reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-37 Common interest.

§514B-37 Common interest.
Each unit shall have the common interest it is assigned in the declaration. Except as provided in sections 514B-32(a)(12), 514B-46, and 514B-140(d) and except as provided in the declaration, a unit's common interest shall be permanent and remain undivided, and may not be altered or partitioned without the consent of the owner of the unit and the owner's mortgagee, expressed in a duly executed and recorded declaration amendment. The common interest shall not be separated from the unit to which it appertains, and shall be deemed to be conveyed or encumbered with the unit even if the common interest is not expressly mentioned or described in the conveyance or other instrument. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-38 Common elements.

§514B-38 Common elements.
Each unit owner may use the common elements in accordance with the purposes permitted under the declaration, subject to:
(1) The rights of other unit owners to use the common elements;
(2) Any owner's exclusive right to use of the limited common elements as provided in the declaration;
(3) The right of the owners to amend the declaration to change the permitted uses of the common elements; provided that subject to [section] 514B-140(c):
(A) Changing common element open spaces or landscaped spaces to other uses shall not require an amendment to the declaration; and
(B) Minor additions to or alterations of the common elements for the benefit of individual units are permitted if the additions or alterations can be accomplished without substantial impact on the interests of other owners in the common elements, as reasonably determined by the board;
(4) Any rights reserved in the declaration to amend the declaration to change the permitted uses of the common elements;
(5) The right of the board, on behalf of the association, to lease or otherwise use for the benefit of the association those common elements that the board determines are not actually used by any of the unit owners for a purpose permitted in the declaration. Unless the lease is approved by the owners of at least sixty-seven per cent of the common interest, the lease shall have a term of no more than five years and may be terminated by the board or the lessee on no more than sixty days prior written notice; provided that the requirements of this paragraph shall not apply to any leases, licenses, or other agreements entered into for the purposes authorized by section 514B-140(d); and
(6) The right of the board, on behalf of the association, to lease or otherwise use for the benefit of the association those common elements that the board determines are actually used by one or more unit owners for a purpose permitted in the declaration. The lease or use shall be approved by the owners of at least sixty-seven per cent of the common interest, including all directly affected unit owners that the board reasonably determines actually use the common elements, and the owners' mortgagees; provided that the requirements of this paragraph shall not apply to any leases, licenses, or other agreements entered into for the purposes authorized by section 514B-140(d). [L 2005, c 93, pt of §2; am L 2006, c 273, §10]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-39 Limited common elements.

§514B-39 Limited common elements.
If the declaration designates any portion of the common elements as limited common elements, those limited common elements shall be subject to the exclusive use of the owner or owners of the unit or units to which they are appurtenant, subject to the provisions of the declaration and bylaws. No amendment of the declaration affecting any of the limited common elements shall be effective without the consent of the owner or owners of the unit or units to which the limited common elements are appurtenant. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-40 Transfer of limited common elements.

§514B-40 Transfer of limited common elements.
Except as provided in the declaration, any unit owner may transfer or exchange a limited common element that is assigned to the owner's unit to another unit. Any transfer shall be executed and recorded as an amendment to the declaration. The amendment need only be executed by the owner of the unit whose limited common element is being transferred and the owner of the unit receiving the limited common element; provided that unit mortgages and leases may also require the consent of mortgagees or lessors, respectively, of the units involved. A copy of the amendment shall be promptly delivered to the association. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-42 Metering of utilities.

§514B-42 Metering of utilities.
(a) Units in a project that includes units designated for both residential and nonresidential use shall have separate meters, or calculations shall be made, or both, as may be practicable, to determine the use by the nonresidential units of utilities, including electricity, water, gas, fuel, oil, sewerage, air conditioning, chiller water, and drainage, and the cost of the utilities shall be paid by the owners of the nonresidential units; provided that the apportionment of the charges among owners of nonresidential units shall be done in a fair and equitable manner as set forth in the declaration or bylaws.
Notwithstanding any provision to the contrary in this chapter or in a project's declaration or bylaws the board may authorize the installation of separate meters to determine the use by each of the residential and commercial units of utilities, including electricity, water, gas, fuel, oil, sewerage, and drainage; provided that the cost of installing the meters shall be paid by the association.
(b) Notwithstanding any approval requirements and spending limits contained in a project's declaration or bylaws, the board of any association may authorize the installation of meters to determine the use by each individual unit of utilities, including electricity, water, gas, fuel, oil, sewerage, air conditioning, chiller water, and drainage; provided that the cost of installing the meters shall be paid by the association. The cost of metered utilities shall be paid by the owners of each unit based on actual consumption and, to the extent not billed directly to the unit owner by the utility provider, may be collected in the same manner as common expense assessments. Owners' maintenance fees shall be adjusted as necessary to avoid any duplication of charges to owners for the cost of metered utilities. [L 2005, c 93, pt of §2; am L 2012, c 18, §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-43 Liens against units.

