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Hackensack Golf Club v. Hackensack Improvement Commission

Decided: February 13, 1931.

THE HACKENSACK GOLF CLUB, PROSECUTOR,
v.
HACKENSACK IMPROVEMENT COMMISSION ET AL., DEFENDANTS



On certiorari.

For the prosecutor, Albert C. Wall.

For the defendant, Walter G. Winne.

Before Justices Parker and Bodine.

Parker

The opinion of the court was delivered by

PARKER, J. This is a certiorari to two assessments on lands formerly of the golf club, which it sold to a corporation called Garden Suburbs, Incorporated, taking back a purchase-money mortgage for $482,000. This mortgage it assigned to a bank in Hackensack as collateral security for an issue of $300,000 of its own bonds, retaining an apparent equity in the mortgage of say $182,000. The point is made for the defendant at the outset that the golf club has no status to attack the assessments. Counsel have cited no authority on this point, and we find it unnecessary to decide it but assume for present purposes that prosecutor, whose equity in the mortgage would be subject to the assessments, has a status to attack them as illegal or excessive.

The case is unusual in that the improvement, in part, was petitioned for by Garden Suburbs, Incorporated, colorably under section 51 of article 20 of the Home Rule act of 1917, pages 395, 396, which reads as follows:

"51. The governing body of a municipality may undertake any improvement herein mentioned at the request of a number of petitioners who shall agree to pay the cost of said improvement and all expenses incidental thereto, and any other charge imposed by the governing body; such petitioners shall file with the governing body a statement showing the improvement desired, the land owned by each of them, and the proportion of the cost each is willing to pay; such statement shall be verified by each of said petitioners, and said petitioners shall enter into bond with sufficient surety to the municipality in double the amount of the cost of the improvement as estimated by the engineer of the municipality, conditioned for the prompt payment of the cost of the improvement and all expenses incidental thereto and charges imposed as aforesaid, before any such work or improvement is commenced. The governing body may insist on any further security for such payment it may deem advisable, and, when so secured, may proceed to make the said improvement. Upon the completion thereof, the governing body shall determine

the cost and expense thereof and cause the same to be collected from the said petitioners."

We say colorably, because the act contemplates "a number of petitioners" and there was only one -- though no special point need be made of that; also, because it requires that the "statements shall be verified" and it was not verified; and because it requires that petitioners "enter into bond" and there was no bond. What happened was that notwithstanding this petition, the cost of the improvement was assessed in the ordinary way, and that assessment, if good, is a lien prior to the mortgage. The argument for prosecutor is that the failure of the municipality to insist on a bond as a condition precedent does not invalidate either the petition or the ordinance passed in response thereto, but the cost must be collected by suit against Garden Suburbs, Incorporated. This need not be decided because as we read the ordinance it was not an undertaking to make the improvement on the basis of section 51. Under the Home Rule act no petition for a local improvement is needed. Pamph. L. 1917, p. 370. The council or other body may itself initiate the improvement. A certain percentage of property owners can veto it in the first instance, but even then, council may declare it a "public necessity" and proceed. Pamph. L. 1922, p. 201. Consequently the petition by Garden Suburbs, Incorporated, under section 51, offering to pay the whole cost of the improvement specified therein was in no way needed to confer jurisdiction on the improvement commission, which could recognize or ignore it as it chose.

Now, the ordinance in a preamble recites two petitions for two distinct improvements; one offering to pay all and the other asking that ninety per cent. be assessed on the property. But the purview then ordains that "said improvements shall be made as local improvements" and those in petition No. 1 (particularly now in question) shall be assessed in full against the property, and those in No. 2, ninety per cent. Then follows the usual ...


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