New Jersey Democrats are once again putting undue pressure on the backs of small business owners and New Jersey Assemblyman Brian Bergan (R) says it has to stop. The bill, sponsored by Democrats will require all New Jersey business owners to provide their staff with credit card fraud training or face fines of up to $1,000 per incident.
Bergen slammed the bill as a “one size doesn’t fit all” measure.
The bill provides that the guidelines would include, but not be limited to: (1) information raising public awareness of the prevalence of gift card fraud; (2) information concerning common gift card fraud schemes; and (3) best practices for retail mercantile establishments to prevent gift card fraud. The guidelines would be published on the Internet websites of the Department of Law and Public Safety and the Division of Consumer Affairs, and updated periodically, as necessary.
A retail mercantile establishment that does not train employees as required by its provisions would be subject to a civil penalty in the amount of $1,000. However, failure to train employees would not be considered an unlawful practice in violation of the New Jersey consumer fraud act.
Bergen said the bill should be modified to include only reasonable retailers. The bill is an attempt to stop fraud and people buying large domination gift cards through online ’emergency’ phone scams.
“Nobody is spending $1,000 on Dunkin’ Donuts,” he said. “This isn’t happening.”
Bergen said the bill, borne out of good intention fails New Jersey’s small businesses such as spas, coffee shops, restaurants and others as most of the fraud involved in those scams involve large box stores and bank gift cards, not gift cards to the local video game sore.
“You gotta stop. The small businesses are hurting,” Bergen said.
The bill passed in a partisan vote, with Republican Ron Dancer voting in favor of the bill in a 53-22 vote.