SB 1522: Vehicle Title Transfers; Liability; Motor Vehicles
- Session Year: 2025-2026
- House: Senate
- Latest Version Date: 2025-04-24
Current Status:
In Progress
(2025-05-29: Act 109, on 05/29/2025 (Gov. Msg. No. 1209).)
Introduced
In Committee
First Chamber
In Committee
Second Chamber
Final Decking
Enacted
Clarifies that proof that a transferor has filed required notice forms with the County Director of Finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person. Requires, by 7/1/2026, the Judiciary to determine whether new forms or modification of the Judiciary's website is necessary to assist vehicle transferors and, if so, to create the forms or modify the website. (CD1)
Clarifies that proof that a transferor has filed required notice forms with the county director of finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person. Requires, by 7/1/2026, the Judiciary to determine whether new forms or modification of the Judiciary's website is necessary to assist vehicle transferors and, if so, to create such forms or modify the website. Effective 7/1/3000. (HD2)
Clarifies that proof that a transferor has filed required notice forms serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising out of the use, operation, or abandonment of the vehicle by another person. Requires, by 12/31/2025, the courts to create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles. Effective 7/1/3000. (HD1)
Clarifies that a transferor shall not be liable for any violation resulting from the operation of a transferred vehicle if the transferor complies with the portions of the statute requiring action on the transferor's part.
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THE SENATE |
S.B. NO. |
1522 |
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THIRTY-THIRD LEGISLATURE, 2025 |
H.D. 2 |
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STATE OF HAWAII |
C.D. 1 |
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A BILL FOR AN ACT
RELATING TO VEHICLE TITLE TRANSFERS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
The legislation further finds that the State's vehicle title transfer law already includes language establishing that when a transferor complies with the portions of the statute applying to transferors, the transferor is released from liability arising out of the operation of the transferred motor vehicle. Despite this provision, transferors continue to incur liability. Other states, such as Texas, have addressed this issue by inserting statutory language that clarifies the steps a transferor can take to avoid such liability.
Accordingly, the purpose of this Act is to:
(1) Clarify that proof that a transferor has filed required notice forms with the county director of finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person; and
(2) Require, by July 1, 2026, the judiciary to determine whether new forms or modification of the judiciary's website is necessary to assist vehicle transferors and, if so, to create the forms or modify the website.
SECTION 2. Section 286-52, Hawaii Revised Statutes, is amended to read as follows:
"§286-52
Procedure when title or interest of vehicle transferred; delivery of
certificate mandatory[.]; complete defense. (a)
Upon a transfer of the title or interest of a legal owner in or to a
vehicle registered under this part, the person whose title or interest is to be
transferred and the transferee shall write their signatures with pen and ink
upon the certificate of ownership issued for the vehicle, together with the addresses of the person whose
title or interest is to be transferred and the transferee in the
appropriate spaces provided upon the certificate. The signature of the person whose title or
interest is to be transferred and signature of the transferee shall each serve
as an attestation by that respective party that the information provided on the
certificate is correct. Any person who
provides false or fraudulent information under this subsection shall be fined
no less than $500 and no more than $1,000.
(b) Within thirty calendar days thereafter, the transferee shall forward the certificate of ownership so endorsed to the director of finance who shall file the same; provided that if the recorded lien holder does not have an office in the State, the applicable period shall be sixty days. Whenever a transferee fails to comply with these provisions, the director of finance shall charge a fee of $50, in addition to the fee provided in section 286-51, for a new certificate of ownership.
(c) Subsection (b), requiring a transferee to forward the certificate of ownership after endorsement to the director of finance, shall not apply to the transferee of a vehicle who was not intending to and does not drive the vehicle or permit the vehicle to be driven upon the public highways, but the transferee, upon transferring the transferee's interest or title to another, shall give notice of the transfer to the director of finance and endorse the certificate of ownership to the new legal owner and the certificate of registration to the new owner. If the director of finance has ascertained as of the date of the application that the registered owner has not deposited or paid bail with respect to any summons or citation issued to the registered owner for stopping, standing, or parking in violation of traffic ordinances within the county or has outstanding charges and fines owed to the county relating to the disposition of an abandoned vehicle under the registered owner, including for costs related to towing, storage, processing, and disposal, the director may require, as a condition precedent to the transfer, that the registered owner deposit or pay bail with respect to the summons or citations or pay all outstanding charges and fines relating to the disposition of the abandoned vehicle; provided that payment of all outstanding charges and fines relating to the disposition of the abandoned vehicle shall not be a condition precedent to the transfer if the abandoned vehicle was stolen or taken from the registered owner without permission or authorization and a police report for the abandoned vehicle is filed within a period of time, to be determined by the director of finance of each county, after discovery of the abandoned vehicle.
(d) The director of finance[,] shall,
upon receipt of the certificate of ownership properly endorsed, [shall]
register the vehicle, and shall issue to the owner and legal owner entitled
thereto by reason of the transfer a new certificate of registration and the
certificate of ownership, respectively, in the manner and form hereinabove
provided for original registration.
(e) Until the director of finance has issued the
new certificate of registration and certificate of ownership as provided
in subsection (d) [provided], delivery of the vehicle shall be deemed
not to have been made and title thereto shall be deemed not to have passed, and
the intended transfer shall be deemed to be incomplete and not to be valid or
effective for any purpose, notwithstanding any provision of the Uniform
Commercial Code; provided that a security interest in a motor vehicle shall be
perfected as provided in the Uniform Commercial Code, section 490:9-311 and
that the validity, attachment, priority, and enforcement of the security
interest shall be governed by Article 9 of the Uniform Commercial Code.
