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A1914
ASSEMBLY, No. 1914
STATE OF NEW JERSEY
222nd LEGISLATURE
�
PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION
Sponsored by:
Assemblywoman CLEOPATRA G. TUCKER
District 28 (Essex and Union)
SYNOPSIS
���� Establishes "New Jersey Veterans and Military
Spouses Asset Protection Act."
CURRENT VERSION OF TEXT
���� Introduced Pending Technical Review by Legislative
Counsel.
��
An Act
concerning enhanced creditor protections for
veterans, service members, and military spouses and supplementing Title 2A of
the New Jersey Statutes.
����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:
���� 1.� This act shall be known
and may be cited as the �New Jersey Veterans and Military Spouses Asset
Protection Act.�
���� 2.��� The Legislature finds
and declares that:
���� a.���� Veterans, active duty
service members, and families of veterans and service members make
extraordinary sacrifices in service to the State and this country.
���� b.��� Many veterans and
veterans� families face disproportionate financial hardship, including exposure
to predatory lending, fraud, and the loss of hard-earned property due to
creditor actions.
���� c.���� The State currently
does not provide a homestead exemption, leaving veterans and their families
uniquely vulnerable to home loss in the event of a bankruptcy.
���� d.��� Providing enhanced
creditor protections, including a homestead protection for up to two properties
owned by veterans, is necessary to preserve stability, reward service, and
strengthen communities.
���� e.���� This act is deemed
remedial in nature, and therefore shall be liberally construed to effectuate
its purpose of safeguarding veterans, service members, and military spouses.
���� 3.��� As used in this act:
���� �Military spouse� means the
spouse or surviving spouse of a veteran or service member.
���� �Primary residence� means the
dwelling house, including the land, where the veteran, service member, or
military spouse resides.
���� �Secondary residence� means
one additional dwelling house, including the land, owned by the veteran,
service member, or military spouse, which may be used as a seasonal, family, or
retirement home.
���� �Service member� means a person
currently serving in any branch of the armed forces of the United States, including
the National Guard and reserve components.
���� �Veteran� means a person
honorably discharged from any branch of the armed forces of the United States,
including the National Guard and reserve components.
���� 4.��� a.� Notwithstanding any
other law to the contrary, the primary and secondary residences of a veteran,
service member, or military spouse shall be exempt from levy, execution,
attachment, or forced sale for the payment of debts, judgments, or other claims
or creditors.
���� b.��� The exemption provided
pursuant to subsection a. of this section shall apply without a limitation of
value for both the primary and secondary residences, provided that ownership of
both properties is properly recorded with the county clerk.
���� c.���� Subsection a. of this
section shall not apply to:
���� (1)�� mortgages or voluntary
liens placed upon the property;
���� (2)�� taxes, assessments, or
obligations owed to federal, State, or local government entities; and
���� (3)�� judgments arising from
willful misconduct, fraud, or criminal activity of the debtor.
���� d.��� If the primary or
secondary residence is held by a veteran
or service
member jointly with a military spouse, the exemption shall extend fully to both
parties.
���� e.���� Upon
the death of a veteran or service member, the exemption for both residences
shall continue for the surviving military spouse, provided the surviving
military spouse maintains ownership of the residences.
���� 5.��� a.
The retirement accounts, pensions, disability benefits, and veterans� benefits
of veterans, service members, and military spouses shall be exempt from
creditor claims.
���� b.��� Motor
vehicles owned by veterans, service members, and military spouses shall be
exempt from creditor claims up to a fair market value of
$30,000
, not to exceed
one vehicle
per household.
���� c.���� Subsection
b. of this section shall not apply to:
���� (1)�� voluntary
liens placed upon the motor vehicle;
���� (2)�� taxes,
assessments, or obligations owed to federal, State, or local government
entities; and
���� (3)�� judgments
arising from willful misconduct, fraud, or criminal activity of the debtor.
���� d.��� As
used in this section, �motor vehicle� shall mean the same as defined pursuant
to R.S.39:1-1.
���� 6.��� a.�
Any attempted levy, execution, or sale in violation of this act shall be void
and unenforceable.
���� b.��� The
protections under this act are in addition to any rights provided under federal
law, including the �Servicemembers Civil Relief Act,� 50 U.S.C. s.3901 et seq.
���� 7.��� This
act shall take effect immediately and shall be retroactive to January 1, 2025,
but shall only apply to debts incurred or claims filed on or after that date.�
The act shall not impair the validity of any final judgment entered prior to
the effective date.
STATEMENT
����� This bill establishes the �New Jersey Veterans and
Military Spouses Asset Protection Act.�
����� Under the bill certain assets of veterans, service
members, and their spouses are given protections from creditors.� The bill
exempts the primary and secondary homes of veterans, service members, or their
spouses from levy, execution, attachment, or forced sale for the payment of
debts, judgments, or other claims or creditors.� The retirement accounts,
pensions, disability benefits, and veterans� benefits of veterans, service
members, and their spouses will also be exempt from creditor claims under the bill.�
Additionally, motor vehicles owned by veterans, service members, and military
spouses will be exempt from creditor claims up to a fair market value of
$30,000, not to exceed one vehicle per household, with certain exceptions.
����� The bill further provides that the benefits of this
bill will not extend to the primary and secondary residences of a veteran,
service member, and military spouse if there are:
����� (1)� mortgages or voluntary liens placed upon the
property;
����� (2)� taxes, assessments, or obligations owed to
federal, State, or local government entities; or
����� (3)� judgments arising from willful misconduct,
fraud, or criminal activity of the debtor.
����� Finally, the bill provides that any attempted levy,
execution, or sale in violation of the bill will be void and unenforceable, and
that the bill will apply to debts incurred on or after the date of enactment.�
The protections under this bill will be in addition to any rights provided
under federal law, including the �Servicemembers Civil Relief Act.