reglab/statecodes huggingface dataset:
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-13.6 - Violations by franchisor

56:10-13.6. Violations by franchisor
5. It shall be a violation of the "Franchise Practices Act," P.L.1971, c.356 (C.56:10-1 et seq.), for a motor vehicle franchisor to exercise a right of first refusal or other right to acquire a motor vehicle franchise from a motor vehicle franchisee as a means to influence the consideration or other terms offered by a person in connection with the acquisition of the motor vehicle franchise or to influence a person to refrain from entering into, or to withdraw from, negotiations for the acquisition of the motor vehicle franchise.
L.1993,c.189,s.5.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-13.7 - Exceptions to violations by franchisor, "acquiring transferee" defined

56:10-13.7. Exceptions to violations by franchisor, "acquiring transferee" defined
6. It shall be a violation of the "Franchise Practices Act," P.L.1971, c.356 (C.56:10-1 et seq.), for a motor vehicle franchisor to exercise a right of first refusal or other right to acquire a motor vehicle franchise from a motor vehicle franchisee unless the motor vehicle franchisor:
a. at the election of the motor vehicle franchisee, assumes the lease for or acquires the real property on which the motor vehicle franchise is conducted on the same terms as those on which the real property or lease was to be sold or transferred to the acquiring transferee in connection with the sale of the motor vehicle franchise, unless otherwise agreed to by the motor vehicle franchisee and motor vehicle franchisor; and
b. reimburses the acquiring transferee of the motor vehicle franchise for the reasonable expenses paid or incurred by him in evaluating and investigating the motor vehicle franchise and negotiating and pursuing the acquisition of the motor vehicle franchise prior to the motor vehicle franchisor's exercise of the right of first refusal or other right to acquire the motor vehicle franchise. For purposes of this subsection, expenses to evaluate and investigate the motor vehicle franchise means, in addition to any other expenses associated with the evaluation and investigation of the motor vehicle franchise, legal and accounting expenses, and expenses associated with the evaluation and investigation of any real property on which the motor vehicle franchise is conducted, including, but not limited to, expenses associated with title examinations, environmental assessments and other expenses directly related to the acquisition or lease of such real property by the acquiring transferee. Upon reimbursement, any title reports, or other reports or studies received by the acquiring transferee as a result of the evaluation or investigation of the motor vehicle franchise or the real property on which the motor vehicle franchise is conducted shall be provided to the motor vehicle franchisor. The acquiring transferee shall submit an itemized list of the expenses to be reimbursed along with supporting documents, if any, to the motor vehicle franchisor no later than 30 days after receipt of a written request for same from the motor vehicle franchisor. The motor vehicle franchisor shall make payment within 30 days of receipt of the itemized list.
c. For purposes of this section, "acquiring transferee" means the person to whom the motor vehicle franchise would have been transferred had the right of first refusal or other right to acquire the motor vehicle franchise not been exercised by the motor vehicle franchisor.
L.1993,c.189,s.6.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-14 - Indemnification and holding harmless franchisees by franchisors for claims and damages due third parties

56:10-14. Indemnification and holding harmless franchisees by franchisors for claims and damages due third parties
All motor vehicle franchisors shall indemnify and hold harmless their motor vehicle franchisees from any and all claims, losses, damages, and expenses, including attorneys' fees, resulting from or related to complaints, claims or suits against the motor vehicle franchisee by third parties concerning defects or alleged defects in any of the merchandise or service systems, procedures or methods of the motor vehicle franchisors which are sold or performed by the motor vehicle franchisee. With regards to services rendered by a motor vehicle franchisee, the motor vehicle franchisor shall not be liable to the motor vehicle franchisee by virtue of this section for any claims, losses, expenses or damages arising as a result of negligence or willful malfeasance by the motor vehicle franchisee, but the motor vehicle franchisor shall be liable for damages arising from or in connection with any services rendered by a motor vehicle franchisee in accordance with any service system, procedure or method suggested or required by the motor vehicle franchisor. The foregoing provisions for indemnification shall specifically include, but without limiting the generality of the foregoing, any defects or damages to merchandise occurring in transit from the motor vehicle franchisor to the motor vehicle franchisee in situations in which the motor vehicle franchisor designates the carrier or method of transportation.
L.1977, c. 84, s. 2, eff. May 9, 1977.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-16 - Definitions.

