Robert A. Roe v. John A. Kervick, State Treasurer of the State…

Summary

The Supreme Court of New Jersey affirmed the lower court's declaration that the State Area Redevelopment Assistance Act is constitutional, holding that its loan provisions do not violate Article VIII of the New Jersey Constitution. The Court reasoned that the Act serves a public purpose—relief of unemployment—and the contractual arrangements provide sufficient public control and consideration to remove the transactions from the constitutional prohibition. Justice Hall, in a concurring opinion, argued that the majority’s conclusion is wrong and that the Act should be held unconstitutional.