New Jersey sellers must disclose dams for covered property sales

Sellers must tell buyers whether a covered dam is on the property and share what they actually know about it. This covers New Jersey property and built barriers that raise water at least five feet. A Pinelands dam is excluded only if it raises river or stream water less than eight feet above ground, its drainage area is under one square mile, and its water surface is under 100 acres. Sellers must disclose before a buyer is bound by a purchase contract. The rule applies to sales and exchanges on or after the 90th day after the state posts the revised form.

The Division of Consumer Affairs must revise and post the seller disclosure form. The form asks about dam hazards, the latest inspection results when state law requires inspections, and duties a buyer would inherit. Sellers may answer yes, no, or unknown, but must explain each yes answer. The division must post the revised form before finishing the related rules.

The state must put directions to dam safety information on the disclosure form and maintain that information online. Sellers and buyers may use the state website or contact the Bureau of Dam Safety to learn about dam duties, removal, hazards, and state safety rules. The website must use current, scientifically supported information, and the Department of Community Affairs must link to it. The directions must be provided before a buyer is bound by a purchase contract.