Law Office Of Paul DePetris
paul@newjerseylemon.com

How Does A New Jersey Homeowner Cancel A New Jersey Home Repair Contract FAQs

INTRODUCTION
Read below to learn more about this topic. Or, to receive a no cost phone consultation, call Mr. DePetris at 609-714-2020 or send him an email. Warning – this article does not necessarily include every New Jersey court rule, code or law that may apply to your New Jersey case! The Law Office of Paul DePetris does not guarantee that the statutes, rules, codes, files or forms on this website are the latest versions, that they lack typographical errors or that they have not changed, repealed or superseded by other laws. Before taking any action, read all applicable federal and state source law and case law and consult with an attorney. Court addresses, hours of operation and directions may change so check with the court in advance of mailing documents to court or going there! Some of the webpages on this site don’t apply to all types of New Jersey cases, since there are different rules for different case types!

HOW DO I CANCEL A NEW JERSEY HOME REPAIR CONTRACT FAQS?

HAVING REGRETS ABOUT SIGNING A NEW JERSEY HOME REPAIR CONTRACT AND YOU WANT TO CANCEL IT AND GET YOUR DEPOSIT BACK?
Did you or someone you know sign a New Jersey home repair contract and you or they want to cancel a New Jersey home repair contract because you think the deal is a bad one? New Jersey home repair fraud is a serious problem in New Jersey. New Jersey homeowners are often victimized by fraudulent New Jersey home repair contracts and New Jersey home repair contractors who take the New Jersey homeowner’s money never intending to complete the New Jersey home improvement that the contractor promised to perform for the New Jersey homeowner. The New Jersey Consumer Fraud Act’s New Jersey home repair contract requirements provide a powerful weapon to combat New Jersey home repair contract fraud. Don’t be a victim of New Jersey home repair fraud – if you are in time you may be able to cancel your New Jersey home repair contract and get your deposit back from the New Jersey home repair contractor!

WHY IS A NEW JERSEY HOMEOWNER ALLOWED TO CANCEL A NEW JERSEY HOME REPAIR CONTRACT?
To cancel a New Jersey home repair contract, the New Jersey homeowner must understand the New Jersey law that applies to New Jersey home repair contracts that allows New Jersey homeowners to cancel a New Jersey home repair contract. The New Jersey Consumer Fraud Act provides strong protections to New Jersey homeowners signing New Jersey home repair contracts. The New Jersey Contractor’s Registration Act is a subsection of the New Jersey Consumer Fraud Act that regulates the conduct of New Jersey home repair contractors and the contents of New Jersey home repair contracts. Under the New Jersey Contractor’s Registration Act, for New Jersey home repair contracts for a purchase price in excess of $500, New Jersey home repair contractors must give the New Jersey homeowner time to decide whether to cancel a New Jersey home repair contract. Failure to provide this opportunity to the New Jersey homeowner or to notify the New Jersey homeowner of their right to cancel a New Jersey home repair contract may result in a New Jersey Consumer Fraud Act violation.

NEW JERSEY HOME REPAIR CONTRACT’S MANDATORY DISCLOSURES REGARDING CANCELLATION
To cancel a New Jersey home repair contract, the New Jersey homeowner must be familiar with the mandatory disclosures under the New Jersey Contractors’ Registration Act that New Jersey home repair contractors must make to New Jersey homeowners. Under the New Jersey Contractor’s Registration Act, on or after December 31, 2005, every New Jersey home repair contract for a purchase price in excess of $500, and all changes in the terms and conditions of the contract, shall be in writing. The contract shall be signed by all parties thereto, and shall clearly and accurately set forth in legible form and in understandable language all terms and conditions of the contract, including but not limited to:

(1) The legal name, business address, and registration number of the New Jersey home repair contractor;

(2) A copy of the certificate of commercial general liability insurance required of a contractor pursuant to section 7 of the New Jersey Home repair Contractor Law, also known as the New Jersey Contractor’s Registration Act and the telephone number of the insurance company issuing the certificate; and

(3) The total price or other consideration to be paid by the owner, including the finance charges.

