Bill

Bill > A5735


NJ A5735

NJ A5735
Requires restaurant to disclose mandatory gratuity to patrons.


summary

Introduced
06/12/2025
In Committee
01/06/2026
Crossed Over
12/22/2025
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

Requires restaurant to disclose mandatory gratuity to patrons.

AI Summary

This bill requires restaurants to disclose mandatory gratuities (automatic service charges) to patrons by displaying this information in multiple prominent locations, specifically on the menu, at the restaurant's entrance, on customer bills, and on the restaurant's website if applicable. The legislation establishes a graduated penalty structure for non-compliance, with increasing financial penalties for repeated violations: $1,000 for the first offense, $2,500 for the second offense, and $5,000 for the third and subsequent offenses. Each day of violation is considered a separate offense, and penalties will be collected through civil action under the "Penalty Enforcement Law of 1999" with the Superior Court having jurisdiction over enforcement. The bill will go into effect on the first day of the third month following its enactment, giving restaurants time to adjust their practices to meet the new disclosure requirements.

Committee Categories

Business and Industry

Sponsors (11)

Last Action

Received in the Senate, Referred to Senate Commerce Committee (on 01/06/2026)

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