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For
Immediate Release: |
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For
Further Information Contact: |
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October
13, 2005
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Office
of The Attorney General
-
Peter C. Harvey,
Attorney General
Division
of Consumer Affairs
- Kimberly Ricketts, Director
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Jeff
Lamm,
Genene Morris
973-504-6327
Consumer
Information
973-504-6200
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17,000
Home Improvement Contractors Submit Registration
Applications
Final Deadline is
December 31
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NEWARK
— Attorney General Peter C. Harvey
and Consumer Affairs Director Kimberly
Ricketts today announced that more than
17,000 home improvement contractors have
filed applications to register with the
Division of Consumer Affairs.
The Contractors’ Registration Act
requires home improvement contractors
to register with Consumer Affairs by December
31, 2005. Contractors who fail to register
by this deadline will be prohibited from
making or selling home improvements in
New Jersey and barred from obtaining local
construction permits until they become
registered. In addition, they may face
civil monetary penalties as well as possible
criminal charges if they continue to do
home improvements while unregistered.
In order to register, a contractor must
disclose the location of his/her business
and reveal past criminal convictions,
among other requirements.
"This law is designed to enhance
consumer protections. It is not our intention
to disrupt home improvement contractors
and I’m heartened that more than
17,000 contractors have acted on our advice
to submit registration applications ahead
of the December 31 deadline. I urge the
remaining home improvement contractors
to submit their registration applications
now," Acting Governor Richard J.
Codey said.
"Having a pickup truck and wearing
a tool belt does not make someone a contractor,"
Attorney General Harvey said. "But
con artists dress the part and they prey
on trusting homeowners.
"The con artist typically knocks
on the door, says he is working in the
neighborhood, has extra materials on hand
and can offer a great deal. The homeowner
gives a deposit, usually a few hundred
dollars, and never sees the supposed ‘contractor’
again. The registration process is designed
to deter this type of scam," the
Attorney General added.
"We received more complaints about
home improvements last year than any other
category that we track," Director
Ricketts noted. "Our homes are typically
our largest single asset, as well as a
place of security and comfort. That’s
why people feel so violated and victimized
by home improvement scams and frauds.
Honest home improvement contractors also
want these criminals weeded out."
The Contractors' Registration Act:
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Requires home improvement contractors
— those who engage in the business
of making or selling home improvements
including remodeling, altering, painting,
renovating, repairing, restoring, modernizing,
or demolishing residential or non-commercial
property— to register annually
with Consumer Affairs.
- Bars
anyone who is not registered, unless
they’re exempted from the registration
requirements, from engaging in business
as a home improvement contractor, or
advertising that they are home improvement
contractors.
- Bars
municipalities from issuing construction
permits to contractors who are not registered
or exempted from the registration requirements.
- Requires
every contractor to post its registration
numbers on all New Jersey advertisements,
contracts and correspondence with customers
and all leased or owned commercial vehicles
registered in New Jersey.
- Requires
a written contract when the improvement
work exceeds $500. The contract must
detail all terms and conditions, including
among other things the legal name, business
address and registration number of the
contractor; a copy of the certificate
of commercial general liability insurance;
and the total price or other consideration
to be paid by the consumers, including
finance charges.
- Gives
consumers three days to cancel a home
improvement contract by giving the contractor
written notice of cancellation. Contractors
must refund to the consumer any money
paid within 30 days of receiving the
written notice of cancellation.
- Requires
applicants for registration to disclose
to Consumer Affairs if they’ve
been convicted of a crime.
- Requires
contractors to file proof that they
have secured commercial general liability
insurance in a minimum of $500,000 per
occurrence.
- Provides
that anyone who knowingly violates the
Act is guilty of a crime of the fourth
degree. In addition, anyone who violates
the Act is also subject to civil monetary
penalties under the Consumer Fraud Act
of up to $10,000 for the first offense
and up to $20,000 for each subsequent
offense.
Contractors
who have questions about the Contractors’
Registration Act can call Consumers Affairs
at 1-888-656-6225. Additional
information also is available on the Consumer
Affairs’ Web site, www.NJConsumerAffairs.gov
Consumers who want to find out information
about a contractor or submit a complaint
can call Consumer Affairs at 1-800-242-5846.
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Subscribe
here to receive the Attorney
General's Weekly Update via
e-mail |
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