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Class Actions Litigation Products Liability

Defeating Certification of “No-Injury” Consumer Protection Class Actions

In the past several years, plaintiffs’ firms have threatened or brought class actions against different companies under New Jersey’s Truth-in-Consumer Contract Warranty and Notice Act (TCCWNA). Here's what you need to know.

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In the past several years, plaintiffs’ firms have threatened or brought class actions against different companies under New Jersey’s Truth-in-Consumer Contract Warranty and Notice Act, N.J.S.A. §§ 56:12-14, et seq. (TCCWNA). This statute applies to a “consumer or prospective consumer” who is offered or enters a “written consumer contract” that “includes any provision that violates any clearly established legal right of a consumer” under state or federal law “at the time the offer is made or the consumer contract is signed … .” N.J.S.A. § 56:12-15. Relevant to product manufacturers, resellers, lessees or servicers, the Act applies to any “seller [or] lessor” and defines a “consumer” as “any individual who buys, leases, [or] borrows any … property or service which is primarily for personal, family or household purposes.” Id. A company that violates TCCWNA is liable for a civil penalty of not less than $100 or actual damages, or both, at the election of the consumer, together with attorney fees and court costs. N.J.S.A. § 56:12-17.

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