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Chiarello v. Board of Trustees

Citations: 429 N.J. Super. 194; 57 A.3d 567; 2013 WL 5878686; 2012 N.J. Super. LEXIS 190

Court: New Jersey Superior Court Appellate Division; December 20, 2012; New Jersey; State Appellate Court

Narrative Opinion Summary

The case involves a dispute over the application of statutory changes to a retirement application submitted by an individual, a member of the Public Employees’ Retirement System (PERS), who sought ordinary disability retirement while retaining an elected position as mayor. The core issue is whether the law at the time of his application or at the time of the ruling should apply, following the repeal of the statute that allowed public employees to retire from one position while retaining an elected office. The PERS Board denied the application, citing the repeal and arguing that the statute did not apply to disability retirements. The court, however, held that the law in effect at the time of filing should govern, emphasizing due process and fairness, and remanded the case to determine if the individual could be considered totally and permanently disabled while serving as mayor. The court rejected the Board's interpretation limiting the statute's application, affirming that the individual's rights had vested and should be protected from retroactive legislative changes. The outcome remands the matter to the PERS Board for further proceedings, with the court not retaining jurisdiction.

Legal Issues Addressed

Application of Law at Time of Filing

Application: The court determined that the law in effect at the time of Chiarello's retirement application should govern, not subsequent changes.

Reasoning: Chiarello's retirement application is to be evaluated under the law in effect at the time of submission, prior to the repeal of Section 47.2.

Due Process and Fairness in Legislative Changes

Application: The court emphasized fairness and due process, ruling that legislative changes during processing delays should not affect Chiarello's application.

Reasoning: The principles of fairness and the prospective application of statutes support this stance, referencing established case law, including Gibbons v. Gibbons and Landgraf v. USI Film Prods.

Interpretation of Statutory Categories

Application: The court refuted the Board's argument that Section 47.2 does not apply to disability retirements due to statutory categorization.

Reasoning: The arrangement of statutes is intended for convenience and does not reflect legislative construction, meaning Section 47.2 remains a distinct section.

Total and Permanent Disability Eligibility

Application: The court remanded the case to determine if Chiarello could be considered totally and permanently disabled while serving as mayor.

Reasoning: The PERS Board's interpretation of the statute was found to be incorrect, leading to a remand for the Board to address whether Chiarello could be completely and permanently disabled from his job with SJTA while still serving as mayor of Buena Vista.

Vested Rights and Legislative Intent

Application: The court found that Chiarello's rights had vested prior to the repeal and should not be denied based on the erroneous interpretation by the PERS Board.

Reasoning: Chiarello's rights, which had vested by the time he applied for disability retirement, should not be denied.