Michael Mueller v. Rodney Conaway
A-0421-23
N.J. Super. Ct. App. Div.Mar 21, 2025Background
- The case involves a landlord-tenant dispute between Michael Mueller (landlord) and Rodney Conaway (tenant) concerning a Section 8-subsidized apartment in Bound Brook, NJ.
- The lease began on February 1, 2020, and was renewed annually through February 1, 2023.
- The dispute originated over a rent increase, with plaintiff seeking $145 more per month instead of the $35 approved by Section 8, attributing the excess to pet fees for defendant’s three dogs. Conaway refused to pay the disputed portion.
- Two eviction actions were filed; the first was dismissed for lack of proper Section 8 notification, and the second ended in a settlement, requiring Conaway to vacate by December 31, 2022.
- Conaway remained until March 9, 2023. Mueller sued for property damage and unpaid rent for January–March 2023; Conaway counterclaimed for discrimination and other alleged harms. The trial court ruled primarily for plaintiff but failed to adjudicate most of Conaway's counterclaims.
- On appeal, the appellate court affirmed in part, reversed the finding that defendant was a holdover tenant for January and February 2023, and remanded for adjudication of Conaway’s counterclaims and recalculation of damages/security deposit.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Status as holdover tenant (Jan-Feb 2023) | Defendant was a holdover tenant after Dec 31, 2022 | He paid rent as allowed by a court order, not a holdover | Not a holdover tenant in Jan-Feb; error to offset security deposit |
| Damages for March 2023 | Entitled to unpaid rent and damages for defendant’s overstay | No specific dispute on March rent, conceded nonpayment | Defendant potentially liable for double rent for 9 days in March |
| Counterclaims | Claims were out of scope or adequately addressed | Court failed to adjudicate counterclaims on the merits | Remanded for trial court to consider counterclaims |
| Security deposit offset | Security deposit should be credited to landlord for unpaid rent | Should be returned; only March possibly claimable | Security deposit offset must be properly recalculated |
Key Cases Cited
- State v. Pierre, 223 N.J. 560 (N.J. 2015) (de novo review for legal conclusions)
- Gnall v. Gnall, 222 N.J. 414 (N.J. 2015) (deference to trial court factual findings)
- Newark Park Plaza Assocs., Ltd. v. City of Newark, 227 N.J. Super. 496 (N.J. Super. Ct. Law Div. 1987) (holdover tenant defined and governed)
- Lorril Co. v. La Corte, 352 N.J. Super. 433 (N.J. Super. Ct. App. Div. 2002) (holdover statute's penal nature and application principles)
- Heyman v. Bishop, 15 N.J. Super. 266 (N.J. Super. Ct. App. Div. 1951) (rights of holdover tenants governed by expired lease)
