Sonia Hernandez Velasquez v. American Honda Motor Co., Inc., a California corporation

Case Background

On December 16, 2022, Sonia Hernandez Velasquez, a Los Angeles resident, sued American Honda, a California corporation with its registered office in Los Angeles. The product liability case arose from American Honda’s failure to uphold its warranty obligations for a vehicle it sold.

The lawsuit was filed in the California Superior Court, Los Angeles County. Judges Barbara A. Meiers, Thomas D. Long, and Barbara M. Scheper presided over this case. [Case number: 22STCV39180]

Cause

Under the Song-Beverly Consumer Warranty Act, Velasquez qualified as a buyer of consumer goods, and American Honda met the legal definition of a manufacturer or distributor.

According to the complaint, American Honda knowingly concealed that the vehicle’s transmission was defective at the time of sale. Its authorized agents repeatedly assured Velasquez that each repair attempt had fixed the issue, leading her to reasonably rely on those statements. Despite ongoing problems, American Honda continued misrepresenting its ability to repair the vehicle. It had a duty to disclose the truth but instead actively hid material facts to mislead Velasquez.

Between May 2017 and August 2022, Velasquez brought the vehicle to authorized repair facilities at least seven times. Each time, American Honda returned the car, claiming the transmission had been fixed. On August 26, 2021, the dealership finally diagnosed the transmission issue and recommended repairs. Because American Honda had concealed the defects and provided false assurances, Velasquez could not have discovered the truth sooner.

Due to American Honda’s fraudulent concealment, Velasquez remained unaware of critical facts and the company falsely assured her the repairs were effective.

Damages

The Plaintiff sought a judgment against the Defendant and requested several forms of relief. She sought compensation for general, special, and actual damages, with the exact amount to be determined at trial. She also requested the cancellation of the purchase contract and a refund of all money spent on the vehicle.

Additionally, she demanded compensation for the vehicle’s reduced value and any incidental or consequential damages, as proven at trial. She sought a civil penalty equal to twice her actual damages. Furthermore, she requested prejudgment interest at the legal rate and formally revoked her acceptance of the vehicle.

The Plaintiff also asked the court to award reasonable attorney’s fees and cover the costs of the lawsuit. Finally, she requested any other relief the court found fair and appropriate under the circumstances.

Key Arguments and Proceedings

Legal Representation

  • Plaintiff(s): Sonia Hernandez Velasquez
    • Counsel for Plaintiff(s): Roger Kirnos | Maite C. Colon
  • Defendant(s): American Honda, a California corporation
    • Counsel for Defendant(s): Brian Takahashi

Claims

Breach of Express Warranty Under the Song-Beverly Act

The Plaintiff entered into a warranty contract with American Honda on April 8, 2017, for a 2016 Honda Odyssey LX. The express warranty terms appeared in Exhibit 1. During the warranty period, the vehicle developed multiple defects, including issues with the transmission, brakes, suspension, electrical system, and steering. These defects significantly reduced the vehicle’s safety, value, and usability.

The Plaintiff took the vehicle to an authorized American Honda repair facility for multiple repairs. However, the Defendant failed to fix the issues after a reasonable number of attempts. Under the Song-Beverly Act, the Defendant had a legal duty to either repurchase or replace the vehicle when it could not conform to the warranty.

Despite this obligation, American Honda neither replaced the vehicle nor refunded the Plaintiff’s money. By failing to repair the defects or provide restitution, the Defendant violated the Song-Beverly Act. As a result, the Plaintiff had the right to a refund of the purchase price, minus an amount based on the vehicle’s use before the first repair attempt.

Defense

American Honda’s Response to Plaintiff’s Complaint

American Honda Motor Co., Inc. (“AHM”) responded to the Plaintiff’s complaint, denying all allegations. AHM specifically denied any wrongdoing and rejected the claim that the Plaintiff suffered damages in any amount.

First Affirmative Defense – Failure to State a Cause of Action
AHM argued that the Plaintiff’s complaint did not include sufficient facts to support a valid legal claim against the company.

Second Affirmative Defense – Improper Forum
AHM asserted that the lawsuit had been filed in the wrong venue. The company believed the claims should be resolved through arbitration instead.

Third Affirmative Defense – Additional Defenses
AHM stated that other legal defenses might apply but had not yet been identified. The company reserved the right to raise additional defenses as they became known.

Jury Verdict

On July 9, 2024, the jury found that Honda provided Plaintiff with an express written warranty when she bought the 2016 Honda Odyssey vehicle from them. The jury determined that the car had defects that were covered under the express warranty that substantially impaired the vehicle’s use, value, or safety to a reasonable buyer.

The jury found that Honda failed to repair the vehicle despite having multiple reasonable opportunities and wilfully failed to promptly replace or repurchase Plaintiff’s Odyssey vehicle.

The jury awarded the Plaintiff $36,643.76 in actual damages and an additional $73,287.52 as civil penalty equal to twice her actual damages.

On August 7, 2024, Judge Barbara A. Meiers entered a final judgment of $109,931.28 for the Plaintiff’s breach of express warranty claim under the Song-Beverly Act.

Court Documents:

Documents are available for purchase upon request at jurimatic@exlitem.com