Seller Beware: Recent Lawsuits Under N.J. Truth-in-Consumer Contract, Warranty and Notice Act Target E-Commerce Businesses

Online retailers across the United States have one more issue to consider as they prepare for the next sale: a growing number of lawsuits under the New Jersey Truth-in-Consumer Contract, Warranty and Notice Act (TCCWNA) alleging that standard online terms of service agreements on websites violate the New Jersey bar on deceptive notices.

The TCCWNA—N.J.S.A. 56:12-14 et. seq.—was enacted in 1981 to prohibit businesses from using provisions that deceived consumers about their legal rights. The statute provides a private right of action that allows both actual customers and prospective buyers to bring suit against businesses. Businesses that violate the TCCWNA are liable to aggrieved consumers for $100, actual damages, or both, as well as reasonable attorneys’ fees and court costs.

To read the full text of the Alert, please visit www.duanemorris.com.

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The opinions expressed on this blog are those of the author and are not to be construed as legal advice.

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