§514B-43 Liens against units.
(a) For purposes of this section:
"Lien" means a lien created pursuant to chapter 507, part II.
"Visible commencement of operations" shall have the meaning it has in section 507-41.
(b) If visible commencement of operations occurs prior to the creation of the condominium, then, upon creation of the condominium, liens arising from this work shall attach to all units in the condominium described in the declaration and their respective undivided interests in the common elements, but not to the common elements as a whole. If visible commencement of operations occurs after creation of the condominium, then liens arising from this work shall attach only to the unit or units described in the declaration on which the work was performed in the same manner as other real property, and shall not attach to the common elements.
(c) If the developer contracts for work on the common elements, either on its behalf or on behalf of the association prior to the first meeting of the association, then liens arising from this work may attach to all units owned by the developer described in the declaration at the time of visible commencement of operations.
(d) If the association contracts for work on the common elements after the first meeting of the association, there shall be no lien on the common elements, but the persons contracting with the association to perform the work or supply the materials incorporated in the work shall be entitled to their contractual remedies, if any. [L 2005, c 93, pt of §2; am L 2018, c 18, §33]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-44 Contents of deeds or leases of units.

§514B-44 Contents of deeds or leases of units.
Deeds or leases of units adequately describe the property conveyed or leased if they contain the following information:
(1) The title and date of the declaration and the declaration's bureau of conveyances or land court document number or liber and page numbers;
(2) The unit number of the unit conveyed or leased;
(3) The common interest appurtenant to the unit conveyed or leased; provided that the common interest shall be deemed to be conveyed or encumbered with the unit even if the common interest is not expressly mentioned in the conveyance or other instrument, as provided in section 514B-37;
(4) For a unit, title to which is registered in the land court, the land court certificate of title number for the unit, if available; and
(5) For a unit, title to which is not registered in the land court, the bureau of conveyances document number or liber and page numbers for the instrument by which the grantor acquired title.
Deeds or leases of units may contain additional information and details deemed desirable and consistent with the declaration and this chapter, including without limitation a statement of any encumbrances on title to the unit that are not listed in the declaration. The failure of a deed or lease to include all of the information specified in this section shall not render it invalid. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-45 Blanket mortgages and other blanket liens affecting a unit at time of first conveyance or lease.

§514B-45 Blanket mortgages and other blanket liens affecting a unit at time of first conveyance or lease.
At the time of the first conveyance or lease of each unit, every mortgage and other lien, except any improvement district or utility assessment, affecting both the unit and any other unit shall be paid and satisfied of record, or the unit being conveyed or leased and its common interest shall be released therefrom by a duly recorded partial release. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-46 Merger of projects or increments.

§514B-46 Merger of projects or increments.
(a) Two or more projects, or increments of a project, whether or not adjacent to one another, but that are part of the same incremental plan of development and in the same vicinity, may be merged together so as to permit the joint use of the common elements of the projects by all the owners of the units in the merged projects. A merger may be implemented with the vote or consent that the declaration requires for a merger, pursuant to any reserved rights set forth in the declaration, or upon vote of sixty-seven per cent of the common interest.
(b) A merger becomes effective at the earlier of:
(1) A date certain set forth in the certificate of merger; or
(2) The date that the certificate of merger is recorded.
The certificate of merger may provide for a single association and board for the merged projects and for a sharing of the common expenses of the projects among all the owners of the units in the merged projects. The certificate of merger may also provide for a merger of the common elements of the projects so that each unit owner in the merged projects has an undivided ownership interest in the common elements of the merged projects. In the event of a merger of common elements, the common interests of each unit in the merged projects shall be adjusted in accordance with the merger provisions in the projects' declarations so that the total common interests of all units in the resulting merged project totals one hundred per cent. If the certificate of merger does not provide for a merger of the common elements, the common elements and common interests of the merged projects shall remain separate, but shall be subject to the provisions set forth in the respective declarations with respect to merger.
(c) Upon the recording of a certificate of merger that indicates that the fee simple title to the lands of the merged projects are merged, the registrar shall cancel all existing certificates of title for the units in the projects being merged and shall issue new certificates of title for the units in the merged project, covering all of the land of the merged projects. The new certificates of title for the units in the merged project shall describe, among other things, each unit's new common interest. The certificate of merger shall at least set forth all of the units of the merged projects, their new common interests, and to the extent practicable, their current certificate of title numbers in the common elements of the merged projects.
(d) In the event of a conflict between declarations and bylaws upon the merger of projects or increments, unless otherwise provided in the certificate of merger, the provisions of the first declaration and bylaws recorded shall control. [L 2005, c 93, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-51 Registration required; exceptions.

