Lemon Law in Hawaii

Buying a car can be an overwhelming task from the moment you start shopping around town. Once you finally make a purchase, the last thing you want to worry about when driving off the lot with your shiny new ride is whether it's going to fall apart on you in the next month. Unfortunately, it does happen.

But like most states, Hawaii offers recourse to those faced with this situation. As a matter of fact, the state goes the extra mile to ensure that you understand the process of filing a complaint under the Lemon Law.

Defining a Lemon

Under the Lemon Law, a consumer has a period of 2 years or 24,000 miles to bring the defect to the attention of the manufacturer or the dealer acting as a representative of the manufacturer. In addition, you must meet the following requirements:

  • The vehicle in question must be new and under warranty when the defect or malfunction occurs.
  • The problem under warranty must somehow affect the market value of the car, the ability to use it, or its safety.
  • You have taken the vehicle into a garage for 3 attempts to fix the same malfunction and the problem was not resolved.
    OR
  • The cumulative time the vehicle spends in the shop adds up to 30 days within 2 years.
    OR
  • The defect is so serious that it renders the vehicle so unsafe it could cause death.

Vehicles Exempt from the Lemon Law

  • Mopeds.
  • Scooters.
  • Motorcycles.
  • Vehicles with a gross vehicle weight rating (GVWR) of more than 10,000 lbs.

Filing a HI Lemon Law Complaint

If your vehicle fits into any of the above categories, you most likely purchased a lemon. So now what do you do?

Contacting the Manufacturer

During the first phases of your lemon law claim, you should try to work things out directly with the dealer or manufacturer. To this end, you need to send a Letter to the Manufacturer detailing the malfunction and the number of times you have tried to have it fixed.

This is where the 30 days or 3 attempts to repair in the shop comes into play. Send the letter by certified mail and ask for a return receipt; photocopy everything for your records. At this point, the manufacturer may acknowledge the error and take the appropriate action. But in many cases, the manufacturer will disagree with your assessment. This is when you ask SCAP to get involved.

State Certified Arbitration Program (SCAP)

As an alternative to fighting out a Lemon Law complaint in the court system, Hawaii instituted the State Certified Arbitration Program (SCAP). The program is run by the Regulated Industries Complaints Office (RICO) and is designed to help you navigate the often confusing quagmire that you may find yourself in if you bought a lemon.

If you have any questions regarding the Lemon Law or how your vehicle fits into the process, this is the place to get answers. Not only does SCAP provide an indispensable Lemon Law Handbook that goes into depth about entering mediation, but SCAP's site also has all the forms necessary to deal with the matter. You can view case history statistics.

Requesting Arbitration

To call for SCAP to look at the case, be sure your car meets the definition of a lemon and you have satisfied the other qualifications discussed in the Lemon Law Handbook. If everything's in order, then use the Lemon Law Demand for Arbitration Checklist to make sure you complete the following:

  • Complete the Demand for Arbitration form.
  • Submit 3 copies of the following:
    • Work orders from the garage(s) showing you tried to have the problem fixed.
    • Dealer or lease contract.
    • Manufacturer warranty; this includes any detailed information available on what parts fall under the contract umbrella.
    • Letter you sent to the manufacturer and the return receipt.
    • Lemon Law document the dealer gave you at the time of the sale. If for some reason you did not receive this, send in a written statement to this effect.
  • Send a check made out to the Director of Finance for $50. If the outcome of the arbitration is in your favor, the $50 will be returned.

You have two options regarding the binding of the arbitration decision. The first is to allow the arbiter's judgment to be binding without any choice to appeal by either party. The other generally allows an appeal within 30 days by either the manufacturer or you, and the outcome of the appeal is final. Sign this form and include it in your stack of documents to send to the arbiter.

All the materials should go to:

Regulated Industries Complaints Office, DCCA
235 S. Beretania St., 9th Floor
Honolulu, HI 96813

Hiring a Hawaii Lemon Law Attorney

Often, people find that navigating legal waters is simply too confusing and time-consuming. It's helpful to have an expert on your side to make sure you get the end result you're looking for. For this reason, you may wish to hire a Hawaii lemon law attorney.

Before you commit to a lemon law lawyer in Hawaii, do your research. You'll want to find an attorney that:

  • Comes recommended and can offer positive testimonials.
  • Is experienced in Hawaii lemon law cases.
    • Attorneys who only know about a different state's lemon law won't be very useful to you.
  • Has a good track record.
    • Ask about the outcome of the attorney's previous cases.
  • You feel comfortable with and can trust.

Speak to a number of Hawaii lawyers before you make your final decision; you want to make sure your lemon law attorney is someone who you can rely on.

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