reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-9.8 Time share interest owner referrals. (a) An owner of an interest in a time share plan duly registered under this chapter who is not licensed under chapter 467 and provides the name and address of a prospective purchaser or otherwise refers a prospective purchaser of an interest in the same time share plan to a developer, sales agent, or resale agent of the time share plan shall be exempt from licensing requirements under chapter 467; provided that: (1) Any fee paid to the owner shall be in the form of a credit or other nonmonetary compensation and shall not exceed $1,000 per project during any twelve-month calendar period; (2) The owner shall be limited to providing the name and address of the prospective purchaser and the owner shall not advertise or promote the time share plan or the referral provided to developers, sales agents, or resale agents under this section; and (3) The developer, sales agent, or resale agent shall provide the owner who received a referral fee with a written receipt that identifies and provides the value of the compensation given. (b) Nothing in this chapter or in chapter 467, including section 467-14(14), shall be construed to prohibit or prevent a developer, sales agent, or resale agent from entering into a transaction with a time share interest owner pursuant to this section. [L 2001, c 223, §1]

§514E-9.8
Time share interest owner referrals.
(a) An owner of an interest in a time share plan duly registered under this chapter who is not licensed under chapter 467 and provides the name and address of a prospective purchaser or otherwise refers a prospective purchaser of an interest in the same time share plan to a developer, sales agent, or resale agent of the time share plan shall be exempt from licensing requirements under chapter 467; provided that:
(1) Any fee paid to the owner shall be in the form of a credit or other nonmonetary compensation and shall not exceed $1,000 per project during any twelve-month calendar period;
(2) The owner shall be limited to providing the name and address of the prospective purchaser and the owner shall not advertise or promote the time share plan or the referral provided to developers, sales agents, or resale agents under this section; and
(3) The developer, sales agent, or resale agent shall provide the owner who received a referral fee with a written receipt that identifies and provides the value of the compensation given.
(b) Nothing in this chapter or in chapter 467, including section 467-14(14), shall be construed to prohibit or prevent a developer, sales agent, or resale agent from entering into a transaction with a time share interest owner pursuant to this section. [L 2001, c 223, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-10.3 Time share owners association; budgets and reserves. (a) For each fiscal year, the plan manager, or the board of the association if there is no plan manager, shall adopt an operating budget and distribute copies to all members of the association. The budget shall contain at least the following: (1) The estimated revenues and operating expenses of the association; (2) Information as to whether the budget has been prepared on a cash or accrual basis; (3) The total cash reserves of the association as of the date of the budget; (4) The estimated cash reserves the association will require to maintain the property; (5) A general explanation of how the estimated cash reserves are computed; and (6) The amount the association must collect for the year to fund the estimated cash reserves. (b) The plan manager, or the board of the association if there is no plan manager, shall arrange for an annual independent audit of the association's financial accounts conducted by a public accountant in accordance with generally accepted auditing standards. Upon request, a copy of the audit shall be provided to the director, to any member of the association, and any prospective purchaser. The audit report shall include such information as provided by rules adopted by the director pursuant to chapter 91. [L 1993, c 320, §1]

§514E-10.3
Time share owners association; budgets and reserves.
(a) For each fiscal year, the plan manager, or the board of the association if there is no plan manager, shall adopt an operating budget and distribute copies to all members of the association. The budget shall contain at least the following:
(1) The estimated revenues and operating expenses of the association;
(2) Information as to whether the budget has been prepared on a cash or accrual basis;
(3) The total cash reserves of the association as of the date of the budget;
(4) The estimated cash reserves the association will require to maintain the property;
(5) A general explanation of how the estimated cash reserves are computed; and
(6) The amount the association must collect for the year to fund the estimated cash reserves.
(b) The plan manager, or the board of the association if there is no plan manager, shall arrange for an annual independent audit of the association's financial accounts conducted by a public accountant in accordance with generally accepted auditing standards. Upon request, a copy of the audit shall be provided to the director, to any member of the association, and any prospective purchaser. The audit report shall include such information as provided by rules adopted by the director pursuant to chapter 91. [L 1993, c 320, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-10.5 Consultant review of developer filing.

