Hawaii lemon car laws 2011
Upcoming SlideShare
Loading in...5
×
 

Hawaii lemon car laws 2011

on

  • 281 views

 

Statistics

Views

Total Views
281
Views on SlideShare
281
Embed Views
0

Actions

Likes
0
Downloads
0
Comments
0

0 Embeds 0

No embeds

Accessibility

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Hawaii lemon car laws 2011 Hawaii lemon car laws 2011 Presentation Transcript

  • Hawaii Lemon Car Law www.AlohaLemonLaw.com Hello Lemon Law, Goodbye Lemon
    • 4 Lemon Car Laws
    • HRS 481I-1, Lemon Law
      • - HAR 16-181-1, Lemon Law Rules
    • 15 USC 2301, Magnuson Moss Act
    • HRS 490:2-101, Commercial Code
    • HRS 480-2, -13, Unfair & Deceptive Acts
    Statutory Grounds
    • The Good
    • It’s there
    • Black letter presumptions of a “lemon”
    • Covers most cars, light trucks, motorcycles
    Hawaii’s Lemon Vehicle Law
    • The Bad
    • Presumptions are rebuttable
    • No right to court action
    • Not easy to understand
    • Debatable defenses available to Manufacturer
    Hawaii’s Lemon Vehicle Law
    • And The Ugly
    • Replacement vehicle? Not free, Not new
    • Consumer needs an attorney
    • No mandatory attorney fee recovery
    • Consumer can settle and still not get check
    Hawaii’s Lemon Vehicle Law
  •  
    • 3 Part Definition
    • Public Road Vehicles
    • Consumer Vehicles
    • 10,000 pounds GVW max
    Vehicles Covered
    • Typical Vehicles
    • Cars, Trucks, Vans
    • Motorcycles, 5 hp +
    • Motor Homes, under 10k GVW
    • Demonstrators
    Vehicles Covered
    • Not Typical Vehicles
    • Business vehicles covered, if
      • individually registered and
      • used in both business & consumer use
    Vehicles Covered
    • Not Typical Vehicles
    • Business owned vehicle covered, if
      • business purchases one per year, and
      • used in both business & consumer use
    Vehicles Covered
    • Date of Sale Notice, 481I-3(g)
    • Plain language rights notice
      • Existence of SCAP arbitration program
      • Consumer rights
      • Requirement of advance written notice
      • Name and address for notice mailing
    Notice of Lemon Law Rights
    • Lemon Law Rights Period, 481I-2
      • 24 months after original consumer delivery,
      • or
      • 24,000 miles of operation
    Definitions
    • “ Nonconformity,” 481I-2
      • Any defect or condition
      • That substantially impairs the use, market value, or safety
      • Not “to the consumer” (is an objective test)
    Definitions
    • Substantial Impairment, 481I-2
      • For normal use:
        • Unfit
        • Unreliable
        • Unsafe
      • Significantly diminishes value
    Definitions
    • Different Sections = Different Rights
    • HRS 481I-3(a)
      • Repair Obligation Only
      • Refusal = Waiver of presumptions ?
    • HRS 481I-3(b)
      • Buyback or Replace Obligation Only
    Repair, Buyback, or Replace
    • Applicable Period : 24 Mo. or 24,000 Miles
      • ( 1 ) same defect = 3 strikes and you’re out
        • “ documented” attempts
        • Dlr notice to Mfg: 2 nd repair & 20 days
      • (2) Deadly Defect = 1 chance
      • (3) 30 business days out of service max
        • For all defects
    HRS 481I-3(d) - Presumptions
    • Defense : “Defects not within two years - 24k miles”
    • Plaintiff :
      • Only applies to 481I-3(a)
      • 481I-3(b): “Reasonable” Number of Attempts
        • Question of Fact
        • Nothing in (b) says “during the term of the LL rights period”
    24 Months or 24,000 Miles
    • Defense : “If the engine runs, it’s usable”
    • Plaintiff :
      • Consumer Had No Real Choice
      • Miles Driven after “lemon”, Not Relevant
    Substantial Impairment of Use
    • Defense : “What do you think it’s worth?”
    • Plaintiff :
