Best Auto Dealer Fraud Lawyers in Hawaii

About Auto Dealer Fraud Law in Hawaii, United States

Auto dealer fraud refers to unlawful or deceptive practices by car dealerships before, during, or after the sale of a vehicle. In Hawaii, these laws are in place to protect consumers from being misled or harmed when buying new or used vehicles. Common examples of auto dealer fraud in Hawaii include odometer tampering, misrepresentation of a vehicle's history or condition, failure to disclose prior accidents or damage, and deceptive financing or warranty practices. Both state and federal laws provide avenues for consumers to seek relief and hold dealerships accountable.

Why You May Need a Lawyer

Legal representation can be crucial if you believe you are a victim of auto dealer fraud. Common situations where people seek legal help include:

• Discovering undisclosed past accidents or flood damage after purchase
• Odometer rollback or mileage misrepresentation
• False advertising or bait-and-switch sales tactics
• Hidden fees or unauthorized charges in sales contracts
• Being sold vehicles as “certified pre-owned” when they do not meet those criteria
• Issues with warranties that are not honored or properly explained
• Problems with trade-in valuations or payoffs
• Unapproved financing arrangements or interest rate misrepresentations
• Refusal to provide promised repairs, services, or accessories

A lawyer can help assess your case, understand your rights, negotiate a settlement, and, if necessary, take legal action against the dealership.

Local Laws Overview

Hawaii has specific laws and regulations to combat auto dealer fraud. The key aspects include:

• Hawaii Revised Statutes (HRS) Chapter 437: Governs the licensing and regulation of motor vehicle dealers and salespersons, including required disclosures, prohibited acts, and penalties for violations.
• Unfair and Deceptive Trade Practices Act (HRS Chapter 480): Prohibits unfair or deceptive acts in trade or commerce, including false advertising and misrepresentation by auto dealers.
• Odometer Law Compliance: Dealers are required to accurately disclose vehicle mileage under state and federal law. Tampering with odometers is illegal.
• Disclosure Requirements: Dealers must disclose known defects, salvage or rebuilt history, and material facts about the vehicle's condition.
• Lemon Law Protections: Hawaii’s Lemon Law (HRS Chapter 481I) primarily protects new car buyers from significant defects but may not apply to used vehicles. However, certain rights still apply under general consumer protection statutes.

If a dealership violates any of these requirements, consumers may be entitled to damages, vehicle return, or other remedies.

Frequently Asked Questions

What qualifies as auto dealer fraud in Hawaii?

Auto dealer fraud includes any intentional misrepresentation, deception, or concealment by a car dealership intended to mislead a consumer. Common forms involve odometer tampering, hiding accident history, fake certification, and hidden charges.

How do I know if I am a victim of auto dealer fraud?

You may be a victim if you find discrepancies between what was promised and what was delivered, or if you discover previously undisclosed issues with the vehicle’s history, condition, or financing terms.

Is there a difference between contract disputes and dealer fraud?

Yes. Contract disputes generally involve disagreements over terms both parties agreed to, while dealer fraud involves deception or concealment of key facts by the dealership before or during the contract process.

What are my options if I suspect auto dealer fraud?

You can file a complaint with the Hawaii Department of Commerce and Consumer Affairs, contact an attorney experienced in consumer rights, or seek mediation or arbitration as outlined in your sales contract.

How much time do I have to take legal action?

The statute of limitations for most fraud claims in Hawaii is two years from when the issue is discovered. It is important to act quickly to preserve your rights.

What kind of compensation might I receive?

Compensation may include cancellation of the purchase, a refund, damages for financial losses, attorneys' fees, or, in some cases, treble (triple) damages if the actions violated Hawaii’s Unfair and Deceptive Trade Practices Act.

Can I resolve my issue without going to court?

Yes. Many dealerships prefer to settle disputes out of court. Mediation, arbitration, or direct negotiation with professional assistance may resolve the issue more efficiently.

What documents should I gather before consulting a lawyer?

Keep all paperwork related to your purchase, including the bill of sale, financing documents, warranty information, advertisements, written communications, and any repair records or vehicle history reports.

Does Hawaii’s Lemon Law protect used car buyers?

Hawaii’s Lemon Law mainly covers new vehicles with substantial defects that cannot be repaired. Used car buyers have some protections under consumer fraud and disclosure laws, but the Lemon Law's scope is limited.

Where can I file an official complaint?

Complaints can be filed with the Hawaii Department of Commerce and Consumer Affairs, Office of Consumer Protection, or with the Better Business Bureau of Hawaii.

Additional Resources

If you suspect auto dealer fraud, the following organizations may offer assistance:

• Hawaii Department of Commerce and Consumer Affairs - Motor Vehicle Industry Licensing Board
• Office of Consumer Protection, State of Hawaii
• Better Business Bureau Serving Hawaii
• Consumer Financial Protection Bureau
• National Highway Traffic Safety Administration - Odometer Fraud Office
• Local legal aid societies and bar associations for referrals to qualified attorneys

Next Steps

If you believe you are a victim of auto dealer fraud in Hawaii, take the following steps:

• Document everything related to your purchase, including receipts, emails, contracts, and advertisements
• Contact the dealership about your concerns in writing and keep a record of any responses
• File a complaint with the Hawaii Department of Commerce and Consumer Affairs or Office of Consumer Protection
• Consult with an experienced consumer protection or auto fraud attorney to assess your case and discuss your legal options
• Consider mediation or arbitration if suggested, but do not sign away your legal rights without seeking legal advice

Act quickly to ensure the best possible outcome and to preserve your rights under Hawaii law.