Hawaii rail builders again sue state authority over US$10bn project
14 January 2025
A JV of two Hitachi subsidies, named Hitachi Rail Honolulu Joint Venture (HRH), working on the US$10 billion Skyline rail project in the island state of Hawaii, US, is suing the Honolulu Authority for Rapid Transportation (HART) and Honolulu city and county for breach of contract and unjust enrichment.

The Hitachi JV (comprised of Italy- and US-based Hitachi Rail STS outfits) is seeking no less than $324 million in damages. It started work on the project in 2011.
, first filed on 20 December in the state鈥檚 First Circuit Court, HRH said it absorbed cost increases worth tens-of-millions due to Defendant HART鈥檚 alleged mismanagement of the project timeline.
The complaint said, 鈥淒efendants鈥� mismanagement of the Skyline rail project has led to countless delays and other errors resulting in significantly increased costs for HRH in performing its design-build work and operations and maintenance services for the project.鈥�
Hitachi alleged that HART allowed track to be installed by separate HART contractors that was 鈥渋ncompatible with the approved passenger vehicle wheel specifications that HART provided to HRH, which HART required HRH to resolve without compensation.
鈥淎dditionally, Defendants directed HRH to commence a costly 18-month operations and maintenance workforce mobilisation effort at the same time HART knew or should have known that HRH鈥檚 mobilised workforce would not be needed for a substantial period.鈥�
The complaint alleged this request by HART cost HRH more than $92 million.
The claim also alleged that HART lacked 鈥渃ompetent and effective鈥� owner coordination, which led to additional time and cost overruns.
More details on the troubled Hawaii Skyline rail project
Additional contractors working the scheme included Kiewit Pacific, Shimmick/Traylor/Granite JV, and Tutor Perini, in addition to other firms and subcontractors.
HRH said a combination of these firms were tasked 鈥渢o design and build the project鈥檚 elevated guideways and stations and to supply the track and special trackwork for the three segments that comprised the project.鈥�
鈥淗ART, however, was not up to the task of coordinating the numerous contractors involved 鈥� a task vital to the project delivery system HART chose. HART鈥檚 failures in leadership and coordination resulted in extraordinary delays and cost overruns.鈥�
The complaint continued, 鈥淎s a result, for HRH to perform its work, substantial work first needed to be completed by the fixed facilities contractors. HRH鈥檚 ability to timely perform its design-build work was and remains dependent on the timely performance of HART鈥檚 other contractors.鈥�
In total, the three-segment $10 billion scheme seeks to connect 19 stations and 19.4 miles of rail around Honolulu, Hawaii鈥檚 capital city. An addition extension yet to be scheduled would add another 0.8 mi and two more stations.
The first segment 鈥� a 10.75 mile, nine-station line 鈥� was completed in summer of 2023 (roughly five years behind schedule, according to the complaint).
On segment two, the Shimmick/Traylor/Granite joint venture settled a lawsuit against HART last year worth $60 million stemming from delays attributed to a utility relocation. Completion on that phase is now slated for later this year.
Segment three is expected to finish in 2031.
The entire three-segment project was originally expected to open in 2020.
HART said it is not able to discuss the matter with media.
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