NJ Assembly Advances Consumer Contract Restrictions

By Martin Bricketto (February 5, 2015, 5:09 PM EST) -- New Jersey legislation that would bar consumer contracts in which customers waive their ability to sue, file class actions and lose other rights was cleared by a state Assembly committee on Thursday despite business objections that the measure runs afoul of federal arbitration law.

During a morning hearing of the Assembly Consumer Affairs Committee, Assemblyman Paul Moriarty, D-Gloucester, suggested that the legislation he and other Democratic lawmakers are sponsoring would help protect consumers from forced arbitration or unreasonable arbitration demands. The committee, which Moriarty chairs, reported the bill in a 3-1 vote.

During an exchange with Jim Appleton of the New...

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