(f) In the event of the transfer by operation of law of the title or interest of a legal owner in and to a vehicle registered under this part, as upon inheritance, devise, bequest, order in bankruptcy, insolvency, execution sale, repossession upon default in performance of the terms of a lease or executory sales contract, or otherwise than by the voluntary act of the person whose title or interest is so transferred, the certificate of ownership shall be signed upon the spaces provided by the personal representative, receiver, trustee, sheriff, or other representative, or successor in interest of the person whose title or interest is so transferred in lieu of that person. Every personal representative, receiver, trustee, sheriff, or other representative or successor hereinabove referred to shall file with the director of finance a notice of any transfer by sale, lease, or otherwise by the person, of the vehicle, together with evidence satisfactory to the director of finance of all facts entitling the person to make the transfer. Upon notice given to the director of finance that transfer by operation of law of the title or interest of a legal owner or a registered owner has been effected pursuant to any provision of law, the director of finance shall send to the legal owner or the registered owner or both a notice by registered mail of the action and requesting the delivery to the director of finance of the certificate of ownership or the certificate of registration, as the case may be, within ten days after date of mailing of the notice, and any person who refuses or neglects to deliver the same to the director of finance pursuant to the notice shall be guilty of a misdemeanor and punished as provided in section 286‑61.
(g) Nothing in the foregoing subsections shall
prevent a legal owner from assigning the title or interest in or to a vehicle
registered under this part to another legal owner at any time without the
consent of and without affecting the interest of the holder of the certificate
of registration thereof. Upon filing
with the director of finance [of] a certificate of ownership endorsed by
the legal owner and a transferee of legal ownership, the director of finance
shall, regardless of whether the certificate of registration has expired, enter
the name of the new legal owner upon the records of the director's office and
shall forthwith issue a new certificate of ownership to the new legal owner in
the form for original registration. Upon
so doing, the director of finance shall send to the registered owner a notice
by mail of the action.
(h) Any person who refuses or neglects to deliver
a certificate of ownership to a transferee entitled thereto under this part[,]
shall be punished as provided in section 286-61.
(i) Every dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall immediately give notice of the transfer to the director of finance upon the official form provided by the director of finance. Each notice shall contain the date of the transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form.
(j) Every person, other than a dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall within ten days give notice of the transfer to the director of finance upon the official form provided by the director of finance. Every notice shall contain the date of transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form. Any person who violates this subsection shall be fined no more than $100.
(k) Whenever the registered owner of any motor vehicle or any licensed dealer has given notice to the director of finance of a transfer of the title or interest in the motor vehicle, as provided in subsection (i) or (j), and has delivered the certificate of ownership bearing the transferor's signature to the transferee as required by subsection (a), the transferor shall be relieved from any liability, civil or criminal, from the date the transferor delivers the motor vehicle into the transferee's possession, which the transferor might otherwise subsequently incur by reason solely of being the registered owner of the vehicle.
(l) A licensed dealer who has forwarded a
properly endorsed certificate of ownership to the director of finance shall be
relieved of any civil liability[,] from the date the transferor delivers
the motor vehicle into the transferee's possession, which the transferor might
otherwise subsequently incur by reason solely of being the registered owner of
the vehicle; provided that a specific written authorization to forward the
certificate has been obtained from the transferee.
(m) Any person who falsely or fraudulently gives notice to the director of finance of a transfer of title or interest in a motor vehicle shall be subject to the penalty provided in section 286-61.
(n) Any organization that receives a motor vehicle as a charitable donation shall be deemed, upon receipt of the motor vehicle, to be a transferee for purposes of this section and shall be subject to all of the applicable rights, responsibilities, and liabilities of a transferee under this section.
(o) Proof by the transferor that the transferor has filed the notice form in subsection (i) or (j) shall serve as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person after the transferor's filing of the notice form; provided that a copy of the form shall serve as proof of the filing of the form.
(p) A transferor who submits false or fraudulent information to complete the provisions of this section requiring action by the transferor shall be fined not less than $500 and not more than $1,000."
SECTION 3. No later than July 1, 2026, the judiciary shall:
(1) Determine whether it is necessary to either:
(A) Create a new court form; or
(B) Modify the judiciary's website to provide more information,
relating to transferors responding to actions arising from the use, operation, or abandonment of transferred vehicles; and
(2) If the judiciary answers paragraph (1) in the affirmative, create the new forms or modify the website accordingly.
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval.
Report Title:
Vehicle Title Transfers; Liability; Motor Vehicles
Description:
Clarifies that proof that a transferor has filed required notice forms with the County Director of Finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person. Requires, by 7/1/2026, the Judiciary to determine whether new forms or modification of the Judiciary's website is necessary to assist vehicle transferors and, if so, to create the forms or modify the website. (CD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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THE SENATE |
S.B. NO. |
1522 |
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THIRTY-THIRD LEGISLATURE, 2025 |
H.D. 2 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO VEHICLE TITLE TRANSFERS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 286-52, Hawaii Revised Statutes, is amended to read as follows:
"§286-52
Procedure when title or interest of vehicle transferred; delivery of
certificate mandatory[.]; complete defense. (a)
Upon a transfer of the title or interest of a legal owner in or to a
vehicle registered under this part, the person whose title or interest is to be
transferred and the transferee shall write their signatures with pen and ink
upon the certificate of ownership issued for the vehicle, together with the addresses of the person whose
title or interest is to be transferred and the transferee in the
appropriate spaces provided upon the certificate. The signature of the person whose title or
interest is to be transferred and signature of the transferee shall each serve
as an attestation by that respective party that the information provided on the
certificate is correct. Any person who
provides false or fraudulent information under this subsection shall be fined
no less than $500 and no more than $1,000.
(b) Within thirty calendar days thereafter, the transferee shall forward the certificate of ownership so endorsed to the director of finance who shall file the same; provided that if the recorded lien holder does not have an office in the State, the applicable period shall be sixty days. Whenever a transferee fails to comply with these provisions, the director of finance shall charge a fee of $50, in addition to the fee provided in section 286-51, for a new certificate of ownership.
