reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-138 Upkeep of condominium; high-risk components.

§514B-138 Upkeep of condominium; high-risk components.
(a) The board, after notice to all unit owners and an opportunity for owner comment, may determine that certain portions of the units, or certain objects or appliances within the units such as washing machine hoses and water heaters, pose a particular risk of damage to other units or the common elements if they are not properly inspected, maintained, repaired, or replaced by owners. Those items determined by the board to pose a particular risk are "high-risk components" for the purposes of this section.
(b) With regard to items designated as high-risk components, the board may require any or all of the following:
(1) Inspection:
(A) At specified intervals; or
(B) Upon replacement or repair by the association or by inspectors designated by the association;
(2) Replacement or repair at specified intervals whether or not the component is deteriorated or defective; and
(3) Replacement or repair:
(A) Meeting particular standards or specifications established by the board;
(B) Including additional components or installations specified by the board; or
(C) Using contractors with specific licensing, training, or certification approved by the board.
(c) The imposition of requirements by the board under subsection (b) shall not relieve unit owners of obligations regarding high-risk components as set forth in the declaration or bylaws including, without limitation, the obligation to maintain, repair, and replace the components.
(d) If a unit owner fails to follow requirements imposed by the board pursuant to this section, the association, after reasonable notice, may enter the unit to perform the requirements with regard to such high-risk components at the sole cost and expense of the unit owner, which costs and expenses shall be a lien on the unit as provided in section 514B-146. Nothing in this section shall be deemed to limit the remedies of the association for damages, or injunctive relief, or both. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2006, c 273, §23]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-139 Upkeep of condominium; disposition of unclaimed possessions.

§514B-139 Upkeep of condominium; disposition of unclaimed possessions.
(a) When personalty in or on the common elements of a project has been abandoned, the board may sell the personalty in a commercially reasonable manner, store the personalty at the expense of its owner, donate the personalty to a charitable organization, or otherwise dispose of the personalty in its sole discretion; provided that:
(1) If the identity and address of the owner are known, no sale, storage, donation, or other disposal shall occur until thirty days after the board notifies the owner in writing of:
(A) The identity and location of the personalty; and
(B) The board's intent to so sell, store, donate, or dispose of the personalty.
Notification shall be by certified mail, return receipt requested, to the owner's address as shown by the records of the association or to an address designated by the owner for the purpose of notification or, if neither of these is available, to the owner's last known address, if any; or
(2) If the identity or address of the owner is unknown, the board may proceed directly to sell, store, donate, or otherwise dispose of the personalty.
(b) The proceeds of any sale or disposition of personalty under subsection (a)(1), after deduction of any accrued costs of mailing, storage, and sale, shall be held for the owner for thirty days. Any proceeds not claimed within this period shall become the property of the association. The proceeds of any sale or disposition of personalty under subsection (a)(2) shall immediately become the property of the association. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2021, c 98, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-141 Tort and contract liability; tolling of limitation period.

§514B-141 Tort and contract liability; tolling of limitation period.
(a) A unit owner is not liable, solely by reason of being a unit owner, for any injury or damage arising out of the condition or use of the common elements. Neither the association nor any unit owner except the developer is liable for that developer's torts in connection with any part of the condominium that that developer has the responsibility to maintain.
(b) An action alleging a wrong done by the association, including an action arising out of the condition or use of the common elements, may be maintained only against the association and not against any unit owner. If the wrong occurred during any period of developer control and the association gives the developer reasonable notice of and an opportunity to defend against the action, the developer who then controlled the association is liable to the association or to any unit owner for:
(1) All tort losses not covered by insurance suffered by the association or that unit owner; and
(2) All costs that the association would not have incurred but for a breach of contract or other wrongful act or omission, as the same may be established through adjudication.
Whenever the developer is liable to the association under this section, the developer is also liable for all expenses of litigation, including reasonable attorneys' fees, incurred by the association.
(c) Any statute of limitation affecting the association's right of action against a developer is tolled until the period of developer control terminates; provided that, notwithstanding section 657-8, no statute of repose shall affect the association's right of action against a developer sooner than two years after the period of developer control terminates. A unit owner is not precluded from maintaining an action contemplated by this section because the unit owner is a unit owner or a member or officer of the association. Liens resulting from judgments against the association are governed by section 514B-147. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2006, c 273, §24; am L 2023, c 29, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-144 Association fiscal matters; assessments for common expenses.