56:10-16 Definitions.
1. a. "Committee" means the Motor Vehicle Franchise Committee established in section 2 of this act;
b. "Franchise" means a written arrangement for a definite or indefinite period in which a motor vehicle franchisor grants a right or license to use a trade name, trademark, service mark or related characteristics and in which there is a community of interest in the marketing of new motor vehicles at retail, by lease agreement or otherwise;
c. "Franchisee" means a natural person, corporation, partnership or entity to whom a franchise is granted by a motor vehicle franchisor;
d. "Motor vehicle" or "new motor vehicle" means only a newly manufactured motor vehicle, except a nonconventional type of motor vehicle, and includes all such vehicles propelled otherwise than by muscular power, and motorcycles, trailers and tractors, excepting such vehicles as run only upon rails or tracks and motorized bicycles; a "nonconventional type of motor vehicle" means every vehicle not designed or used primarily for the transportation of persons or property and only incidentally operated or moved over a highway;
e. "Motor vehicle franchisor" means a natural person, corporation, partnership or entity engaged in the business of manufacturing, assembling or distributing new motor vehicles, who will under normal business conditions during the year, manufacture, assemble or distribute at least 10 new motor vehicles;
f. "Relevant market area" means a geographic area 14 miles in radius from a proposed franchise or business as it relates to the grant, reopening or reactivation of a franchise or the establishment, reopening or reactivation of a business; and a geographic area 8 miles in radius from a relocated franchise or business, but if there are no existing franchisees in the same line make within an 8-mile radius of the relocated franchise or business, then the relevant market area includes the next closest existing franchisee in the same line make within a 14-mile radius. Determining whether an existing franchisee is within the relevant market area of a proposed or relocated franchise or business, and ascertaining any other measurement of distance, shall be made by measuring the distance between the nearest surveyed boundary line of the existing franchise and the nearest surveyed boundary line of the proposed or relocated franchise or business.
L.1982, c.156, s.1; amended 2011, c.66, s.6.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-17 - Motor vehicle franchise committee

56:10-17. Motor vehicle franchise committee
There is established in the Executive Branch of the State Government a committee which shall be known as the Motor Vehicle Franchise Committee. The committee shall consist of the Director of the Division of Motor Vehicles, the Commissioner of the Department of Commerce and Economic Development and the Director of the Division of Consumer Affairs. The Director of the Division of Motor Vehicles shall be the chairman of the committee. The committee shall meet from time to time at the call of the chairman, for the purpose of conducting hearings and rendering final determinations as provided for in this act. All papers required to be filed with the committee pursuant to this act shall be filed with the Director of the Division of Motor Vehicles. For purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the committee is allocated within the Department of Law and Public Safety, but notwithstanding that allocation, the committee shall remain independent of any supervision or control by the department or by any personnel thereof.
L.1982, c. 156, s. 2, eff. Oct. 27, 1982.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-18 - Conditions for franchise.

56:10-18 Conditions for franchise.
3. A motor vehicle franchisor may grant, relocate, reopen or reactivate a franchise or establish, relocate, reopen or reactivate a business, for the purpose of doing business on the retail level, only if the franchise or business will not be injurious as determined pursuant to section 8 of P.L.1982, c.156 (C.56:10-23).
L.1982, c.156, s.3; amended 2011, c.66, s.7.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-19 - Notice to existing franchisee, protest, appeal.

56:10-19 Notice to existing franchisee, protest, appeal.
4. A motor vehicle franchisor shall give its existing franchisees in the same line make within 20 miles of the proposed location for the proposed franchise or business as calculated using the methodology set forth in subsection f. of section 1 of P.L.1982, c.156 (C.56:10-16) not less than 90 days' advance written notice of its intention to grant, relocate, reopen or reactivate a franchise of the same line make or establish, relocate, reopen or reactivate a business. Any franchisee in the relevant market area of the proposed franchise or business may file with the committee a protest to the granting, relocating, reopening or reactivation of the franchise or the establishment, relocation, reopening or reactivation of the business within 30 days of receipt of the notice or 30 days after the end of any appeal procedure provided by the motor vehicle franchisor, whichever is later. Any motor vehicle franchisee entitled to file a protest that does not receive the written notice from the motor vehicle franchisor and consequently does not file a protest may file an action in the Superior Court against the motor vehicle franchisor and the court shall enjoin and nullify the grant, relocation, reopening or reactivation of the franchise or the establishment, relocation, reopening or reactivation of the business, regardless of whether a protest by such motor vehicle franchisee would have been successful. In any such action, a successful motor vehicle franchisee shall be entitled to an award of reasonable attorneys' fees, court costs and expenses. A protest shall set forth all reasons for objecting to the granting, reopening, or reactivation of a franchise and shall be accompanied by a concise statement of the facts and supporting affidavits for all issues raised in the protest. When a protest is filed, the chairman of the committee shall notify the motor vehicle franchisor and the franchisee in writing that it has been filed and shall forthwith determine either to transmit the protests to the Office of Administrative Law for hearing or to conduct a hearing directly.
L.1982, c.156, s.4; amended 2011, c.66, s.8.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-20 - Rights of franchisor.

