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In most states, including New Jersey I believe, it is only illegal to rebadge cars if it is done for an 'unlawful purpose'. So if you just like the look you're good. If you did it after comitting a crime so that the car would be harder to identify, or if you tried to sell it as some 'special edition' (fraud) you would be in violation.
If you do rebadge it you will get extra attention from the police just like you will with any modifications...it's part of the game.
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