§514B-144 Association fiscal matters; assessments for common expenses.
(a) Assessments shall be made based on a budget adopted and distributed or made available to unit owners at least annually by the board.
(b) Except for assessments under subsections (c), (d), and (e), all common expenses shall be assessed against all the units in accordance with the allocations under section 514B-41. Any past due common expense assessment or installment thereof shall bear interest at the rate established by the association, provided that the rate shall not exceed eighteen per cent per year.
(c) Assessments to pay a judgment against the association under section 514B-147(a) may be made only against the units in the condominium at the time the judgment was entered, in proportion to their common expense allocations under section 514B-41.
(d) If any common expense is caused by the misconduct of any unit owner, the association may assess that expense exclusively against such owner's unit.
(e) If common expense liabilities are reallocated, common expense assessments and any installment thereof not yet due shall be recalculated in accordance with the reallocated common expense liabilities.
(f) In the case of a voluntary conveyance, the grantee of a unit shall be jointly and severally liable with the grantor for all unpaid assessments against the latter for the grantor's share of the common expenses up to the time of the grant or conveyance, without prejudice to the grantee's right to recover from the grantor the amounts paid by the grantee therefor. Any such grantor or grantee is, however, entitled to a statement from the board, either directly or through its managing agent or resident manager, setting forth the amount of the unpaid assessments against the grantor, and except as to the amount of subsequently dishonored checks mentioned in such statement as having been received within the thirty-day period immediately preceding the date of such statement, the grantee is not liable for, nor is the unit conveyed subject to a lien for, any unpaid assessments against the grantor in excess of the amount therein set forth.
(g)
No unit owner may exempt the unit owner from liability for the unit owner's contribution towards the common expenses by waiver of the use or enjoyment of any of the common elements or by abandonment of the unit owner's unit. Subject to such terms and conditions as may be specified in the declaration or bylaws, any unit owner, by conveying his or her unit and common interest to the association on behalf of all other unit owners, may exempt himself or herself from common expenses thereafter accruing.
(h) The board, either directly or through its managing agent or resident manager, shall notify the unit owners in writing of maintenance fee increases at least thirty days prior to such an increase. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2006, c 273, §26]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-145 Association fiscal matters; collection of unpaid assessments from tenants or rental agents.

§514B-145 Association fiscal matters; collection of unpaid assessments from tenants or rental agents.
(a) If the owner of a unit rents or leases the unit and is in default for thirty days or more in the payment of the unit's share of the common expenses, the board, for as long as the default continues, may demand in writing and receive each month from any tenant occupying the unit or rental agent renting the unit, an amount sufficient to pay all sums due from the unit owner to the association, including interest, if any, but the amount shall not exceed the tenant's rent due each month. The tenant's payment under this section shall discharge that amount of payment from the tenant's rent obligation, and any contractual provision to the contrary shall be void as a matter of law.
(b) Before taking any action under this section, the board shall give to the delinquent unit owner written notice of its intent to collect the rent owed. The notice shall:
(1) Be sent both by first-class and certified mail;
(2) Set forth the exact amount the association claims is due and owing by the unit owner; and
(3) Indicate the intent of the board to collect such amount from the rent, along with any other amounts that become due and remain unpaid.
(c) The unit owner shall not take any retaliatory action against the tenant for payments made under this section.
(d) The payment of any portion of the unit's share of common expenses by the tenant pursuant to a written demand by the board is a complete defense, to the extent of the amount demanded and paid by the tenant, in an action for nonpayment of rent brought by the unit owner against a tenant.
(e) The board may not demand payment from the tenant pursuant to this section if:
(1) A commissioner or receiver has been appointed to take charge of the premises pending a mortgage foreclosure;
(2) A mortgagee is in possession pending a mortgage foreclosure; or
(3) The tenant is served with a court order directing payment to a third party.
(f) In the event of any conflict between this section and any provision of chapter 521, the conflict shall be resolved in favor of this section; provided that if the tenant is entitled to an offset of rent under chapter 521, the tenant may deduct the offset from the amount due to the association, up to the limits stated in chapter 521. Nothing herein precludes the unit owner or tenant from seeking equitable relief from a court of competent jurisdiction or seeking a judicial determination of the amount owed.
(g) Before the board may take the actions permitted under subsection (a), the board shall adopt a written policy providing for the actions and have the policy approved by a majority vote of the unit owners at an annual or special meeting of the association or by the written consent of a majority of the unit owners. [L 2004, c 164, pt of §2; am L 2006, c 273, §27]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-147 Association fiscal matters; other liens affecting the condominium.

