Is your driveway a principal use?

What will be the title implications of this decision?

From :

According to the  New Jersey Supreme Court, in certain circumstances the answer is yes.  On June 16, 2011, the Court held that a driveway is a principal use where, pursuant to local zoning, the driveway does not meet the definition of an accessory use.  Moreover, depending on the circumstances, you may need difficult to obtain and costly variances to get your driveway approved.  How could this happen?    

The answer lies in the curious case of Nuckey v. Borough of Little Ferry Planning Bd.  These are the facts. A developer owns multiple lots and wants to build a hotel.  One of the lots has no highway access. To remedy this issue, the developer proposes to build a driveway on an adjacent lot that would continue across the corner of another lot owned by the same principals as the developer.  This proposed driveway would provide the needed highway access for the hotel.  Sounds like a simple accessory use right? Herein lies the rub.

The local land use ordinance in this case defines an accessory use as “ a use which is customarily incidental and subordinate to the principal use of a lot or a building and which is located on the same lot.”  Because the driveway serves a different lot, it cannot be accessory.  Therefore, the driveway is a principal use. 

This, however, is not the end of our story.  It turns out that there was a pre-existing, non-conforming use on the same lot as the proposed driveway.   As a result, the proposed driveway was deemed a second principal use and the expansion of the pre-existing, non-conforming use.  Thus the developer was required to obtain use variances pursuant to  N.J.S.A. 40:55D-70(d)(1) and  (d)(2) respectively.

But wait, despite these facts, aren’t we just talking about a driveway?  Surely there must be some de minimis exception for a small driveway?  This is precisely the argument that was raised by the developer.  In fact, the de minimus argument was successful in the Appellate Division.  However, the Supreme Court reversed, concluding that the courts have never applied the de minimis rationale in considering the need for a use variance to permit an otherwise prohibited use.  Where, as here, the zoning ordinance permits only one principal use, the addition of an entirely new principal use is prohibited and, by its very nature, cannot be inconsequential. Put plainly, “[a]lthough access may be a reason for granting a variance, it is not a justification for dispensing with one. “

This case serves as a reminder that every land use matter is truly unique.  Even something as simple as a driveway, traditionally an accessory use, can turn out to be a legal conundrum.

Filed under  //  title agency   title insurance  
Comment (1)
Posted by Art Oswald 

Consumer Financial Protection Bureau requests comment on which non-bank companies should be directly supervised under the Dodd-Frank Act

Do title agencies fall under this scrutiny by Dodd-Franks?

Click here to download:
CFPB_request_for_comment.pdf (240 KB)
(download)

Filed under  //  Dodd-Frank   title agency   title insurance  
Comment (1)
Posted by Art Oswald 

Opening A TITLE INSURANCE Agency in Florida

Opening a title insurance agency?

So, you’re thinking about opening a title insurance agency. Well, before you open the doors for the first time, a review of the laws and rules affecting insurance representatives and the operation of Florida title agencies could be very beneficial to you. After all, you want to maintain a successful title agency. Insurance laws are located in Title XXXVII of the Florida Statutes and in Chapters 69B and 69O of the Florida Administrative Code.

Here’s a quick overview of laws and procedures that new (and not-so-new) agents frequently inquire about, along with the applicable cites, for opening a title insurance agency.  If that's not for you, maybe you want to check out the guidelines for opening major lines insurance agencies - bail bond agencies and adjusting firms coming soon.

 

Naming your title agency

Florida law prevents you from naming your agency anything that would be misleading or deceptive in any way. Names chosen should not imply that the agency is an insurance company, governmental agency, or any other national or state organization. We will not allow any agency to use a name that does not meet this criteria. If you use the words "title insurance," "title guaranty," or "title guarantee" in your agency's name, you must follow it with the word "agency" in the same size and font. [s. 626.602 and 626.8413, F.S.]

Obtain a title insurance agency license

No individual or business can act as a title insurance agency unless it possesses a title insurance agency license. You apply for a license through MyProfile using the agency's information (Federal Employer Identification Number, etc.).  [s. 626.8411, 626.8412, and 626.8418, F.S.]

Filed under  //  title agency  
Comments (0)
Posted by Art Oswald