§514E-10.5 Consultant review of developer filing.
The director may contract with private consultants in connection with the review of the filing required of time share developers pursuant to section 514E-10(a) and (e). The cost of contracting private consultants shall be borne by the developer; provided that the consultant review required under this section shall not affect the scope of the review under section 514E-27 that the director may request for filings that encompass alternative arrangements for purchaser protection. The consultant shall be asked to thoroughly review the filing for the purpose of examining its compliance with the requirements of this chapter and any rule adopted by the director, including the documentation and other provided materials; provided that in lieu of reviewing copies of all encumbrances on title, the consultant shall accept a certification from the developer that the developer has reviewed all encumbrances on title and has determined that the time share interest being sold is free and clear of blanket liens or other material encumbrances that may directly, substantially, and adversely impact utilization of the property by a purchaser, or if that is not the case, identifying the blanket liens or other material encumbrances and either specifying how those encumbrances will be addressed or what the impact of the encumbrances may be to the purchaser. Upon completing the review, the consultant shall provide a written analysis of the filing and an opinion of the nature and extent to which it complies with this chapter and adopted rules. The director may adopt rules pursuant to chapter 91 to further delineate the duties of the consultant in undertaking the review and analysis required pursuant to this section. [L 1984, c 41, pt of §1; am L 1994, c 91, §2; am L 2023, c 176, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-11.2 Power to enjoin.

§514E-11.2 Power to enjoin.
(a) Whenever it shall appear to the director, upon complaint or otherwise, that any person has engaged in, is engaged in, or is about to engage in any act, practice or transaction in violation of this chapter or the rules of the director adopted pursuant thereto, the director may conduct an investigation of the matter. Whenever the director finds that such person has engaged in, is engaged in, or is about to engage in any act, practice or transaction in violation of this chapter or the rules of the director adopted pursuant thereto, the director may, in addition to any other remedies, bring suit in the name and on behalf of the State against such person and any other person or persons concerned in, or in any way participating in, or about to participate in such act, practice or transaction in violation of this chapter or rules adopted pursuant thereto, to enjoin such person and such other person or persons from continuing such act, practice or transaction, or engaging therein, or doing any act or acts in furtherance thereof or in violation of this chapter or rules adopted pursuant thereto.
(b) The court shall give priority to the expeditious processing of suits under this section.
(c) The remedies under this section are in addition to any other remedy provided by this chapter or by law. [L 1981, c 81, pt of §1; am L 1984, c 41, §5]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-11.3 Remedies; sales voidable; when and by whom.

§514E-11.3 Remedies; sales voidable; when and by whom.
Every sale or transfer made in violation of this chapter shall be voidable at the election of the purchaser. Without limiting any other remedy of the purchaser, the person making the sale or transfer and every director, officer, or agent of or for the seller, if the director, officer, or agent has personally participated or aided in any way in making the sale, transfer, or solicitation, shall be jointly and severally liable to the purchaser in any action at law in any court of competent jurisdiction upon tender of the time share interest sold, or of the contract made, for the full amount paid by the purchaser, with interest at the rate of ten per cent a year from the date of payment by the purchaser, together with all taxable court costs and reasonable attorney's fees, less a pro rata portion of the amount paid representing the portion of any benefits the purchaser actually received or had the right to receive during the time preceding tender. [L 1981, c 81, pt of §1]
Revision Note
Subsection (a) designation deleted pursuant to §23G-15.
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-11.4 Defense to action.

§514E-11.4 Defense to action.
In the event a purchaser of a time share interest brings an action for damages under this chapter or under chapter 480, pursuant to section 514E-11.1, it shall be a defense to the action that:
(1) The seller offered in writing to cancel the sale of the time share interest within fifteen days of receipt of written notification by the purchaser of an alleged violation of this chapter or chapter 480, pursuant to section 514E-11.1;
(2) The seller simultaneously with the offer of cancellation offered in writing to refund the full amount paid by the purchaser, together with interest thereon at the rate of ten per cent a year from the date of payment by the purchaser until the date of repayment, less a pro rata portion of the amount paid representing the portion of any benefits the purchaser actually received or had the right to receive during the time preceding cancellation; and
(3) The purchaser refused or failed to accept the written offer of cancellation and refund within thirty days from the date the purchaser received the seller's written offer of cancellation and refund. [L 1981, c 81, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-12 Civil penalty; suspension or revocation of registrations.

