N.J. Admin. Code § 7:18-2.18

Current through Register Vol. 56, No. 21, November 4, 2024

Section 7:18-2.18 - Termination of certification upon transfer of controlling interest

(a) A certified environmental laboratory's certification shall terminate upon transfer of a controlling interest in the laboratory, unless the transferor complies with the procedures set forth in (b) or (c) below. A transfer of a controlling interest occurs if:

1. A person who held a controlling interest in the laboratory before the transfer does not hold a controlling interest after the transfer; or

2. A person who did not hold a controlling interest in the laboratory before the transfer holds a controlling interest after the transfer.

(b) The certification of an environmental laboratory shall not terminate upon the transfer of a controlling interest and shall be transferred to the transferee, if the following requirements are satisfied:

1. The transferor shall notify the Department in writing of the proposed transfer, prior to the transfer;

2. The transferor shall allow the Department to perform an on-site audit of the certified laboratory upon request; and

3. The certified environmental laboratory corrects all deficiencies identified by the Department in the audit within 30 calendar days after receiving notice of the deficiencies, and pays any associated penalties.

(c) The certification of a certified environmental laboratory shall not terminate upon the transfer of a controlling interest under (a) above, and shall be transferred to the transferee, if the transferee agrees with the Department in writing to assume all of the transferor's liabilities in connection with the following:

1. Any deficiencies in the operations of the laboratory; and

2. All penalties arising in connection with the laboratory from occurrences or circumstances existing before the date of the transfer.

N.J. Admin. Code § 7:18-2.18