New Jersey’s Division of Consumer Affairs has issued warnings to more than 3,000 car dealerships across the state, reminding them they must offer consumers the option to delete personal data from vehicles before they are resold or leased.
The reminder follows enactment of a 2024 state law requiring data deletion services when dealerships accept a vehicle. The law aims to protect consumers from the risk of data exposure through infotainment systems that store synced mobile data, including contacts, text messages, navigation history, and even financial information linked through in-car apps.
Attorney General Matthew Platkin emphasized the threat of identity theft and unauthorized data access, particularly as drivers often sync personal devices to vehicles without realizing their data remains stored even after surrendering the car.
Dealerships that fail to comply can face civil penalties starting at $500 for a first offense and $1,000 for additional violations. The letters outline procedures for compliance, including factory resets and manufacturer-recommended data-clearing methods.
Acting Director of the Division of Consumer Affairs Elizabeth Harris noted that while consumers are cautious with computers and smartphones, many are unaware that vehicles pose similar risks when returned, traded, or sold.
The state initiative is part of a broader push to raise consumer awareness and enforce compliance across the auto industry.
Key Points
- Over 3,000 auto dealerships in New Jersey were reminded of their legal duty to offer data deletion from vehicles before resale or lease
- Law requires deletion of personal information stored in infotainment systems, including call logs, texts, and financial data
- Dealerships face fines starting at $500 for failing to comply with the state’s data privacy law
Auto dealers now face financial penalties if they ignore New Jersey’s mandate to erase customer data from vehicles.
