This bill amends the New Jersey Consumer Fraud Act (CFA) by establishing specific requirements for individuals seeking to assert a cause of action under the act. It mandates that a claimant must demonstrate that they acted as a reasonable consumer, that the alleged unlawful practice would mislead a reasonable consumer, and that they suffered actual damages supported by definitive evidence. Additionally, the bill allows courts to dismiss claims that do not meet these criteria, thereby aiming to reduce frivolous lawsuits and protect businesses from unwarranted litigation.

Furthermore, the bill introduces limitations on the awarding of attorneys' fees in CFA cases. It stipulates that any awarded fees must be reasonably related to the monetary judgment and, in cases of equitable relief, should reflect the time reasonably expended. This change is intended to ensure that attorneys' fees are proportionate to the damages awarded, thereby discouraging excessive claims and promoting fairness in legal proceedings related to consumer fraud. The bill is designed to enhance protections for businesses while ensuring that consumers can only pursue legitimate claims where actual harm has occurred.

Statutes affected:
Introduced: 56:8-19