§514E-12 Civil penalty; suspension or revocation of registrations.
(a) For any cause authorized by law, including but not limited to a determination by the director that any person has violated any provision of this chapter or any rule adopted by the director pursuant to this chapter, or that a person has authorized, directed, ordered, or personally participated in any violation of this chapter or any rule adopted by the director pursuant to this chapter, in addition to any other actions authorized by law, the director:
(1) May fine the person a sum of not less than $500 nor more than $25,000 for each separate offense; provided that each date of violation shall constitute a separate offense; and
(2) May issue an order suspending or revoking the registration of the person and the right of the person to offer or sell time share interests or otherwise engage in time share activities.
(b) If the director makes a finding of fact in writing that the public interest will be irreparably harmed by delay in issuing an order the director may issue a temporary cease and desist order. Prior to issuing the temporary cease and desist order, the director whenever possible by telephone or otherwise shall give notice to the person of the proposal to issue a temporary cease and desist order. Every temporary cease and desist order shall be effective for a period of ten days and shall include in its terms a provision that a hearing will be held promptly to determine whether or not it shall remain permanently in effect following the expiration of the ten-day period; provided that if the person subject to the temporary cease and desist order is granted a continuance of the hearing, the temporary cease and desist order shall remain in effect throughout the period of such continuance. If the director determines that any person has failed to comply with a temporary cease and desist order issued by the director, then the director may subject such person to the penalties set forth in subsections (a)(1) and (a)(2) of this section. [L 1980, c 186, pt of §1; am L 1981, c 81, §7; am L 1984, c 41, §6; am L 1992, c 202, §179; am L 1994, c 91, §4]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-12.5 Statutory or common-law remedies.

§514E-12.5 Statutory or common-law remedies.
Nothing in this chapter shall limit any statutory or common-law right of any person to bring any action in any court for any act involved in the development, sale, exchange, or purchase of a time share interest, or right of the State to punish any person for any violation of law. [L 1981, c 81, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-13 Authority of director.

§514E-13 Authority of director.
The director and the several counties may adopt rules and forms, pursuant to chapter 91, to effectuate the purpose of this chapter and to implement its provisions. The director shall submit an annual report to the legislature. [L 1980, c 186, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-14 Preexisting time share units and plans.

§514E-14 Preexisting time share units and plans.
Time share units and time share plans for existing units which were created in a project prior to June 29, 1980, shall, within six months after June 29, 1980, comply with this chapter, except as to section 514E-5. [L 1980, c 186, pt of §1]
Revision Note
"June 29, 1980" substituted for "the effective date of this Act" and "the effective date".
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-15 Severability.

§514E-15 Severability.
If any provision of this chapter or the application thereof to any person or circumstance, is held invalid, the invalidity thereof shall not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application. To that end, the provisions of this chapter are severable. [L 1981, c 81, §8]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-16 Deposit of purchaser's funds, notes, and contracts into escrow.

§514E-16 Deposit of purchaser's funds, notes, and contracts into escrow.
(a) All funds and any negotiable instruments and purchase money contracts received before closing from or on behalf of purchasers or prospective purchasers in connection with the purchase or reservation of time share interests must be placed in an escrow account. However, the developer or a sales agent may hold, until the expiration of the seven-day-cancellation period provided by section 514E-8 or any longer purchaser cancellation period provided in the sales contract, a negotiable instrument, or purchase money contract made by a purchaser:
(1) For which subsequent holders cannot claim holder in due course status within the meaning of article 3 of chapter 490; or
(2) Where the payee is:
(A) The escrow agent; or
(B) The trustee of a lien payment trust.
(b) The escrow agent must be a bank, savings and loan association, or a trust company authorized to do business in the State under an escrow arrangement or a corporation licensed as an escrow depository under chapter 449. However, in connection with sales made out of the State for the use of time share units located in the State, the escrow agent may be located in and the purchasers' funds, negotiable instruments, and purchase money contracts may be impounded in the jurisdiction where the sale is made, if the law of such jurisdiction requires it. In such event, the out-of-state escrow agent shall be subject to the approval of the director.
(c) The establishment of such an escrow account shall be evidenced by a written escrow agreement between the developer and the in-state or out-of-state escrow agent. The escrow agreement must provide for the handling of purchaser's funds, negotiable instruments, and purchase money contracts as required by this chapter and must contain any provisions required by rules adopted by the director pursuant to chapter 91. [L 1982, c 186, §3; am L 1985, c 114, §5]
Cross References
Leasehold time share interests, see § §501-241 to 501-248.
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-17 Release of purchaser's funds, notes, and contracts from escrow without a closing.