Note
"Condominium property regimes created prior to July 1, 2006, etc., see L 2017, c 181, §45 set forth in Note at beginning of chapter", as shown in the main volume, is superseded by "Condominium property regimes created prior to July 1, 2006, etc., see L 2017, c 181, §45, as amended by L 2019, c 223, §1 set forth in Note at beginning of chapter".
Part heading amended by L 2005, c 93, pt of §3.
§514B-51 Registration required; exceptions.
(a) A developer may not offer for sale any units in a project unless the project is registered with the commission and an effective date for the developer's public report is issued by the commission.
(b) The registration requirement of this section shall not apply to:
(1) The disposition of units exempted from the developer's public report requirements pursuant to section 514B-81(b);
(2) Projects in which all units are restricted to nonresidential uses and all units are to be sold for $1,000,000 or more; or
(3) The sale of units in bulk, such as where a developer undertakes to develop and then sells all or a portion of the developer's entire inventory of units to a purchaser who is a developer. The registration requirements of this section and the developer's amended developer's public report requirements of section 514B-56 shall apply to any sale of units to the public following a sale of units in bulk. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-52 Application for registration.

§514B-52 Application for registration.
(a) An application for registration of a project shall:
(1) Be accompanied by nonrefundable fees as provided in rules adopted by the director of commerce and consumer affairs pursuant to chapter 91; and
(2) Contain the documents and information concerning the project and the condominium property regime as required by sections 514B-54, 514B-83, and 514B-84, as applicable, and as otherwise may be specified by the commission.
(b) An application for registration of a project in the agricultural district classified pursuant to chapter 205 shall include a verified statement, signed by an appropriate county official, that the project as described and set forth in the project's declaration, condominium map, bylaws, and house rules does not include any restrictions limiting or prohibiting agricultural uses or activities, in compliance with section 205-4.6. For projects containing greater than five units, the statement shall also include the applicant's assessment and county comments regarding the availability of supportive infrastructure, any potential impact on governmental plans and resources, sensitive environmental resources, and any other requirements pursuant to county ordinances and rules. The developer's public report shall include the verified statement in addition to the information required by section 514B-83. The commission shall not accept the registration of a project where a county official has not signed a verified statement.
(c) The commission need not process any incomplete application and may return an incomplete application to the developer and require that the developer submit a new application, including nonrefundable fees. If an incomplete application is not completed within six months of the date of the original submission, it shall be deemed abandoned and registration of the project shall require the submission of a new application, including nonrefundable fees.
(d) A developer shall promptly file amendments to report either any actual or expected pertinent or material change, or both, in any document or information contained in the application. [L 2005, c 93, pt of §3; am L 2014, c 49, §5; am L 2021, c 77, §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-53 Inspection by commission.

§514B-53 Inspection by commission.
(a) After appropriate notification has been made or additional information has been received pursuant to this part, an inspection of the project may be made by the commission.
(b) When an inspection is to be made of a project, the developer shall be required to pay an amount estimated by the commission to be necessary to cover the actual expenses of the inspection, not to exceed $500 a day for each day consumed in the examination of the project, plus reasonable transportation expenses. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-54 Developer's public report; requirements for issuance of effective date.

