Paige v. Hyundai Motor Am. Inc.

The trial court erred in granting summary judgment to the defendant on the plaintiffs' breach of warranty claim, because there was a genuine issue of material fact as to whether the plaintiffs failed in good faith to complete the nonbinding arbitration process provided for in the warranty.

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

This appeal is from a trial court’s grant of partial summary judgment to a defendant. Because there exists a genuine issue of material fact, the trial court erred in granting summary judgment and we thus reverse the ruling. On July 14, 2002, Audrey and Roderick Paige bought a new Hyundai Tiburon, which came with an express warranty providing bumper-to-bumper coverage for 60 months or 60,000 miles. The warranty includes a mandatory non-binding arbitration provision that is administered by BBB Auto Line. On January 2, 2003, the Paiges submitted a claim to BBB Auto Line asking that the manufacturer repurchase the vehicle.

On January 9, 2003, Hyundai Motor America, Inc., filed its manufacturer response form with BBB, indicating that it would repurchase the vehicle after the Paiges put it back in its original condition by removing racing stickers and neon lights that they had put on it, by replacing the two front tires, and by repairing damage to the trunk and a tail light. Eight days later, on January 17, 2003, the Paiges and their attorney received a letter from BBB stating, “As you have indicated that you do not wish to pursue your claim with the BBB Auto Line program at this time, your case has been closed.”

Paige v. Hyundai Motor Am. Inc.

The trial court erred in granting summary judgment to the defendant on the plaintiffs' breach of warranty claim, because there was a genuine issue of material fact as to whether the plaintiffs failed in good faith to complete the nonbinding arbitration process provided for in the warranty.

Share with Email

Thank you for sharing!

Trending Stories

More From ALM

Subscribe to Daily Report