Trenton, NJ – A newly introduced bill in the New Jersey Legislature aims to regulate the use of biometric surveillance systems by business entities, prohibiting their use under specific conditions.
The bill, sponsored by Assemblyman Robert J. Karabinchak (District 18), Assemblyman Louis D. Greenwald (District 6), and Assemblywoman Yvonne Lopez (District 19), with co-sponsorship from Assemblywoman Speight, intends to supplement P.L.1960, c.39.
The legislation defines a biometric surveillance system as any software performing facial recognition or other biometric recognition. It outlines that a business entity includes any legal commercial entity organized under state or foreign jurisdiction laws.
According to the bill, it will be unlawful for a business entity to use biometric surveillance on consumers at its physical premises without providing clear notice and ensuring the surveillance serves a lawful purpose. Notice can be given by posting signs at the perimeters of surveillance areas.
If a business uses biometric data to deny access or remove a consumer from its premises, it must provide a detailed explanation of its actions and criteria used. The bill mandates compliance within 30 days of a first violation notice to avoid penalties.
The bill also prohibits business entities from profiting from biometric data by selling, leasing, trading, or sharing it. Violations will be treated as unlawful practices under the Consumer Fraud Act, with penalties up to $10,000 for the first offense and $20,000 for subsequent offenses. Additional penalties may include cease and desist orders, punitive damages, and the awarding of treble damages and costs to injured parties.
This act, pending technical review, will take effect on the first day of the sixth month following its enactment, ensuring businesses comply with the new regulations.