TRENTON, NJ—In an effort to protect consumers, New Jersey Assemblywoman Nancy F. Munoz has sponsored a bill aimed at service repair contractors.
The bill seeks to prevent contractors from charging hourly rates for travel time to or from a service location.
Under the proposed legislation, imposing hourly travel fees on consumers under a service repair contract would be considered an unlawful practice. A “service repair contract” is defined as any agreement for the maintenance, repair, replacement, or servicing of tangible personal property for either a fixed period or a specific duration.
This act is set to be implemented 90 days after its enactment. Violations of this new regulation will be subject to significant penalties under the Consumer Fraud Act, including fines up to $10,000 for a first offense and up to $20,000 for subsequent violations.
Further consequences could include cease and desist orders, punitive damages, and the potential for treble damages and costs awarded to affected consumers.