      • “ significantly diminish the value”
      • Measure of Damages: Difference in Value
        • HRS 490:2-714
      • Expert vs Owner Opinion
    Substantial Impairment of Market Value
    • Defense : “You never had an accident, did you?”
    • Plaintiff :
      • “ Expert Opinion says its dangerous”
      • “ But I nearly did”
      • “ But I could have”
      • “ I adapted my driving to avoid accidents”
    Substantial Impairment of Safety
      • The “No Problem Found” Problem
      • “ N P F” = It’s No Excuse
      • “ N P F” Counts Toward Presumptions
      • Existence of Defect = Question of Fact
      • Symptom + Expert Opinion = Defect
        • Interpretations
      • Court Cases -
      • What court cases ?
        • Court Cases
    • HRS 481I-3(c)
    • “ Nonconformity” exclusions :
            • Abuse
            • Neglect
            • Unauthorized Modification
            • Alteration
          • Defenses
    • HRS 481I-3(f) – TSB’s
    • Upon request, or
    • After consumer reports to Manufacturer
    • Then ,
      • manufacturer must provide “notice”
        • “ it exists”
        • “ you can ask us for a copy”
          • Secret Warranty Notice Mandated
    • Replacement Vehicle, 481I-3(b)
    • “ identical or reasonably equivalent”
    • Offsets
      • Mileage up to presumption point
        • 1% of purchase price per 1,000 miles
      • Excess damage
          • Remedies
  • Buyback = Total Cost – Offsets & Deductions
          • Remedies
    • Arbitration, 481I-4
    • At option of consumer
        • Then, is mandatory on manufacturer
    • Attorney Fees
        • Prevailing party “ may ” recover fees
    • Mfg’s Inspection Report
        • Copy to consumer
          • Other Remedies: Arbitration
    • Arbitration, 481I-4
    • Binding vs non-binding arbitration
      • later Court rights w/ non-binding arb only
      • - 25% improvement, loser pays fees +
      • Mfg fails to comply w/arb decision?
        • Prima facie unfair act, HRS 480
          • Other Remedies: Arbitration
    • Lemon Resale Requirements, 481I-3(k)
    • Notice signed by buyer
      • conspicuous
      • was repurchased due to defects
      • list of defects
    • Defects fixed
    • Warranty: 12 mo – 12,000 mile
          • Lemon Laundering
    • 481I-3(j)
    • 1 Year after Lemon Law Rights period expires
      • Length of Mfg Warranty
      • 2 years from first retail sale
      • 24,000 miles of operation
          • Limitations Period
    • Back to The Ugly
    • Consumer needs an attorney
    • No mandatory attorney fee recovery
    • Consumer can settle and still not get paid
    Hawaii’s Lemon Vehicle Law
    • Fundamentals, 15 USC 2301
    • Federal claim for UCC breach of warranty
    • Covers virtually all consumer products
    • Consumer’s attorney fees paid by losing merchant
    • Privity not necessary element of a claim
          • Magnuson Moss Act
    • Elements
    • A consumer product, and
    • A warrantor’s failure to comply with MM, or
    • Breach of Written Warranty or Service Contract
          • Magnuson Moss Act
    • Cumulative Remedies
    • Damages, and
    • Equitable relief, and
    • Attorney Fees
    • Arbitration ?
          • Magnuson Moss Act
    • Fundamentals, HRS 480-2, -13
    • Unfair or deceptive acts prohibited
    • Covers consumers
    • Cumulative Remedies:
      • $1,000 or 3x damages (Elder, $5,000)
      • Attorney fees
      • Injunction, Rescission
          • Unfair or Deceptive Act
  • Jeff Crabtree Email: [email_address] web sites: www.ConsumerLaw.com Ronald L. Burdge Email: [email_address] web sites: www.TheLawCoach.com www.AlohaLemonLaw.com Hello Lemon Law, Goodbye Lemon Hawaii Lemon Car Laws
  • Hawaii Lemon Car Law www.AlohaLemonLaw.com Hello Lemon Law, Goodbye Lemon