§514B-54 Developer's public report; requirements for issuance of effective date.
(a) Prior to the issuance of an effective date for a developer's public report, the commission shall have received the following:
(1) Nonrefundable fees as provided in rules adopted by the director of commerce and consumer affairs pursuant to chapter 91;
(2) The developer's public report prepared by the developer disclosing the information specified in section 514B-83 and, if applicable, section 514B-84;
(3) A copy of the deed, master lease, agreement of sale, or sales contract evidencing either that the developer holds the fee or leasehold interest in the property or has a right to acquire the same;
(4) Copies of the executed declaration, bylaws, and condominium map that meet the requirements of sections 514B-32, 514B-33, and 514B-108;
(5) A specimen copy of the proposed contract of sale for units;
(6) An executed copy of an escrow agreement with a third party depository for retention and disposition of purchasers' funds that meets the requirements of section 514B-91;
(7) As applicable, the documents and information required in section 514B-92 or 514B-93;
(8) A declaration by the developer, subject to the penalties set forth in section 514B-69(b), that the project is in compliance with all county zoning and building ordinances and codes, and all other county permitting requirements applicable to the project, pursuant to chapter 205, including section 205-4.6, where applicable, and sections 514B-5 and 514B-32(a)(13);
(9) In the case of a project in the agricultural district classified pursuant to chapter 205, a verified statement signed by an appropriate county official that the project as described and set forth in the project's declaration, condominium map, bylaws, and house rules does not include any restrictions limiting or prohibiting agricultural uses or activities, in compliance with section 205-4.6; and
(10) Other documents and information that the commission may require.
(b) The developer's public report shall not be used for the purpose of selling any units in the project until the commission issues an effective date for the developer's public report. The commission's issuance of an effective date for a developer's public report shall not be construed to constitute the commission's approval or disapproval of the project; the commission's representation that either all material facts or all pertinent changes, or both, concerning the project have been fully or adequately disclosed; or the commission's judgment of the value or merits of the project. [L 2005, c 93, pt of §3; am L 2014, c 49, §6]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-55 Developer's public report; request for hearing by developer.

§514B-55 Developer's public report; request for hearing by developer.
If an effective date for a developer's public report is not issued within a reasonable time after compliance with registration requirements, or if the developer is materially grieved by the form or content of the developer's public report, the developer, in writing, may request and shall be given a hearing by the commission within a reasonable time after receipt of the request. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-57 Commission oversight of developer's public report.

§514B-57 Commission oversight of developer's public report.
(a) The commission at any time may require a developer to amend or supplement the form or substance of a developer's public report to assure adequate and accurate disclosure to prospective purchasers.
(b) The developer's public report shall not be used for any promotional purpose before registration, and may be used after registration only if it is used in its entirety. No person shall advertise or represent that the commission has approved or recommended the condominium project, the developer's public report, or any of the documents contained in the application for registration. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-58 Annual report.

§514B-58 Annual report.
(a) A developer, its successor, or assign shall file annually a report to update the material contained in the developer's public report, together with the payment of nonrefundable fees, at least thirty days prior to the anniversary date of the effective date for a developer's public report. If there is no change to the developer's public report, the developer shall so state. This subsection shall not relieve the developer, its successor, or assign of the obligation to file amendments to the developer's public report pursuant to section 514B-56. Failure to file the annual report required by this section may subject the developer to the penalties set forth in section 514B-69(b).
(b) The developer, its successor, or assign shall be relieved from filing annual reports pursuant to this section when the initial sales of all units have been completed. [L 2005, c 93, pt of §3; am L 2006, c 273, §12]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-59 Expiration of developer's public reports.

§514B-59 Expiration of developer's public reports.
Except as otherwise provided in this chapter, upon issuance of an effective date for a developer's public report or any amendment, the developer's public report and amendment or amendments shall not expire until such time as the developer has sold all units in the project. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-60 No false or misleading information.

§514B-60 No false or misleading information.
It shall be unlawful for any person or person's agent to testify falsely or make a material misstatement of fact before the commission or to file with the commission any document required by this chapter that is false, contains a material misstatement of fact, or that contains forgery. All documents shall be true, complete, and accurate in all respects, including the developer's public report, prepared by or for the developer and submitted to the commission in connection with the developer's registration of the project, and all information contained in the documents, and shall not contain any misleading information, or omit any pertinent change in the information or documents submitted to the commission. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-61 General powers and duties of commission.

