Carrol St LLC v. Marcus Liles

New Jersey Superior Court Appellate Division·Decided April 8, 2026·No. A-1692-24·Unpublished

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited . R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION

DOCKET NO. A-1692-24

CARROL ST LLC, Plaintiff-Respondent,

v. MARCUS LILES,

Defendant-Appellant.

Argued March 10, 2026 – Decided April 8, 2026 Before Judges Rose and Torregrossa-O'Connor.

On appeal from the Superior Court of New Jersey, Law Division, Passaic County, Docket No. LT-002588-24.

Soo H. Woo argued the cause for appellant (Northeast New Jersey Legal Services, Inc., attorneys; Soo H.

Woo, of counsel and on the briefs).

Lindsay R. Baretz argued the cause for respondent (The Lutz Law Firm, LLC, and Lindsay R. Baretz, LLC, attorneys; Tova L. Lutz, of counsel; Jeffrey Zajac, on the brief).

PER CURIAM

Defendant Marcus Liles appeals from a January 24, 2025 Special Civil Part judgment of possession (JOP) for residential premises owned by plaintiff Carrol St LLC and a February 7, 2025 order denying his motion for reconsideration seeking vacatur of the JOP. For the reasons that follow, we vacate the January 24, 2025 JOP and remand for proceedings consistent with the 2020 amendment (Stack Amendment) to the Fair Eviction Notice Act, N.J.S.A. 2A:42-10.15 to -10.17.1 I.

The genesis of this protracted dispossess action is plaintiff's May 8, 2024 complaint against defendant seeking eviction for non-payment of rent. In the complaint, plaintiff alleged defendant owed monthly rent payments of $230 for March, April, and May 2024, plus a $57 filing fee, totaling $747. Pursuant to the terms of their September 11, 2023 lease agreement, the tenancy commenced on that date and ended on August 31, 2024. The trial court later noted defendant presumably received rental assistance because the lease agreement reflected a $1,375 monthly rent payment.

1 As we recently noted in Fairkings Partners, LLC v. Daniels, 482 N.J. Super. 520, 522 n.1 (App. Div. 2025) ("The amendment is known as the Stack Amendment because Senator Brian P. Stack was the primary sponsor of the legislation.").

A-1692-24

After plaintiff filed its complaint, the matter followed a tortured procedural path, the details of which are convoluted and were much disputed throughout the proceedings. We relate the events that inform our decision from the record before the three Special Civil Part judges, who at various stages of the relevant litigation, adjudicated this all but "summary" proceeding. See R. 6:3-4. A. First Settlement Agreement On July 1, 2024, the parties executed a "Tenant to Stay in Premises"

settlement agreement, commonly known as a "pay and stay agreement." Pursuant to paragraph 2 of the agreement, defendant agreed to pay $2,357 as follows: $460 by the end of the day on July 1 and $1,897 by August 18. Paragraph 3 of the agreement further obligated defendant "to continue to pay $230 each month by the first of the month during the duration of the payment plan set forth in paragraph 2." The boilerplate terms of paragraph 4 stated, if defendant failed to satisfy his obligations under paragraph 2, "[he] may be evicted as permitted by law after the service of the [w]arrant of [r]emoval" (WOR).

A handwritten notation at the bottom of the second page of the agreement reflects:

A-1692-24

[Defendant] has applied for rental assistance.

[Plaintiff] is cooperating. [Defendant] remains exclusively liable for the amount stated herein. Failure of rental assistance program to make any payments shall not [a]ffect [defendant's] obligation herein.

Defendant was self-represented when he signed the agreement; plaintiff was represented by counsel. 1. Breach of the First Settlement Agreement Shortly thereafter, on August 21, 2024, plaintiff filed a certification of breach of settlement and requested issuance of a JOP and WOR. Plaintiff certified defendant "failed to comply with the terms of [the a]greement by failing to pay $1,897 on August 19, 2024 and remains in possession of the premises." 2. JOP On August 29, 2024, the first judge issued a JOP after breach. The JOP did not specify a sum certain. Nonetheless, consistent with the Stack Amendment,2 the "options" section of the JOP expressly stated:

Paying all Rent Due and Owing. By law, a tenant can pay all rent due and owing plus proper costs up to three

2 See N.J.S.A. 2A:42-10.16a (permitting the tenant, in a nonpayment of rent eviction matter, up to three days after the WOR is posted or the lockout is executed to submit a rent payment).

A-1692-24

(3) business days after the eviction (Step 4 above).[3]

The landlord must accept this payment and/or cooperate with a rental assistance program or bona fide charitable organization that has committed to pay the rent.

3. Self-Represented Order to Show Cause (OTSC)

In his self-represented certification in support of an application for an OTSC, defendant claimed he was served with a WOR on August 30, 2024.4 Defendant acknowledged he owed $1,874 in rent and had no money to deposit with the court. Defendant sought a stay of the lockout stating, verbatim, "welfar will pay 3 month back rent will not pay attorny fees or court cost I receive section 8[5] going back to welfar."

3 Step 4 refers to the WOR's execution, the last of four steps of the eviction process, "requiring the tenant to vacate the premises and permitting the landlord to change the locks." This section of the JOP emphasizes: "This is when the eviction (lockout) is completed." 4 The August 30, 2024 WOR was not provided on appeal.

5 Section 8 refers to the United States Department of Housing and Urban Development's Section 8 Tenant-Based Assistance Housing Choice Voucher Program. 42 U.S.C. § 1437f.

A-1692-24

4. Order for Orderly Removal On September 4, 2024, the landlord tenant judge (second judge) issued an order for orderly removal, staying execution of the WOR until September 11, at 9:00 a.m. 5. Counseled OTSC On September 10, 2024, defendant, with the assistance of counsel, filed an OTSC to vacate the JOP and dismiss the case. In his certification, defendant claimed his sole source of income was $974.25 from Social Security and $200 in food stamps. Specifying his mental and physical health conditions, defendant claimed he "was pressured to sign the agreement" and did not understand "the consequences of a breach of the agreement." He further stated, "I never went before the Judge after signing the settlement agreement." B. Second Settlement Agreement On September 17, 2024, the parties executed another pay and stay agreement. Both parties were represented by counsel. Consistent with Rule 6:6- 4, the court was not required to review the agreement in open court.

Under the first paragraph of the agreement, defendant agreed "[t]o the immediate entry of a [JOP]." The agreement provided the WOR would not be issued and the eviction would not occur at that time. Instead, the agreement

A-1692-24

stated, "if the tenant breaches this agreement, the landlord may file a certification of breach with the court, on notice to the tenant. The [c]ourt may then issue a [WOR] which starts the eviction process."

In paragraph 2 of the agreement, defendant agreed to pay $920, which included September rent, by remitting $230 by September 20, and $690 no later than October 7. In paragraph 3, defendant further agreed to pay $230, representing his portion of the monthly rent "by the 1st of each month."

A handwritten notation at the bottom of the second page of the agreement reflected:

This agreement shall amend and supersede [the] prior settlement agreement entered into between the parties on 7/1/24.

[Defendant] to dismiss pending OTSC.

[Defendant] waives further claims arising out of subject matter jurisdiction [and defendant] acknowledges DCA[6] was properly noticed.

[(Emphasis added).]

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