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Bill

Bill

S 2087

"Used Car Buyers' Bill of Rights"; prohibits certain "as is" sales of used motor vehicles.

2026-2027 Regular Session Introduced by Angela McKnight and 1 co-sponsor

New Jersey bill prohibits "as is" used car sales without dealer disclosure of known defects, increasing consumer protections but raising dealer costs and liability exposure.

Introduced in the Senate, Referred to Senate Commerce Committee
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WeVote Research Nonpartisan
Bill Summary · S 2087

Legislative bill overview

S 2087 restricts dealers from selling used vehicles "as is" without providing certain protections to buyers. The bill prohibits the blanket disclaimer of warranties and liability that "as is" sales typically allow, requiring dealers to disclose known defects and potentially maintain some warranty obligations for used car purchases in New Jersey.

Why is this important

Used car sales are a major consumer transaction where information asymmetry heavily favors dealers—buyers often lack expertise to identify mechanical problems before purchase. This bill aims to reduce fraud and protect consumers from purchasing vehicles with hidden defects, which can result in significant unexpected repair costs or safety hazards.

Potential points of contention

  • Business impact: Used car dealers argue that restricting "as is" sales increases their liability exposure and operational costs, potentially raising vehicle prices or reducing inventory of affordable used cars
  • Warranty scope ambiguity: The bill's definition of which defects must be disclosed and what warranty obligations dealers must honor could be unclear, creating litigation risk for both dealers and consumers
  • Market competitiveness: Dealers may relocate to neighboring states with fewer restrictions, potentially reducing New Jersey's used car market access and tax revenue

Compiled from official sources — confirm details with the bill’s official record.

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