§514B-61 General powers and duties of commission.
(a) The commission may:
(1) Adopt, amend, and repeal rules pursuant to chapter 91;
(2) Assess fees;
(3) Conduct investigations, issue cease and desist orders, and bring an action in any court of competent jurisdiction to enjoin persons, consistent with and in furtherance of the objectives of this chapter;
(4) Prescribe forms and procedures for submitting information to the commission; and
(5) Prescribe the form and content of any documents required to be submitted to the commission by this chapter.
(b) If it appears that any person has engaged, is engaging, or is about to engage in any act or practice in violation of this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, section 514B-154.5, or any of the commission's related rules or orders, the commission, without prior administrative proceedings, may maintain an action in the appropriate court to enjoin that act or practice or for other appropriate relief. The commission shall not be required to post a bond or to prove that no adequate remedy at law exists in order to maintain the action.
(c) The commission may exercise its powers in any action involving the powers or responsibilities of a developer under this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, or section 514B-154.5.
(d) The commission may accept grants-in-aid from any governmental source and may contract with agencies charged with similar functions in this or other jurisdictions, in furtherance of the objectives of this chapter.
(e) The commission may cooperate with agencies performing similar functions in this and other jurisdictions to develop uniform filing procedures and forms, uniform disclosure standards, and uniform administrative practices, and may develop information that may be useful in the discharge of the commission's duties.
(f) In issuing any cease and desist order or order rejecting or revoking the registration of a condominium project, the commission shall state the basis for the adverse determination and the underlying facts.
(g) The commission, by rule, may require bonding at appropriate levels over time, escrow of portions of sales proceeds, or other safeguards to assure completion of all improvements that a developer is obligated to complete, or has represented that it will complete. [L 2005, c 93, pt of §3; am L 2014, c 188, §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-62 Deposit of fees.

§514B-62 Deposit of fees.
Unless otherwise provided in this chapter, all fees collected under this chapter shall be deposited by the director of commerce and consumer affairs to the credit of the compliance resolution fund established pursuant to section 26-9(o). [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-63 Condominium specialists; appointment; duties.

§514B-63 Condominium specialists; appointment; duties.
The director of commerce and consumer affairs may appoint condominium specialists, not subject to chapter 76, to assist consumers with information, advice, and referral on any matter relating to this chapter or otherwise concerning condominiums. The director may also appoint secretaries, not subject to chapter 76, to provide assistance in carrying out these duties. The condominium specialists and secretaries shall be members of the employees' retirement system of the State and shall be eligible to receive the benefits of any state or federal employee benefit program generally applicable to officers and employees of the State. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-64 Private consultants.

§514B-64 Private consultants.
The director of commerce and consumer affairs may contract with private consultants for the review of documents and information submitted to the commission pursuant to this chapter. The cost of the review by private consultants shall be borne by the developer. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-65 Investigative powers.

§514B-65 Investigative powers.
If the commission has reason to believe that any person is violating or has violated this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, section 514B-154.5, or the rules of the commission adopted pursuant thereto, the commission may conduct an investigation of the matter and examine the books, accounts, contracts, records, and files of all relevant parties. For purposes of this examination, the developer and the real estate broker shall keep and maintain records of all sales transactions and of the funds received by the developer and the real estate broker in accordance with chapter 467 and the rules of the commission, and shall make the records accessible to the commission upon reasonable notice and demand. [L 2005, c 93, pt of §3; am L 2014, c 188, §4]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-66 Cease and desist orders.

§514B-66 Cease and desist orders.
In addition to its authority under sections 514B-67 and 514B-68, whenever the commission has reason to believe that any person is violating or has violated this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, section 514B-154.5, or the rules of the commission adopted pursuant thereto, it may issue and serve upon the person a complaint stating its charges in that respect and containing a notice of a hearing at a stated place and upon a day at least thirty days after the service of the complaint. The person served has the right to appear at the place and time specified and show cause why an order should not be entered by the commission requiring the person to cease and desist from the violation of the law or rules charged in the complaint. If the commission finds that this chapter or the rules of the commission have been or are being violated, it shall make a report in writing stating its findings as to the facts and shall issue and cause to be served on the person an order requiring the person to cease and desist from the violations. The person, within thirty days after service upon the person of the report or order, may obtain a review thereof in the appropriate circuit court. [L 2005, c 93, pt of §3; am L 2014, c 188, §5]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-67 Termination of registration.

