The New Jersey Supreme Court will soon have the opportunity to review Robey v. SPARC Group, 474 N.J. Super. 593 (App. Div. 2023). If affirmed, Robey has the potential to significantly expand the scope of the New Jersey Consumer Fraud Act (CFA), N.J.S.A 56:8-1 et seq., by loosening the standards for the “ascertainable loss” that a plaintiff must demonstrate to recover money damages in a private action. Because the CFA is often the underpinning of a wide variety of suits brought as putative class actions on behalf of New Jersey consumers—and sometimes consumers nationwide—the ultimate outcome in Robey could invite a multitude of future consumer class actions that would not otherwise have been brought and change discounting practices in the retail industry in New Jersey.

Originally only enforceable by the attorney general, the CFA was amended in 1971 to add a private right of action. To state a private claim for relief, the plaintiff must prove: (1) unlawful conduct by the defendant (either misrepresentations of fact or other affirmative acts, knowing omissions, or regulatory violations); (2) an ascertainable loss of money or real or personal property; and (3) a causal relationship between the first two elements.

The ‘Robey’ Case

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