(4) The contract shall contain a conspicuous notice printed in at least 10-point bold-faced type as follows:

"NOTICE TO CONSUMER

YOU MAY CANCEL THIS CONTRACT AT ANY TIME BEFORE MIDNIGHT OF THE THIRD BUSINESS DAY AFTER RECEIVING A COPY OF THIS CONTRACT. IF YOU WISH TO CANCEL THIS CONTRACT, YOU MUST EITHER:

1. SEND A SIGNED AND DATED WRITTEN NOTICE OF CANCELLATION BY REGISTERED OR CERTIFIED MAIL, RETURN RECEIPT REQUESTED; OR

2. PERSONALLY DELIVER A SIGNED AND DATED WRITTEN NOTICE OF CANCELLATION TO:

(Name of Contractor)

(Address of Contractor)

(Phone Number of Contractor)

If you cancel this contract within the three-day period, you are entitled to a full refund of your money. Refunds must be made within 30 days of the New Jersey home repair contractor's receipt of the cancellation notice."

WHEN TO CANCEL A NEW JERSEY HOME REPAIR CONTRACT AND HOW TO CANCEL A NEW JERSEY HOME REPAIR CONTRACT
To cancel a New Jersey home repair contract, the New Jersey homeowner must be familiar with the New Jersey home repair contractor’s obligations under the New Jersey Contractor’s Registration Act. Under the New Jersey Contractor’s Registration Act, on or after December 31, 2005, a New Jersey home repair contract may be cancelled by a New Jersey homeowner for any reason at any time before midnight of the third business day after the New Jersey homeowner receives a copy of it. In order to cancel a contract the New Jersey homeowner shall notify the New Jersey home repair contractor of the cancellation in writing, by registered or certified mail, return receipt requested, or by personal delivery, to the address specified in the contract. This writing is called the notice to cancel the home repair contract.

WHAT HAPPENS WHEN A NEW JERSEY HOMEOWNER CANCELS A NEW JERSEY HOME REPAIR CONTRACT?
After a New Jersey homeowner timely decides to cancel a New Jersey home repair contract, all moneys paid pursuant to the cancelled contract shall be fully refunded within 30 days of receipt of the notice to cancel the home repair contract. If the New Jersey homeowner has executed any credit or loan agreement through the New Jersey home repair contractor to pay all or part of the contract, the agreement or note shall be cancelled without penalty to the New Jersey homeowner and written notice of that cancellation shall be mailed to the New Jersey homeowner within 30 days of receipt of the notice of cancellation.

WHAT PENALTIES DO NEW JERSEY HOME REPAIR CONTRACTORS FACE IF THEY FAIL TO ACCEPT A TIMELY NOTICE TO CANCEL A NEW JERSEY HOME REPAIR CONTRACT UNDER THE NEW JERSEY CONSUMER FRAUD ACT?
Under the New Jersey Contractor’s Registration Act, it is an unlawful practice and a New Jersey Consumer Fraud Act violation to violate any provision of the New Jersey Home repair Regulations. The following are some of the remedies that New Jersey home repair contractor fraud victims may be entitled to under the New Jersey Consumer Fraud Act:
• Cancellation of fraudulent debts.
• Treble damages for ascertainable loss of money or property caused by the New Jersey Consumer Fraud Act Violation.
• Attorney’s fee award for prosecuting the New Jersey Consumer Fraud Act Violation or defending against lawsuits by contractors to collect a fraudulent debt.
• Refund of money lost due to the New Jersey home repair contractor’s New Jersey Consumer Fraud Act Violation.

