Consumer Fraud Act

New Jersey Consumer Fraud Act (CFA)
Defending Your Company Against Alleged Violations of the New Jersey Consumer Fraud Act

The New Jersey Consumer Fraud Act (CFA) was signed into law in 1960 and provides some of the strongest consumer protections available anywhere in the United States. The Act was amended in 1971 to add additional protections for consumers within the state. At the Di Lauri & Hewitt Law Group, we can provide your company with representation to defend yourself against legal actions relating to the CFA. We work with you to provide the best defense for your company both in and out of the courtroom setting to ensure that your case is handled in the most appropriate and effective way possible.

Three Basic Types of Consumer Fraud

Under the provisions of the New Jersey CFA, companies can be held liable for consumer fraud that was committed in one of three ways:

• Affirmative misrepresentation is the act of stating something that is not true, whether or not the company knew that it was not true at the time of the statement.
• Knowing omissions occur when a company deliberately withholds relevant information from consumers to make a sale or to market a service.
• The CFA also enforces specific statutes that apply to certain industries. Some common violations of the CFA under these statutes include the sale of non-kosher food as kosher and the failure to provide accurate information about a property during a real estate transaction.

Making sure your company stays on the right side of these legal requirements can help you avoid serious financial consequences. At the Di Lauri & Hewitt Law Group, we can provide you with guidance and representation at every stage of your CFA case.

Affirmative Acts and Knowing Omissions

The state of New Jersey makes a distinction between the commission of affirmative acts of fraud or deception and the knowing omission of facts relevant to the purchase decisions of consumers:

• For affirmative acts that are in violation of the CFA, there is no requirement that the plaintiff show that these acts were committed with a knowing intent to mislead.
• Acts of omission that are covered under the CFA, by contrast, must have been committed knowingly. If the company did not know it was required to offer certain information or was not aware of the information at the time of the sale, then it may not be held liable for violations of the CFA.

The Di Lauri & Hewitt Law Group can help your company to determine if these distinctions are relevant to your case and can provide you with guidance and support for cases involving violations of the New Jersey CFA.

Three Requirements for Proving Violations

To prevail in court, plaintiffs alleging a violation of the CFA must show that their case meets three basic criteria:

• The defendant must have acted in an unlawful manner.
• There must be a provable loss by the plaintiff.
• The defendant’s unlawful actions must have caused the losses sustained by the plaintiff.

The provisions of the CFA are intended to provide protection for consumers against possible deception, misrepresentation or omission of relevant facts on the part of companies that produce or sell merchandise or services within the state.

Penalties for New Jersey CFA Violations

If your company is found to be in violation of the CFA, you could be liable for triple damages and all attorney fees associated with the legal action. This could add up to a significant financial burden for you and your company. Individuals, business owners and businesses can all be held responsible for violations of the CFA under New Jersey state law. Working with the experienced attorneys at Di Lauri & Hewitt Law Group can be a good first step toward protecting your company against financial repercussions and potential damage to its reputation.

At the Di Lauri & Hewitt Law Group, we offer the most assertive representation for your company in defending against allegations of CFA violations. We work with you to ensure the most practical and effective strategies for your case both in and out of court. Contact us today to discuss your case with us. Our team of legal professionals is ready to provide you with the representation you need to protect your company financially and to safeguard your good name.

Di Lauri & Hewitt Law Group

55 Madison Ave, Suite 400
Morristown, NJ 07960
Tel: (973) 285-3220