New Jersey Section 2C:35B-17 – Nonapplicability of act

New Jersey’s Drug Dealer Liability Act: What You Need to Know

The Purpose Behind 2C:35B

New Jersey’s legislature passed the Drug Dealer Liability Act in response to the crack cocaine crisis of the 1980s and 1990s. As crack ravaged communities, lawmakers wanted to empower individuals to take legal action against those spreading this poison. The goal was to not only compensate victims, but also deter illegal drug trafficking through the threat of civil liability.

“We want to send a loud and clear message that dealing illegal drugs is a dead-end street,” said former Governor Christine Todd Whitman upon signing 2C:35B into law in 2001. “It’s time to allow those who have suffered from illegal drugs to fight back through the courts.”

Who Can Be Sued Under 2C:35B?

Section 2C:35B-4 broadly defines who can be held civilly liable for damages caused by illegal drug use. Defendants may include:

• Anyone who knowingly manufactures, distributes, dispenses, or possesses an illegal controlled dangerous substance in violation of New Jersey law. This covers drug dealers, traffickers, and manufacturers.
• Anyone who knowingly participates in the marketing of illegal drugs. This includes lookouts, couriers, enforcers, and financiers who aid and abet drug distribution.
• Anyone who knowingly assists others in illegally manufacturing, distributing, dispensing, or possessing controlled substances. This captures those who provide substantial support to drug operations.
• Adults who illegally provide drugs to minors. Parents, guardians, and other adults can be sued if they provide illegal drugs to those under 18.

In sum, 2C:35B casts a wide net over anyone substantially involved in illegal drug activity that harms others. The law imposes liability beyond just street-level dealers to reach kingpins and organizations.

Who Can Sue Under 2C:35B?

Individuals directly injured by illegal drug use have a cause of action under 2C:35B. This includes:

• Parents, guardians, spouses, and children of drug users
• Healthcare providers who incur costs treating drug users
• Employers suffering lost productivity and increased insurance costs
• Government agencies providing drug treatment services
• Insurers paying claims involving drug use
• Those suffering physical injury or property loss caused by drug users

Even illegal drug users themselves can sue their dealers under 2C:35B, provided their drug use was not intentional. For example, if a dealer misrepresents heroin as oxycodone, the duped buyer who then becomes addicted can sue.

What Damages Can Be Recovered Under 2C:35B?

Successful 2C:35B plaintiffs can recover both economic and noneconomic damages caused by a defendant’s illegal drug activities.

Economic damages include medical costs, lost wages and income, lost or damaged property, insurance claims, and additional public services required. Government agencies can recoup drug investigation and enforcement costs.

Noneconomic damages cover pain and suffering, loss of companionship from injury or death, and emotional distress.

Section 2C:35B-8 establishes a detailed table of minimum and maximum damages based on factors like the defendant’s relationship to the user and the type of drug involved. Punitive damages up to three times the compensatory damages may also be awarded in extreme cases.

Does 2C:35B Apply Retroactively?

A major limitation of New Jersey’s Drug Dealer Liability Act is that it cannot be applied retroactively. Section 2C:35B-17 states that “no cause of action shall arise based on any act by a defendant which occurred prior to the effective date of this act,” which was June 25, 2001.

The New Jersey Supreme Court confirmed 2C:35B does not apply retroactively in James v. Arms Technology, Inc. (2015). Acts preceding the law cannot give rise to liability, even if damages continue in the present. Defendants can only be sued for conduct after the law’s enactment.

This temporal restriction significantly curtails 2C:35B’s reach. Those harmed by the devastating crack epidemic of the 1980s and 1990s cannot use the law to seek compensation from that time period. The statute of limitations also requires lawsuits to be filed within three years of the cause of action accruing.

The Ongoing Impact of 2C:35B

Despite its limits, New Jersey’s Drug Dealer Liability Act remains an important tool for combating illegal drugs after 20 years. According to Rutgers researchers, at least 45 states have considered similar dealer liability laws to empower victims and deter trafficking.

By imposing civil liability on those who drive the illegal drug trade, 2C:35B aims to redistribute the costs of drug abuse to those who profit from human suffering. While compensating victims, these lawsuits also uncover criminal networks through discovery and divert ill-gotten gains back to the community.

Yet many argue the law does not go far enough. With the opioid epidemic raging, some want dealer liability expanded to include prescription drug manufacturers and distributors. For now, 2C:35B remains confined to illegal narcotics traffickers. But two decades after its passage, this novel approach to drug enforcement continues generating both praise and calls for broader reform.