(c) Subsection (b), requiring a transferee to forward the certificate of ownership after endorsement to the director of finance, shall not apply to the transferee of a vehicle who was not intending to and does not drive the vehicle or permit the vehicle to be driven upon the public highways, but the transferee, upon transferring the transferee's interest or title to another, shall give notice of the transfer to the director of finance and endorse the certificate of ownership to the new legal owner and the certificate of registration to the new owner. If the director of finance has ascertained as of the date of the application that the registered owner has not deposited or paid bail with respect to any summons or citation issued to the registered owner for stopping, standing, or parking in violation of traffic ordinances within the county or has outstanding charges and fines owed to the county relating to the disposition of an abandoned vehicle under the registered owner, including for costs related to towing, storage, processing, and disposal, the director may require, as a condition precedent to the transfer, that the registered owner deposit or pay bail with respect to the summons or citations or pay all outstanding charges and fines relating to the disposition of the abandoned vehicle; provided that payment of all outstanding charges and fines relating to the disposition of the abandoned vehicle shall not be a condition precedent to the transfer if the abandoned vehicle was stolen or taken from the registered owner without permission or authorization and a police report for the abandoned vehicle is filed within a period of time, to be determined by the director of finance of each county, after discovery of the abandoned vehicle.
(d) The director of finance[,] shall,
upon receipt of the certificate of ownership properly endorsed, [shall]
register the vehicle, and shall issue to the owner and legal owner entitled
thereto by reason of the transfer a new certificate of registration and the
certificate of ownership, respectively, in the manner and form hereinabove
provided for original registration.
(e) Until the director of finance has issued the
new certificate of registration and certificate of ownership as provided
in subsection (d) [provided], delivery of the vehicle shall be deemed
not to have been made and title thereto shall be deemed not to have passed, and
the intended transfer shall be deemed to be incomplete and not to be valid or
effective for any purpose, notwithstanding any provision of the Uniform
Commercial Code; provided that a security interest in a motor vehicle shall be
perfected as provided in the Uniform Commercial Code, section 490:9-311 and
that the validity, attachment, priority, and enforcement of the security
interest shall be governed by Article 9 of the Uniform Commercial Code.
(f) In the event of the transfer by operation of law of the title or interest of a legal owner in and to a vehicle registered under this part, as upon inheritance, devise, bequest, order in bankruptcy, insolvency, execution sale, repossession upon default in performance of the terms of a lease or executory sales contract, or otherwise than by the voluntary act of the person whose title or interest is so transferred, the certificate of ownership shall be signed upon the spaces provided by the personal representative, receiver, trustee, sheriff, or other representative, or successor in interest of the person whose title or interest is so transferred in lieu of that person. Every personal representative, receiver, trustee, sheriff, or other representative or successor hereinabove referred to shall file with the director of finance a notice of any transfer by sale, lease, or otherwise by the person, of the vehicle, together with evidence satisfactory to the director of finance of all facts entitling the person to make the transfer. Upon notice given to the director of finance that transfer by operation of law of the title or interest of a legal owner or a registered owner has been effected pursuant to any provision of law, the director of finance shall send to the legal owner or the registered owner or both a notice by registered mail of the action and requesting the delivery to the director of finance of the certificate of ownership or the certificate of registration, as the case may be, within ten days after date of mailing of the notice, and any person who refuses or neglects to deliver the same to the director of finance pursuant to the notice shall be guilty of a misdemeanor and punished as provided in section 286-61.
(g) Nothing in the foregoing subsections shall
prevent a legal owner from assigning the title or interest in or to a vehicle
registered under this part to another legal owner at any time without the
consent of and without affecting the interest of the holder of the certificate
of registration thereof. Upon filing
with the director of finance [of] a certificate of ownership endorsed by
the legal owner and a transferee of legal ownership, the director of finance
shall, regardless of whether the certificate of registration has expired, enter
the name of the new legal owner upon the records of the director's office and
shall forthwith issue a new certificate of ownership to the new legal owner in
the form for original registration. Upon
so doing, the director of finance shall send to the registered owner a notice
by mail of the action.
(h) Any person who refuses or neglects to deliver
a certificate of ownership to a transferee entitled thereto under this part[,]
shall be punished as provided in section 286-61.
(i) Every dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall immediately give notice of the transfer to the director of finance upon the official form provided by the director of finance. Each notice shall contain the date of the transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form.
(j) Every person, other than a dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall within ten days give notice of the transfer to the director of finance upon the official form provided by the director of finance. Every notice shall contain the date of transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form. Any person who violates this subsection shall be fined no more than $100.
(k) Whenever the registered owner of any motor vehicle or any licensed dealer has given notice to the director of finance of a transfer of the title or interest in the motor vehicle, as provided in subsection (i) or (j), and has delivered the certificate of ownership bearing the transferor's signature to the transferee as required by subsection (a), the transferor shall be relieved from any liability, civil or criminal, from the date the transferor delivers the motor vehicle into the transferee's possession, which the transferor might otherwise subsequently incur by reason solely of being the registered owner of the vehicle.
(l) A licensed dealer who has forwarded a
properly endorsed certificate of ownership to the director of finance shall be
relieved of any civil liability[,] from the date the transferor delivers
the motor vehicle into the transferee's possession, which the transferor might
otherwise subsequently incur by reason solely of being the registered owner of
the vehicle; provided that a specific written authorization to forward the
certificate has been obtained from the transferee.
(m) Any person who falsely or fraudulently gives notice to the director of finance of a transfer of title or interest in a motor vehicle shall be subject to the penalty provided in section 286-61.
(n) Any organization that receives a motor vehicle as a charitable donation shall be deemed, upon receipt of the motor vehicle, to be a transferee for purposes of this section and shall be subject to all of the applicable rights, responsibilities, and liabilities of a transferee under this section.
