Hawaii Lemon Law
Hawaii Motor Vehicle Express Warranty Enforcement Act (Lemon Law) (Haw. Rev. Stat. §§ 481I-1 through 481I-4). If your new or used vehicle has a substantial defect the dealer can't fix, you may be entitled to a refund, replacement, or cash settlement. The manufacturer pays the legal fees — you pay nothing out of pocket.
What's distinctive
How Hawaii's lemon law is different
Hawaii is one of the few states that runs its own State Certified Arbitration Program (SCAP) instead of relying on manufacturer-sponsored arbitration. Filing a SCAP demand requires a $50 consumer fee (refunded if the consumer wins) and a $200 manufacturer fee. SCAP awards are binding unless either party demands a trial de novo, and the appellant who fails to improve their position by 25% pays the other side's costs and fees. Treble damages flow through HRS Chapter 480 unfair-practices claims rather than the lemon statute itself. The mileage offset uses the third repair attempt mileage, not the first-report mileage, which can substantially reduce the offset.
Used vehicles
Hawaii's lemon law covers only new vehicles. Subsequent transferees during the warranty period qualify, but standalone used-vehicle protection does not exist under Chapter 481I.
Leased vehicles
Lessees are covered when leasing a new vehicle for one year or more under a written agreement that places repair responsibility on the lessee.
Mileage offset on a refund
Refund is reduced by an offset equal to the contract price multiplied by the mileage at the third repair attempt (or first attempt for safety defects, or the 30-day mark if applicable), divided by 120,000.
Arbitration requirement
Consumers must use the State Certified Arbitration Program (SCAP) administered by the DCCA Regulated Industries Complaints Office before filing a civil suit. SCAP arbitration is binding unless a party demands a trial de novo within 30 days.
Civil penalty / extra damages
Treble damages are available under HRS Chapter 480 if the manufacturer engages in unfair or deceptive practices, including failure to timely comply with an arbitration award. Attorney's fees and costs are also recoverable.
Areas served in Hawaii
- Honolulu
- Pearl City
- Hilo
- Kailua
- Kahului
State consumer-protection resource
Hawaii Department of Commerce and Consumer Affairs, Regulated Industries Complaints Office (RICO)
https://cca.hawaii.gov/rico/lemon-law/ →Common questions
Hawaii lemon law, in plain English
Does Hawaii's lemon law cover me?
Hawaii's lemon law (HRS Chapter 481I) covers new motor vehicles purchased or leased in Hawaii and registered there. The defect must substantially impair use, market value, or safety and occur during the Lemon Law Rights Period: the express warranty term or two years from delivery or 24,000 miles, whichever is earliest. Coverage extends to transferees who receive the vehicle while the warranty is still in effect. Excluded are mopeds, motorcycles, vehicles over 10,000 pounds GVWR, and vehicles used primarily for business purposes. Active-duty military stationed in Hawaii who purchased the vehicle elsewhere may also qualify if the vehicle is registered in Hawaii.
How many repair attempts before I can file in Hawaii?
Hawaii's statute presumes a reasonable number of attempts has been made when the same nonconformity has been subject to repair three times, when a defect likely to cause death or serious bodily injury has been subject to repair at least once, or when the vehicle has been out of service for repairs for 30 or more business days cumulatively. After the second written notice of the defect (or once 20 business days out of service have accrued), the dealer is required to notify the manufacturer. Keep all repair orders and any written communications with the dealer.
Are used cars covered under Hawaii lemon law?
Hawaii's lemon law generally does not protect used-car buyers. The statute applies only to new vehicles within the Lemon Law Rights Period. The narrow exception is a used vehicle still under the original manufacturer's express warranty during the two-year/24,000-mile window: in that case the new owner steps into the original consumer's shoes as a transferee. For used vehicles outside the original warranty, Hawaii buyers must rely on the federal Magnuson-Moss Warranty Act, Hawaii's UDAP statute (HRS Chapter 480), or any dealer-provided written warranty.
Are leased vehicles covered in Hawaii?
Yes. The statute defines 'lessee' as any consumer who leases a motor vehicle for one year or more under a written lease that requires the lessee to be responsible for repairs. Lessees have the same rights to repurchase or replacement as purchasers, with the refund mechanics adjusted to reimburse capitalized cost reduction, payments made, and lease payoff. The leasing company is required to cooperate in unwinding the lease and accepting the manufacturer's buyback funds.
Do I have to go through arbitration in Hawaii before suing?
Yes. Hawaii consumers must first file a demand with the State Certified Arbitration Program (SCAP) administered by the DCCA's Regulated Industries Complaints Office. The consumer pays a $50 filing fee (refunded if you prevail), and the manufacturer pays $200. SCAP arbitration is binding unless either party files a request for trial de novo in circuit court within 30 days of the award. A party who appeals and fails to improve their position by at least 25% must pay the other side's reasonable attorney's fees and trial costs, which deters frivolous appeals on both sides.
What can I get under Hawaii lemon law?
You can elect either a comparable replacement vehicle or a refund of the full contract price including charges for undercoating, dealer prep, transportation, installed options, and collateral and incidental charges, less a reasonable offset for use. Hawaii's offset formula uses the mileage at the third repair attempt (or the first attempt for safety defects, or the 30-day mark for the out-of-service trigger), multiplied by the contract price, divided by 120,000. If the manufacturer fails to honor a SCAP award, the consumer can pursue treble damages under HRS Chapter 480's unfair or deceptive practices statute, plus attorney's fees.
What's the difference between Hawaii's statute and federal Magnuson-Moss?
Hawaii's lemon law is faster and provides automatic remedies once you meet the repair-attempt or out-of-service presumptions, with mandatory SCAP arbitration as a streamlined first step. Magnuson-Moss is broader, applying to almost any consumer product covered by a written warranty, has a four-year statute of limitations, and requires you to prove the defect breached the warranty rather than rely on a presumption. The two laws can be pursued together: many Hawaii consumers file SCAP for a quick remedy and reserve federal Magnuson-Moss claims for circuit court, especially for used vehicles or older claims that fall outside the lemon law's window.
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