Yes, Tybee, I guess (and I really hope!) DH would get in no trouble if he were stopped with Jersey plates because my son is the owner and he lives in NJ. He's a lawyer, and he wouldn't do anything illegal to jeopardize his job, so I'm assuming he knows what he's doing. That's why he filed the registration with himself as the owner and DH as the operator.
Personally I'm borderline comfortable with the arrangement because if DH gets into an accident, my son is involved as the insured.