Bill > SB331

This bill modifies Hawaii's Contractor Repair Act to create a more structured and fair process for handling construction defect claims. The legislation aims to reduce rising insurance costs by requiring homeowners or property owners (called "claimants") to provide more detailed and specific information when filing a construction defect claim against a contractor. When submitting a claim, claimants must now provide clear, particularized evidence about the nature, cause, and extent of the alleged defect, including expert reports, photographs, and testing results. The bill establishes a formal procedure where contractors must be given an opportunity to inspect the alleged defect and propose repairs or settlements before a lawsuit can be filed. If a claimant unreasonably rejects a contractor's reasonable inspection or repair proposal, the bill limits the potential financial recovery and prevents the claimant from recovering attorneys' fees, even if they ultimately prevail in court. The legislative intent is to encourage more collaborative problem-solving between property owners and contractors, reduce unnecessary litigation, and ultimately help control the rising costs of property insurance and construction by providing contractors a fair chance to address potential defects before facing legal action.

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https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=331&year=2026