New Jersey is widely considered to be among the most consumer-protective states in the country. One of New Jersey’s broader consumer protection laws is the Truth-in-Consumer Contract, Warranty and Notice Act (TCCWNA). While this statute is not new, of late it has become a favorite tool of plaintiffs’ counsel in fashioning class action complaints seeking potentially staggering damages awards.
Recent cases under the TCCWNA have targeted various terms and conditions that retailers seek to impose for transacting business on their websites, such as contractual limitations of liability and waivers of consumers’ rights to recover attorneys’ fees. In light of the liberal construction courts and commentators alike have given the TCCWNA, retailers doing business over the Internet need to be particularly mindful of their online terms and conditions, which, if not carefully constructed, could expose those companies to expensive litigation.