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Bill > S3309


NJ S3309

NJ S3309
Establishes "Motor Vehicle Open Recall Notice and Fair Compensation Act"; revises motor vehicle franchise agreements.


summary

Introduced
05/20/2024
In Committee
06/19/2025
Crossed Over
06/30/2025
Passed
09/11/2025
Dead
Signed/Enacted/Adopted
09/11/2025

Introduced Session

2024-2025 Regular Session

Bill Summary

An Act concerning motor vehicle open recalls and motor vehicle franchises, supplementing Title 56 and Title 39 of the Revised Statutes, and amending P.L.1989, c.24 and P.L.1977, c.84.

AI Summary

This bill establishes the "Motor Vehicle Open Recall Notice and Fair Compensation Act" to address the imbalance of power between motor vehicle franchisors and franchisees, particularly regarding vehicle recalls. The legislation requires motor vehicle franchisors to compensate franchisees at a rate of 1.5% per month if recall parts are not available within 30 days of a stop-sale or do-not-drive notice, with compensation based on the vehicle's average trade-in value. The New Jersey Motor Vehicle Commission will now include open recall notices when issuing vehicle registrations, providing a link to the National Highway Traffic Safety Administration's recall database and informing owners that recalls can be repaired at no cost by authorized dealers. The bill also strengthens protections for franchisees by prohibiting franchisors from reducing compensation through chargebacks or removing dealers from incentive programs when they submit recall-related claims. Additionally, the legislation recognizes the importance of the motor vehicle franchise system in supporting local economies, creating jobs, and ensuring consumer access to essential vehicle services, while addressing the ongoing power disparity between franchisors and franchisees.

Committee Categories

Transportation and Infrastructure

Sponsors (68)

Tony Bucco (R)* Craig Coughlin (D)* John DiMaio (R)* William Sampson (D)* Nick Scutari (D)* Carmen Amato (R),  Bob Auth (R),  John Azzariti (R),  Rosaura Bagolie (D),  David Bailey (D),  Al Barlas (R),  Jon Bramnick (R),  John Burzichelli (D),  Clinton Calabrese (D),  Linda Carter (D),  Robert Clifton (R),  Nilsa Cruz-Perez (D),  Joe Danielsen (D),  Chris DePhillips (R),  Patrick Diegnan (D),  Margie Donlon (D),  Aura Dunn (R),  Kevin Egan (D),  Dawn Fantasia (R),  Vicky Flynn (R),  Vin Gopal (D),  Lou Greenwald (D),  Shama Haider (D),  Owen Henry (R),  Jim Holzapfel (R),  Dan Hutchison (D),  Michael Inganamort (R),  Paul Kanitra (R),  Robert Karabinchak (D),  John McKeon (D),  Angela Mcknight (D),  Cody Miller (D),  Paul Moriarty (D),  Nancy Muñoz (R),  Carol Murphy (D),  Gregory Myhre (R),  Ellen Park (D),  Joe Pennacchio (R),  Luanne Peterpaul (D),  Eliana Pintor Marin (D),  Vince Polistina (R),  Nellie Pou (D),  Annette Quijano (D),  Verlina Reynolds-Jackson (D),  Teresa Ruiz (D),  Brian Rumpf (R),  Holly Schepisi (R),  Alexander Schnall (D),  Heather Simmons (D),  Bob Singer (R),  Troy Singleton (D),  Bob Smith (D),  Parker Space (R),  Bill Spearman (D),  Shanique Speight (D),  Douglas Steinhardt (R),  Lisa Swain (D),  Latham Tiver (R),  Chris Tully (D),  Shirley Turner (D),  Anthony Verrelli (D),  Jay Webber (R),  Andrew Zwicker (D), 

Last Action

Approved P.L.2025, c.140. (on 09/11/2025)

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