§514E-17 Release of purchaser's funds, notes, and contracts from escrow without a closing.
A purchaser's funds, negotiable instruments, and purchase money contracts may be released from escrow without a closing as follows:
(1) If a purchaser or developer gives a valid notice of cancellation of the contract pursuant to section 514E-8, all of the purchaser's funds and any negotiable instruments and purchase money contracts made by the purchaser shall be returned to the purchaser within fifteen days after the notice of cancellation is received.
(2) If a purchaser or developer properly terminates a contract pursuant to its terms, or if a developer or prospective purchaser terminates a reservation agreement, all of the purchaser's funds and any negotiable instruments and purchase money contracts made by the purchaser or prospective purchaser shall be delivered in accordance with the contract or reservation agreement.
(3) If the purchaser defaults in the performance of the purchaser's obligations under the contract, all of the purchaser's funds and any negotiable instruments or purchase money contracts made by the purchaser under the contract shall be delivered in accordance with the contract.
(4) If purchaser's funds are to be used for construction the funds may be disbursed by the escrow agent from time to time to pay for:
(A) Construction costs of the buildings and improvements in proportion to the valuation of the work completed by the contractor in accordance with the contract documents, as certified by a registered architect or engineer and approved for payment by the construction lender;
(B) Architectural, engineering, and interior design service fees in proportion to the services performed within each phase of services, as approved by the construction lender;
(C) The costs of purchasing furnishings and fixtures for the time share units, as approved by the construction lender; and
(D) Finance and legal fees, and other incidental expenses of constructing the time share units or developing the time share plan as approved by the construction lender;
provided that no such disbursements shall be made unless the developer first deposits with the director (i) a copy of the executed construction contract, (ii) a copy of executed performance and labor and material payment bonds in an amount which is not less than one hundred per cent of the cost of construction and covering any changes to the contract which do not in the aggregate increase the amount of the construction contract by more than ten per cent, (iii) a verified statement showing all costs involved in completing the project, and (iv) satisfactory evidence acceptable to the director of funds sufficient to cover the total costs of constructing, furnishing, and completing the project from purchaser's funds, equity funds, interim or permanent loan commitments or other sources. [L 1982, c 186, §4; gen ch 1985]
Revision Note
Subsection (a) designation deleted pursuant to §23G-15.
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-18 Release of purchaser's funds, notes, and contracts from escrow upon closing.

§514E-18 Release of purchaser's funds, notes, and contracts from escrow upon closing.
(a) Upon the closing of the escrow for the sale of a time share interest, the purchaser's funds and any negotiable instruments and purchase money contracts made by the purchaser shall be delivered by the escrow agent:
(1) To the trustee of a lien payment trust if a lien payment trust is established pursuant to section 514E-19 to protect purchasers from blanket liens;
(2) As provided by any alternative arrangements accepted by the director pursuant to section 514E-27 where such alternative arrangements are used pursuant to section 514E-19 to protect purchasers from blanket liens; or
(3) To the developer only after the requirements of any other alternative under section 514E-19 for protecting purchasers from blanket liens have been satisfied.
(b) Notwithstanding any other provisions of this chapter, the escrow agent may not release the purchaser's funds, negotiable instruments, and purchase money contracts from the escrow account to or for the benefit of the developer or a sales agent or for construction until:
(1) The seven-day cancellation period under section 514E-8 expires as to the purchaser whose funds are being released; and
(2) The escrow agent receives a sworn statement from the developer that:
(A) No cancellation notice postmarked on a date within the seven-day cancellation period was received from the purchaser whose funds are being released; and
(B) No cancellation notice was otherwise received during the seven-day cancellation period from the purchaser whose funds are being released. [L 1982, c 186, §5; am L 1985, c 114, §6]
Revision Note
In subsection (a)(1), "or" deleted after ending punctuation pursuant to §23G-15.
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-19 Protection of purchasers from blanket liens.

§514E-19 Protection of purchasers from blanket liens.
(a) An escrow for the sale of a time share interest in a time share ownership plan may close only if the requirements of any one of the following alternatives for protecting the purchaser have been satisfied:
(1) The time share interest is conveyed to the purchaser free and clear of any blanket liens;
(2) The time share unit is conveyed to a trustee:
(A) Free and clear of any blanket liens under a trust meeting the requirements of sections 514E-22 and 514E-23; or
(B) Under a lien payment trust meeting the requirements of sections 514E-22, 514E-23, 514E-24, and 514E-25;
(3) (A) The time share interest is conveyed to the purchaser subject only to blanket liens:
(i) Where every person holding an interest in the blanket lien has executed and recorded a nondisturbance agreement; or
(ii) For which the director's acceptance of a surety bond or an irrevocable letter of credit meeting the requirements of section 514E-28 has been recorded with respect to that time share unit; and
(B) If legal or equitable title will be held by anyone other than the purchaser, a notice of time share plan is recorded; or
(4) The requirements of any alternative arrangements accepted by the director have been met.
(b) An escrow for the sale of a time share interest in a time share use plan may close only if the requirements of any one of the following alternatives for protecting purchasers have been satisfied:
(1) The time share unit is conveyed to a trustee:
(A) Free and clear of any blanket liens under a trust meeting the requirements of sections 514E-22 and 514E-23; or
(B) Under a lien payment trust meeting the requirements of sections 514E-22, 514E-23, 514E-24, and 514E-25;
(2) A notice of time share plan is recorded and either:
(A) Every person holding an interest in a recorded blanket lien against any time share interests in that time share unit executes and records a nondisturbance agreement; or
(B) The director's acceptance of a surety bond or an irrevocable letter of credit meeting the requirements of section 514E-28 is recorded; or
(3) The requirements of any alternative arrangements accepted by the director have been met.
(c) A time share interest in any time share plan which satisfies the escrow and blanket lien protection requirements of this chapter shall not be deemed a risk capital security under chapter 485A, and the offer or sale of a time share interest therein shall not be deemed the offer or sale of a security. [L 1982, c 186, §7; am L 2006, c 229, §15; am L 2018, c 18, §34]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-20 Effect of recording a nondisturbance agreement.

