A 4050 New Jersey General Assembly · 2026-2027 Regular Session

Concerns facilities used by applicants for new motor vehicle dealer licenses.*

This bill establishes a provisional license for new motor vehicle dealers in New Jersey, allowing them to operate temporarily while their full license application is processed. It directly affects new dealers who are setting up businesses, enabling them to begin selling vehicles before meeting all permanent licensing requirements. The bill amends state law (R.S.39:10-2 and R.S.39:10-19) to define the provisional license, including standards for dealer facilities and vehicle inventory. This change streamlines the licensing process for new dealers without reducing regulatory oversight.
Bill status signed all 5 stages cleared
Introduction
Feb 2026
Committee Review
Jun 2026
General Assembly Passage
Jun 2026
Senate Passage
Jun 2026
Signed into Law
Jul 2026
Introduced Feb 12, 2026 Signed Jul 30, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Reprint · 4 edits
MODERATE
The First Reprint of A4050 makes three substantive policy changes: it strikes the new 'motor vehicle franchisor' definition and reverts the 'new motor vehicle dealer' definition back to the original statutory language referencing agents, distributors, or authorized dealers of the manufacturer; it adds a requirement that off-site servicing facilities must be located within New Jersey; and it significantly expands the provisional license process by specifying exactly which items may still be outstanding when an application is deemed substantially complete, requiring applicant certification, and allowing site control evidence in lieu of a fully executed lease at the time of application.
DEFINITION

The definition of 'motor vehicle franchisor' (a person who manufactures, assembles, distributes, or imports at least 10 new motor vehicles per calendar year) was added in the introduced version but is now struck. The definition of 'new motor vehicle dealer' reverts to the original statutory language: 'the agent, distributor, or an authorized dealer of the manufacturer of a new motor vehicle' rather than the introduced version's 'an authorized dealer of a motor vehicle franchisor.'

REQUIREMENT

A new requirement is added that any off-site facility used for servicing motor vehicles must be located within the State of New Jersey. The introduced version only required it to be within the relevant market area as defined by C.56:10-16, which could theoretically include out-of-state locations.

The provisional license provision is substantially expanded. It now specifies that an application is 'substantially complete' when all required documents have been submitted except: a fully executed franchise agreement, a fully executed lease agreement, any required closing letters, the Motor Vehicle Commission inspection report, and any permanent signage. The applicant must submit a certification that they have ordered and are in the process of obtaining all outstanding items. Evidence of site control must be submitted with the application, but a fully executed lease may be submitted after closing.

TECHNICAL

Sections were renumbered to accommodate the expanded provisional license subsection (now e(1) and e(2)). The legislative statement at the end of the bill was removed. Four additional co-sponsors were added: Assemblywomen Carter, McCoy, and Fantasia, and Assemblyman Scharfenberger.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
11
Key actions
4
Committee
3
Jun 30, 2026
Lower · Passed
Passed Assembly (Passed Both Houses) (78-0-0)
lower
Jun 30, 2026
Upper · Passed
Passed by the Senate (40-0)
upper
Jun 11, 2026
Committee
Received in the Senate, Referred to Senate Budget and Appropriations Committee
upper
Jun 11, 2026
Lower · Passed
Passed by the Assembly (79-0-0)
lower
Jun 8, 2026
Lower · Passed
Reported out of Assembly Committee, 2nd Reading
lower
Jun 1, 2026
Committee
Reported out of Asm. Comm. with Amendments, and Referred to Assembly Appropriations Committee
lower
Feb 12, 2026
Introduced
Introduced, Referred to Assembly Transportation and Independent Authorities Committee
lower
4 primary · 10 co-sponsors

Sponsors