(o) Proof by the transferor that the transferor has filed the notice form in subsection (i) or (j) shall serve as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person after the transferor's filing of the notice form; provided that a copy of the form shall serve as proof of the filing of the form.
(p) A transferor who submits false or fraudulent information to complete the provisions of this section requiring action by the transferor shall be fined no less than $500 and no more than $1,000."
SECTION 2. No later than July 1, 2026, the judiciary shall:
(1) Determine whether it is necessary to either:
(A) Create a new court form; or
(B) Modify the judiciary's website to provide more information,
relating to transferors responding to actions arising from the use, operation, or abandonment of transferred vehicles; and
(2) If the judiciary answers paragraph (1) in the affirmative, create such new forms or modify the website accordingly.
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 3000.
Report Title:
Vehicle Title Transfers; Liability; Motor Vehicles
Description:
Clarifies that proof that a transferor has filed required notice forms with the county director of finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person. Requires, by 7/1/2026, the Judiciary to determine whether new forms or modification of the Judiciary's website is necessary to assist vehicle transferors and, if so, to create such forms or modify the website. Effective 7/1/3000. (HD2)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
|
THE SENATE |
S.B. NO. |
1522 |
|
THIRTY-THIRD LEGISLATURE, 2025 |
H.D. 1 |
|
|
STATE OF HAWAII |
|
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO VEHICLE TITLE TRANSFERS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 286-52, Hawaii Revised Statutes, is amended to read as follows:
"§286-52
Procedure when title or interest of vehicle transferred; delivery of
certificate mandatory[.]; complete defense. (a)
Upon a transfer of the title or interest of a legal owner in or to a
vehicle registered under this part, the person whose title or interest is to be
transferred and the transferee shall write their signatures with pen and ink
upon the certificate of ownership issued for the vehicle, together with the addresses of the person whose
title or interest is to be transferred and the transferee in the
appropriate spaces provided upon the certificate. The signature of the person whose title or
interest is to be transferred and signature of the transferee shall each serve
as an attestation by that respective party that the information provided on the
certificate is correct. Any person who
provides false or fraudulent information under this subsection shall be fined
no less than $500 and no more than $1,000.
(b) Within thirty calendar days thereafter, the transferee shall forward the certificate of ownership so endorsed to the director of finance who shall file the same; provided that if the recorded lien holder does not have an office in the State, the applicable period shall be sixty days. Whenever a transferee fails to comply with these provisions, the director of finance shall charge a fee of $50, in addition to the fee provided in section 286-51, for a new certificate of ownership.
(c) Subsection (b), requiring a transferee to forward the certificate of ownership after endorsement to the director of finance, shall not apply to the transferee of a vehicle who was not intending to and does not drive the vehicle or permit the vehicle to be driven upon the public highways, but the transferee, upon transferring the transferee's interest or title to another, shall give notice of the transfer to the director of finance and endorse the certificate of ownership to the new legal owner and the certificate of registration to the new owner. If the director of finance has ascertained as of the date of the application that the registered owner has not deposited or paid bail with respect to any summons or citation issued to the registered owner for stopping, standing, or parking in violation of traffic ordinances within the county or has outstanding charges and fines owed to the county relating to the disposition of an abandoned vehicle under the registered owner, including for costs related to towing, storage, processing, and disposal, the director may require, as a condition precedent to the transfer, that the registered owner deposit or pay bail with respect to the summons or citations or pay all outstanding charges and fines relating to the disposition of the abandoned vehicle; provided that payment of all outstanding charges and fines relating to the disposition of the abandoned vehicle shall not be a condition precedent to the transfer if the abandoned vehicle was stolen or taken from the registered owner without permission or authorization and a police report for the abandoned vehicle is filed within a period of time, to be determined by the director of finance of each county, after discovery of the abandoned vehicle.
(d) The director of finance[,] shall,
upon receipt of the certificate of ownership properly endorsed, [shall]
register the vehicle, and shall issue to the owner and legal owner entitled
thereto by reason of the transfer a new certificate of registration and the
certificate of ownership, respectively, in the manner and form hereinabove
provided for original registration.
(e) Until the director of finance has issued the
new certificate of registration and certificate of ownership as provided
in subsection (d) [provided], delivery of the vehicle shall be deemed
not to have been made and title thereto shall be deemed not to have passed, and
the intended transfer shall be deemed to be incomplete and not to be valid or
effective for any purpose, notwithstanding any provision of the Uniform
Commercial Code; provided that a security interest in a motor vehicle shall be
perfected as provided in the Uniform Commercial Code, section 490:9-311 and
that the validity, attachment, priority, and enforcement of the security
interest shall be governed by Article 9 of the Uniform Commercial Code.
(f) In the event of the transfer by operation of law of the title or interest of a legal owner in and to a vehicle registered under this part, as upon inheritance, devise, bequest, order in bankruptcy, insolvency, execution sale, repossession upon default in performance of the terms of a lease or executory sales contract, or otherwise than by the voluntary act of the person whose title or interest is so transferred, the certificate of ownership shall be signed upon the spaces provided by the personal representative, receiver, trustee, sheriff, or other representative, or successor in interest of the person whose title or interest is so transferred in lieu of that person. Every personal representative, receiver, trustee, sheriff, or other representative or successor hereinabove referred to shall file with the director of finance a notice of any transfer by sale, lease, or otherwise by the person, of the vehicle, together with evidence satisfactory to the director of finance of all facts entitling the person to make the transfer. Upon notice given to the director of finance that transfer by operation of law of the title or interest of a legal owner or a registered owner has been effected pursuant to any provision of law, the director of finance shall send to the legal owner or the registered owner or both a notice by registered mail of the action and requesting the delivery to the director of finance of the certificate of ownership or the certificate of registration, as the case may be, within ten days after date of mailing of the notice, and any person who refuses or neglects to deliver the same to the director of finance pursuant to the notice shall be guilty of a misdemeanor and punished as provided in section 286-61.
