This bill establishes a private right of action for individuals who have been denied a professional license, certification, registration, or other authorization by state entities, claiming that the denial is due to policies or processes that result in a disparate impact based on race or ethnicity. Individuals can file a verified complaint with the Division of Civil Rights or the New Jersey Superior Court, following the provisions of existing discrimination laws. The burden of proof lies with the individual to demonstrate that the denial was influenced by a policy or process that disproportionately affects certain racial or ethnic groups.

Additionally, the bill outlines specific criteria that must be met to establish a claim of disparate impact, including the examination of policies that may be inconsistently applied or unrelated to the profession. It also provides a defense for licensing entities if they can justify their policies as being based on legitimate factors that do not perpetuate racial or ethnic disparities. The bill emphasizes that if alternative policies exist that could achieve the same goals without causing disparate impacts, those should be considered.