§514B-147 Association fiscal matters; other liens affecting the condominium.
(a) Except as provided in subsection (b), a judgment for money against the association, if recorded, is not a lien on the common elements, but is a lien in favor of the judgment lienholder against the common expense funds of the association. No other property of a unit owner is subject to the claims of creditors of the association.
(b) Whether perfected before or after the creation of the condominium, if a lien, other than a mortgage (including a judgment lien or lien attributable to work performed or materials supplied before creation of the condominium), becomes effective against two or more units, the unit owner of an affected unit may pay to the lienholder the amount of the lien attributable to the owner's unit, and the lienholder, upon receipt of payment, shall promptly deliver a release of the lien covering that unit. The amount of the payment shall be proportionate to the ratio which that unit owner's common expense liability bears to the common expense liabilities of all unit owners whose units are subject to the lien. After payment, the association may not assess or have a lien against that unit owner's unit for any portion of the common expenses incurred in connection with that lien.
(c) A judgment against the association shall be indexed in the name of the condominium and the association and, when so indexed, is notice of the lien against the units. [L 2004, c 164, pt of §2; am L 2005, c 93, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-150 Association fiscal matters; audits, audited financial statement.

§514B-150 Association fiscal matters; audits, audited financial statement.
(a) The association shall require an annual audit of the association financial accounts and no less than one annual unannounced verification of the association's cash balance by a public accountant; provided that if the association is comprised of less than twenty units, the annual audit and the annual unannounced cash balance verification may be waived at an association meeting by a vote of a majority of the unit owners.
(b) The board shall make available a copy of the annual audit to each unit owner at least thirty days prior to the annual meeting which follows the end of the fiscal year. The board shall not be required to submit a copy of the annual audit report to an owner if the proxy form issued pursuant to section 514B-123(e) is not marked to indicate that the owner wishes to obtain a copy of the report. If the annual audit has not been completed by that date, the board shall make available:
(1) An unaudited year end financial statement for the fiscal year to each unit owner at least thirty days prior to the annual meeting; and
(2) The annual audit to all owners at the annual meeting, or as soon as the audit is completed, but not later than six months after the annual meeting.
(c) If the association's fiscal year ends less than two months prior to the convening of the annual meeting, the year-to-date unaudited financial statement may cover the period from the beginning of the association's fiscal year to the end of the month preceding the date on which notice of the annual meeting is mailed. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2014, c 189, §8; am L 2017, c 73, §3]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-152 Association records; generally.

§514B-152 Association records; generally.
The association shall keep financial and other records sufficiently detailed to enable the association to comply with requests for information and disclosures related to resale of units. Except as otherwise provided by law, all financial and other records shall be made available pursuant to section 514B-154.5 for examination by any unit owner and the owner's authorized agents. Association records shall be stored on the island on which the association's project is located; provided that if original records, including but not limited to invoices, are required to be sent off-island, copies of the records shall be maintained on the island on which the association's project is located. [L 2004, c 164, pt of §2; am L 2005, c 93, §7; am L 2014, c 188, §8]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-155 Association as trustee.

§514B-155 Association as trustee.
With respect to a third person dealing with the association in the association's capacity as a trustee, the existence of trust powers and their proper exercise by the association may be assumed without inquiry. A third person shall not be bound to inquire whether the association has power to act as trustee or is properly exercising trust powers. A third person, without actual knowledge that the association is exceeding or improperly exercising its powers, shall be fully protected in dealing with the association as if it possessed and properly exercised the powers it purports to exercise. A third person shall not be bound to assure the proper application of trust assets paid or delivered to the association in its capacity as trustee. [L 2004, c 164, pt of §2; am L 2005, c 93, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-156 Pets.

§514B-156 Pets.
(a) Any unit owner who keeps a pet in the owner's unit pursuant to a provision in the bylaws which allows owners to keep pets or in the absence of any provision in the bylaws to the contrary, upon the death of the animal, may replace the animal with another and continue to do so for as long as the owner continues to reside in the owner's unit or another unit subject to the same bylaws.
(b) Any unit owner who is keeping a pet pursuant to subsection (a), as of the effective date of an amendment to the bylaws which prohibits owners from keeping pets in their units, shall not be subject to the prohibition but shall be entitled to keep the pet and acquire new pets as provided in subsection (a).
(c) The bylaws may include reasonable restrictions or prohibitions against excessive noise or other problems caused by pets on the property and the running of pets at large in the common areas of the property. No animals described as pests under section 150A-2, or animals prohibited from importation under section 141-2, 150A-5, or 150A-6 shall be permitted.
(d) Whenever the bylaws do not prohibit unit owners from keeping animals as pets in their units, the bylaws shall not prohibit the tenants of the unit owners from keeping pets in the units rented or leased from the owners; provided that:
(1) A unit owner consents in writing to allow the unit owner's tenant to keep a pet in the unit; [and]
(2) A tenant keeps only those types of pets that may be kept by unit owners.
The bylaws may allow each owner or tenant to keep only one pet in the unit.
(e) Any amendments to the bylaws that provide for exceptions to pet restrictions or prohibitions for preexisting circumstances shall apply equally to unit owners and tenants.
(f) Nothing in this section shall prevent an association from immediately acting to remove vicious animals to protect persons or property. [L 2004, c 164, pt of §2; am L 2005, c 93, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-162.5 Voluntary binding arbitration.