HOW DO I RECOVER DAMAGES UNDER THE NEW JERSEY CONSUMER FRAUD ACT FOR NEW JERSEY HOME REPAIR CONTRACTOR FRAUD?
A New Jersey homeowner or customer who is able to prove that a New Jersey home repair contractor, New Jersey home repair contractor or the seller of New Jersey home repair services committed a violation of the New Jersey Consumer Fraud Act which directly cause of the victim to suffer an ascertainable loss of money or property is entitled to receive an award of triple damages, attorney’s fees and litigation costs. In certain situations, a New Jersey consumer fraud victim may also be entitled to a refund or to cancel a New Jersey fraudulent debt. However, under the New Jersey Consumer Fraud Act, a New Jersey fraud victim is not entitled to recover pain and suffering damages.

WHAT HAPPENS IF A NEW JERSEY HOME REPAIR CONTRACTOR TRIES TO COLLECT A HOME REPAIR CONTRACT BILL THAT IS THE PRODUCT OF CONSUMER FRAUD?
In the typical New Jersey home repair breach of contract case that does not involve New Jersey consumer fraud, where a New Jersey homeowner prevents a New Jersey home repair contractor from completing the contracted work under the New Jersey home repair contract, the New Jersey home repair contractor may be entitled to recover legal damages. But if a New Jersey home repair contract violates the New Jersey Consumer Fraud Act, violates the New Jersey Home repair Regulations or violates the New Jersey Home repair Contractor Law, also known as the New Jersey Contractor’s Registration Act, so as to make the New Jersey home repair contract unenforceable, the New Jersey home repair contract may be prevented from collecting some or even all of the unpaid New Jersey home repair contract bill. Consult with a New Jersey lawyer to find out if you qualify for that type of relief against a New Jersey home repair contractor.

EXAMPLES OF HOME CONTRACTOR FRAUD CASES IN WHICH THE NEW JERSEY HOME REPAIR CONTRACTOR WAS PREVENTED FROM RECOVERING A NEW JERSEY HOME REPAIR CONTRACT BILL BECAUSE THE NEW JERSEY HOME REPAIR CONTRACTOR COMMITTED NEW JERSEY CONSUMER FRAUD VIOLATIONS
The following are examples of New Jersey cases where New Jersey home repair contractors failed to collect on their New Jersey home repair contracts because they committed New Jersey consumer fraud violations:
• An unlicensed landscape irrigation New Jersey home repair contractor sued a New Jersey homeowner to collect an unpaid New Jersey home repair contract bill for a sprinkling system and the New Jersey homeowner countersued the New Jersey home repair contractor, alleging that the New Jersey home repair contract was not enforceable because the New Jersey home repair contractor violated the New Jersey Consumer Fraud Act.
• An owner of a cleaning and restoration franchise specializing in mitigating damage following a fire or flood filed a New Jersey collection lawsuit against New Jersey homeowners and they countersued the New Jersey home repair contractor. The New Jersey court found that the New Jersey home repair contractor caused the dispute and therefore that the New Jersey home repair contractor was not allowed to collect the unpaid New Jersey home repair contract bill.
• A New Jersey home repair contractor sued a New Jersey homeowner to collect an unpaid New Jersey home repair contract bill. But because the New Jersey home repair contractor failed to display its New Jersey home repair contractor registration number on the New Jersey home repair contract, on most invoices and change orders, failed to display the Division of Consumer Affairs’ toll-free number on its documents and failed to put every change order in writing, the New Jersey home repair contract bill was uncollectible.
• A New Jersey home repair contractor sued a New Jersey homeowner to collect an unpaid New Jersey home repair contract bill and the New Jersey homeowner countersued the New Jersey home repair contractor because the work was shoddy. Thereafter, the New Jersey court found that not only was the New Jersey home repair contractor’s work shoddy but that the New Jersey home repair contractor violated the New Jersey Consumer Fraud Act. The New Jersey home repair contractor was prevented from recovering the unpaid New Jersey home repair contract bill.
Website Builder