56:10-20 Rights of franchisor.
5. The provisions of sections 3 and 4 of P.L.1982, c.156 (C.56:10-18 and 56:10-19) notwithstanding, a motor vehicle franchisor may:
a. Permit an existing franchisee to relocate his franchise within two miles of the franchisee's existing franchise location, except that a franchise may not be relocated pursuant to this subsection unless at least five years have elapsed since any previous relocation pursuant to this subsection;
b. Reopen or reactivate a franchise or business which has not been in operation for a period of two years or less at a site within two miles of the prior site, provided that the rights accorded to the franchisor herein shall not apply to a successor or assignee of the franchisor of the franchise or business at the time the franchise or business was closed or deactivated; or
c. Permit the purchaser of a controlling interest in the shares or substantially all of the operating assets of an existing franchise to relocate the place of business of the franchise within two miles of the previously approved franchise location within 180 days of the date of purchase.
L.1982, c.156, s.5; amended 1991, c.460; 1993, c.189, s.3; 2011, c.66, s.9.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-21 - Hearing on protest.

56:10-21 Hearing on protest.
6. The hearing referred to in section 4 of P.L.1982, c.156 (C.56:10-19) shall be conducted as a contested case in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c. 410 (C.52:14B-1 et seq.) and P.L.1978, c.67 (C.52:14F-1 et seq.). The franchisor shall have the burden of proving by a preponderance of the evidence that the proposed franchise or business will not be injurious. The testimony taken at the hearing shall be under oath and recorded verbatim, but the parties shall not be bound by the rules of evidence. True copies of any transcript and of any other record made of or at the hearing shall be furnished to any party upon request and at that party's expense. The committee may subpena witnesses and compel their attendance, administer oaths and require the production for examination of any books or papers relating to any matter involved in the hearing. The committee, at the request of any party, may subpena and compel the attendance of such witnesses as the party may designate and require the production for examination of any books or papers relating to any matter involved in the hearing.
L.1982, c.156, s.6; amended 2011, c.66, s.10.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-22 - Motion for determination that final determination will favor franchisee; prohibition of action by franchisor

56:10-22. Motion for determination that final determination will favor franchisee; prohibition of action by franchisor
When a protest has been filed, as provided for in this act, the franchisee may move for a determination by the committee that a prima facie case has been made that the final determination will be in favor of the franchisee. If such a finding is made, the motor vehicle franchisor shall not grant, relocate, reopen or reactivate the proposed franchise or establish, relocate, reopen or reactivate the proposed business until the committee has made a final determination that that action does not violate this act.
L.1982, c. 156, s. 7, eff. Oct. 27, 1982.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-24 - Parties responsible for own costs

56:10-24. Parties responsible for own costs
In any administrative proceeding under this act, each party shall be responsible for his own litigation costs and attorney fees. The committee shall assess and equally apportion among the parties to the hearing, and shall transfer to the Office of Administrative Law, the administrative hearing costs resulting from a protest filed pursuant to this act. Administrative hearing costs shall be based on a billing rate established by the Office of Administrative Law and approved by the Director of Budget and Accounting.
L. 1982, c. 156, s. 9; amended by L. 1987, c. 274, s. 1.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-25 - Rules and regulations

56:10-25. Rules and regulations
The committee may promulgate such rules and regulations as are necessary to implement the provisions of this act.
L.1982, c. 156, s. 10, eff. Oct. 27, 1982.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-26 - Definitions.