§514E-20 Effect of recording a nondisturbance agreement.
When a nondisturbance agreement has been executed by the lienholder and recorded, the lienholder, its successors, and anyone who acquires the property through foreclosure or by a deed, assignment, or other transfer in place of foreclosure, shall take the property subject to the rights of the owners. [L 1982, c 186, §8]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-21 Effect of recording a notice of time share plan.

§514E-21 Effect of recording a notice of time share plan.
When a notice of time share plan is recorded, claims by creditors of the developer and claims upon, or by successors to, the interest of the title holder who executed the notice of time share plan, shall be subordinate to the interest of owners whose purchase of time share interests in the time share plan is closed after the notice of time share plan is recorded. The recording of a notice of time share plan shall not affect:
(1) The rights or lien of a lienholder whose lien was recorded prior to the notice of time share plan;
(2) The rights of the holder of an option recorded before the notice of time share plan;
(3) The rights or lien of a lienholder having a purchase money lien on a time share interest. [L 1982, c 186, §9]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-22 General requirements for trusts.

§514E-22 General requirements for trusts.
If time share units are required to be conveyed to a trustee pursuant to section 514E-19, the trust instrument must provide for at least the following:
(1) Title to the time share units must be transferred to the trustee before the purchaser's funds are disbursed by the escrow agent.
(2) The trustee shall not convey or transfer the time share units except for any units with respect to which no owner has any further right of occupancy or as permitted in section 514E-26.
(3) The trustee shall be prohibited from encumbering the time share units unless the director shall consent thereto. Such consent shall be given if the trust shall meet all of the requirements of section 514E-24 or all requirements of one of the alternative provisions in section 514E-19 are then satisfied.
(4) The association on behalf of the owners must expressly be made a third party beneficiary of the trust.
(5) Notice of the intention of the trustee to resign must be given to the director at least ninety days before the resignation takes effect.
(6) No amendment of the trust instrument adversely affecting the interests or rights of owners may be made without the written approval of the association.
(7) Any other provisions required by the director as provided by rules adopted pursuant to chapter 91. [L 1982, c 186, §10]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-23 Requirements for trustees.

§514E-23 Requirements for trustees.
If time share units are conveyed to a trustee pursuant to section 514E-19, the following requirements shall be met:
(1) The trustee must be a bank, savings and loan association, or a trust company meeting the requirements of any rules adopted by the director pursuant to chapter 91.
(2) The trustee must at all times:
(A) Maintain fidelity bonds in a form approved by the director in such amounts and providing coverage as required by rules adopted by the director pursuant to chapter 91; and
(B) Maintain a policy of errors and omissions insurance in a form approved by the director in such amounts and providing coverage as required by rules adopted by the director pursuant to chapter 91. [L 1982, c 186, §11]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-26 Termination of a trust.

§514E-26 Termination of a trust.
(a) In the case of a time share use plan, the trust for the time share units shall be irrevocable during the time that any owner of a time share interest has a right to the occupancy of a time share unit, except as provided in subsection (c).
(b) In a time share ownership plan, the trust for a time share unit shall be irrevocable until all blanket liens are extinguished, except as provided in subsection (c).
(c) The developer may elect to terminate the use of a trust for a time share unit if, at a later date[:]
(1) The trustee records a notice of time share plan after the recording of either:
(A) Nondisturbance agreements executed by every lienholder who has a blanket lien against the time share unit, or
(B) The director's acceptance of a surety bond or irrevocable letter of credit for that unit; or
(2) The director approves alternative arrangements [that] permit the termination of the trust. [L 1982, c 186, §14]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-27 Alternative arrangements for purchaser protection.

