Why Hawaiʻi YIMBY Support This Bill:
An increase in frivolous, time and resource-consuming lawsuits has slowed or stopped new housing production with overly broad claims of construction defects. These lawsuits add time and costs to homes, that get passed on to homebuyers. False defect claims on new homes make them more costly to insure for homebuyers. Potential homebuyers are excluded from low-interest, government backed loans due to these kinds of lawsuits, putting homeownership out of reach for many who cannot secure a large downpayment.
This bill seeks to further clarify and embolden the existing Contractor Repair Act. Homebuilders are, and will continue to be, held to a high standard of quality for the homes that they build. Homebuyers will have a clear pathway when they encounter legitimate defects to their home that will result in a more timely and fair repair.
Bill Description:
- Clarifies the applicability of the statute of repose for actions arising from construction defects.
- Clarifies the required contents of a notice of claim of construction defect served on a contractor.
- Amends the process and time frame for a claimant to accept a contractor's offer to settle or inspect and authorize the contractor to proceed with repairs.
- Limits the amount a claimant can recover if the claimant rejects a contractor's reasonable proposal for inspection or a reasonable offer to remedy.
- Clarifies the consequences of rejecting an offer of settlement.
This page will be updated periodically throughout the legislative session. For the most up-to-date status, please visit the bill's page on the Hawai'i State Legislature's website.