WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE
How Is This Bill Enforced
Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.
1. As used in this act: "Biometric dataBiometric data"Biometric data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4). "Business entityBusiness entity"Business entity" means: (1) an online retailer that sells goods or services via the Internet and generates at least $10 million in annual gross revenue from sales in New Jersey; (2) an airline; (3) a ticket broker; or (4) a transportation network company.Section 1" means: (1) an online retailer that sells goods or services via the Internet and generates at least $10 million in annual gross revenue from sales in New Jersey; (2) an airline; (3) a ticket brokerTicket broker"Ticket broker" means a person situated in and operating in this State who is involved in the business of reselling tickets of admission to places of entertainment and who charges a premium in excess of the price, plus taxes, printed on the tickets. For the purposes of this act the term "ticket broker" shall not include an individual not regularly engaged in the business of reselling tickets; who resells less than 30 tickets during any one-year period; and who obtained the tickets for the individual's own use or the use of the individual's family, friends, or acquaintances.Section 1; or (4) a transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1. "ConsumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4). "Personal dataPersonal data"Personal data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4). "Personalized algorithmic pricingPersonalized algorithmic pricing"Personalized algorithmic pricing" means a pricing strategy that is determined, adjusted, optimized, or recommended by an algorithm or automated system using a consumer's personal data, including data that is derived or inferred, and that results in price variation for individual consumers or groups of consumers.Section 1" means a pricing strategy that is determined, adjusted, optimized, or recommended by an algorithm or automated system using a consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1's personal dataPersonal data"Personal data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1, including data that is derived or inferred, and that results in price variation for individual consumersConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 or groups of consumersConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1. "Protected class dataProtected class data"Protected class data" means information about a consumer or a group of consumers that directly, in combination or by implication, identifies a characteristic that is legally protected from discrimination under the laws of this State or under federal law including, but not limited to, ethnicity, national origin, age, disability, predisposing genetic characteristics, sex, sexual orientation, gender identity or expression, pregnancy-related conditions, marital status, familial status, religion, and reproductive health care.Section 1" means information about a consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 or a group of consumersConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 that directly, in combination or by implication, identifies a characteristic that is legally protected from discrimination under the laws of this State or under federal law including, but not limited to, ethnicity, national origin, age, disability, predisposing genetic characteristics, sex, sexual orientation, gender identity or expression, pregnancy-related conditions, marital status, familial status, religion, and reproductive health care. "Surge pricingSurge pricing"Surge pricing" means charging a transportation network company rider a higher fare rate than the usual fare rate charged for the prearranged ride during times of high demand for prearranged rides including, but not limited to, by use of a rate multiplier.Section 1" means charging a transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1 rider a higher fare rate than the usual fare rate charged for the prearranged ride during times of high demand for prearranged rides including, but not limited to, by use of a rate multiplier. "Surveillance-based pricingSurveillance-based pricing"Surveillance-based pricing" means a pricing strategy that is used to offer or set a customized sale price for merchandise or services for a specific consumer or group of consumers based, in whole or in part, on information collected through electronic surveillance technology. The term includes the use of technological methods, systems, or tools including, but not limited to, sensors, cameras, device tracking, biometric data monitoring, and other forms of observation or data collection, capable of gathering information about a consumer's behavior, characteristics, location, and other personal attributes.Section 1" means a pricing strategy that is used to offer or set a customized sale price for merchandise or services for a specific consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 or group of consumersConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 based, in whole or in part, on information collected through electronic surveillance technology. The term includes the use of technological methods, systems, or tools including, but not limited to, sensors, cameras, device tracking, biometric dataBiometric data"Biometric data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 monitoring, and other forms of observation or data collection, capable of gathering information about a consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1's behavior, characteristics, location, and other personal attributes. "Ticket brokerTicket broker"Ticket broker" means a person situated in and operating in this State who is involved in the business of reselling tickets of admission to places of entertainment and who charges a premium in excess of the price, plus taxes, printed on the tickets. For the purposes of this act the term "ticket broker" shall not include an individual not regularly engaged in the business of reselling tickets; who resells less than 30 tickets during any one-year period; and who obtained the tickets for the individual's own use or the use of the individual's family, friends, or acquaintances.Section 1" means a person situated in and operating in this State who is involved in the business of reselling tickets of admission to places of entertainment and who charges a premium in excess of the price, plus taxes, printed on the tickets. For the purposes of this act the term "ticket brokerTicket broker"Ticket broker" means a person situated in and operating in this State who is involved in the business of reselling tickets of admission to places of entertainment and who charges a premium in excess of the price, plus taxes, printed on the tickets. For the purposes of this act the term "ticket broker" shall not include an individual not regularly engaged in the business of reselling tickets; who resells less than 30 tickets during any one-year period; and who obtained the tickets for the individual's own use or the use of the individual's family, friends, or acquaintances.Section 1" shall not include an individual not regularly engaged in the business of reselling tickets; who resells less than 30 tickets during any one-year period; and who obtained the tickets for the individual's own use or the use of the individual's family, friends, or acquaintances. "Transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1 rider to a transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1 driver to provide a prearranged ride. A transportation network companyTransportation network company"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity that is registered as a business in the State or operates in this State, and uses a digital network to connect a transportation network company rider to a transportation network company driver to provide a prearranged ride. A transportation network company shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.Section 1 shall not include an individual, corporation, partnership, sole proprietorship, or other entity arranging non-emergency medical transportation for individuals qualifying for Medicaid under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.), or Medicare under section 102 of the "Health Insurance for the Aged Act" (42 U.S.C. s.1395 et seq.) pursuant to a contract with the State or a managed care organization, whereby Medicaid or Medicare funding is used to pay for the non-emergency medical transportation services.