§514B-162.5 Voluntary binding arbitration.
[Section effective January 2, 2019, and repealed June 30, 2023. L 2018, c 196, §9.]
(a) Any parties permitted to mediate condominium related disputes pursuant to section 514B-161 may agree to enter into voluntary binding arbitration, which may be supported with funds from the condominium education trust fund pursuant to section 514B-71; provided that voluntary binding arbitration under this section may be supported with funds from the condominium education trust fund only after the parties have first attempted evaluative mediation.
(b) Any voluntary binding arbitration entered into pursuant to this section and supported with funds from the condominium education trust fund:
(1) Shall include a fee of $175 to be paid by each party to the arbitrator;
(2) Shall receive no more from the fund than is appropriate under the circumstances, and in no event more than $6,000 total; and
(3) May include issues and parties in addition to those identified in subsection (a); provided that a unit owner or a developer and board are parties to the arbitration at all times and the unit owner or developer and the board mutually consent in writing to the addition of the issues and parties. [L 2018, c 196, § §2, 9; am L 2020, c 57, §2]
Note
Repeal of section 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-163 Trial de novo and appeal

§514B-163 Trial de novo and appeal
. (a) The submission of any dispute to an arbitration under section 514B-162 shall in no way limit or abridge the right of any party to a trial de novo.
(b) Written demand for a trial de novo by any party desiring a trial de novo shall be made upon the other parties within ten days after service of the arbitration award upon all parties and the trial de novo shall be filed in circuit court within thirty days of the written demand. Failure to meet these deadlines shall preclude a party from demanding a trial de novo.
(c) The award of arbitration shall not be made known to the trier of fact at a trial de novo.
(d) In any trial de novo demanded under this section, if the party demanding a trial de novo does not prevail at trial, the party demanding the trial de novo shall be charged with all reasonable costs, expenses, and attorneys' fees of the trial. When there is more than one party on one or both sides of an action, or more than one issue in dispute, the court shall allocate its award of costs, expenses, and attorneys' fees among the prevailing parties and tax such fees against those nonprevailing parties who demanded a trial de novo in accordance with the principles of equity. [L 2004, c 164, pt of §2; am L 2005, c 93, §7]
2023 Hawaii Revised Statutes › Title 28. Property › 514B. Condominiums › 514B-191 Retaliation prohibited.

Revision Note
Part designation added by revisor pursuant to §23G-15.
§514B-191 Retaliation prohibited.
(a) An association, board, managing agent, resident manager, unit owner, or any person acting on behalf of an association or a unit owner shall not retaliate against a unit owner, board member, managing agent, resident manager, or association employee who, through a lawful action done in an effort to address, prevent, or stop a violation of this chapter or governing documents of the association:
(1) Complains or otherwise reports an alleged violation;
(2) Causes a complaint or report of an alleged violation to be filed with the association, the commission, or other appropriate entity;
(3) Participates in or cooperates with an investigation of a complaint or report filed with the association, the commission, or other appropriate entity;
(4) Otherwise acts in furtherance of a complaint, report, or investigation concerning an alleged violation; or
(5) Exercises or attempts to exercise any right under this chapter or the governing documents of the association.
(b) A unit owner, board member, managing agent, resident manager, or association employee may bring a civil action in district court alleging a violation of this section. The court may issue an injunction or award damages, court costs, attorneys' fees, or any other relief the court deems appropriate.
(c) As used in this section:
"Governing documents" means an association's declaration, bylaws, or house rules; or any other document that sets forth the rights and responsibilities of the association, its board, its managing agent, or the unit owners.
"Retaliate" means to take any action that is not made in good faith and is unsupported by the association's governing documents or applicable law and that is intended to, or has the effect of, being prejudicial in the exercise or enjoyment of any person's substantial rights under this chapter or the association's governing documents. [L 2017, c 190, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-1 Definitions.