§514B-67 Termination of registration.
(a) The commission, after notice and hearing, may issue an order terminating the registration of a condominium project upon determination that a developer, or any officer, principal, or affiliate of a developer has:
(1) Failed to comply with a cease and desist order issued by the commission affecting that condominium project;
(2) Concealed, diverted, or disposed of any funds or assets of any person in a manner impairing rights of purchasers of units in that condominium project;
(3) Failed to perform any stipulation or agreement made to induce the commission to issue an order relating to that condominium project;
(4) Misrepresented or failed to disclose a material fact in the application for registration;
(5) Failed to meet any of the conditions described in this part necessary to qualify for registration; or
(6) Failed to conform or comply with county zoning and development ordinances as required by chapter 205, including section 205-4.6 where applicable, and section 514B-5.
(b) A developer may not convey, cause to be conveyed, or contract for the conveyance of any interest in a unit while an order revoking the registration of the condominium project is in effect, without the consent of the commission.
(c) The commission may issue a cease and desist order in lieu of an order of revocation where appropriate. [L 2005, c 93, pt of §3; am L 2014, c 49, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-68 Power to enjoin.

§514B-68 Power to enjoin.
Whenever the commission believes from satisfactory evidence that any person has violated this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, section 514B-154.5, or the rules of the commission adopted pursuant thereto, it may conduct an investigation of the matter and bring an action against the person in any court of competent jurisdiction on behalf of the State to enjoin the person from continuing the violation or doing any acts in furtherance thereof. [L 2005, c 93, pt of §3; am L 2014, c 188, §6]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-69 Penalties.

§514B-69 Penalties.
(a) Any person who violates or fails to comply with this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, or section 514B-154.5, shall be guilty of a misdemeanor and shall be punished by a fine not exceeding $10,000, or by imprisonment for a term not exceeding one year, or both. Any person who violates or fails to comply with any rule, order, decision, demand, or requirement of the commission under this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, or section 514B-154.5, shall be punished by a fine not exceeding $10,000.
(b) In addition to any other actions authorized by law, any person who violates or fails to comply with this part, part V, section 514B-103, 514B-132, 514B-134, 514B-149, sections 514B-152 to 514B-154, section 514B-154.5, or the rules of the commission adopted pursuant thereto, shall also be subject to a civil penalty not exceeding $10,000 for any violation. Each violation shall constitute a separate offense. [L 2005, c 93, pt of §3; am L 2014, c 188, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-70 Limitation of actions.

§514B-70 Limitation of actions.
No civil or criminal actions shall be brought by the State pursuant to this chapter more than two years after the discovery of the facts upon which the actions are based or ten years after completion of the sales transaction involved, whichever has first occurred. [L 2005, c 93, pt of §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-71 Condominium education trust fund.

§514B-71 Condominium education trust fund.
(a) The commission shall establish a condominium education trust fund that the commission shall use for educational purposes. Educational purposes shall include financing or promoting:
(1) Education and research in the field of condominium management, condominium project registration, and real estate, for the benefit of the public and those required to be registered under this chapter;
(2) The improvement and more efficient administration of associations;
(3) Expeditious and inexpensive procedures for resolving association disputes;
(4) Support for mediation of condominium related disputes; and
(5) Support for voluntary binding arbitration between parties in condominium related disputes, pursuant to section 514B-162.5.
(b) The commission shall use all moneys in the condominium education trust fund for purposes consistent with subsection (a). Any law to the contrary notwithstanding, the commission may make a finding that a fee adjustment is appropriate and adjust the fees paid by associations to regulate the fund balance to an appropriate level to maintain a reasonable relation between the fees generated and the cost of services rendered by the condominium education trust fund. For the purposes of finding that a fee adjustment is appropriate in order to maintain a reasonable relation between the fees generated and the cost of services rendered by the fund, the commission's review shall include the following:
(1) Frequency and timing of anticipated revenue to the fund;
(2) Identification of a reserve amount based on unanticipated revenue reductions and historical expenditures;
(3) Anticipated expenses paid, including recovery payouts during a biennial budget cycle;
(4) Unanticipated natural disasters or catastrophic weather events that may increase fund payments; and
(5) Any statutory adjustments to fund payout amounts.
The balance of the fund shall not exceed a sum determined by the commission. The sum shall be determined by the commission biennially. [L 2005, c 93, pt of §3; am L 2013, c 187, §2; am L 2018, c 196, §3; am L 2018, c 196, §9; am L 2020, c 12, §6 and c 57, §2]
Note
Repeal and reenactment of subsection (a) on June 30, 2023, by L 2018, c 196, §9, as shown in the main volume, deleted by L 2020, c 57, §2.
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-73 Condominium education trust fund; management.

