Bill Text: NJ A4234 | 2024-2025 | Regular Session | Introduced
Bill Title: Requires sellers and secured parties to deliver certificates of ownership to motor vehicle buyers in timely manner.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-05-02 - Introduced, Referred to Assembly Transportation and Independent Authorities Committee [A4234 Detail]
Download: New_Jersey-2024-A4234-Introduced.html
Sponsored by:
Assemblywoman ROSAURA "ROSY" BAGOLIE
District 27 (Essex and Passaic)
SYNOPSIS
Requires sellers and secured parties to deliver certificates of ownership to motor vehicle buyers in timely manner.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the delivery of certificates of ownership to motor vehicle buyers and amending R.S.39:10-10.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. R.S.39:10-10 is amended to read as follows:
39:10-10. [When] a. Within 30 days of the performance of the contract or terms of the security agreement noted on the certificate of origin [,] or certificate of ownership [have been performed], the seller or secured party shall deliver the certificate of ownership to the buyer [the certificate of ownership thereto], executed as provided in this chapter, with proper evidence of satisfaction of the contract or termination of the security interest. The seller or secured party shall not charge a fee for the delivery of a certificate of ownership pursuant to this subsection.
It shall be an unlawful practice and a violation of P.L.1960, c.39 (C.56:8-1 et seq.) for a seller or secured party to fail to comply with the provisions of this subsection. Such violation shall be subject to all remedies and penalties available pursuant to P.L.1960, c.39 (C.56:8-1 et seq.).
b. Within 15 days after the performance of the contract or termination of the security interest, the seller or secured party shall file with the [director] chief administrator a notice, in such form as the [director] chief administrator shall prescribe, containing evidence of such performance or termination. The [director] chief administrator shall thereupon cause a notation to be made on [his] the commission's records of certificate of ownership of the motor vehicle that the contract has been satisfied or that the security interest has been terminated.
Any person violating the provisions of this [section] subsection shall pay a fine of [$25.00] $25.
(cf: P.L.1961, c.122, s.4)
2. This act shall take effect immediately.
STATEMENT
This bill requires sellers and other secured parties to deliver certificates of ownership to motor vehicle buyers within 30 days of the performance of a contract or the terms of a security agreement. Sellers and secured parties are prohibited from charging a fee for the delivery of a certificate of ownership.
Under the bill, it is an unlawful practice and a violation of the consumer fraud act for sellers and secured parties to fail to comply with the provisions of the bill. An unlawful practice under the consumer fraud act is punishable by a monetary penalty of not more than $10,000 for a first offense and not more than $20,000 for any subsequent offense. In addition, a violation of the consumer fraud act can result in cease and desist orders issued by the Attorney General, the assessment of punitive damages, and the awarding of treble damages and costs to the injured party.