Note
Sections 514C-1 through 514C-8 designated as Part I by L 1999, c 241, §3(2).
§514C-1 Definitions.
For purposes of this chapter unless the context indicates otherwise:
"Condominium" means the ownership of single units, with common elements, located on property within the condominium property regime.
"Condominium project" means a real estate condominium project; a plan or project whereby a condominium of two or more units located within the condominium property regime have been sold or leased or are offered or proposed to be offered for sale or lease.
"Condominium unit lessee" means an individual or individuals owning or leasing a condominium apartment or unit situated on leasehold land.
"Cooperative housing corporation" means a corporation having one and only one class of stock outstanding; each of the stockholders of which is entitled solely by reason of the shareholder's ownership of stock in the corporation, to occupy for dwelling purposes the dwelling unit in a building, owned or leased by the corporation, and situated on land leased by the corporation; and no stockholder of which is entitled, either conditionally or unconditionally, to receive any distribution not out of earnings and profits of the corporation except in a complete or partial liquidation of the corporation.
"Cooperative project" means a real estate cooperative housing corporation project; a plan or project whereby two or more apartments located in a building owned by a cooperative housing corporation have been leased or are offered or proposed to be offered to be leased.
"Cooperative unit lessee" means a shareholder of a cooperative housing corporation having a cooperative project located on leasehold land.
"Lessor" means the owner of the fee simple title to land which is leased to condominium lessees or a cooperative housing corporation, including a life tenant with a remainder over, vested or contingent, and a holder of a defeasible estate, and the holder's heirs, successors, legal representatives, and assigns. [L 1988, c 298, pt of §1; am L 1989, c 261, §17; am L 1990, c 34, §12; am L 2008, c 28, §32]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-2 Right of first refusal.

§514C-2 Right of first refusal.
When the leased fee interest in land under a condominium project or cooperative project or any part thereof is to be sold to any party other than the association of owners or the cooperative housing corporation, the seller shall first provide the board of directors of the association of owners or the cooperative housing corporation with written notice delivered or mailed by registered or certified mail, return receipt requested, postage prepaid, to any two of the president, vice-president, or managing agent (if any), of its intent to sell that interest, together with a complete and correct copy of the purchaser's written offer, which offer shall contain the full and complete terms thereof. The association of owners or cooperative housing corporation shall have a right of first refusal to purchase that leased fee interest for the same price as is contained in the written purchase offer. [L 1988, c 298, pt of §1; am L 2008, c 28, §33]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-3 Improvements.

§514C-3 Improvements.
The right of first refusal to purchase the leased fee interest in land created by this part shall be deemed to include the right to purchase the interest of the seller in any and all improvements on such land, other than the leasehold interest in any unit as to which the seller is the holder of the leasehold interest. [L 1988, c 298, pt of §1; am L 1999, c 241, §3(3)]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-4 Compliance with procedures not required when.

§514C-4 Compliance with procedures not required when.
Nothing in this part shall prohibit any lessor and association of condominium owners or cooperative housing corporation from agreeing to the sale and purchase of the leased fee interest or any part thereof. [L 1988, c 298, pt of §1; am L 1999, c 241, §3(4)]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-5 Offer to other prospective purchasers; time limit.

§514C-5 Offer to other prospective purchasers; time limit.
No lessor shall sell the leased fee interest in any land under a condominium project or cooperative project containing one or more residential units or any part thereof to any party other than the association of owners or cooperative housing corporation for that project until a right of first refusal for the purchase of that interest has been offered as required by this part and has been rejected in writing by the board of directors, except in the case of sales to individual condominium unit lessees or cooperative unit lessees, which shall be subject to the requirements of section 514C-6.5; provided that an offer made pursuant to sections 514C-2, 514C-3, and 514C-6.5 shall be deemed to be rejected if not accepted in writing by the board of directors of the condominium project or the cooperative housing corporation within one hundred twenty days of its receipt of the written notice from the seller, as evidenced by the return receipts, or if the sale, through no fault of the seller, has not closed upon the purchase of one hundred per cent of the interest being sold within one hundred eighty days of receipt by the board of directors of such written notice, as evidenced by the return receipts. In the event that closing is delayed due to any fault of the seller, the deadline for closing shall be extended for a period of time equal to the delay caused by the seller. [L 1988, c 298, pt of §1; am L 1993, c 326, §2; am L 1999, c 241, §3(5); am L 2008, c 28, §34]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-7 Violations; voidable sale.