§514B-73 Condominium education trust fund; management.
(a) The sums received by the commission for deposit in the condominium education trust fund pursuant to section 514B-72 shall be held by the commission in trust for carrying out the purpose of the fund.
(b) The commission and the director of commerce and consumer affairs may use moneys in the condominium education trust fund collected pursuant to section 514B-72, and the rules of the commission to employ necessary personnel not subject to chapter 76 for additional staff support, to provide office space, and to purchase equipment, furniture, and supplies required by the commission to carry out its responsibilities under this part.
(c) The moneys in the condominium education trust fund collected pursuant to section 514B-72, and the rules of the commission may be invested and reinvested together with the real estate education fund established under section 467-19 in the same manner as are the funds of the employees' retirement system of the State. The interest and earnings from these investments shall be deposited to the credit of the condominium education trust fund.
(d) The commission shall annually submit to the legislature, no later than twenty days prior to the convening of each regular session:
(1) A summary of the programs funded during the prior fiscal year and the amount of money in the fund, including a statement of which programs were directed specifically at the education of condominium owners; and
(2) A copy of the budget for the current fiscal year, including summary information on programs that were funded or are to be funded and the target audience for each program. The budget shall include a line item reflecting the total amount collected from condominium associations. [L 2005, c 93, pt of §3; am L 2009, c 129, §11; am L 2017, c 181, §29]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-81 Applicability; exceptions.

Note
Part heading amended by L 2005, c 93, pt of §4.
A. General Provisions
§514B-81 Applicability; exceptions.
(a) This part applies to all units subject to this chapter, except as provided in subsection (b).
(b) No developer's public report shall be required in the case of:
(1) A gratuitous disposition of a unit;
(2) A disposition pursuant to court order;
(3) A disposition by a government or governmental agency;
(4) A disposition by foreclosure or deed in lieu of foreclosure; or
(5) The sale of units in bulk, as defined in section 514B-51(b); provided that the requirements of this part shall apply to any sale of units to the public following the sale of units in bulk. [L 2005, c 93, pt of §4]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-82 Sale of units.

§514B-82 Sale of units.
Except as provided in section 514B-85, no sale or offer of sale of units in a project by a developer shall be made prior to the registration of the project by the developer with the commission, the issuance of an effective date for the developer's public report by the commission, and except as provided by law with respect to time share units, the delivery of the developer's public report to prospective purchasers. Notwithstanding any other provision to the contrary, where a time share project is duly registered under chapter 514E and a disclosure statement is effective and required to be delivered to the purchaser or prospective purchaser, the developer's public report need not be delivered to the purchaser or prospective purchaser. [L 2005, c 93, pt of §4]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-83 Developer's public report.

§514B-83 Developer's public report.
(a) A developer's public report shall contain:
(1) The name and address of the project, and the name, address, telephone number, and electronic mail address, if any, of the developer or the developer's agent;
(2) A statement of the deadline, pursuant to section 514B-89, for completion of construction or, in the case of a conversion, for the completion of any repairs required to comply with section 514B-5, and the remedies available to the purchaser, including but not limited to cancellation of the sales contract, if the completion of construction or repairs does not occur on or before the completion deadline;
(3) A breakdown of the annual maintenance fees, which includes the annual reserve contributions based on a reserve study, and the monthly estimated cost for each unit, certified to have been based on generally accepted accounting principles, and a statement regarding when a purchaser shall become obligated to start paying the fees pursuant to section 514B-41(b);
(4) A description of all warranties for the individual units and the common elements, including the date of initiation and expiration of any such warranties, or a statement that no warranties exist;
(5) A summary of the permitted uses of the units and, if applicable, the number of units planned to be devoted to a particular use;
(6) A description of any development rights reserved to the developer or others;
(7) A declaration, subject to the penalties set forth in section 514B-69(b), that the project is in compliance with all county zoning and building ordinances and codes, chapter 205, including section 205-4.6 where applicable, and all other county permitting requirements applicable to the project, pursuant to sections 514B-5 and 514B-32(a)(13); and
(8) Any other facts, documents, or information that would have a material impact on the use or value of a unit or any appurtenant limited common elements or amenities of the project available for an owner's use, or that may be required by the commission.
(b) A developer shall promptly amend the developer's public report to report any pertinent or material change or both in the information required by this section. [L 2005, c 93, pt of §4; am L 2014, c 49, §8; am L 2022, c 62, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-85 Preregistration solicitation.