§514E-27 Alternative arrangements for purchaser protection.
(a) In recognition of the impossibility or impracticability of a proposed time share plan satisfying some of the requirements of section 514E-19 because of factors over which the developer has little or no control, the director may accept arrangements, other than those prescribed by section 514E-19, which in the judgment of the director will give rights and remedies affording equivalent benefits and protections to time share owners which are at least comparable in scope though not necessarily in nature to those designed to be afforded by the section.
(b) Whenever the director is asked to accept alternative arrangements pursuant to this section, the director may contract with an attorney or attorneys and may contract with any other private consultants which the director or the attorney deems necessary or advisable, in connection with the review of the proposed arrangements for protecting purchasers; provided that the cost of retaining such attorneys and other consultants shall be borne by the developer. The attorney shall be asked to thoroughly review the time share plan for the purpose of examining the purchaser protections, including the documentation used in connection therewith and the disclosure thereof in the developer's disclosure statement. Upon completing the review, the attorney shall provide a written analysis of the proposal and an opinion as to the nature and extent of the protections which the proposal affords purchasers against blanket liens. The review of alternative arrangements pursuant to this section shall be in addition to the consultant review required under section 514E-10.5 for all filings which are submitted by time share developers. [L 1982, c 186, §15; am L 1984, c 41, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-28 Requirements for surety bonds and letters of credit.

§514E-28 Requirements for surety bonds and letters of credit.
Any surety bond or irrevocable letter of credit furnished to the director pursuant to section 514E-19 must be in an amount which is not less than one hundred ten per cent of the remaining principal balance of every indebtedness secured by a blanket lien related to the time share unit. Any such bond must be issued by a surety authorized to do business in the State and having sufficient net worth to be acceptable to the director. Any such letter of credit must be irrevocable and must be drawn upon a bank, savings and loan association, or other financial institution authorized to do business in the State and having a sufficient net worth to be acceptable to the director. The bond or irrevocable letter of credit shall provide for payment (up to the limit of such bond or letter of credit) of all amounts secured by the blanket lien, including costs, expenses, and legal fees of the lienholder, if for any reason the blanket lien is enforced. The beneficiary of any such letter of credit and the obligee of any such bond shall be the director on behalf of the owners. The bond or irrevocable letter of credit may be reduced periodically in proportion to the reduction of the remaining principal balance of the indebtedness secured by the blanket liens. Upon being furnished with a surety bond or irrevocable letter of credit satisfying the foregoing requirements, the developer shall prepare and the director shall execute and acknowledge a document in recordable form accepting such surety bond or irrevocable letter of credit and identifying the time share units to which it applies. [L 1982, c 186, §16]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-30 Scope of chapter.

§514E-30 Scope of chapter.
This chapter applies to the offer and sale in Hawaii of time share interests in time share units located in Hawaii. If time share units are located outside of Hawaii, but any offer or sale is made within the State, this chapter, except for sections 514E-3, 514E-4, 514E-5, 514E-6, 514E-7, 514E-10(c), and 514E-14, shall apply. As to the offer and sale outside of Hawaii of time share interest in a time share plan which includes time share units located in Hawaii, this chapter, except for sections 514E-2.5, 514E-8, 514E-9, 514E-10(b), 514E-11, and 514E-11.1 shall apply. [L 1982, c 186, §18; am L 2001, c 70, §1; am L 2014, c 70, §4]
Case Notes
Plaintiffs, timeshare owners, lacked standing to pursue claims under § §514E-11 and 514E-11.1 against defendants, timeshare resort operators, because the offer and sale of plaintiffs' timeshare interest occurred outside of Hawaii. 165 F. Supp. 3d 955 (2016).
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-31 Private right of action.

§514E-31 Private right of action.
Nothing in this chapter shall be construed to preclude a person aggrieved by a violation of this chapter from filing an action in court for civil damages. A violation of this chapter shall be deemed a cause of action for the purpose of the court action.
[L 1997, c 249, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-4 Exemptions.

