanding tax-lien

certificate, mortgagee, occupant or

any

“other person having an interest

in the land”

could redeem a tax sale

certificate. Since a community asso-

ciation with a lien on a unit would

have an interest in the land, it would

have the right to redeem a tax sale

certificate. However, in 1994, the

New Jersey legislature amended the

statute to remove the “other persons

with interest in the land” and limited

the right to redeem a tax sale certifi-

cate to the owners, his heirs, other tax

sale certificate holders, mortgagees

and occupants. New Jersey Courts

have strictly interpreted this statute

and denied the right of condominium

associations and judge creditors to

redeem a tax sale certificate. See

JNH Funding Corp. v. Ayed, docket

no. F-008704-14 (Ch. Div. NJ Mar.

21, 2017)

(condominium associa-

tion) and

The Caput Mortuum, LLC v.

S & S Crown Services, LTD.,

366

N.J. Super. 323 (App. Div. 2004)

(judgment creditor). The only way to

circumvent this result is for the commu-

nity association to either (1) obtain a

voluntary assignment of the tax sale

certificate and complete the tax sale

foreclosure by taking over the tax

sale foreclosure as the plaintiff, or (2)

becoming the owner of the property

prior to the completion of the tax sale

foreclosure and redeem as the owner.

To become the owner, the community

association would need to obtain a

deed in lieu of foreclosure from the

owner or complete a foreclosure of a

community association lien.

The New Jersey legislature should

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