§514C-7 Violations; voidable sale.
Any sale made that violates this part shall be voidable at the option of the association of owners or the cooperative housing corporation. If any sale is so voided, the association of owners or cooperative housing corporation shall then have the right to buy the interest which had been conveyed by virtue of such sale for the same price as pertained to the sale so voided, subject to the time restrictions contained in section 514C-5. [L 1988, c 298, pt of §1; am L 1999, c 241, §3(7)]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-8 Exception.

§514C-8 Exception.
(a) This part shall not apply if the land under the condominium project or cooperative housing corporation subject to a leased fee interest is part of a larger tract of land and the lessor will not agree to sell the leased fee interest in the land in parts.
(b) If the land under the condominium is owned jointly by lessors, all of whom qualify as tax-exempt charitable organizations as defined by section 501(c)(3) of the Internal Revenue Code of 1986, as amended, the sale by one co-lessor to another co-lessor of its interest in the land under the condominium shall not be subject to the provisions of this chapter. [L 1988, c 298, pt of §1; am L 1999, c 241, §3(8); am L 2005, c 91, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514C. Lease to Fee Conversions for Condominiums and Cooperative Housing Corporations › 514C-21 Definitions.

§514C-21 Definitions.
As used in this part, unless the context requires otherwise:
"Lessor" means any or all of the fee simple owners and other persons having legal or equitable ownership interests in the leased fee interest appurtenant to the various condominium units in the condominium project and in the various apartment and ground leases including, but not limited to, any sublessor. The definition of "lessor" in section 514C-1 shall not apply to this part. [L 1999, c 241, pt of §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-1.5 Time share administrator; duties.

§514E-1.5 Time share administrator; duties.
The director shall appoint a time share administrator, who shall not be subject to chapter 76, to administer this chapter. The administrator shall be responsible for the performance of the duties conferred upon the director by this chapter. [L 1984, c 42, §1; am L 1992, c 202, §178; am L 2000, c 253, §150]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-2 Status of property.

§514E-2 Status of property.
(a) The temporal division of any interest in real property shall not, in and of itself, affect its status as real property.
(b) Whether a time share plan is a time share ownership plan or time share use plan, for purposes of chapter 467 a time share interest shall constitute "real estate" and the offer or sale thereof shall constitute the offer or sale of an interest in real property. [L 1980, c 186, pt of §1; am L 1981, c 81, §9]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-3 Taxation.

§514E-3 Taxation.
(a) The plan manager, if any, shall collect and pay real property and transient accommodations taxes due on the time share units or occupants under the plan manager's authority as the agent of the owners of the individual units or temporal divisions thereof. The liability of the individual owners of the units, or temporal division thereof, for real property taxes, shall be primary to all parties except the plan manager. The right to contest or appeal any real property or transient accommodations tax assessment shall apply to the plan manager and any person having an interest in a time share unit.
(b) The acquisition agent and sales agent shall maintain records pertaining to the general excise tax of any independent contractors employed by them, their addresses and commissions paid during each calendar year. The plan manager shall maintain records of the general excise and transient accommodations taxes due and owing with respect to any occupants or time share units under the plan manager's management. The records for any year shall be retained for at least two years and be available for inspection by the director or the director of taxation. [L 1980, c 186, pt of §1; gen ch 1985; am L 1996, c 46, §1; am L 1998, c 156, §29]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-4 County authority.

§514E-4 County authority.
The several counties shall, by amendment of their zoning ordinances, limit the location of time share units, time share plans and other transient vacation rentals, within such areas as are deemed appropriate. [L 1980, c 186, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-5 Geographic limitations.

§514E-5 Geographic limitations.
(a) Except as provided in this section, time share units, time share plans, and transient vacation rentals are prohibited.
(b) Existing time share units, time share plans, and transient vacation rentals are not impaired by the provisions of this section.
(c) Time share units, time share plans, and transient vacation rentals are allowed:
(1) In areas designated for hotel use, resort use, or transient vacation rentals, pursuant to county authority under section 46-4, or where the county, by its legislative process, designates hotel, transient vacation rental, or resort use;
(2) In a hotel where the county explicitly approves such use, in advance, as a nonconforming use; or
(3) In a county with a population in excess of five hundred thousand, in an existing hotel that is a valid nonconforming use under county ordinance. [L 1980, c 186, pt of §1; am L 1982, c 191, §1; am L 2002, c 204, §7; am L 2009, c 12, §1; am L 2019, c 111, §35]
Attorney General Opinions
Declaration calling for future "annexation" of units within a project or building is not sufficient to establish those units as "pre-existing". Att. Gen. Op. 81-14.
Geographic limitations of section apply to certain registration filings made prior to effective date of limitations. Att. Gen. Op. 83-1.
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-5.5 Foreign time share plans; exemption.

