N.J. DCA Landlord/Tenant Information Series — Security Deposit Law

P.L. 1967, c. 265 (C. 46:8-19).
HISTORY: L.1967,c.265,s.2; amended 1971, c.223, s.2; 1979, c.28, s.2; 1985, c.42, s.2; 2003, c.188, s.2.
46:8-21. Liability on transfer
Any owner or lessee turning over to his or its grantee, assignee, or to a purchaser of the leased
premises at a foreclosure sale the amount of such security deposit, plus the tenant's portion of the
interest or earnings accumulated thereon, is hereby relieved of and from liability to the tenant or
licensee for the repayment thereof. Whether or not the deposit plus accumulated interest are so
transferred, the grantee, assignee or purchaser of the leased premises is nevertheless responsible
for the proper investment of the security deposit, giving all notices and paying interest pursuant
to section 1 of P.L. 1967, c. 265 (C. 46:8-19) and for the return of the security deposit, plus any
accumulated earnings or interest thereon, to the tenant or licensee, in accordance with the terms
of the contract, lease, or agreement unless he or it shall thereafter and before the expiration of the
term of the tenant's lease or licensee's agreement, transfer such security deposit to another,
pursuant to section 2 of P.L. 1967, c. 365 (C. 46:8-20) and give the requisite notice in connection
therewith as provided thereby.
HISTORY: L. 1967, c. 265, § 3; amended 1971, c. 223, § 5; 1985, c. 42, § 3; 2003, c. 188, § 3, eff. Jan. 1, 2004.