56:10-26 Definitions.
1. As used in this act:
"Consumer" means the purchaser, other than for resale, of a motor vehicle.
"Franchise" means a written arrangement for a definite or indefinite period in which a motor vehicle franchisor grants a right or license to use a trade name, trademark, service mark or related characteristics and in which there is a community of interest in the marketing of new motor vehicles at retail, by lease, agreement or otherwise.
"Motor vehicle" means and includes all vehicles propelled otherwise than by muscular power, and motorcycles, trailers and tractors, excepting: (1) those vehicles as run only upon rails or tracks, motorized bicycles, and buses, including school buses; and (2) those motor vehicles not designed or used primarily for the transportation of persons or property and only incidentally operated or moved over a highway.
"Motor vehicle franchisee" means a person to whom a franchise is granted by a motor vehicle franchisor and who or which holds a current valid motor vehicle dealer's license issued pursuant to R.S.39:10-19 and has an established place of business.
"Motor vehicle franchisor" means a person engaged in the business of manufacturing, assembling or distributing new motor vehicles, or importing into the United States new motor vehicles manufactured or assembled in a foreign country, who will under normal business conditions during the year, manufacture, assemble, distribute or import at least 10 new motor vehicles.
"New motor vehicle" means a newly manufactured motor vehicle.
"Person" means a natural person, corporation, partnership, trust, or other entity and, in the case of an entity, it shall include any other entity which has a majority interest in that entity or effectively controls that other entity as well as the individual officers, directors, and other persons in active control of the activities of each such entity.
"Place of business" means a fixed geographical location at which the motor vehicle franchisor's motor vehicles are offered for sale and sold, but shall not include an office, a warehouse, a place of storage, a residence or a vehicle.
"Zero emission vehicle" means a motor vehicle certified as a zero emission vehicle pursuant to the California Air Resources Board zero emission vehicle standards for the applicable model year, but shall not include an advanced technology partial zero emission vehicle, a partial zero emission vehicle, or a hybrid electric vehicle.
L.1985, c.361, s.1; amended 1991, c.409; 2015, c.24, s.3.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-27 - Sales through franchises only.

56:10-27 Sales through franchises only.
2. Except as provided pursuant to section 6 of P.L.2015, c.24 (C.56:10-27.1), it shall be a violation of this act for any motor vehicle franchisor, directly or indirectly, through any officer, agent, employee, broker or any shareholder of the franchisor, except a shareholder of 1% or less of the outstanding shares of any class of securities of a franchisor which is a publicly traded corporation, or other person, to offer to sell or sell motor vehicles, to a consumer, other than an employee of the franchisor, except through a motor vehicle franchisee.
L.1985, c.361, s.2; amended 2015, c.24, s.4.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-27.1 - Sale of zero emission vehicle.

56:10-27.1 Sale of zero emission vehicle.
6. Notwithstanding the provisions of any law, rule or regulation to the contrary, a motor vehicle franchisor licensed pursuant to R.S.39:10-19 on or prior to January 1, 2014 and exclusively manufacturing zero emission vehicles may buy from and sell, offer to sell, or deal to a consumer a zero emission vehicle, provided that the franchisor owns or operates, directly or indirectly:
(1) no more than four places of business in the State; and
(2) at least one retail facility for the servicing, including warranty servicing, of zero emission vehicles sold, offered for sale, or otherwise distributed in this State. This facility shall be furnished with all the equipment required to service a zero emission vehicle.
A franchisor shall not be required to establish or operate a place of business at a retail facility for the servicing of zero emission vehicles.
L.2015, c.24, s.6.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-28 - Prohibition of ownership by franchisor.

56:10-28 Prohibition of ownership by franchisor.
3. Except as provided pursuant to section 6 of P.L.2015, c.24 (C.56:10-27.1), it shall be a violation of this act for a motor vehicle franchisor, directly or indirectly, through any officer, agent, employee, broker or any shareholder of the franchisor, except a shareholder of 1% or less of the outstanding shares of any class of securities of a franchisor which is a publicly traded corporation, or other person, to own or operate a place of business as a motor vehicle franchisee, except that this section shall not prohibit the ownership or operation of a place of business by a motor vehicle franchisor for a period, not to exceed 24 consecutive months, during the transition from one motor vehicle franchisee to another; or the investment in a motor vehicle franchisee by a motor vehicle franchisor if the investment is for the sole purpose of enabling a partner or shareholder in that motor vehicle franchisee to acquire an interest in that motor vehicle franchisee and that partner or shareholder is not otherwise employed by or associated with the motor vehicle franchisor and would not otherwise have the requisite capital investment funds to invest in the motor vehicle franchisee, and has the right to purchase the entire equity interest of the motor vehicle franchisor in the motor vehicle franchisee within a reasonable period of time not to exceed 10 years.
L.1985, c.361, s.3; amended 1993, c.189, s.4; 2015, c.24, s.5.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-29 - Action by franchisee

56:10-29. Action by franchisee
A motor vehicle franchisee may bring an action against the motor vehicle franchisor which has granted its franchise, or any other person, in the Superior Court to enjoin any violation of this act and to recover, where appropriate, any damages sustained by the franchisee as a result of a violation of this act. The franchisee, if successful, shall also be entitled to costs of the action, including, but not limited to, reasonable attorney fees.
L. 1985, c. 361, s. 4, eff. Nov. 12, 1985.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-30 - Actions, alternate dispute resolution proceedings relative to franchise termination.

