Report Title:

Hearing aids; consumer protection

 

Description:

Allows hearing aid purchasers a thirty-day trial period during which a purchaser may return a hearing aid for a partial refund or acquire free adjustments.

 

HOUSE OF REPRESENTATIVES

H.B. NO.

2626

TWENTY-FIRST LEGISLATURE, 2002

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO PROVIDING A TRIAL PERIOD FOR THE PURCHASE OF HEARING AIDS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature recognizes that a hearing aid is a major consumer purchase and that a defective hearing aid creates a hardship for the consumer. It is further the intent of the legislature to provide statutory procedures whereby a consumer may receive free adjustments, or a refund, for a hearing aid that does not meet the needs of the consumer. Finally, it is the intent of the legislature to ensure that consumers are made aware of their rights under this chapter and are not refused the information, documents, or service necessary to exercise their rights.

Nothing in this chapter shall in any way limit or expand the rights or remedies that are otherwise available to a consumer under any other law.

SECTION 2. Section 451A-1, Hawaii Revised Statutes, is amended by adding three new definitions to read as follows:

"§451A-1 Definitions. As used in this chapter, unless the context otherwise requires:

"Business day" means any day during which the service departments of authorized dealers of the manufacturer of the hearing aid are normally open for business.

"Department" means the department of commerce and consumer affairs.

"Director" means the director of commerce and consumer affairs.

"Hearing aid" means any wearable instrument or device and any parts, attachments, or accessories, including earmold, but excluding batteries and cords, designed or offered for the purpose of aiding or compensating impaired human hearing.

"Purchase price" means the cash price appearing in the sales agreement or contract and paid for the hearing aid.

"Purchaser" means the purchaser of a hearing aid, any person to whom the hearing aid is transferred during the duration of the trial period applicable to the hearing aid, and any other person entitled to enforce the obligations any warranties given by the manufacturer of a hearing aid or a hearing aid fitter or dealer.

"Practice of dealing and fitting of hearing aids" means the measurement of human hearing by an audiometer or by any other means solely for the purpose of making selections, adaptations, or sales of hearing aids or the manufacture of impressions for earmolds, and, at the request of a physician or a member of a profession related to the practice of medicine and surgery, the administration of audiograms for use in consultation with the hard-of-hearing.

"Sale" means any transfer of title, interest, or possession except transactions with distributors or dealers."

SECTION 3. Chapter 451A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§451A- Trial period, return or refund. (a) No hearing aid shall be sold to any purchaser unless accompanied in writing by a thirty-day trial period providing that if the purchaser returns the hearing aid in the same condition as when purchased, ordinary wear and tear excepted, within thirty days of the date of receipt of the hearing aid by the purchaser, the purchaser shall be entitled to free adjustment of the hearing aid or the return of the full purchase price of the hearing aid and accessories as itemized on the receipt therefor, whichever the purchaser desires.

(b) If a hearing aid is returned pursuant to this chapter, a hearing aid fitter or dealer may retain up to ten percent of the purchase price for documented expenses and services rendered.

(1) In computing the actual purchase price of the hearing aid, all rebates, discounts, and other similar allowances provided to the seller shall be considered.

(2) In computing the actual purchase price of the hearing aid, the cost of custom earmolds and batteries shall not be included in the actual purchase price for purposes of determining the amount a hearing aid fitter or dealer may retain. The hearing aid fitter or dealer may retain all charges levied for any custom earmolds and batteries, provided, only such charges that reflect the actual cost to the hearing aid fitter or dealer of any custom earmolds and batteries, without retail markup, may be retained.

(c) Every hearing aid dealer or fitter shall include in every receipt and contract pertaining to a sale, in reasonable proximity to the space reserved for the signature of the buyer, or on the first page if there is no space reserved for the signature of the buyer, a clear and conspicuous disclosure of the following specific statement, in capital letters of no less then twelve point boldface type of uniform font and in an easily readable style, "THE BUYER HAS THE RIGHT TO CANCEL THIS PURCHASE OR RENTAL FOR ANY REASON AT ANY TIME PRIOR TO MIDNIGHT OF THE THIRTIETH CALENDAR DAY AFTER RECEIPT OF THE HEARING AID. A CANCELLATION FEE OF TEN PERCENT OF THE PURCHASE PRICE, PLUS ACTUAL COST OF CUSTOM EARMOLDS AND BATTERIES, MAY BE IMPOSED."

(d) The thirty-day period shall be extended by any period of time during which repair services are not available to the consumer because of a war, invasion, strike, fire, flood or other natural disaster."

SECTION 4. New statutory material is underscored.

SECTION 5. This Act shall take effect upon its approval.

 

 

 

INTRODUCED BY:

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