§514E-5.5 Foreign time share plans; exemption.
(a) A foreign time share plan may obtain an exemption from the requirements of this chapter as provided in this section.
(b) The developer of a foreign time share plan shall pay an exemption fee of $100 and file the following minimum information pertaining to the foreign time share plan with the director:
(1) The name and address of the foreign time share plan;
(2) The name and address of the developer and seller of the foreign time share plan, if any;
(3) The name and registration number of the time share plan located in Hawaii; provided that the registration shall be active at the time of filing under this subsection; and
(4) The duration of the foreign time share plan.
(c) Time share interests that are part of a foreign time share plan exempt under this section shall not be resold in the United States.
(d) The developer of a foreign time share plan exempt under this section shall not subject time share interests or units in the foreign time share plan that are located in Hawaii to blanket liens.
(e) The contract to purchase an interest in a foreign time share plan exempt under this section shall contain the following disclosure in conspicuous type immediately above the space provided for the purchaser's signature:
"THE OFFERING AND OPERATION OF THIS TIME SHARE PLAN OUTSIDE THE JURISDICTIONAL LIMITS OF THE UNITED STATES OF AMERICA IS EXEMPT FROM REGULATION UNDER HAWAII LAW, AND ANY SUCH PURCHASE AND OPERATION OF THIS TIME SHARE PLAN IS NOT PROTECTED BY THE LAWS OF THE STATE OF HAWAII. NO RESALE OF INTERESTS IN THIS TIME SHARE PLAN MAY BE MADE BY ANY PERSON WITHIN THE JURISDICTIONAL LIMITS OF THE UNITED STATES OF AMERICA. THE MANAGEMENT AND OPERATION OF ANY ACCOMMODATIONS OR FACILITIES LOCATED IN HAWAII, HOWEVER, ARE SUBJECT TO HAWAII LAW, AND MAY GIVE RISE TO AN ENFORCEMENT ACTION REGARDLESS OF WHERE THE OFFER WAS MADE."
(f) All promotional literature and other printed or written material used in connection with the sale of interests in a foreign time share plan exempt under this section shall include the following caption:
"This time share plan is exempt from registration under Hawaii law and, therefore, the purchase and operation of this time share plan is not protected by the laws of the State of Hawaii."
(g) For the purposes of this section, "foreign time share plan" means a time share use plan that:
(1) Contains time share interests or units located in Hawaii that are part of a Hawaii time share plan; and
(2) Is offered and sold solely outside the jurisdictional limits of the United States.
(h) Failure by the developer to abide by the requirements for the exemption shall result in the loss of the exemption and shall require registration under this chapter. [L 2006, c 278, §1; am L 2007, c 6, §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-6 Time sharing in projects.

§514E-6 Time sharing in projects.
(a) If the project in which the time share unit or time share plan is to be created contains an existing time share unit or time share plan, then time share units and plans [shall] be regulated according to the terms of the project instruments.
(b) If the project in which the time share unit or time share plan is to be created is not a hotel and does not contain time share units or a time share plan, then such use may be created only if such use is explicitly and prominently authorized by the project instruments, or the project instruments are amended by unanimous vote of the unit owners to explicitly and prominently authorize time sharing.
(c) Any condominium project in an area not designated for hotel use, resort use, or transient vacation rentals that:
(1) Contains one or more transient vacation rental units may be classified as a hotel use; or
(2) Contains more than ninety-five per cent transient vacation rental units shall be classified as a hotel.
The foregoing shall not limit the individual counties in zoning for or defining hotels. [L 1980, c 186, pt of §1; am L 1987, c 276, §2]
Attorney General Opinions
Time share units or plans may be created in project or building which has existing time sharing, and where project instrument does not prohibit time sharing. Att. Gen. Op. 81-14.
Case Notes
Use of term "temporary residence" in project's instruments does not authorize time sharing. 70 H. 93, 762 P.2d 169 (1988).
As this section, relating to time sharing, applies to a project that is not a hotel and the Maui county code section pertained to time sharing in a hotel district, the code section did not cover the same subject matter or conflict with this section; thus, the code section was not preempted by this section. 103 H. 468, 83 P.3d 731 (2004).
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-6.5 Voting rights for time share units.

§514E-6.5 Voting rights for time share units.
Voting rights for any apartment units designated or sold as time share units shall be as provided in rules adopted by the director of the department of commerce and consumer affairs; provided the rules shall seek to provide reasonable protection for persons who own partial interests in or rights to occupy the units. [L 1984, c 41, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-7 Maintenance charges.

