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Bill > A3186


NJ A3186

NJ A3186
Revises individual cause of action under consumer fraud act.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill makes various revisions to the New Jersey consumer fraud act. Under current law, when a violation of the consumer fraud act is found to have occurred, the court is required to award threefold the damages sustained by any person in interest and attorneys' fees. This bill gives the court discretion in awarding damages, which would not be permitted to exceed threefold the actual damages sustained by the consumer. The bill provides that purely technical violations of the act do not allow for an award of attorneys' fees, filing fees and costs. The bill also provides that the plaintiff, in order to succeed in a consumer fraud action, must have been aware of, and relied to his detriment on, the use or employment of the unlawful method, act or practice. The bill also requires that a consumer serve a written demand on the seller for the seller to make the consumer whole, before filing suit. In addition, the bill provides that the consumer fraud act applies only to New Jersey residents or transactions that take place within the State. The bill also provides that the consumer fraud act would not apply to actions or transactions otherwise permitted or regulated by the Federal Trade Commission or any other regulatory body or officer acting under statutory authority of this State or the United States.

AI Summary

This bill modifies the New Jersey Consumer Fraud Act by giving courts discretion in awarding damages, which can be up to three times the actual losses a consumer suffered, rather than being mandatory. It also clarifies that attorneys' fees, filing fees, and costs will not be awarded for purely technical violations of the act, meaning violations where the offender acted in good faith, without intent to defraud, and the violation did not affect the quality of a product or service or cause a financial loss to the consumer, unless it's a repeated violation after being notified. Furthermore, consumers must now send a written demand to the seller seeking to be made whole before filing a lawsuit, and the act will only apply to New Jersey residents or transactions occurring within the state, excluding those already regulated by federal or state authorities.

Committee Categories

Justice

Sponsors (2)

Last Action

Introduced, Referred to Assembly Judiciary Committee (on 01/13/2026)

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