56:10-30 Actions, alternate dispute resolution proceedings relative to franchise termination.
12. a. Upon timely institution of an action or alternate dispute resolution proceeding to enjoin the termination of a motor vehicle franchise on the ground that such termination would be in violation of the "Franchise Practices Act," P.L.1971, c.356 (C.56:10-1 et seq.), the termination shall be automatically stayed pending the final disposition of such action or proceeding, and the motor vehicle franchisor shall accord the motor vehicle franchisee all rights and privileges of a franchisee as if notice of termination had not been given.
b. A successful motor vehicle franchisee in an action or alternate dispute resolution proceeding to enjoin the termination of a motor vehicle franchise shall be entitled to an injunction barring termination of the motor vehicle franchise in addition to any other relief provided for in section 10 of P.L.1971, c.356 (C.56:10-10).
c. In any action or alternate dispute resolution proceeding with respect to the termination of a motor vehicle franchise, the motor vehicle franchisor shall have the burden of proving that termination of the motor vehicle franchise does not violate section 5 of P.L.1971, c.356 (C.56:10-5). In proving good cause for termination in any such action, the motor vehicle franchisor shall be limited to the grounds for termination set forth in the written notice provided for in section 5 of P.L.1971, c.356 (C.56:10-5).
d. Notwithstanding the giving of notice of termination of a motor vehicle franchise pursuant to section 5 of P.L.1971, c.356 (C.56:10-5), at any time prior to the date on which the termination becomes effective, the motor vehicle franchisee may enter into an agreement for, and submit to the motor vehicle franchisor, notice of the transfer, assignment or sale of the motor vehicle franchise to another person. Thereupon, the motor vehicle franchisor shall proceed as provided for in section 6 of P.L.1971, c.356 (C.56:10-6). Upon approval of the transfer, assignment or sale by the motor vehicle franchisor and upon consummation of same, the notice of termination of the motor vehicle franchise shall be deemed withdrawn, and the transferee shall receive the motor vehicle franchise free and clear of all grounds for termination. Notwithstanding the terms of any notice, any court order or any other provision of law, a motor vehicle franchise termination shall not become effective while a notice of transfer, assignment or sale is pending with a motor vehicle franchisor.
L.2011, c.66, s.12.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:10-31 - Request for additional information by franchisor.

56:10-31 Request for additional information by franchisor.
13. If a motor vehicle franchisor desires information about a transaction or a proposed transferee, in addition to that provided with the notice of intent pursuant to section 6 of P.L.1971, c.356 (C.56:10-6), the motor vehicle franchisor shall request all such additional information in writing within 15 days of receipt of the notice of intent. A request for additional information shall not extend the time within which the motor vehicle franchisor must approve or disapprove the transfer, provided that the additional information is submitted to the motor vehicle franchisor within 30 days after the additional information is requested by the motor vehicle franchisor. If the additional information is submitted to the motor vehicle franchisor more than 30 days after the request for that information, the time period for the motor vehicle franchisor to approve or disapprove the transfer shall be extended so that the motor vehicle franchisor has 30 days to approve or disapprove the transfer after receipt of the additional information.
L.2011, c.66, s.13.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-1 - Definitions

56:11-1. Definitions
As used in this act:
"Consumer" means a natural person.
"Creditor" means a person, partnership, corporation, association or other entity who, in the ordinary course of business, regularly extends consumer credit.
"Consumer credit" means credit extended to a consumer, primarily for personal, family or household purposes, pursuant to a plan under which the creditor may permit the consumer to make purchases or obtain loans, from time to time, directly from the creditor or indirectly by use of a credit card, check or other device, as the plan may provide.
"Billing error" means the initial occurrence of an error by omission or commission by the creditor in a billing statement given to the consumer by the creditor in (a) posting any debit or credit or (b) the computation of any amount or (c) any similar error of an accounting nature.
L.1974, c. 146, s. 1.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-2 - Inapplicability of act to statements of accounts of public utilities

56:11-2. Inapplicability of act to statements of accounts of public utilities
This act shall not apply to statements of accounts rendered to customers by public utilities whose billing practices are subject to the jurisdiction and regulation of the Board of Public Utility Commissioners.
L.1974, c. 146, s. 2.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-3 - Written notice of billing error by consumer; acknowledgment by creditor; prohibition of communication on claimed billing error

