April 03, 2017
www.usedcarnews.com
State Revises Rules for Payment Devices
NOT JUST A BILL: Gov. Chris Christie signs a piece of legislation into law. The New Jersey governor is expected to sign a recent bill creating new rules for the use of payment assurance technology into law. Christie had conditionally vetoed the bill until changes were made that were more agreeable to used-car dealers.
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The New Jersey Senate passed a bill authorizing the use of payment assurance devices. Both the Senate and Assembly passed the bill a second time after Gov. Chris Christie initially conditionally vetoed the bill signaling to the legislature the changes that would be necessary in order for him to sign it into law. The original bill would have banned GPS usage for used cars in the state of New Jersey. The National Independent Automobile Dealers association, through its Buy Here-Pay Here Commission, worked closely with its state ailiate – the New Jersey Independent
Automobile Dealers Association – and the Telematics Service Providers Association to express the industry’s opposition to many provisions in the bill. “The amended bill is now advantageous for both dealers and consumers,” said Paula Frendel, executive director of the New Jersey IADA. “It allows transparency for dealers and allows right to cure for consumers, which was never possible before in New Jersey.” Frendel testiied before both the Assembly’s Consumer Afairs and Senate Commerce committees to voice the New Jersey IADA’s con-
cerns over provisions of the legislation that were not beneicial to used-car dealers. NIADA submitted written comments opposing the bill and mobilized BHPH Commission member and New Jersey dealer Mike Brill to testify before multiple legislative committees and meet with key legislators. Anthony Bush, an attorney with Eckert Seamans Cherin & Mellott, also represented used-car dealers during several meetings with the bill’s sponsor “It is important to recognize that this bill provides signiicant new protections to consumers but also
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allows dealers that sell to economically challenged individuals to continue to operate proitably,” Bush said. After a meeting between his staf and NIADA and its industry partners, Christie conditionally vetoed the bill and returned it to the legislature with instructions to remove certain provisions. “We applaud the leadership of the governor for recognizing the harm that would have come to New Jersey consumers had the over-burdensome requirements originally contained in this bill become law,” NIADA CEO Steve Jordan said. Continued on page 6