The New Jersey Division of Consumer Affairs sent warning letters to over 3,000 auto dealerships reminding them of the state's data deletion law, which requires dealerships to offer to delete personal data from vehicles when accepting them for resale or lease. Failure to comply can result in fines of $500 for first offenses and $1,000 for subsequent offenses, aimed at preventing unauthorized access to sensitive consumer information stored in vehicle infotainment systems.
Dealerships must offer to delete consumers' personal data from vehicles by following manufacturer-specified techniques or performing a factory reset. They are permitted to charge a reasonable fee for this service but must disclose it in advance, and must also advise consumers that they may delete the data themselves or through another vendor.
In-house legal teams should review customer sales and lease agreements (especially trade-in or buyback terms), vendor service agreements (e.g., with detailing or tech service providers), and any data processing agreements involving vehicle data. Key clauses to examine include data deletion obligations, data retention schedules, consent mechanisms for personal data processing, and breach notification provisions related to infotainment systems. Changes may be needed to explicitly require offering data deletion services upon vehicle acceptance for resale or lease, define standardized procedures for wiping infotainment systems, update privacy notices to reflect deletion rights under New Jersey law, and incorporate compliance warranties or indemnities to mitigate fines of $500-$1,000 per violation.
Entity
auto dealerships
Also known as: Auto Dealerships
Industry
AutomotiveOfficial Press Release
https://www.njoag.gov/ag-platkin-division-of-consumer-affairs-reminds-nj-auto-dealerships-of-obligation-to-help-prevent-unauthorized-access-to-consumer-data-stored-on-vehicles/
New Jersey Attorney General Enforcement Page
https://www.njoag.gov/about/divisions-and-offices/division-of-consumer-affairs/
"auto dealerships statewide"
"the New Jersey data deletion law"
"mandates that dealerships offer to delete consumers’ personal data when accepting vehicles for resale or lease."
A multistate coalition co-led by New Jersey won a federal court order rejecting the Trump Administration’s decision not to request funding for the CFPB. The order struck down that decision and directed the Administration to follow the law and fund the agency; no monetary penalty or privacy violation is described.
New Jersey’s Attorney General and Division of Consumer Affairs alerted the public that three synthetic kratom-related compounds became illegal to possess or sell in the state under a temporary federal scheduling order. The release describes a controlled-substance alert, not a privacy enforcement action, and identifies no company, privacy violation, or monetary penalty.
$2.3M
Laboratory Corporation of America Holdings agreed to pay $2,287,455 to participating states and strengthen its security and vendor-management practices following an investigation into the 2019 breach at its debt-collection vendor, AMCA. The breach potentially exposed information of more than 27.5 million people nationwide, including sensitive information belonging to approximately 10.2 million LabCorp patients.
$694.0M
New Jersey's Attorney General and Division of Consumer Affairs, along with 41 Attorneys General, reached a $694 million settlement with subprime auto lender Credit Acceptance Corporation over allegations it originated unaffordable loans its own systems predicted borrowers could not repay, employed aggressive debt-collection tactics, and failed to prevent deceptive vehicle-service contract and GAP product 'packing' by dealers. The multistate settlement stepped in after the CFPB permanently dropped its 2023 enforcement action against CAC in 2025. CAC will provide $60 million in cash restitution, $634 million in debt relief, an additional $15 million to the states, and implement injunctive lending reforms including loan off ramps, pre-loan disclosures, add-on packing safeguards, and a seven-year vehicle price cap. Note: this is a consumer-protection lending enforcement action, not a privacy matter; violation categories are best-fit mappings from the available taxonomy.
$650K
The New Jersey Attorney General and Division of Consumer Affairs announced that Match Group, Inc. will pay $650,000 and change its business practices to settle allegations that it misrepresented or failed to disclose its criminal background screening policies and practices to New Jersey users, violating the New Jersey Consumer Fraud Act and the Internet Dating Safety Act. Under a Consent Order, Match must accurately represent its screening policies, notify existing New Jersey members of updated disclosures within 150 days, and post clear and conspicuous disclosures and safety notifications about the limitations of criminal background screenings.
$96.5M
New Jersey and a coalition of states and territories obtained preliminary approval for a plan to distribute funds from settlements with generic drug manufacturers accused of conspiring to raise drug prices. The settlements total approximately $96.5 million, and eligible consumers may submit claims for compensation.