Section 1 defines the scope of the bill. The key covered-party term is Business entity, which reaches large online retailers generating at least $10 million in annual New Jersey revenue, airlines, ticket brokers, and transportation network companies. The definitions of personalized algorithmic pricing and surveillance-based pricing establish the two AI/algorithmic and surveillance-driven pricing practices the substantive prohibition targets.
The pricing definitions are broad: personalized algorithmic pricing captures any algorithm or automated system that uses a consumer's personal data (including derived or inferred data) to vary price, and surveillance-based pricing captures pricing based on data collected via sensors, cameras, device tracking, or biometric monitoring. Several terms cross-reference New Jersey's existing data privacy statute (C.56:8-166.4).
2.a. 1 2. a. Notwithstanding any law, regulation, or rule to the contrary, it shall be an unlawful practice and a violation of P.L.1960, c.39 (C.56:8-1 et seq.) for a business entityBusiness entity"Business entity" means: (1) an online retailer that sells goods or services via the Internet and generates at least $10 million in annual gross revenue from sales in New Jersey; (2) an airline; (3) a ticket broker; or (4) a transportation network company.Section 1 to use personalized algorithmic pricingPersonalized algorithmic pricing"Personalized algorithmic pricing" means a pricing strategy that is determined, adjusted, optimized, or recommended by an algorithm or automated system using a consumer's personal data, including data that is derived or inferred, and that results in price variation for individual consumers or groups of consumers.Section 1, surveillance-based pricingSurveillance-based pricing"Surveillance-based pricing" means a pricing strategy that is used to offer or set a customized sale price for merchandise or services for a specific consumer or group of consumers based, in whole or in part, on information collected through electronic surveillance technology. The term includes the use of technological methods, systems, or tools including, but not limited to, sensors, cameras, device tracking, biometric data monitoring, and other forms of observation or data collection, capable of gathering information about a consumer's behavior, characteristics, location, and other personal attributes.Section 1, or a pricing strategy that determines or varies the sale price of merchandise or services based, in whole or in part, on a consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1's personal dataPersonal data"Personal data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 including, but not limited to, biometric dataBiometric data"Biometric data" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 and protected class dataProtected class data"Protected class data" means information about a consumer or a group of consumers that directly, in combination or by implication, identifies a characteristic that is legally protected from discrimination under the laws of this State or under federal law including, but not limited to, ethnicity, national origin, age, disability, predisposing genetic characteristics, sex, sexual orientation, gender identity or expression, pregnancy-related conditions, marital status, familial status, religion, and reproductive health care.Section 1.
2.b. 1 b. The provisions of this section shall not prohibit: (1) a business entityBusiness entity"Business entity" means: (1) an online retailer that sells goods or services via the Internet and generates at least $10 million in annual gross revenue from sales in New Jersey; (2) an airline; (3) a ticket broker; or (4) a transportation network company.Section 1 from providing a consumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 a discount, promotional price, or loyalty program benefit; or (2) surge pricingSurge pricing"Surge pricing" means charging a transportation network company rider a higher fare rate than the usual fare rate charged for the prearranged ride during times of high demand for prearranged rides including, but not limited to, by use of a rate multiplier.Section 1 or price changes based on changes in supply.
Section 2 is the operative prohibition. It makes it an unlawful practice under the Consumer Fraud Act for a covered business entity to use personalized algorithmic pricing, surveillance-based pricing, or any pricing strategy that varies the sale price based, in whole or in part, on a consumer's personal data — expressly including biometric data and protected class data.
Subsection (b) carves out ordinary discounts, promotional pricing, and loyalty program benefits, as well as surge pricing and supply-driven price changes. The prohibition therefore targets individualized, data-driven price differentiation rather than uniform or supply-based pricing. Because the practice is folded into the Consumer Fraud Act, enforcement runs through the Attorney General and the Division of Consumer Affairs, with the statute's penalty and treble-damages machinery attaching.
3. 3. The Director of the Division of ConsumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 Affairs in the Department of Law and Public Safety shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the provisions of this act.
Section 3 directs the Director of the Division of Consumer Affairs to adopt rules and regulations under the Administrative Procedure Act to effectuate the act. This is a rulemaking delegation that foreshadows further detail on how the prohibition will be implemented and enforced, but imposes no independent compliance obligation on regulated entities.
4. 4. This act shall take effect on the first day of the fourth month next following enactment, except that the Director of the Division of ConsumerConsumer"Consumer" means the same as that term is defined by section 1 of P.L.2023, c.266 (C.56:8-166.4).Section 1 Affairs in the Department of Law and Public Safety may take any anticipatory administrative action in advance as shall be necessary for the implementation of this act.
Section 4 sets the operative date: the act takes effect on the first day of the fourth month following enactment, while permitting the Director of the Division of Consumer Affairs to take anticipatory administrative action beforehand. This provision sets timing only and imposes no compliance duty.