(g) Nothing in the foregoing subsections shall prevent a legal owner from assigning the title or interest in or to a vehicle registered under this part to another legal owner at any time without the consent of and without affecting the interest of the holder of the certificate of registration thereof. Upon filing with the director of finance of a certificate of ownership endorsed by the legal owner and a transferee of legal ownership, the director of finance shall, regardless of whether the certificate of registration has expired, enter the name of the new legal owner upon the records of the director's office and shall forthwith issue a new certificate of ownership to the new legal owner in the form for original registration. Upon so doing, the director of finance shall send to the registered owner a notice by mail of the action.
(h) Any person who refuses or neglects to deliver a certificate of ownership to a transferee entitled thereto under this part, shall be punished as provided in section 286-61.
(i) Every dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall immediately give notice of the transfer to the director of finance upon the official form provided by the director of finance. Each notice shall contain the date of the transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form.
(j) Every person, other than a dealer, upon transferring a motor vehicle, whether by sale, lease, or otherwise, shall within ten days give notice of the transfer to the director of finance upon the official form provided by the director of finance. Every notice shall contain the date of transfer, the names and addresses of the transferor and transferee, and a description of the vehicle as may be called for in the official form. Any person who violates this subsection shall be fined no more than $100.
(k) Whenever the registered owner of any motor vehicle or any licensed dealer has given notice to the director of finance of a transfer of the title or interest in the motor vehicle, as provided in subsection (i) or (j), and has delivered the certificate of ownership bearing the transferor's signature to the transferee as required by subsection (a), the transferor shall be relieved from any liability, civil or criminal, from the date the transferor delivers the motor vehicle into the transferee's possession, which the transferor might otherwise subsequently incur by reason solely of being the registered owner of the vehicle.
(l) A licensed dealer who has forwarded a properly endorsed certificate of ownership to the director of finance shall be relieved of any civil liability, from the date the transferor delivers the motor vehicle into the transferee's possession, which the transferor might otherwise subsequently incur by reason solely of being the registered owner of the vehicle; provided that a specific written authorization to forward the certificate has been obtained from the transferee.
(m) Any person who falsely or fraudulently gives notice to the director of finance of a transfer of title or interest in a motor vehicle shall be subject to the penalty provided in section 286-61.
(n) Any organization that receives a motor vehicle as a charitable donation shall be deemed, upon receipt of the motor vehicle, to be a transferee for purposes of this section and shall be subject to all of the applicable rights, responsibilities, and liabilities of a transferee under this section.
(o) Proof by the transferor that the transferor has filed the notice form in subsection (i) or (j) shall serve as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising out of the use, operation, or abandonment of the vehicle by another person after the transferor's filing of the notice form; provided that a copy of the form shall serve as proof of the filing of the form.
(p) A transferor who submits false or fraudulent information to complete the provisions of this section requiring action by the transferor shall be subject to the penalties under subsection (a)."
SECTION 2. By December 31, 2025, the courts shall create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles by submitting proof of a filed notice form, and shall develop relevant instructions. The judiciary shall take additional measures to assist transferors as necessary to facilitate the appropriate dismissal of those actions.
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 3000.
Report Title:
Vehicle Title Transfers; Liability; Motor Vehicles
Description:
Clarifies that proof that a transferor has filed required notice forms serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising out of the use, operation, or abandonment of the vehicle by another person. Requires, by 12/31/2025, the courts to create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles. Effective 7/1/3000. (HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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THE SENATE |
S.B. NO. |
1522 |
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THIRTY-THIRD LEGISLATURE, 2025 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO VEHICLE TITLE TRANSFERS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that when an automobile transfer is made in the State and title is transferred from an owner to a buyer, the transfer is not considered complete until the county receives certain documentation from the vehicle's new owner, the transferee. Until that occurs, the vehicle remains legally registered to the original owner, the transferor. As a result, the transferor may be liable for parking tickets, traffic infractions, and other civil or criminal liabilities even though the transferor no longer retains possession of the vehicle. Meanwhile, the transferee will not be held legally or financially responsible for violations arising out of the transferee's operation of the vehicle. This situation is unfair and frustrating for transferors, and ripe for abuse and exploitation by transferees. Years' worth of news reports, including a July 2024 article in the Honolulu Star-Advertiser, demonstrate that this problem continually plagues motorists.
The legislation further finds that the State's vehicle title transfer law already includes language establishing that when a transferor complies with the portions of the statute applying to transferors, the transferor is released from liability arising out of the operation of the transferred motor vehicle. Despite this provision, transferors continue to incur liability. Other states, such as Texas, have addressed this issue by inserting statutory language that clarifies the steps a transferor can take to avoid such liability.
Accordingly, the purpose of this Act is to clarify that a transferor who complies with the portions of the statute requiring action on the transferor's part shall not be liable for any violation resulting from the operation of a transferred vehicle, even though the transferor remains the legal and registered owner of the vehicle, and that a copy of the transferor's notice of transfer form shall serve as a complete defense to any such liability.
SECTION 2. Section 286-52, Hawaii Revised Statutes, is amended by amending subsection (k) to read as follows:
"(k)
[Whenever] Except as provided in this section and as between
the parties, a transfer by a registered owner is not effective until the
provisions of this section have been complied with; provided that whenever the
registered owner of any motor vehicle or any licensed dealer has given notice
to the director of finance of a transfer of the title or interest in the motor
vehicle, as provided in subsection (i) or (j), and has delivered the
certificate of ownership bearing the transferor's signature to the transferee
as required by subsection (a), the transferor shall be relieved from any
liability, civil or criminal, from the date the transferor delivers the motor
vehicle into the transferee's possession, which the transferor might otherwise
subsequently incur by reason solely of being the registered owner of the
vehicle. Proof by the transferor that
the transferor has filed the notice form described in subsection (i) or (j)
shall serve as a complete defense to any action brought against the transferor
for an act or omission, civil or criminal, arising out of the use, operation,
or abandonment of the vehicle by another person after the transferor's filing
of the form; provided that a copy of the form shall serve as proof of the
filing of the form. A transferor who
submits false or fraudulent information to complete the provisions of this
section requiring action by the transferor shall be subject to the penalties
described in subsection (a)."