§514B-85 Preregistration solicitation.
(a) Prior to the registration of the project by the developer with the commission, the issuance of an effective date for the developer's public report by the commission, and the delivery of the developer's public report to prospective purchasers, and subject to the limitations set forth in subsection (b), the developer may solicit prospective purchasers and enter into nonbinding preregistration agreements with the prospective purchasers with respect to units in the project. As used in this section, "solicit" means to advertise, to induce, or to attempt in whatever manner to encourage a person to acquire a unit.
(b) The solicitation activities authorized under subsection (a) shall be subject to the following limitations:
(1) Prior to registration of the project with the commission and the issuance of an effective date for the developer's public report, the developer shall not collect any moneys from prospective purchasers or anyone on behalf of prospective purchasers, whether or not the moneys are to be placed in an escrow account, or whether or not the moneys would be refundable at the request of the prospective purchaser; and
(2) The developer shall not require or request that a prospective purchaser execute any document other than a nonbinding preregistration agreement. The preregistration agreement may, but need not, specify the unit number of a unit in the project to be reserved and may, but need not, include a price for the unit. The preregistration agreement shall not incorporate the terms and provisions of the sales contract for the unit and, by its terms, shall not become a sales contract. Notwithstanding anything contained in the preregistration agreement to the contrary, the preregistration agreement may be canceled at any time by either the developer or the prospective purchaser by written notice to the other. The commission may prepare a form of preregistration agreement for use pursuant to this section, and use of the commission-prepared form shall be deemed to satisfy the requirements of the preregistration agreement as provided in this section. [L 2005, c 93, pt of §4]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-86 Requirements for binding sales contracts; purchaser's right to cancel.

§514B-86 Requirements for binding sales contracts; purchaser's right to cancel.
(a) No sales contract for the purchase of a unit from a developer shall be binding on the developer, prospective purchaser, or purchaser until:
(1) The developer has delivered to the prospective purchaser:
(A) A true copy of the developer's public report, including all amendments with an effective date issued by the commission. The developer's public report shall include the report itself, the condominium project's recorded declaration and bylaws, house rules if any, a letter-sized condominium project map, and all amendments that shall be:
(i) Attached to the developer's public report itself as exhibits or shall be concurrently and separately provided to the prospective purchaser or purchaser with the developer's public report; [and]
(ii) Printed copies unless the commission, prospective purchaser, or purchaser [indicates] in a separate writing their election to receive the required condominium's declaration, bylaws, house rules, if any, letter-sized condominium map, and all amendments through means of a computer disc, e-mail, download from an internet site, or by any other means contemplated by chapter 489E. Where it is impractical to include a letter-sized condominium project map, the prospective purchaser or purchaser shall be provided a written notice of an opportunity to examine the map. The copy of the recorded declaration and bylaws creating the project shall indicate the document number, land court document number, or both, as applicable; and
(B) A notice of the prospective purchaser's thirty-day cancellation right on a form prescribed by the commission, upon which the prospective purchaser may indicate that the prospective purchaser has had an opportunity to read the developer's public report, understands the developer's public report, and exercises the right to cancel or waives the right to cancel; and
(2) The prospective purchaser has waived the right to cancel or is deemed to have waived the right to cancel.
(b) Purchasers may cancel a sales contract at any time up to midnight of the thirtieth day after:
(1) The date that the purchaser signs the contract; and
(2) All of the items specified in subsection (a)(1) have been delivered to the purchaser.
(c) The prospective purchaser may waive the right to cancel, or shall be deemed to have waived the right to cancel, by:
(1) Checking the waiver box on the cancellation notice and delivering it to the developer;
(2) Letting the thirty-day cancellation period expire without taking any action to cancel; or
(3) Closing the purchase of the unit before the cancellation period expires.
(d) The receipts, return receipts, or cancellation notices obtained under this section shall be kept on file in possession of the developer and shall be subject to inspection at any reasonable time by the commission or its staff or agents for a period of three years from the date the receipt or return receipt was obtained. [L 2005, c 93, pt of §4; am L 2007, c 244, §5]