Class action lawyers and Honda Canada have reached a proposed agreement to compensate owners of Honda Civics and Acura CSXs who are struggling with paint delamination issues.
The Superior Court of Quebec will rule on June 27 on this proposed agreement.
Here’s what you need to know:
Over the past 15 years, thousands of Honda Civics and Acura CSXs sold in North America have had a paint defect. In Quebec, the problem has been recognized by Honda Canada for several years. In 2019, two law firms obtained permission to launch class action on behalf of owners of Honda Civics built between 2006 and 2013 inclusive and owners of Acura CSX built between 2006 and 2011 inclusive.
On April 25, lawyers CBL & Associés and BGA reached an agreement with Honda Canada to end the class action. Owners can share up to $ 27 million, or a maximum of $ 2,675 per eligible owner.
Judge Martin F. Sheehan will review the agreement during a hearing at the end of June.
Who can take advantage of the agreement?
If the judge upholds the agreement, owners who purchased a 2006-2013 Honda Civic or 2006-2011 Acura CSX in Quebec will be able to submit a claim. Their vehicle will need to show problems with delamination or paint deterioration. These owners will need to provide supporting documents, the details of which will be revealed next fall.
It is estimated that between 15,000 and 30,000 owners in Quebec will benefit from this agreement. It has to do with current owners and former owners.
In fact, even if you have already sold your vehicle, you are automatically included in this settlement.
However, if you purchased a used Honda Civic or a used Acura CSX when it already had delamination issues, you are not covered by this agreement. It is assumed that the price of the vehicle has changed downwards as a result of these known defects.
However, you can submit a claim if, at the time of purchase, the vehicle has no defects. You will need to show that paint problems started to appear after purchase.
How much can you claim?
Again, if the judge upholds the agreement, you may first receive a $ 125 fine for removing the material fact of the sale. For this claim, Honda Canada must have sold the vehicle to you. You may also receive an additional amount, which decreases according to your situation and the model and year of your vehicle.
Three main scenarios:
You can receive up to $ 2,550 to repaint your car. You will be entitled to this amount if you still own the vehicle or have sold it since then. About one hundred coachbuilders in Quebec are authorized to carry out the work.
You don’t want to have your car repainted: you could receive a cash indemnity equal to 60% of the reimbursement for the work, i.e., a maximum of $ 1,530.
You resold your car without having it repaired: you can get compensation for the loss of resale value of up to $ 1,530.
To not forget
By May 16, 150,000 Honda Civic (2006-2013) and Acura CSX (2006-2011) owners will be personally notified via email about the availability of this agreement.
If the judge approves the draft agreement, the claim period will open in the fall of 2022. It will take six months. An advertising campaign will detail the terms of the claim, such as how to route the claim, the evidence received, etc.
Even if you opt out of class action, you can still return yourself to class action. In short, you don’t have to contact anyone. You will need to report to the Administrator by filing a claim in the fall.
If everything goes according to plan, compensation distribution could begin in the summer of 2023.
Will pay will continue to follow the file.
Source: Radio-Canada