§514E-7 Maintenance charges.
If time share units, or transient vacation rentals are located in the same project as private residential units, charges for the maintenance of common elements assessed against time share and transient vacation rental units may exceed the charges assessed against other units by as much as fifty per cent; provided that such charges do not exceed those assessed against units in the project accommodating transient vacationers with stays of thirty days or less, and such charges are in proportion to extra maintenance expenses actually attributable to the time share and transient vacation rental units. [L 1980, c 186, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-8 Mutual right to cancel.

§514E-8 Mutual right to cancel.
Within seven calendar days after the execution of the contract to purchase an interest in a time share plan, or within seven calendar days after the purchaser's receipt of a disclosure statement required by this chapter, whichever occurs later, either party may cancel the contract without penalty by mailing or delivering a notice of cancellation to the other party at an address specified on the contract. The notice of cancellation shall be effective upon mailing or delivery to the other party at the address specified on the contract. [L 1980, c 186, pt of §1; am L 1985, c 114, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-8.5 Classes of time share interests. (a) A time share plan may establish classes of time share interests defined by characteristics as the developer shall determine, including but not limited to season, unit size, location, view, or otherwise. (b) If one or more of the time share units will not be available for the entire duration of the time share plan then, in addition to other characteristics as the developer shall determine, the time share interests shall be classified by duration. [L 1997, c 372, pt of §1]

§514E-8.5
Classes of time share interests.
(a) A time share plan may establish classes of time share interests defined by characteristics as the developer shall determine, including but not limited to season, unit size, location, view, or otherwise.
(b) If one or more of the time share units will not be available for the entire duration of the time share plan then, in addition to other characteristics as the developer shall determine, the time share interests shall be classified by duration.
[L 1997, c 372, pt of §1]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-9.1 Disclosure statement; prospective purchasers.

§514E-9.1 Disclosure statement; prospective purchasers.
The purchaser of a time share interest shall be provided a copy of the disclosure statement filed with and accepted by the director concurrently with the execution of a sales contract. The disclosure statement shall be provided in printed form unless the purchaser indicates in a separate writing the purchaser's election to receive the disclosure statement through means of a computer disc, electronic mail, download from an internet site, thumb drive, any other media that may require the use of a device or a machine to be viewed or heard, or by any other means contemplated by chapter 489E. The separate writing shall include, above the signature line in bold type and capital letters, the following statement: "ANY PURCHASER HAS UNDER THE LAW A SEVEN-DAY RIGHT OF RESCISSION OF ANY TIME SHARING SALES CONTRACT. PURCHASERS SHOULD READ THE DISCLOSURE STATEMENT BEFORE THE SEVEN-DAY RIGHT OF RESCISSION PERIOD EXPIRES." [L 2014, c 228, §2]
2023 Hawaii Revised Statutes › Title 28. Property › 514E. Time Sharing Plans › 514E-9.5 Exchange program; general provisions.

§514E-9.5 Exchange program; general provisions.
(a) An exchange agent (including the developer if it is also an exchange agent) shall distribute not less than annually to each purchaser of a time share interest participating in the exchange program materials containing written information which shall include the following:
(1) The manner in which the program is operated, the identity of the persons operating the program, and the affiliation between the persons operating the program and the developer;
(2) Whether membership, participation, or both, in the program are voluntary or mandatory;
(3) The costs or ranges of costs of membership and participation in the program as of a specified date, not more than one year before the disclosure statement is delivered to the purchaser, and the person to whom those costs are payable;
(4) Whether and how any of the costs specified in paragraph (3) may be altered, which costs are to be fixed on a case-by-case basis, and the manner in which they are to be fixed in each case;
(5) A description of the availability of time share units represented to be participating in the exchange program;
(6) The reservation and confirmation or other procedures to effectuate the exchange of occupancy rights; and
(7) Other disclosures required by the director as provided by rules adopted pursuant to chapter 91.
(b) A copy of the most current written materials supplied by the exchange agent pursuant to subsection (a) of this section shall be delivered to each purchaser simultaneously with the delivery of the disclosure statement.
(c) If the exchange agent is not the developer, a subsidiary of the developer, controlled by the developer, or affiliated with the developer, then:
(1) The developer shall have no liability for the publication or distribution by the developer of the most current written materials supplied to the developer by the exchange agent pursuant to this section or the rules adopted by the director; and
(2) The exchange agent shall have no liability with respect to any violation of this chapter or the rules adopted by the director arising out of the use by a developer of information relating to an exchange program other than that provided to the developer by the exchange agent. [L 1981, c 81, pt of §1]