NJ signs Motor Vehicle Open Recall Notice and Fair Compensation Act

New Jersey Governor
New Jersey Governor
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The New Jersey Coalition of Automotive Retailers (NJ CAR) has expressed support for the recent signing of S3309/A4380, known as the “Motor Vehicle Open Recall Notice and Fair Compensation Act,” by Governor Phil Murphy. The organization states that this new law will improve fairness, safety, and accountability in how manufacturers address recalls and warranty work on private vehicles.

“This legislation represents a critical step forward in protecting consumers, leveling the playing field for locally owned dealerships, and ensuring that automakers fairly compensate those who fix their mistakes,” said Laura Perrotta, President of NJ CAR.

Ronald Baus, Jr., Chairman of NJ CAR, added: “On behalf of NJ CAR and our dealer members, I want to thank Governor Murphy, Senate President Nicholas Scutari, and Assembly Speaker Craig Coughlin for their leadership in advancing this important consumer protection and fairness law. Additionally, NJ CAR would like to thank the NJ AFL-CIO, the NJ State Council of Machinists, and the United Service Workers Union for their tireless effort to make the voice of automotive technicians heard and for conveying the need for this legislation.” He continued: “Bringing New Jersey’s laws in-line with our neighboring states will ensure that family-owned and operated businesses like ours, as well as all dealerships across the State, will be fairly compensated while keeping drivers safe on the road.”

The act is scheduled to take effect on April 1, 2026. According to NJ CAR, it aims to provide stronger protections for consumers regarding vehicle recalls. It also guarantees fair compensation for dealership technicians performing recall and warranty work throughout New Jersey. The coalition believes these measures will help remove unsafe vehicles from roads and enhance community safety.



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