New Jersey § 12a:9-616

§ 12a:9-616.

(a) Definitions. In this section: (1) “ Explanation ” means a writing that: (A) states the amount of the surplus or deficiency; (B) provides an explanation, in accordance with subsection (c) of how the secured party calculated the surplus or deficiency; (C) states, if applicable, that future debits, credits, charges, including additional

credit service charges or interest, rebates, and expenses may affect the amount of

the surplus or deficiency; and (D) provides a telephone number or mailing address from which additional information

concerning the transaction is available. (2) “ Request ” means a record: (A) authenticated by a debtor or consumer obligor; (B) requesting that the recipient provide an explanation; and (C) sent after disposition of the collateral under 12A:9-610. (b) Explanation of calculation. In a consumer-goods transaction in which the debtor is entitled to a surplus or

a consumer obligor is liable for a deficiency under 12A:9-615, the secured party shall: (1) send an explanation to the debtor or consumer obligor, as applicable, after the

disposition and: (A) before or when the secured party accounts to the debtor and pays any surplus or first

makes written demand on the consumer obligor after the disposition for payment of

the deficiency; and (B) within 14 days after receipt of a request; or (2) in the case of a consumer obligor who is liable for a deficiency, within 14 days

after receipt of a request, send to the consumer obligor a record waiving the secured

party's right to a deficiency. (c) Required information. To comply with subsection (a) (1) (B) , a writing must provide the following information in the following order: (1) the aggregate amount of obligations secured by the security interest under which

the disposition was made, and, if the amount reflects a rebate of unearned interest

or credit service charge, an indication of that fact, calculated as of a specified

date: (A) if the secured party takes or receives possession of the collateral after default,

not more than 35 days before the secured party takes or receives possession; or (B) if the secured party takes or receives possession of the collateral before default

or does not take possession of the collateral, not more than 35 days before the disposition; (2) the amount of proceeds of the disposition; (3) the aggregate amount of the obligations after deducting the amount of proceeds; (4) the amount, in the aggregate or by type, and types of expenses, including expenses

of retaking, holding, preparing for disposition, processing, and disposing of the

collateral, and attorney's fees secured by the collateral which are known to the secured

party and relate to the current disposition; (5) the amount, in the aggregate or by type, and types of credits, including rebates

of interest or credit service charges, to which the obligor is known to be entitled

and which are not reflected in the amount in paragraph (1); and (6) the amount of the surplus or deficiency. (d) Substantial compliance. A particular phrasing of the explanation is not required. An explanation complying substantially with the requirements of subsection (a) is sufficient, even if it includes minor errors that are not seriously misleading. (e) Charges for responses. A debtor or consumer obligor is entitled without charge to one response to a request

under this section during any six-month period in which the secured party did not

send to the debtor or consumer obligor an explanation pursuant to subsection (b) (1). The secured party may require payment of a charge not exceeding $25 for each additional

response.