56:11-3. Written notice of billing error by consumer; acknowledgment by creditor; prohibition of communication on claimed billing error
If a creditor, having transmitted to a consumer a statement of the consumer's account, receives from the consumer at an address designated therefor by the creditor in accordance with section 5 of this act, within 60 days of the mailing of said statement, a written notice, on a document other than a document provided by the creditor to accompany payment, by mail or other delivery setting forth sufficient information to enable the creditor to identify the consumer and the account, the amount and transaction shown in the statement which the consumer in good faith believes to be a billing error, and the facts providing the basis for the consumer's belief that the statement is in error; the creditor shall:
a. Not later than 30 days after receipt of the notice, mail a written acknowledgment to the consumer; and
b. Not later than 90 days after receipt of the notice and prior to taking any action to collect the amount believed by the consumer to be a billing error, (1) make appropriate corrections in the account of the consumer and mail to the consumer a written notice stating that the amount believed to be in error has been corrected and will be shown on the next statement mailed to the consumer or (2) send a written notice to the consumer setting forth the reasons why the creditor believes the account of the consumer was correctly shown in the statement; and
c. Not communicate unfavorable credit information concerning the consumer to any person, including but not limited to credit bureaus or credit reporting agencies, based upon the consumer's failure to pay the amount believed by him to be a billing error, until the creditor has complied with this section.
L.1974, c. 146, s. 3; L.1975, c. 94, s. 1, eff. May 14, 1975.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-4 - Transmittal of statements of account; collections

56:11-4. Transmittal of statements of account; collections
Notwithstanding the receipt by a creditor of a notice from a consumer as described in section 3 of this act, a creditor may, subject to the provisions of section 7 of this act, transmit statements of account to the consumer which include an amount believed by the consumer to be a billing error, and the creditor, further, may undertake collection procedures not attributable to such consumer's failure to pay, nor directed at, such disputed amount.
L.1974, c. 146, s. 4.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-5 - Address of creditor on statements of account

56:11-5. Address of creditor on statements of account
Every statement of account rendered by a creditor to a consumer shall include the address to be used by the consumer in making inquiries concerning his statement.
L.1974, c. 146, s. 5.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-6 - Written notice of procedures to consumers by creditors

56:11-6. Written notice of procedures to consumers by creditors
In the case of any account under a consumer credit plan having an outstanding debit or credit balance of more than $1.00 at or after the close of the creditor's first billing cycle, after October 28, 1975, the procedures to be followed under section 3 of this act (C. 56:11-3) shall be disclosed by the creditor in a notice mailed or delivered to the consumer not later than the time of mailing of the next billing statement. With or before the first billing statement on any consumer credit plan issued or offered to a new consumer after October 28, 1975 and upon each subsequent renewal of a consumer's account a written notice shall be sent (by any means reasonably assuring the receipt thereof by the consumer) which describes the procedures to be followed under section 3 of this act (C. 56:11-3).
L.1974, c. 146, s. 6. Amended by L.1975, c. 94, s. 2, eff. May 14, 1975.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-7 - Failure to comply; penalty

56:11-7. Failure to comply; penalty
Any creditor, having received a notice from a consumer as provided in section 3 of this act, who fails to comply with the requirements of that section:
a. If such an amount is not in fact a billing error, forfeits any rights to collect from the consumer any finance charge or other charge imposed by the creditor in connection with the amount so specified, from the date of the mailing of such notice to the date the creditor complies with section 3 of this act; and
b. If such amount is in fact a billing error, is liable to the consumer in an amount equal to the sum of:
(1) the actual damages sustained by the consumer as a result of the failure of the creditor to comply with such section;
(2) twice the amount of the billing error shown in the statement of the consumer's account except that liability under this paragraph shall not be greater than $100.00; and (3) in the case of any successful action to enforce the foregoing liability, the costs of the action together with a reasonable attorney's fee as determined by the court.
c. If such amount is in fact a billing error but the creditor shows by a preponderance of evidence that the violation was not intentional and resulted from bona fide error made despite the maintenance of procedures reasonably adopted to avoid any such error, the creditor shall be liable to the consumer only to the extent of the actual damages sustained by the consumer as a result of the failure of the creditor to comply with such section and the costs of any action brought to enforce collection of such erroneous bill together with a reasonable attorney's fee as determined by the court.
L.1974, c. 146, s. 7.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-8 - Conduct in compliance with Fair Credit Billing as compliance with this act