§515-4 Exemptions.
(a) Section 515-3 does not apply:
(1) To the rental of a housing accommodation in a building which contains housing accommodations for not more than two families living independently of each other if the owner or lessor resides in one of the housing accommodations; or
(2) To the rental of a room or up to four rooms in a housing accommodation by an owner or lessor if the owner or lessor resides in the housing accommodation.
(b) Nothing in section 515-3 shall be deemed to prohibit refusal because of sex, including gender identity or expression, sexual orientation, or marital status, to rent or lease housing accommodations:
(1) Owned or operated by a religious institution and used for church purposes as that term is used in applying exemptions for real property taxes; or
(2) That are part of a religiously affiliated institution of higher education housing program that is operated on property that the institution owns or controls or that is operated for its students pursuant to Title IX of the Education Amendments of 1972, P.L. 92-318.
(c) Nothing in this chapter regarding familial status or age shall apply to housing for older persons as defined by title 42 United States Code section 3607(b)(2). [L 1967, c 193, §4; HRS §515-4; gen ch 1985; am L 1990, c 275, §4; am L 1992, c 171, §4; am L 1993, c 140, §1; am L 2005, c 214, §4; am L 2011, c 31, §3; am L 2019, c 111, §36]
Law Journals and Reviews
Airbnb in Paradise: Updating Hawai`i's Legal Approach Towards Racial Discrimination in the Sharing Economy. 39 UH L. Rev. 435 (2017).
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-5 Discriminatory financial practices.

§515-5 Discriminatory financial practices.
It is a discriminatory practice for a person, a representative of such person, or a real estate broker or salesperson, to whom an inquiry or application is made for financial assistance in connection with a real estate transaction or for the construction, rehabilitation, repair, maintenance, or improvement of real property, because of race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection:
(1) To discriminate against the applicant;
(2) To use a form of application for financial assistance or to make or keep a record or inquiry in connection with applications for financial assistance that indicates, directly or indirectly, an intent to make a limitation, specification, or discrimination unless the records are required by federal law;
(3) To discriminate in the making or purchasing of loans or the provision of other financial assistance for purchasing, constructing, improving, repairing, or maintaining a dwelling, or the making or purchasing of loans or the provision of other financial assistance secured by residential real estate; or
(4) To discriminate in the selling, brokering, or appraising of residential real property. [L 1967, c 193, §5; HRS §515-5; am L 1971, c 124, §2; am L 1976, c 159, §5; am L 1989, c 391, §3; am L 1990, c 275, §5; am L 1992, c 33, §5 and c 171, §5; am L 2005, c 214, §5]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-6 Restrictive covenants and conditions.

§515-6 Restrictive covenants and conditions.
(a) Every provision in an oral agreement or a written instrument relating to real property that purports to forbid or restrict the conveyance, encumbrance, occupancy, or lease thereof to individuals because of race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection, is void.
(b) Every condition, restriction, or prohibition, including a right of entry or possibility of reverter, that directly or indirectly limits the use or occupancy of real property on the basis of race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection is void, except a limitation, on the basis of religion, on the use of real property held by a religious institution or organization or by a religious or charitable organization operated, supervised, or controlled by a religious institution or organization, and used for religious or charitable purposes.
(c) It is a discriminatory practice to insert in a written instrument relating to real property a provision that is void under this section or to honor or attempt to honor such a provision in the chain of title. [L 1967, c 193, §6; HRS §515-6; am L 1971, c 124, §3; am L 1976, c 159, §6; am L 1989, c 391, §4; am L 1990, c 275, §6; am L 1992, c 33, §5 and c 171, §6; am L 2005, c 214, §6]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-7 Blockbusting.

§515-7 Blockbusting.
It is a discriminatory practice for a person, representative of a person, or a real estate broker or salesperson, for the purpose of inducing a real estate transaction from which the person, representative, or real estate broker or salesperson may benefit financially, because of race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection:
(1) To represent that a change has occurred or will or may occur in the composition of the owners or occupants in the block, neighborhood, or area in which the real property is located; or
(2) To represent that this change will or may result in the lowering of property values, an increase in criminal or antisocial behavior, or a decline in the quality of schools in the block, neighborhood, or area in which the real property is located. [L 1967, c 193, §7; HRS §515-7; am L 1971, c 124, §4; am L 1976, c 159, §7; gen ch 1985; am L 1990, c 275, §7; am L 1992, c 33, §5 and c 171, §7; am L 2005, c 214, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-8 Religious institutions.

§515-8 Religious institutions.
It is not a discriminatory practice for a religious institution or organization or a charitable or educational organization operated, supervised, or controlled by a religious institution or organization to give preference to members of the same religion in a real property transaction, unless membership in such religion is restricted on account of race, color, or ancestry. [L 1967, c 193, §8; HRS §515-8; am L 1971, c 124, §5; am L 1992, c 171, §8]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-13 Remedies.

