STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Senator NELLIE POU
District 35 (Bergen and Passaic)
SYNOPSIS
Bars certain limitations on number of consumer contract claims that are allowed to proceed at same time.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning certain claims filed against consumer contracts and supplementing P.L.1980, c.125 (C.56:12-1 et seq.)
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. A consumer contract shall not limit the number of claims made against the contract that are allowed to proceed at the same time in an adjudication if:
a. the claims are similar; and
b. the claimants are represented by the same legal counsel or different legal counsel coordinating the adjudication of the claims.
As used in this section, “adjudication” means a legal proceeding, including, but not limited to, litigation and alternative dispute resolution, including arbitration and mediation, to resolve a legal dispute.
2. This act shall take effect immediately and shall apply to consumer contracts agreed to on or after the date of enactment.
STATEMENT
This bill prohibits a consumer contract from limiting the number of claims made against the contract that are allowed to proceed at the same time in an adjudication if 1) the claims are similar and 2) the claimants are represented by the same legal counsel or different legal counsel coordinating the adjudication of the claims. Under the bill, “adjudication” means a legal proceeding, including, but not limited to, litigation and alternative dispute resolution, including arbitration and mediation, to resolve a legal dispute.
This bill is intended to protect a consumer’s right to an expeditious adjudication. Specifically, the bill intends to preserve the speed of the adjudication for a consumer who hires legal counsel who is working with, or who may work with, multiple consumers on similar claims that arose from the same contract or who is coordinating the adjudication of the claims with other legal counsel working with consumers on similar claims from the contract.