James G. Lowe, M.D. v. Bernard Audet

CourtSupreme Court of New Jersey
DecidedJuly 15, 2026
DocketA-12-25
StatusPublished

This text of James G. Lowe, M.D. v. Bernard Audet (James G. Lowe, M.D. v. Bernard Audet) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James G. Lowe, M.D. v. Bernard Audet, (N.J. 2026).

Opinion

SYLLABUS

This syllabus is not part of the Court’s opinion. It has been prepared by the Office of the Clerk for the convenience of the reader. It has been neither reviewed nor approved by the Court and may not summarize all portions of the opinion.

James G. Lowe, M.D. v. Bernard Audet (A-12-25) (090940)

Argued April 27, 2026 -- Decided July 15, 2026

JUSTICE FASCIALE, writing for a unanimous Court.

In this appeal, the Court addresses whether insurance brokers, producers, and agents are exempt from the Consumer Fraud Act (CFA) as “semi-professionals” under the “learned professional” exception.

Plaintiff James Lowe, M.D., is a neurosurgeon who co-owned a medical practice, as well as several unrelated businesses. Bernard Audet and Richard Laver are insurance brokers and producers employed by the Creative Financial Group, Ltd. (collectively, defendants). Defendants marketed, sold, produced, and procured insurance policies to and for plaintiff and his medical practice that covered, among other things, loss related to disability. Plaintiff alleges that defendants advised him that he would receive maximum benefits under his policies should he become disabled and never advised him that business interests unrelated to his medical practice could affect a benefits claim.

Plaintiff was diagnosed with a vision condition that prevented him from performing neurosurgery. Plaintiff made claims for maximum benefits under the insurance policies. The insurance companies paid only partial benefits due to plaintiff’s other business interests unrelated to his medical practice.

Plaintiff filed a complaint, alleging that defendants violated the CFA by negligently failing to obtain sufficient disability insurance for him. Defendants moved to dismiss the CFA count, and the trial court granted the motion, relying on Plemmons v. Blue Chip Insurance Services, Inc., 387 N.J. Super. 551 (App. Div. 2006). The trial court acknowledged, however, that it was “arguably faced with two competing” appellate decisions, Plemmons and Shaw v. Shand, 460 N.J. Super. 592 (App. Div. 2019). The Appellate Division affirmed. The Court granted leave to appeal the dismissal of the CFA count. 262 N.J. 143 (2025).

HELD: Insurance brokers, producers, and agents are not exempt from the CFA under the learned professional exception as semi-professionals or otherwise.

1 1. New Jersey has one of the nation’s strongest consumer protection laws. The Court reviews relevant CFA provisions. Exceptions to the CFA -- both for learned and semi-professionals -- emanate from courts employing different tests to determine whether the CFA encompasses specific conduct. Among the standards courts have considered are the nature of the activity involved; whether that activity is regulated; historical prohibitions on advertising by certain professions; and the level of education required by a particular field. The Court reviews historical case law addressing the learned professional exception. (pp.8-13)

2. In Plemmons, the Appellate Division concluded that “insurance brokers are ‘semi-professional[s]’ who are excluded from liability under the CFA for the services they render within the scope of their professional licenses.” 387 N.J. Super. at 564. Thirteen years later, the Appellate Division decided Shaw, which “narrowly construed” the learned professional exception and concluded it applies only to those professionals “who have historically been recognized as ‘learned’ based on the requirement of extensive learning or erudition.” Shaw also determined that “[t]o the extent our prior decisions, including Plemmons . . . , have applied the learned professional exception to ‘semi-professionals’ who are regulated by a separate regulatory scheme, we . . . depart from that reasoning.” Ibid. (pp. 14-15)

3. The Court explains that the “semi-professional” exception has no support in the text of the CFA, yet the CFA has not been amended to specifically nullify the exception. Insurance brokers do not fall under either the learned professional or semi-professional exception, no matter what methodology one uses to define those terms. They are not one of the narrow class of professionals who have historically been recognized as “learned.” Insurance brokers also were permitted to advertise at the time the CFA was adopted, so they do not belong to the class of professionals that could not have been regulated by the CFA. And although they are licensed, licensing and regulation alone are not a sufficient basis for exemption from the CFA, and there is no direct, unavoidable conflict between the CFA and the regulations governing insurance brokers. The CFA’s substantive, remedial purpose would be undermined if insurance brokers were permitted to seek refuge from CFA liability through the so-called “semi-professional” exemption. (pp. 16-17)

4. The Court does not assess or affirm the underlying “learned professional” exception and invites the Legislature to clarify whether certain professionals are exempt from liability under the CFA. (p. 18)

REVERSED.

CHIEF JUSTICE RABNER and JUSTICES PATTERSON, PIERRE-LOUIS, WAINER APTER, NORIEGA, and HOFFMAN join in JUSTICE FASCIALE’s opinion. 2 SUPREME COURT OF NEW JERSEY A-12 September Term 2025 090940

James G. Lowe, M.D.,

Plaintiff-Appellant,

v.

Bernard Audet, Richard Laver, and The Creative Financial Group, Ltd.,

Defendants-Respondents.

On appeal from the Superior Court, Appellate Division.

Argued Decided April 27, 2026 July 15, 2026

Stephen J. DeFeo argued the cause for appellant (Brown & Connery, attorneys; Stephen J. DeFeo, Kathleen E. Dohn, and Taylor L. Johnson, on the brief).

Barry R. Temkin argued the cause for respondents Bernard Audet and The Creative Financial Group, Ltd. (Mound Cotton Wollan & Greengrass, attorneys; Barry R. Temkin, Kate E. DiGeronimo, and Katharine Anne Lechleitner, on the briefs).

Jared K. Levy argued the cause for respondent Richard Laver (Wood, Smith, Henning & Berman, attorneys; Jared K. Levy, on the briefs).

1 September R. McCarthy, Deputy Attorney General, argued the cause for amicus curiae Attorney General of New Jersey (Jennifer Davenport, Attorney General, attorney; Jeremy M. Feigenbaum, Solicitor General, and Shankar Duraiswamy, Deputy Solicitor General, of counsel and on the brief, and September R. McCarthy, on the brief).

Bruce H. Nagel submitted a brief on behalf of amicus curiae New Jersey Association for Justice (Nagel Rice, attorneys; Bruce H. Nagel and Robert H. Solomon, on the brief).

Daniel E. Cohen submitted a brief on behalf of amicus curiae New Jersey Citizen Action (Pashman Stein Walder Hayden, attorneys; CJ Griffin, of counsel, and Daniel E. Cohen, on the brief).

JUSTICE FASCIALE delivered the opinion of the Court.

In this appeal, we address whether the trial judge, whose opinion was

affirmed by the Appellate Division, correctly determined that insurance

brokers, producers, and agents are exempt from the Consumer Fraud Act (CFA

or the Act), N.J.S.A. 56:8-1 et seq., as “semi-professionals” under the “learned

professional” exception.

We hold that insurance brokers, producers, and agents are not exempt

from the CFA under the learned professional exception as semi-professionals

or otherwise. We reverse the judgment of the Appellate Division, vacate the

2 dismissal of the CFA counts in the complaint, and remand for further

proceedings.

I.

We accept the facts as alleged in plaintiff’s complaint as true because

the appeal reaches us from motions to dismiss for failure to state a claim under

Rule 4:6-2(e). See Smith v. SBC Commc’ns, Inc., 178 N.J. 265, 268-69

(2004).

Plaintiff James Lowe, M.D., is a neurosurgeon who worked at and co-

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