New Jersey Reintroduces Commercial Financing Disclosure Bill

For the seventh consecutive year, New Jersey's legislature is attempting to pass a commercial financing disclosure bill. A key component of the bill is an annual percentage rate (APR) requirement, but it also includes provisions addressing broker conduct.

According to the bill, brokers must not:

1. Make or use any false or misleading representations or omit any material fact when offering or selling their services, nor engage in any act—directly or indirectly—that would constitute fraud or deception, regardless of whether the buyer relies on it.

2. Use any false or deceptive representations in their business dealings.

The proposed legislation aims to increase transparency and protect business owners from misleading practices in commercial financing.