Provides right of action for individuals alleging denial of professional credential by State is result of policy or process causing disparate impact on basis of race or ethnicity.

A4208

ASSEMBLY, No. 4208

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED FEBRUARY 19, 2026

Sponsored by:

Assemblywoman� CAROL A. MURPHY

District 7 (Burlington)

SYNOPSIS

���� Provides right of action for individuals alleging
denial of professional credential by State is result of policy or process
causing disparate impact on basis of race or ethnicity.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act

concerning the issuance of a professional
license or other authorization to practice a profession and supplementing
P.L.1945, c.169 (C.10:5-1 et seq.).

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1.��� a.� A person denied a
license, certification, registration, or other authorization by an entity
created under Title 45 or Title 52 of the Revised Statutes or by a principal
department of the Executive Branch of State government, an entity within a
department, or any entity created to license or otherwise regulate a profession
and who claims the denial is the result of a policy or process promulgated or
otherwise effectuated by the entity that causes a disparate impact on the
issuance of a license, certification, registration, or other authorization on
the basis of race or ethnicity shall have the right to file a verified
complaint in writing with the Division of Civil Rights in the New Jersey
Department of Law and Public Safety or the New Jersey Superior Court.

���� b.��� The process for filing a
verified complaint pursuant to this act shall follow the provisions of section
12 of P.L.1945, c.169 (C.10:5-13) regarding filing, prosecution, jury trials,
remedies and damages.

���� c.���� The individual filing
the complaint shall have the burden to demonstrate, by a preponderance of the
evidence, that an application for licensure was denied by a licensing entity as
a result of a policy or process that causes a disparate racial or ethnic impact.
The individual shall demonstrate that the disparate impact is caused by:

���� (1)�� a policy or process that
has a disproportionate impact on individuals of a certain race or ethnicity;

���� (2)�� a policy or process that
is applied inconsistently or unreasonably by the licensing entity; or

���� (3)�� factors considered by
the licensing entity that are unrelated to the profession in which the
individual seeks a license.

���� d.
��� It
shall be considered a defense against a complaint brought pursuant to paragraph
(1) of subsection c. of this section that the rationale for a policy or process
justifies the policy or process having an identifiable disparate impact on the
basis of race or ethnicity.� The rationale for a policy or process shall be
considered justified if the licensing entity demonstrates that:

���� (1)�� the disparate impact is
based on one or more legitimate, bona fide factors, such as training,
education, experience, or examination, or the quality of services provided;

���� (2)�� the factor or factors
are not based on, and do not perpetuate, a disparate impact based on race or
ethnicity;

���� (3)�� each of the factors is
applied reasonably;

���� (4)��
one
or more of the factors account for the entire disparate impact; and

���� (5)�� the factors are related
to the license being sought.�

���� A factor shall not apply if
the individual demonstrates that there are alternative policies or processes
that would serve the same purpose without producing the disparate impact.

���� 2.��� This act shall take
effect immediately.

STATEMENT

���� This bill creates a private
right of action for an individual who was denied a professional license,
certification, registration or other authorization by an entity created under
Title 45 or Title 52 of the Revised Statutes, or by a principal department of
the Executive Branch of State government, an entity within a department or any
entity created to license or otherwise regulate a profession and who claims the
denial is the result of a policy or process promulgated or otherwise
effectuated by the State entity that causes a disparate impact on the issuance
of a license, certification, registration or other authorization on the basis
of race or ethnicity.� Under the bill, the individual has a right to file a
verified complaint in writing with the Division of Civil Rights in the New
Jersey Department of Law and Public Safety or the New Jersey Superior Court.�

���� An individual must follow the
provisions of the law against discrimination in order to bring an action
pursuant to the bill.� Additionally, under the bill, the individual filing a
complaint has the burden of demonstrating, by a preponderance of the evidence,
that an application for licensure was denied by a licensing entity as a result
of a policy or process that causes a disparate racial impact.

���� The Division on Civil Rights
or New Jersey Superior Court is to consider if the individual demonstrates that
a disparate impact is caused by:

���� (1)�� a policy or process that
has a disproportionate impact on individuals of a certain race or ethnicity;

���� (2)�� a policy or process that
is applied inconsistently or unreasonably by a licensing entity; or

���� (3)�� factors considered by a
licensing entity that are unrelated to the profession in which the individual
seeks a license.

���� In the bill, it is considered
a defense for a licensing entity if the rationale for a policy or process
justifies the policy or process having an identifiable disparate impact on the
basis of race or ethnicity. The rationale can be justified if the licensing
entity demonstrates that:

���� (1)�� the disparate impact is
based on one or more legitimate, bona fide factors, such as training,
education, experience, or examination, or the quality of services provided;

���� (2)�� the factor or factors
are not based on, and do not perpetuate, a disparate impact based on race or
ethnicity;

���� (3)�� each of the factors is
applied reasonably;

���� (4)�� one or more of the
factors account for the entire disparate impact; and

���� (5)�� the factors are related
to the license being sought.�

���� The bill provides that a
factor shall not apply if it is demonstrated that there are alternative
policies or processes that would serve the same purpose without producing the
disparate impact.