SECTION 3. By July 1, 2025, the courts shall create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles by submitting proof of a filed notice form, and shall develop relevant instructions. The judiciary shall take additional measures to assist transferors as necessary to facilitate the appropriate dismissal of those actions.
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval.
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INTRODUCED BY: |
_____________________________ |
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Report Title:
Vehicle Title Transfers; Liability; Motor Vehicles
Description:
Clarifies that a transferor shall not be liable for any violation resulting from the operation of a transferred vehicle if the transferor complies with the portions of the statute requiring action on the transferor's part.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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Date
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Status
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| May 29, 2025 | Act 109, on 05/29/2025 (Gov. Msg. No. 1209). |
| May 29, 2025 | Act 109, 05/29/2025 (Gov. Msg. No. 1209). |
| May 2, 2025 | Enrolled to Governor. |
| May 2, 2025 | Received notice of passage on Final Reading in House (Hse. Com. No. 821). |
| May 1, 2025 | Received notice of Final Reading (Sen. Com. No. 888). |
| Apr 30, 2025 | Passed Final Reading as amended in CD 1 with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Pierick excused (2). |
| Apr 30, 2025 | Passed Final Reading, as amended (CD 1). Ayes, 25; Aye(s) with reservations: none . 0 No(es): none. 0 Excused: none. |
| Apr 24, 2025 | Forty-eight (48) hours notice Wednesday, 04-30-25. |
| Apr 24, 2025 | Reported from Conference Committee (Conf Com. Rep. No. 96) as amended in (CD 1). |
| Apr 24, 2025 | 48 Hrs. Notice (as amended CD 1) 04-30-25. |
| Apr 24, 2025 | Reported from Conference Committee as amended CD 1 (Conf. Com. Rep. No. 96). |
| Apr 24, 2025 | The Conference Committee recommends that the measure be Passed, with Amendments. The votes were as follows: 3 Ayes: Representative(s) Kila, Tarnas, Muraoka; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none. |
| Apr 24, 2025 | The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. The votes of the Senate Conference Managers were as follows: 3 Aye(s): Senator(s) Lee, C., Rhoads, DeCorte; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none. |
| Apr 23, 2025 | Conference committee meeting to reconvene on 04-24-25 10:30AM; Conference Room 329. |
| Apr 22, 2025 | Conference committee meeting to reconvene on 04-23-25 10:30AM; Conference Room 329. |
| Apr 21, 2025 | Conference committee meeting scheduled for 04-22-25 10:35AM; Conference Room 329. |
| Apr 15, 2025 | Received notice of Senate conferees (Sen. Com. No. 789). |
| Apr 15, 2025 | Senate Conferees Appointed: Lee, C. Chairs; Rhoads Co-Chair; DeCorte. |
| Apr 15, 2025 | Received notice of appointment of House conferees (Hse. Com. No. 731). |
| Apr 14, 2025 | House Conferees Appointed: Kila, Tarnas Co-Chairs; Muraoka. |
| Apr 8, 2025 | Received notice of disagreement (Sen. Com. No. 774). |
| Apr 8, 2025 | Senate disagrees with House amendments. |
| Apr 8, 2025 | Received from House (Hse. Com. No. 616). |
| Apr 4, 2025 | Passed Third Reading as amended in HD 2 with none voting aye with reservations; none voting no (0) and Representative(s) Cochran excused (1). Transmitted to Senate. |
| Apr 2, 2025 | Forty-eight (48) hours notice Friday, 04-04-25. |
| Apr 2, 2025 | Reported from JHA (Stand. Com. Rep. No. 1772) as amended in HD 2, recommending passage on Third Reading. |
| Mar 28, 2025 | The committee on JHA recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 10 Ayes: Representative(s) Tarnas, Poepoe, Belatti, Hashem, Kahaloa, Perruso, Takayama, Todd, Garcia, Shimizu; Ayes with reservations: none; Noes: none; and 1 Excused: Representative(s) Cochran. |
| Mar 25, 2025 | Bill scheduled to be heard by JHA on Friday, 03-28-25 2:00PM in House conference room 325 VIA VIDEOCONFERENCE. |
| Mar 18, 2025 | Passed Second Reading as amended in HD 1 and referred to the committee(s) on JHA with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Ward excused (2). |
| Mar 18, 2025 | Reported from TRN (Stand. Com. Rep. No. 1321) as amended in HD 1, recommending passage on Second Reading and referral to JHA. |
| Mar 13, 2025 | The committee on TRN recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 6 Ayes: Representative(s) Kila, Grandinetti, Evslin, Kitagawa, Miyake, Muraoka; Ayes with reservations: none; Noes: none; and 3 Excused: Representative(s) Cochran, La Chica, Pierick. |
| Mar 11, 2025 | Bill scheduled to be heard by TRN on Thursday, 03-13-25 9:00AM in House conference room 430 VIA VIDEOCONFERENCE. |
| Mar 4, 2025 | Referred to TRN, JHA, referral sheet 18 |
| Mar 4, 2025 | Pass First Reading |
| Feb 28, 2025 | Received from Senate (Sen. Com. No. 57). |
| Feb 28, 2025 | Report Adopted; Passed Third Reading. Ayes, 23; Aye(s) with reservations: none. Noes, 0 (none). Excused, 2 (Senator(s) Fukunaga, Kidani). Transmitted to House. |
| Feb 27, 2025 | One Day Notice 02-28-25. |
| Feb 27, 2025 | Reported from JDC (Stand. Com. Rep. No. 724) with recommendation of passage on Third Reading. |
| Feb 20, 2025 | The committee(s) on JDC recommend(s) that the measure be PASSED, UNAMENDED. The votes in JDC were as follows: 4 Aye(s): Senator(s) Rhoads, Chang, San Buenaventura, Awa; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Gabbard. |
| Feb 18, 2025 | The committee(s) on JDC will hold a public decision making on 02-20-25 10:01AM; CR 016 & Videoconference. |
| Feb 11, 2025 | Report adopted; Passed Second Reading and referred to JDC. |
| Feb 11, 2025 | Reported from TCA (Stand. Com. Rep. No. 260) with recommendation of passage on Second Reading and referral to JDC. |
| Feb 6, 2025 | The committee(s) on TCA recommend(s) that the measure be PASSED, UNAMENDED. The votes in TCA were as follows: 4 Aye(s): Senator(s) Lee, C., Elefante, Kanuha, DeCorte; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Inouye. |
| Feb 3, 2025 | The committee(s) on TCA has scheduled a public hearing on 02-06-25 3:00PM; Conference Room 224 & Videoconference. |
| Jan 27, 2025 | Referred to TCA, JDC. |
| Jan 23, 2025 | Introduced and passed First Reading. |
| Jan 22, 2025 | Pending Introduction. |
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Date
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Description
