N.J. Admin. Code § 5:19-6.4

Current through Register Vol. 56, No. 23, December 2, 2024

Section 5:19-6.4 - Provisions required

(a) A continuing care agreement shall be written in clear and plain language understandable by a lay person, and shall include, but not be limited to, the following:

1. A provision for the continuing care of one resident, or two or more residents occupying space designed for multiple occupancy under appropriate procedures established by the provider, and a statement showing the value of all property transferred, including donations, subscriptions, fees and any other amounts payable by, or on behalf of, the resident;

2. A statement on a form provided by the Department specifying all services which are to be provided to the resident by the provider including, in detail, all items which the resident will receive such as food, shelter, nursing care, pharmaceuticals and burial and whether the items will be provided for a designated period of time or for life;

3. A description of the health and financial conditions upon which the provider may have the resident relinquish his space in the designated facility;

4. A description of the health and financial conditions required for a person to continue as a resident;

5. A description of the circumstances under which the resident shall be permitted to remain in the facility in the event of financial difficulties of the resident. The stated policy may not be less than the terms stated in 5:19-6.5(f) and (g);

6. A statement of the fees that will be charged if the resident marries a person who is not a resident of the facility, the terms concerning the entry of a spouse into the facility and the consequences if the spouse does not meet the requirements for entry;

7. A statement in clear, bold type at least as large as the largest type in the contract:

i. Advising the resident that the agreement may be cancelled upon giving at least 60 days' notice by the provider or the resident, except that if an agreement is cancelled by the provider because there has been a good faith determination in writing, signed by the medical director and the administrator of the facility, that a resident is a danger to himself or others, only notice that is reasonable under the circumstances is required;

ii. Advising that the resident shall be provided at least 60-days' written notice from the facility if the resident's continuing care agreement is being cancelled due to a violation of the facility's rules or regulations and that this notification may be waived if the facility can demonstrate just cause for terminating the continuing care agreement in accordance with 5:19-6.5(c); and

iii. Advising that the resident may challenge the facility's notice of cancellation by requesting a hearing in the same manner as for a hearing in a contested case pursuant to section 9 of P.L. 1968, c. 410 (52:14B-9);

8. A statement providing in clear, conspicuous, and understandable language, in print no smaller than the largest type used in the body of the agreement, the amount of the entrance fee, and the terms governing the refund of any portion of the entrance fee;

9. A statement of the terms under which an agreement is cancelled by the death of the resident;

10. A statement providing for at least 30-days' advance notice to the resident before any change in fees or changes in the scope of care or services are effective, except for changes required by State or Federal assistance programs; and

11. Notice to the prospective resident of the terms of the "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living," including a specific description in bold or larger type of the right of rescission or cancellation provided by 52:27D-360.2and 360.7. In the event that the particular terms of the "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living" are incorporated by reference to an attachment to the contract, the notice of the right of rescission and of cancellation, including the right to a refund, shall nevertheless be specifically described in the body of the agreement in bold or larger type in the agreement at or near the signature lines and shall not be merely incorporated by reference.

N.J. Admin. Code § 5:19-6.4

Amended by 47 N.J.R. 710(a), effective 4/6/2015.