56:11-8. Conduct in compliance with Fair Credit Billing as compliance with this act
With respect to any inconsistencies between the provisions of this act and the "Fair Credit Billing Act" (Public Law 93-495, 58 Stat. 1511) comprising Title III of the Federal Truth in Lending Act (Public Law 90-321, 82 Stat. 146, 15 U.S.C. 1601 et seq.) conduct in compliance with said Federal law and regulations shall be deemed and construed to be conduct in compliance with the provisions of this act.
L.1975, c. 94, s. 4, eff. May 14, 1975.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-9 - Liability of creditor

56:11-9. Liability of creditor
The liability of a creditor under this act is in lieu of, and not in addition to, the creditor's liability under the Federal Fair Credit Billing Act. An action brought by a consumer with respect to a violation of this act may not be maintained pursuant to this act if a final judgment has been rendered for or against that consumer with respect to the same violation pursuant to the Federal Fair Credit Billing Act. An action brought by a consumer with respect to a violation of this act shall be abated upon motion by the creditor if an action, with respect to the same conduct, is pending before any court pursuant to the Federal Fair Credit Billing Act. If a final judgment has been rendered in favor of a consumer pursuant to this act and thereafter a final judgment with respect to the same conduct is rendered in favor of the same consumer pursuant to the Federal Fair Credit Billing Act, a creditor liable under both judgments has a cause of action against the consumer for appropriate relief to the extent necessary to avoid double liability with respect to the same conduct.
L.1975, c. 94, s. 5, eff. May 14, 1975.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-16 - Definitions

56:11-16. Definitions
As used in this act:
"Consumer" means a natural person.
"Credit card" means any instrument or device, whether known as a credit card, credit plate, or by any other name, issued with or without fee by an issuer for the use of the credit card holder in obtaining money, goods, services or anything else of value on credit.
"Credit card holder" means a consumer named on the face of a credit card to whom or for whose benefit the credit card is issued by an issuer.
"Consumer transaction" means the sale of goods, services or anything of value to a consumer, primarily for personal, family or household purposes.
"Issuer" means the person which issues a credit card or its duly authorized agent.
L.1990,c.72,s.1.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-17 - Personal identification information not required for credit card transaction

56:11-17. Personal identification information not required for credit card transaction
No person which accepts a credit card for a consumer transaction shall require the credit card holder, as a condition of using a credit card in completing the consumer transaction, to provide for recordation on the credit card transaction form or any other form, any personal identification information that is not required by the issuer to complete the credit card transaction, including, but not limited to, the credit card holder's address or telephone number, or both; provided, however, that the credit card holder's telephone number may be required on a credit card transaction form if the credit card transaction is one for which the credit card issuer does not require authorization.
L.1990,c.72,s.2.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-18 - Violations, penalties

56:11-18. Violations, penalties
Any person who violates any provision of this act shall be liable to a civil penalty of not more than $250 for the first offense and not more than $1,000 for the second and each subsequent offense. Any penalty imposed pursuant to this section shall be collected by summary proceedings instituted by the Attorney General in accordance with "the penalty enforcement law," N.J.S.2A:58-1 et seq.
L.1990,c.72,s.3.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-19 - Regulations

56:11-19. Regulations
The Attorney General of the State of New Jersey may promulgate regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this act.
L.1990,c.72,s.4.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-20 - Definitions

56:11-20 Definitions
1. As used in this act:
"Charge card" means a credit card on an account for which no periodic rate is used to compute a finance charge.
"Check" means a demand draft drawn on or payable through an office of a depository institution located in the United States that has imprinted on it the account holder's name and the depository institution's name, location and routing number.
"Consumer" means a natural person.
"Consumer transaction" means the sale of goods, services or anything of value to a consumer, primarily for personal, family or household purposes.
"Credit card" means any card, plate, coupon book, or other single credit device that may be used from time to time to obtain credit.
"Depository institution" means a state or federally chartered bank, savings bank, savings and loan association or credit union.
L.1991,c.281,s.1; amended 1999, c.234, s.1.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-21 - Accentance of checks for consumer transactions; cashing checks

