Concerns hospitality franchise agreements.
This bill (A3495) strengthens protections for hotel, motel, and similar hospitality franchisees in New Jersey by amending the Franchise Practices Act. It prohibits franchisors from: keeping rebates from vendors without sharing them with franchisees, forcing exclusive purchases from franchisor-designated suppliers when comparable options exist, opening competing outlets in franchisees' protected territories without consent, unilaterally changing key contract terms (except for health/safety), imposing undisclosed fees, charging for low guest enrollment in loyalty programs, or selling loyalty points without compensating franchisees for lost revenue. The law applies only to franchises requiring a physical location in New Jersey and ensures franchisees cannot be terminated for violating these new rules. It directly affects franchisees operating hospitality businesses under agreements requiring in-state operations.
Bill status
in committee
1 of 4 stages cleared
Introduction
Feb 2024
Committee Review
Floor Vote
Governor
Introduced Feb 5, 2024
Last action May 13, 2024
Floor votes
How they voted
No floor votes recorded yet.
Full legislative history
Actions timeline
Total actions
3
Key actions
1
Committee
2
May 13, 2024
Lower · Passed
Reported out of Assembly Committee, 2nd Reading
lower
Feb 22, 2024
Committee
Reported out of Assembly Committee with Amendments and Referred to Assembly Commerce, Economic Development and Agriculture Committee
lower
Feb 5, 2024
Introduced
Introduced in the Assembly, Referred to Assembly Financial Institutions and Insurance Committee
lower
3 primary · 1 co-sponsor
Sponsors
Role
Legislator
Party
State
District
P
Bill Spearman
DDemocratic
P
Robert Karabinchak
DDemocratic
P
Sterley Stanley
DDemocratic
Co
Tennille McCoy
DDemocratic
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