Williams v. Township of Middletown

CourtNew Jersey Tax Court
DecidedSeptember 29, 2020
Docket004650- 2020
StatusUnpublished

This text of Williams v. Township of Middletown (Williams v. Township of Middletown) is published on Counsel Stack Legal Research, covering New Jersey Tax Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. Township of Middletown, (N.J. Super. Ct. 2020).

Opinion

NOT FOR PUBLICATION WITHOUT APPROVAL OF THE TAX COURT COMMITTEE ON OPINIONS

TAX COURT OF NEW JERSEY

MALA SUNDAR Richard J. Hughes Justice Complex JUDGE P.O. Box 975 Trenton, New Jersey 08625-0975 609 815-2922, Ext. 54630 Fax 609 376-3018

September 25, 2020

Mrs. & Mr. Williams Plaintiffs, Self-Represented Middletown, New Jersey 07748

Kevin Asadi, Esq. Zager Fuchs, P.C. Attorney for Defendant

Re: Williams et al. v. Township of Middletown Block 605, Lots 31, 32 (145 Magnolia Lane) Docket No. 004650- 2020

Dear Mrs. & Mr. Williams and Counsel:

This letter constitutes the court’s decision in the above captioned matter. Plaintiffs filed

a complaint to this court appealing the judgment of the Monmouth County Board of Taxation

(“County Board”) which affirmed the $585,300 local property tax assessment for tax year 2020

imposed on the above referenced property located in defendant (“Township”). Plaintiffs

maintain that the assessment was as to two Lots, 31 and 32, however, they had sold Lot 31 in

July of 2019, therefore, such combined assessment is impermissible. This is especially, they

argue, when the property record card (“PRC”) for Lot 32 does not reference or show any

allocated assessment for Lot 31, and Lot 31 does not exist on the tax map. Therefore, they

maintain, the assessment must be only as to Lot 32 which they own (and is improved with their

residence), and the Township’s assessor must issue a separate assessment for Lot 31, and issue

tax bills to the new owners. In a prior litigation involving the same parties, but for tax year 2018 (Tax Court Docket

Number 007692-2018), the same issue was presented however, with a slightly different factual

posture, i.e., without the sale of Lot 31. The factual and procedural history is noted in the court’s

letter opinion dated December 26, 2018.

Briefly, plaintiffs purchased Lot 32, which is improved by their residence, in 2004. It

measures about 83ʹ x 254ʹ (or 85ʹ x 265ʹ per plaintiffs). They subsequently purchased the

adjacent vacant lot, Lot 31, in December of 2012 (recorded with the County Clerk on January

10, 2013). Lot 31 measures 41ʹ x 254ʹ (or about 41ʹ x 262ʹ per plaintiffs) and is non-conforming

under the Township’s zoning regulations.1

Up until 2017, Lot 31 and 32 were separately assessed for local property tax purposes.

However, for tax year 2018, the assessor deemed both lots as one under the “merger” doctrine,

therefore, issued one assessment for both lots after due notice to plaintiffs. Plaintiffs appealed

the 2018 assessment on the “merged” lots claiming that the merger doctrine did not apply. This

court’s letter opinion set forth the merger doctrine and noted that under this precedential law

which applied to purely zoning issues, Lot 31 did appear to be merged into Lot 32. However,

the court stated that it could not decide plaintiffs’ challenge that the doctrine did not apply since

it had no subject matter jurisdiction to decide zoning issues. The court however noted that while

the assessor could not merge lots for local property tax assessment purposes under the merger

doctrine, the assessor could, under prevailing law, impose one assessment on two contiguous

lots in common ownership (citing Young v. Bergen County Bd. of Taxation, 5 N.J. Tax 102,

1 The PRC provided by plaintiffs show the dimensions as 84ʹ x 248ʹ (Lot 32) and 41ʹ x 245ʹ (Lot 31) and as combined at 124ʹ x 254ʹ. 2 108-09 (Tax 1982)). Since the assessor had in effect, done this for Lots 32 and 31, the court

directed the assessment be appropriately apportioned to the two lots.