56:11-21. Accentance of checks for consumer transactions; cashing checks
2. a. No person who receives a check in payment of an obligation resulting from a consumer transaction or who cashes a check for a consumer and which as a condition of such acceptance or the cashing of a check requires that the check drawer provide a credit card or charge card, shall record on the check or elsewhere, the card account number. Nothing in this section shall be construed to prohibit any person, as a condition for the acceptance of a check in payment for a consumer transaction or the cashing of a check for a consumer from doing either or both of the following:
(1) Requesting a consumer to display a credit card or charge card as a means of identification, or as an indication of credit worthiness or financial responsibility;
(2) Recording on the check the type of credit card or charge card so displayed and the credit card or charge card expiration date.
b. Nothing in this section shall:
(1) Require any person to accept a check in payment for a consumer transaction or to cash a check for a consumer regardless of whether a credit card or charge card is displayed; or
(2) Prohibit a person from recording a credit card number and expiration date on a check as the condition for cashing or accepting that check where that person has agreed with the card issuer to cash or accept checks from the issuer's cardholders and where the issuer guarantees those cardholders' checks.
L.1991,c.281,s.2; amended 1999, c.234, s.2.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-22 - Violations, penalty

56:11-22. Violations, penalty
3. Any person who violates any provision of this act shall be liable to a civil penalty of not more than $250 for a first offense and not more than $1,000 for a second and each subsequent offense. Any penalty imposed pursuant to this section shall be collected by summary proceedings instituted in the name of the Attorney General in accordance with "the penalty enforcement law" (N.J.S.2A:58-1 et seq.).
L.1991,c.281,s.3.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-23 - Regulations

56:11-23. Regulations
4. The Attorney General of the State of New Jersey may promulgate regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), necessary to effectuate the purposes of this act.
L.1991,c.281,s.4.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-24 - Credit card transctions forms by issuers

56:11-24. Credit card transctions forms by issuers
1. Any person, firm, partnership, association or corporation which issues forms used exclusively for credit card transactions between the credit cardholder and seller shall only issue credit card forms which:
a. are carbonless;
b. after the transaction is complete, do not render a separate piece of paper, carbon or otherwise, which readily identifies the cardholder by name or number, other than those necessary for use by the seller, credit cardholder and issuer to complete the credit card transaction;
c. are carbonized backed forms that may be retained for recordkeeping purposes of the seller, the seller's agent or subcontractor, the issuer or the credit cardholder; or
d. have a perforated or split carbon, half of which is disposable, and upon completion of the transaction the disposable portion of the carbon renders only half of the cardholder's name and account number.
L.1991,c.482,s.1.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-25 - Credit card transaction forms by accepters

56:11-25. Credit card transaction forms by accepters
2. a. Any person, firm, partnership, association or corporation which accepts credit cards used exclusively for credit card transactions shall only use credit card forms which:
(1) are carbonless;
(2) after the transaction is complete, do not render a separate piece of paper, carbon or otherwise, which readily identifies the cardholder by name or number, other than those necessary for use by the seller, credit cardholder and issuer to complete the credit card transaction;
(3) are carbonized backed forms that may be retained for recordkeeping purposes of the seller, the seller's agent or subcontractor, the issuer or the credit cardholder; or
(4) have a perforated or split carbon, half of which is disposable, and upon completion of the transaction the disposable portion of the carbon renders only half of the cardholder's name and account number.
b. No person, firm, partnership, association or corporation which accepts credit cards for the transaction of business shall be deemed to have violated the provisions of subsection a. of this section, if that person, firm, partnership, association or corporation shows by a preponderance of evidence that the violation was not intentional and resulted from bona fide error made notwithstanding the maintenance of procedures reasonably adopted to avoid any such error.
c. The provisions of subsection a. of this section shall not apply to forms used for a special purpose incidental to the credit card transaction but related to shipping, delivery or installment of purchased merchandise or special orders.
L.1991,c.482,s.2.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-26 - Violations, fines

56:11-26. Violations, fines
3. A violation of section 1 of this act shall be punishable by a civil fine not to exceed $1,000. A violation of section 2 of this act, if the violation constitutes the first offense by the person shall be punishable by a civil fine not to exceed $250. The second offense and any offense committed thereafter shall be punishable by a civil fine not to exceed $1,000.
L.1991,c.482,s.3.
2023 New Jersey Revised Statutes › Title 56 - Trade Names, Trade-Marks and Unfair Trade Practices › Section 56:11-27 - Injunctive relief

56:11-27. Injunctive relief
4. Whenever there shall be a violation of this act an application may be made by the Attorney General in the name of the people of the State to a court having jurisdiction by a special proceeding to issue an injunction, and upon notice to the defendant of not less than five days, to enjoin and restrain the continuance of the violation; and if it shall appear to the satisfaction of the court that the defendant has, in fact, violated this act, an injunction may be issued by the court, enjoining and restraining any further violations, without requiring proof that any person has in fact, been injured or damaged thereby.
L.1991,c.482,s.4.