N.J. Stat. » Title 2A — ADMINISTRATION OF CIVIL AND CRIMINAL JUSTICE
New Jersey Statutes

N.J. Stat. § 2A:32-1 (2026)

Remedies of person defrauded

✓ current as of May 2026
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Whenever there is fraud in the execution or consideration of a contract, the person defrauded at any time thereafter may institute a civil action, to recover the money owing on such contract although, by its terms, the debt contracted or the money secured to be paid thereby is not then due or payable; and the person defrauded may, upon discovery of the fraud, either rescind the contract entirely and recover the money or property obtained by the fraud, or, sue on the contract to recover thereon.

The plaintiff in such an action shall have all rights to which he would be entitled if the debt or obligation was due and payable at the time of the commencement of the action.

Notes of Decisions
Cited in 4 cases (2 in the last 5 years), 2010–2025 · leading case: Dehart v. US Bank, N.A. ND, 811 F. Supp. 2d 1038 (D.N.J. 2011).
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Dehart v. US Bank, N.A. ND, 811 F. Supp. 2d 1038 (D.N.J. 2011). · cites it 2× “Plaintiffs respond to Defendant’s damages argument by citing to the New Jersey statute governing fraud in the execution of a contract, N.J. Stat. Ann. § 2A:32-1, for the proposition that Plaintiffs need not allege that they suffered any damages on a breach of contract claim.”
A-1 Advanced Moving & Storage, Inc. v. Norvergence, Inc. (In Re Norvergence, Inc.), 424 B.R. 663 (Bankr. D.N.J. 2010). · cites it 6× “In addition, with respect to Count VII, entitled “Debts or Obligations Fraudulently Contracted or Incurred Pursuant to N.J.S.A. 2A:32-1,” Defendants argue that it fails to meet the requirements of Rule 9(b) and must therefore be dismissed.”
Grant Jones Realty, LLC v. Mw Cell Reit I LLC (D.N.J. 2025). “J, July 20, 2012) (“Under N.J.S.A, 2A:32-1 and New Jersey common law, rescission is an equitable remedy for fraud, not a substantive claim.”
Julia Rose Nawrocki v. J&J Auto Outlet (N.J. Super. Ct. App. Div. 2025). “lasswide automotive sales practices (count 2); classwide automotive advertising practices (count 3); classwide consumer fraud violations (count 4); classwide TCCWNA violations (count 5); breach of contract (count 6); breach of the covenant of good faith and fair dealing (count…”
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