Tax Court: 160 Chubb Props., LLC v. Twp. of Lyndhurst
Docket Nos.002442-2014; 006305-2015; opinion by Orsen, J.T.C., decided May31, 2019. For plaintiff – Joseph G. Ragno and Robert J. Guanci(Waters, McPherson, McNeill, P.C., attorneys); for defendant –Kenneth A. Porro (Chasan Lamparello Mallon & Cappuzzo, P.C.,attorneys).
Following the court’s decision in 160 Chubb Props., LLC v. Twp. of Lyndhurst, 30 N.J. Tax 613 (Tax 2018), defendant, Township of Lyndhurst, moved for reconsideration, primarily based on the same arguments presented in its opposition to plaintiff’s original motion for relief under the Freeze Act, namely, that increased tenant occupancy; the cost of work to be performed under construction permits; and the sales price of the property, demonstrate prima facie that a substantial and meaningful change in value occurred between the base year 2015 and freeze year 2017, warranting a plenary hearing. Defendant’s only new arguments alleged that plaintiff, 160 Chubb Properties, LLC, had no legal standing to file the Freeze Act motion, and by granting Freeze Act relief for the 2017 tax year, the subsequent owner of the property received a “windfall.” The court found that a motion for reconsideration is not meant to re-litigate issues already decided or otherwise award a proverbial ‘second bite at the apple’ to a dissatisfied litigant. The court also found that defendant ignored the reality that it is the new owner, and not plaintiff, asserting entitlement to Freeze Act relief. Because the 2015 base year judgment caption identifies plaintiff as 160 Chubb Properties, LLC, the new owner was required under R. 8:7(d) to adopt this caption for purposes of making the Freeze Act application. The court additionally found that the new owner not only has standing to seek relief under the Freeze Act, but is entitled to invoke its protections. The court determined that defendant’s “windfall” argument does not represent the legislative intent of the Freeze Act, since the Freeze Act is a legislatively conferred right that attaches to ownership. Accordingly, the court denied defendant’s motion for reconsideration.