N.J. Admin. Code § 3:18-3.3

Current through Register Vol. 56, No. 21, November 4, 2024

Section 3:18-3.3 - Coverage of the bond; compensable claims

(a) The surety company shall pay consumers' claims based on the damages directly incurred as a result of the wrongful act, default, fraud, or misrepresentation of the business licensee or any employee of such licensee.

(b) Attorney's fees, pre- or post-judgment interest, court costs, and similar charges are not recoverable through the bond, unless such charges are included in a final judgment against the licensee and the surety company was given prior notice of the court action and an opportunity to respond.

(c) The bond shall not be payable for claims made by business creditors.

(d) The bond shall not be payable for treble damage claims pursuant to the Consumer Fraud Act or any other State or Federal law.

N.J. Admin. Code § 3:18-3.3