US Bank, N.A., Plaintiff-Appellant and Cross-Respondent v. Nikia Hough, Defendant-Respondent and Cross-Appellant…

Summary

The Supreme Court of New Jersey reversed the Appellate Division and held that N.J.A.C. 5:80-26.18(e) voids only the portion of a loan that exceeds 95% of the allowable resale price of an affordable housing unit, rendering that excess uncollectible, while the mortgage remains valid up to the permissible limit. The Court reached this conclusion by applying a plain‑meaning construction of the regulation and rejecting the agency's interpretation as plainly unreasonable. Justice LaVECCHIA dissented, arguing that the agency's reading should be given deference.