NJ Supreme Court Dodges Question of Whether Consumer Fraud Act Can Be Applied in Context of Commercial Dispute Between Merchants


In my prior articles I’ve reviewed the dramatic changes in the law of late, where New Jersey courts have applied the New Jersey Consumer Fraud Act (“CFA”) in any number of circumstances beyond the consumer context. Opinions on this subject are mixed, with some arguing that the law is being expanded to provide greater protection to those who need it, and others arguing that these cases are setting dangerous precedents that deter businesses from expanding in this State. While it was hoped that the New Jersey Supreme Court would squarely address the appropriateness of applying the CFA in a dispute between two commercial businesses when it agreed to hear the appeal in Pomerantz Paper Corp. v. New Community Corp., 2010 N.J. Super. Unpub. Lexis 1458 (App. Div. July 1, 2010), certif. granted, 205 N.J. 16 (2010), the Court has completely dodged the issue.

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