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Location
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Votes
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| Apr 30, 2025 | Final Reading | House Floor |
Passed |
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| Apr 30, 2025 | Final Reading | Senate Floor |
Passed |
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| Apr 4, 2025 | Third Reading | House Floor |
Passed |
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| Mar 28, 2025 | The committee on JHA recommend that the measure be PASSED, WITH AMENDMENTS | House Standing Committee on Judiciary & Hawaiian Affairs |
Passed |
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| Mar 13, 2025 | The committee on TRN recommend that the measure be PASSED, WITH AMENDMENTS | House Standing Committee on Transportation |
Passed |
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| Feb 28, 2025 | Third Reading | Senate Floor |
Passed |
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| Feb 20, 2025 | The committee(s) on JDC recommend(s) that the measure be PASSED, UNAMENDED | Senate Standing Committee on Judiciary |
Passed |
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| Feb 6, 2025 | The committee(s) on TCA recommend(s) that the measure be PASSED, UNAMENDED | Senate Standing Committee on Transportation and Culture and the Arts |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
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Organization
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Position
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Date
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| City and County of Honolulu Department of Customer Services | ** Support | |
| Kalihi Palama NB #15 | *** Support | Feb 19, 2025 |
| National Kidney Foundation of Hawaii | *** Support | Mar 13, 2025 |
| National Kidney Foundation of Hawaii | ** Support | |
| Pacific Auto Action | ** Support | |
| Pacific Auto Auction | *** Support | Mar 13, 2025 |
CONFERENCE COMMITTEE REP. NO. 96
Honolulu, Hawaii
, 2025
RE: S.B. No. 1522
H.D. 2
C.D. 1
Honorable Ronald D. Kouchi
President of the Senate
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Sir and Madam:
Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1522, H.D. 2, entitled:
"A BILL FOR AN ACT RELATING TO VEHICLE TITLE TRANSFERS,"
having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.
The purpose of this measure is to:
(1) Clarify that proof that a transferor has filed required notice forms with the County Director of Finance serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising from the use, operation, or abandonment of the vehicle by another person; and
(2) Require by July 1, 2026, the Judiciary to determine whether new forms or modification of the Judiciary's website is necessary to assist vehicle transferors and, if so, to create the forms or modify the website.
Your Committee on Conference finds that when a vehicle transfer is made in the State, the transfer is not considered complete until the county receives a certificate of ownership documenting the transfer. When the buyer of a vehicle fails to submit the required documentation, the vehicle remains legally registered to the previous owner, rendering the previous owner liable for certain penalties or infractions though they are no longer in possession of the vehicle. This measure protects transferors from any liability that may result from the operation of a transferred vehicle.
Your Committee on Conference has amended this measure by:
(1) Inserting legislative findings;
(2) Making it effective upon its approval; and
(3) Making technical nonsubstantive amendments for the purposes of clarity and consistency.
As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1522, H.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1522, H.D. 2, C.D. 1.
Respectfully submitted on behalf of the managers:
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ON THE PART OF THE HOUSE |
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ON THE PART OF THE SENATE |
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____________________________ DARIUS KILA Co-Chair |
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____________________________ CHRIS LEE Chair |
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____________________________ DAVID A. TARNAS Co-Chair |
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____________________________ KARL RHOADS Co-Chair |
STAND. COM. REP. NO. 1772
Honolulu, Hawaii
, 2025
RE: S.B. No. 1522
H.D. 2
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Madame:
Your Committee on Judiciary & Hawaiian Affairs, to which was referred S.B. No. 1522, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO VEHICLE TITLE TRANSFERS,"
begs leave to report as follows:
The purpose of this measure is to:
(1) Clarify that proof that a transferor has filed required notice forms serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising out of the use, operation, or abandonment of the vehicle by another person; and
(2) Require the courts to create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles by December 31, 2025.
Your Committee finds that if a transferee of a vehicle fails to endorse and submit the vehicle's title to the appropriate county motor vehicle and licensing agency, the transferor may have persistent liability over the vehicle. This measure ensures that a transferor who has filed required notice forms will have a complete defense to any action arising from the use, operation, or abandonment of the vehicle by another person.
Your Committee has amended this measure by:
(1) Specifying that the Judiciary, no later than July 1, 2026, shall determine whether it is necessary to either create a new court form, or modify the Judiciary's website to provide more information, relating to transferors responding to actions arising from the use, operation, or abandonment of transferred vehicles, and, if so, to create such forms or modify the website, rather than requiring the courts to create new forms;
(2) Deleting the requirement that the Judiciary take additional measures to assist transferors as necessary to facilitate the appropriate dismissal of those actions; and
(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
As affirmed by the record of votes of the members of your Committee on Judiciary & Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1522, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1522, H.D. 2.
