NJ’s High Court Adopts Rule Permitting Personal Liability under the Consumer Fraud Act on Officers, Managers, Owners and/or Employees of Construction Firms for Statutory Violations

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In Allen v. V & A Brothers, Inc., 2011 N.J. Lexis 697 (July 7, 2011), New Jersey’s Supreme Court issued a ruling in a hotly contested case on the issue 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”). In the context of that residential construction case, the Court held that they may, and adopted a fact-specific test for liability that will render it difficult for such defendants to extricate themselves from a case with a pre-trial motion, should they find themselves named in a lawsuit.

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Published In: General Business Updates, Construction Updates, Consumer Protection Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Kevin O'Connor, Peckar & Abramson, P.C. | Attorney Advertising

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