New Guidance on Imposing Personal Liability on Construction Firm Owners for Consumer Fraud Act claims

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Earlier this year, the New Jersey Supreme Court in Allen v. V & A Brothers, Inc., 208 N.J. 114 (2011), ruled on the question of whether officers, owners, managers and/or employees of businesses providing services to consumers can be sued individually (alongside the company) and be held personally accountable for statutory violations under New Jersey’s Consumer Fraud Act, N.J.S.A. § 56:8-1 et seq. (“CFA”), and held that they could. This week, the New Jersey Appellate Division in Kort v. Renier Van Aswegen, 2011 WL 5137833 (App. Div. Nov. 1, 2011), provided some guidance on how that ruling will apply in construction cases.

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