§515-13 Remedies.
(a) If the commission determines that the respondent has engaged in a discriminatory practice, the commission shall state its findings of fact and conclusions of law and shall issue an order requiring the respondent to cease and desist from the discriminatory practice and to take such affirmative actions as in the judgment of the commission will carry out the purposes of this chapter. A copy of the order shall be delivered to the respondent, the complainant, the attorney general, and to such other public officers and persons as the commission deems proper.
(b) Affirmative action ordered under this section may include, but is not limited to:
(1) Sale, exchange, lease, rental, assignment, or sublease of real property to an individual;
(2) Extension to all individuals of the full and equal enjoyment of the advantages, facilities, privileges, and services of the respondent;
(3) Reporting as to the manner of compliance;
(4) Posting notices in conspicuous places in the respondent's place of business in form prescribed by the commission and inclusion of such notices in advertising material;
(5) Cancellation, rescission, or revocation of a contract, deed, lease, or other instrument transferring real property, which is the subject of a complaint of a discriminatory practice, to a person who had actual knowledge or record notice, prior to the transfer or the execution of the legally binding obligation to make the transfer, that a determination of reasonable cause had been made with respect to the discriminatory practice;
(6) Payment to an injured party of profits obtained by the respondent through a violation of section 515-7, subject to the principles of equity;
(7) Payment to the complainant of damages for an injury caused by the discriminatory practice and costs, including a reasonable attorney's fee. Unless greater damages are proven, damages may be assessed at $500 for each violation.
(c) In the case of a respondent who is found by the commission to have engaged in a discriminatory practice in the course of performing under a contract or subcontract with the State or a county, or agency thereof, if the discriminatory practice was authorized, requested, commanded, performed, or knowingly or recklessly tolerated by the board of directors of the respondent or by an officer or executive agent acting within the scope of the officer's or agent's employment, the commission shall so certify to the contracting agency. Unless the commission's finding of a discriminatory practice is reversed in the course of judicial review, the finding of discrimination is binding on the contracting agency.
(d) Thirty days after an order is issued under this section, unless an appeal by the respondent is pending, the commission may publish or cause to be published the name of a person who has been determined to be engaged in a discriminatory practice. [L 1967, c 193, §13; HRS §515-13; am L 1972, c 107, §3(b); am L 1982, c 204, §8; gen ch 1985; am L 1989, c 386, §14]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-16 Other discriminatory practices.

§515-16 Other discriminatory practices.
It is a discriminatory practice for a person, or for two or more persons to conspire:
(1) To retaliate, threaten, or discriminate against a person because of the exercise or enjoyment of any right granted or protected by this chapter, or because the person has opposed a discriminatory practice, or because the person has made a charge, filed a complaint, testified, assisted, or participated in an investigation, proceeding, or hearing under this chapter;
(2) To aid, abet, incite, or coerce a person to engage in a discriminatory practice;
(3) To interfere with any person in the exercise or enjoyment of any right granted or protected by this chapter or with the performance of a duty or the exercise of a power by the commission;
(4) To obstruct or prevent a person from complying with this chapter or an order issued pursuant to this chapter;
(5) To intimidate or threaten any person engaging in activities designed to make other persons aware of, or encouraging such other persons to exercise rights granted or protected by this chapter;
(6) To threaten, intimidate or interfere with persons in their enjoyment of a housing accommodation because of the race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection of the persons, or of visitors or associates of the persons; or
(7) To print, circulate, post, or mail, or cause to be published a statement, advertisement, or sign, or to use a form of application for a real estate transaction, or to make a record or inquiry in connection with a prospective real estate transaction, that indicates, directly or indirectly, an intent to make a limitation or specification, or to discriminate because of race, sex, including gender identity or expression, sexual orientation, color, religion, marital status, familial status, ancestry, disability, age, or human immunodeficiency virus infection. [L 1967, c 193, §16; HRS §515-16; am L 1982, c 204, §8; gen ch 1985; am L 1989, c 386, §15; am L 1992, c 171, §10; am L 1993, c 140, §3; am L 2011, c 31, §4]
2023 Hawaii Revised Statutes › Title 28. Property › 515. Discrimination in Real Property Transactions › 515-18 Conciliation agreements.

§515-18 Conciliation agreements.
(a) Section 368-4 to the contrary notwithstanding, any conciliation agreement which results after a finding of cause shall be subject to the approval of the commission and shall be made public unless the complainant and respondent otherwise agree and the commission determines that disclosure is not required to further the purposes of this chapter.
(b) It is a discriminatory practice for a party to a conciliation agreement made under this chapter to violate the terms of the agreement. [L 1967, c 193, §18; HRS §515-18; am L 1992, c 171, §11]