American Dream At Marlboro, L.L.C. v. Planning Board
209 N.J. 161
| N.J. | 2012Background
- Deed restriction attached to a flag lot was required by the Planning Board but was never recorded.
- Developer pursued Beacon Woods II, changing plans to create a larger subdivision and a new road, Sandra Court.
- Although the 1995/1997 resolutions required the deed restriction, it remained unrecorded.
- Defendant purchased property near Haven Way and argued the flag lot was limited by the unrecorded deed restriction.
- Plaintiff sought to eliminate the deed restriction via court, arguing changed circumstances and plans.
- Trial court found no entitlement to relief; appellate panel reversed; and Supreme Court granted review to clarify standards.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Standard for eliminating a deed restriction | Plaintiff argues changed circumstances justify relief | Defendant argues restriction remains valid and necessary | Remand for fuller factual/legal analysis on changed-circumstances test |
| Board lacked power to remove restriction | Board had no authority to eliminate; court should modify | Board cannot modify; only court can | Affirmed remand; court to determine under equitable powers |
Key Cases Cited
- Soussa v. Denville Planning Bd., 238 N.J. Super. 66 (App.Div. 1990) (board lacks jurisdiction to eliminate deed restrictions)
- Citizens Voices Ass’n v. Collings Lakes Civic Ass’n, 396 N.J. Super. 432 (App.Div. 2007) (equitable power to modify trust/servitude restrictions)
- Leasehold Estates, Inc. v. Fulbro Holding Co., 47 N.J. Super. 534 (App.Div. 1957) (equitable relief to terminate servitudes when no longer serving purpose)
- Borough of Princeton v. Bd. of Chosen Freeholders of Mercer, 169 N.J. 135 (2001) (unclean hands principle in equity)
- Faustin v. Lewis, 85 N.J. 507 (1981) (unclean hands and equitable relief)