Subsequently, by deed dated July 15, 2019, plaintiffs sold Lot 31 to their children

Aramith L. Trimiar, Brian Williams and Brandon Williams (as tenants-in-common) for a

consideration of One Dollar. The sale deed, which was recorded with the Monmouth County

Clerk on July 18, 2019, showed the buyers’ street address the same as that of plaintiffs’ (145

Magnolia Lane, Middletown, New Jersey). Plaintiffs produced the Notice of Assessment sent

by the assessor for tax year 2020 which showed an assessment of $585,300 for Block 605, Lot

32, but addressed to “Trimiar, Aramith L, etals” at the same street address of 145 Magnolia Lane,

Middletown, New Jersey as proof that (1) the assessor was cognizant of the sale of Lot 31; and

(2) he erroneously referenced Lot 32 on the Notice: it should have been Lot 31.

Plaintiff, Mr. Williams, stated that he then approached the Township’s assessor, who

allegedly told him that he (assessor) was confused by this court’s decision for tax year 2018; that

Lots 31 and 32 are still deemed merged; and that the sale of Lot 31 would not change the

combined assessment being imposed on both lots unless there was a formal subdivision.

Thereafter, plaintiffs applied for such subdivision. By letter dated July 20, 2020, the Township’s

Planning Board notified plaintiffs that the fee for the same would total $7,300, and listed the

required paperwork needed for the review process. Plaintiffs contend to this court that requiring

them to go through a subdivision and paying such an exorbitant amount is patently unfair since

the merger of the lots was not their choice as evidenced by the fact that they purchased Lot 31as

a separate lot by a separate buy-sell transaction, and by paying a separate consideration (i.e., it

was not combined with the mortgage on Lot 32). Rather, they argue, the Township unilaterally

decided that the lots were merged, and now plaintiffs had to undo this decision by undergoing

3 considerable personal expense. Therefore, the assessor must be made to recognize the sale of

Lot 31, impose a separate assessment on it, and send tax bills to the new owners.

The Township disagrees that it foisted the merger of the lots since merger occurs by sheer

operation of the law. It also contends that the assessor followed this court’s 2018 letter opinion

by imposing a combined assessment on the lots, and pursuant to law, this is a valid action. It

also points out that the subdivision requirement is one of law, not one imposed by the Township

or its assessor.

Plaintiffs are somewhat correct that there was really no notice from the Township that

their purchase of Lot 31 in 2012 triggered the merger doctrine. See e.g. Jock v. Zoning Bd. of

Adjustment, 184 N.J. 562, 579 (2005) (citation omitted) (“the issue of merger will never arise

unless the property is specifically brought to the attention of the relevant land use board”).

Nonetheless, this law has existed for several years, and much before plaintiffs’ purchase of Lot

31. The Township also correctly points out that once a lot is merged by law, it cannot be

subdivided and sold without a formal subdivision approval. See generally Loechner v. Campoli,

49 N.J. 504, 508 (1967) (“contemplated conveyance of” merged lots “constitutes a prospective

subdivision and requires the advance approval of the Planning Board” unless proven that the lots

were never merged under the merger doctrine); Jock, 184 N.J. at 578 (a merged lot “requires

subdivision approval for the development of individual substandard parcels if contiguous parcels

have been, at any relevant time, in the same ownership and, at the time of such ownership, the

parcel was not substandard”) (citation omitted); Dalton v. Ocean Twp. Zoning Bd. of

Adjustment, 245 N.J. Super. 453, 460-461 (App. Div. 1991) (“Conveyance of a portion that

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Related

Jock v. Zoning Board of Adjustment
878 A.2d 785 (Supreme Court of New Jersey, 2005)
Loechner v. Campoli
231 A.2d 553 (Supreme Court of New Jersey, 1967)
Dalton v. Ocean Tp.
586 A.2d 262 (New Jersey Superior Court App Division, 1991)
Young v. Bergen County Board of Taxation
5 N.J. Tax 102 (New Jersey Tax Court, 1982)

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Bluebook (online)
Williams v. Township of Middletown, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-township-of-middletown-njtaxct-2020.