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Maltese v. Township of North Brunswick

6/20/2002

s claim, contending his position was not covered by the SOA collective bargaining agreement, and that the Township Council's resolution confirming the Mayor's appointment did not so provide.


On April 13, 2000, plaintiff filed suit against the Township seeking enforcement of the terms of his oral contract of employment. On or about January 18, 2001, defendant moved for entry of summary judgment. The specific issue presented to the trial court was whether the doctrine of equitable estoppel was available to plaintiff to estop the Township from denying plaintiff those benefits. The motion was argued in the Law Division on March 16, 2001. In denying the Township's motion for summary judgment, the judge stated, in pertinent part:


I think everybody agrees that the issue here is whether equitable estoppel can apply. Whether it is a concept or a legal theory . . . I think everyone would agree too, is if the action is deemed to be ultra vires, it's void ab initio, the Town does not have the power to do this, or if it's simply void then you can apply the doctrine of equitable estoppel. I look at whether something is ultra vires perhaps in a very simplistic way. Did the Town have the statutory authority to approve the contract? If it did not, if . . . this was something that the Town, even if it was presented with the contract, could not have approved it, in my view then it's ultra vires. That's not the case here. The council could have approved it if it had been presented. In view it was not ultra vires. So because I conclude it was not ultra vires, it's not void ab initio, and the doctrine of equitable estoppel can apply. So I am going to deny the motion, and I'm not going to tell you that it's absolutely clear one way or another, but that is the way I look at it and that is the way I'm going to rule.


On or about April 26, 2001, plaintiff moved for summary judgment, seeking an order granting him the relief requested in his complaint. Defendant cross-moved, seeking summary judgment dismissing plaintiff's complaint. The motions were argued in the Law Division on May 25, 2001. In denying defendant's motion and granting plaintiff's motion for summary judgment, the judge stated, in pertinent part:


As I understand it of the five criteria of equitable estoppel, the only issue that is in dispute is the reliance part of the equitable estoppel five part test. And I also understand that the town conceded that [plaintiff], in fact, relied. So that the only issue here is the reasonableness of his reliance.


I also understand . . . that the only argument that the town is presenting to establish that [plaintiff's] reliance was not reasonable is the legal argument that, as a matter of law, he is held to the knowledge that, in fact, his contract could not be approved . . . or . . . carried through with absent approval by the council, and I reject that . . . proposition that that, in and of itself, shows his reliance was not reasonable.


So there are no other facts, as I understand it from counsel, that the town can present to rebut the reasonableness of the reliance of [plaintiff] and there is no question in this case that it's undisputed that the mayor solicited the employment. The mayor did, in fact, propose this arrangement of benefits with [plaintiff]. That [plaintiff], in fact, left his prior employment and took a job at a lesser salary because of this inducement on the benefits. He, apparently, gave some time back. He . . . took some time. He went to certain seminars that were paid for by the town, so that the benefits that he says he was entitled to, in . . . fact, he utilized. There's no dispute, which certainly would enhance the reasonableness of his position

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