Navigating the Process of Commercial Evictions in New Jersey: A Guide for Landlords

Navigating the Process of Commercial Evictions in New Jersey: A Guide for Landlords

The commercial eviction process in New Jersey is neither swift nor simple. Landlords often approach these matters with the expectation that removing a non-paying or defaulting tenant is merely a matter of filing a few forms and obtaining a court date. That belief is incorrect. Commercial eviction in New Jersey is governed by statute, case law, and procedural rules that require careful adherence to avoid costly delays or an outright dismissal of the case. If the process is mishandled, the landlord may find themselves waiting months to recover possession or, worse, dealing with a tenant who uses procedural missteps as leverage to delay or renegotiate lease terms.

Understanding the Legal Basis for Commercial Eviction

A landlord may initiate eviction proceedings against a commercial tenant for several reasons. The most common is non-payment of rent. Other common grounds include holdover tenancy, breach of lease provisions, or illegal use of the premises. In each of these cases, the landlord must be able to demonstrate that the lease permits termination under the circumstances, and that the proper pre-suit notices—if required—have been served in accordance with the lease and state law.

In a non-payment matter, the process typically does not require a notice to quit, provided the landlord is simply demanding rent and the lease has not been formally terminated. However, in cases involving breach of lease or where the landlord is terminating the tenancy entirely, the Anti-Eviction Act does not apply, but the common law and lease provisions govern what notice, if any, is required. Commercial leases often contain clauses that specify what notice must be given before termination, and courts will enforce those provisions strictly.

Filing the Complaint for Possession

Once the necessary pre-suit requirements have been met, the landlord must file a Verified Complaint for Possession in the Special Civil Part of the Superior Court. Commercial eviction matters proceed more swiftly than residential cases in some counties, but court schedules, tenant defenses, and procedural errors can still delay the process significantly.

The complaint must clearly state the grounds for eviction and include a certification of the lease and the default. The landlord must also be prepared to appear on the scheduled court date and provide competent testimony or documentation if the matter proceeds to a hearing.

It is important to emphasize that New Jersey does not allow landlords to remove tenants through self-help measures, such as changing locks or removing property. Doing so is unlawful and will expose the landlord to damages, including punitive damages, for wrongful eviction. Only a court order and the involvement of a court officer can result in the lawful removal of a commercial tenant.

The Role of Adjournments and Settlement Conferences

Even where the landlord’s position is legally sound, tenants often request adjournments or raise equitable defenses to delay the eviction. Some may claim partial payment, assert that the landlord breached the lease first, or raise procedural issues concerning notice or service. These defenses are frequently used to buy time, especially when the tenant is still operating their business from the premises or attempting to secure alternate space.

In practice, judges may strongly encourage landlords and tenants to reach a settlement, particularly when the parties have an ongoing relationship or when payment arrangements are feasible. While compromise may be appropriate in some situations, landlords must be wary of repeated delays and unfulfilled promises.

Warrant of Removal and Lockout

If the court grants a judgment for possession, the landlord must obtain a Warrant of Removal from the clerk. This document authorizes the court officer to remove the tenant after providing the required notice—typically three business days. Only a court-appointed officer may execute the lockout. Once completed, the landlord may take possession of the premises but must retain the tenant’s personal property for a short period, usually 30 days, allowing the tenant to retrieve it.

Importantly, landlords must not interfere with tenant property or dispose of it prematurely, as doing so can lead to liability. The post-eviction period must be handled as carefully as the litigation itself.

Recovery of Rent and Damages

Obtaining possession of the space does not resolve all issues. Many commercial landlords wish to pursue the tenant for unpaid rent, late fees, attorneys’ fees, and damage to the premises. While these claims may be raised in the eviction action if properly pled, they often require a separate collection suit, especially if the lease includes personal guaranties or if damages exceed the jurisdictional limits of the Special Civil Part.

Commercial leases usually contain fee-shifting provisions that allow the prevailing party to recover legal fees, but courts scrutinize these clauses carefully. To preserve your right to collect, all documentation—payment history, lease terms, correspondence, and damage estimates—must be meticulously preserved and organized.

Conclusion

Commercial eviction in New Jersey is not a matter of simply removing a tenant for non-payment or breach. It is a legally structured process that must be followed precisely. Each step, from notice to complaint to warrant execution, has legal requirements that, if ignored, can undermine the landlord’s position and delay recovery. It is essential for landlords to treat these matters not as a simple property issue but as a legal proceeding with financial, procedural, and practical consequences.

For more information about your legal rights or to schedule a consultation, please contact the Law Offices of Peter J. Lamont at www.pjlesq.com, call 201-904-2211, or email info@pjlesq.com.

Contact us today to discuss your business or legal matter. Put our 20+ years of legal experience to work for you.

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For detailed insights and legal assistance on topics discussed in this post, including litigation, contact the Law Offices of Peter J. Lamont at our Bergen County Office. We're here to answer your questions and provide legal advice. Contact us at (201) 904-2211 or email us at  info@pjlesq.com.

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About Peter J. Lamont, Esq.

Peter J. Lamont is a nationally recognized attorney with significant experience in business, contract, litigation, and real estate law. With over two decades of legal practice, he has represented a wide array of businesses, including large international corporations. Peter is known for his practical legal and business advice, prioritizing efficient and cost-effective solutions for his clients.

Peter has an Avvo 10.0 Rating and has been acknowledged as one of America's Most Honored Lawyers since 2011. 201 Magazine and Lawyers of Distinction have also recognized him for being one of the top business and litigation attorneys in New Jersey. His commitment to his clients and the legal community is further evidenced by his active role as a speaker, lecturer, and published author in various legal and business publications.

As the founder of the Law Offices of Peter J. Lamont, Peter brings his Wall Street experience and client-focused approach to New Jersey, offering personalized legal services that align with each client's unique needs and goals​.

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