Respectfully submitted on behalf of the members of the Committee on Judiciary & Hawaiian Affairs,
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____________________________ DAVID A. TARNAS, Chair |
STAND. COM. REP. NO. 1321
Honolulu, Hawaii
, 2025
RE: S.B. No. 1522
H.D. 1
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Madame:
Your Committee on Transportation, to which was referred S.B. No. 1522 entitled:
"A BILL FOR AN ACT RELATING TO VEHICLE TITLE TRANSFERS,"
begs leave to report as follows:
Your Committee finds that when a vehicle is transferred, the transfer is not considered complete until the county receives a certificate of ownership documenting the transfer. This creates an issue when the buyer of a vehicle fails to submit the required documentation and the vehicle remains legally registered to the previous owner. As a result, the previous owner may be liable for things like parking tickets or certain infractions even though they are no longer in possession of the vehicle.
Your Committee further finds that H.B. No. 532, H.D. 1 (Regular Session of 2025), a substantially similar measure, was previously passed by your Committee.
Your Committee has amended this measure by:
(1) Deleting its contents and inserting the contents of H.B. No. 532, H.D. 1, a substantially similar measure that:
(A) Clarifies that proof that a transferor has filed required notice forms serves as a complete defense to any action brought against the transferor for an act or omission, civil or criminal, arising out of the use, operation, or abandonment of the vehicle by another person;
(B) Requires, by July 1, 2026, the courts to create new forms permitting transferors to respond to actions arising out of the use, operation, or abandonment of transferred vehicles; and
(C) Contains an effective date of July 1, 3000, to encourage further discussion; and
(2) Changing the date when the courts are required to create new forms for transferors to respond to actions to December 31, 2025.
As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1522, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1522, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.
Respectfully submitted on behalf of the members of the Committee on Transportation,
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____________________________ DARIUS KILA, Chair |
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STAND. COM. REP. NO. 724
Honolulu, Hawaii
RE: S.B. No. 1522
Honorable Ronald D. Kouchi
President of the Senate
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Sir:
Your Committee on Judiciary, to which was referred S.B. No. 1522 entitled:
"A BILL FOR AN ACT RELATING TO VEHICLE TITLE TRANSFERS,"
begs leave to report as follows:
The purpose and intent of this measure is to clarify that a transferor who complies with the portions of the statute requiring action on the transferor's part shall not be liable for any violation resulting from the operation of a transferred vehicle, even though the transferor remains the legal and registered owner of the vehicle, and that a copy of the transferor's notice of transfer form shall serve as a complete defense to any liability.
Your Committee received testimony in support of this measure from the Department of Customer Services of the City and County of Honolulu, Kalihi Palama Neighborhood Board, and one individual.
Your Committee finds that until an automobile transfer is considered complete by the respective county, the vehicle remains legally registered to the original owner, the transferor. During this period, the transferor may be liable for parking tickets, traffic infractions, and other civil or criminal liabilities even though the transferor no longer retains possession of the vehicle. Therefore, this measure ensures that the transferor shall not be liable for any violation resulting from the operation of a transferred vehicle.
As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1522 and recommends that it pass Third Reading.
Respectfully submitted on behalf of the members of the Committee on Judiciary,
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________________________________ KARL RHOADS, Chair |
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STAND. COM. REP. NO. 260
Honolulu, Hawaii
RE: S.B. No. 1522
Honorable Ronald D. Kouchi
President of the Senate
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Sir:
Your Committee on Transportation and Culture and the Arts, to which was referred S.B. No. 1522 entitled:
"A BILL FOR AN ACT RELATING TO VEHICLE TITLE TRANSFERS,"
begs leave to report as follows:
The purpose and intent of this measure is to clarify that a transferor who complies with the portions of the statute requiring action on the transferor's part shall not be liable for any violation resulting from the operation of a transferred vehicle, even though the transferor remains the legal and registered owner of the vehicle, and that a copy of the transferor's notice of transfer form shall serve as a complete defense to any liability.
Your Committee received testimony in support of this measure from the Department of Customer Services of the City and County of Honolulu.
Your Committee finds that when an automobile transfer is made in the State and title is transferred from an owner to buyer, the transfer is not considered complete until the county receives certain documentation from the vehicle's new owner, the transferee. Until this process is complete, the vehicle remains legally registered to the original owner who is held liable for any penalties incurred by the transferee even though the transferor no longer retains possession of the vehicle. Accordingly, this measure clarifies the steps that a transferor may take to avoid liability from any violation resulting from operation of a transferred vehicle.
As affirmed by the record of votes of the members of your Committee on Transportation and Culture and the Arts that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1522 and recommends that it pass Second Reading and be referred to your Committee on Judiciary.
Respectfully submitted on behalf of the members of the Committee on Transportation and Culture and the Arts,
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________________________________ CHRIS LEE, Chair |
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Date
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Testimony PDF
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| Mar 28, 2025 | SB1522_HD1_TESTIMONY_JHA_03-28-25_.PDF |
| Mar 13, 2025 | SB1522_TESTIMONY_TRN_03-13-25_.PDF |
| Feb 19, 2025 | SB1522_TESTIMONY_JDC_02-20-25_.PDF |
| Feb 6, 2025 | SB1522_TESTIMONY_TCA_02-06-25_.PDF |
Discussed in Hearing
1MIN
Conference Committee
2MIN
House Standing Committee on Judiciary & Hawaiian Affairs
5MIN
House Standing Committee on Housing
5MIN
House Standing Committee on Transportation
6MIN
Senate Standing Committee on Transportation and Culture and the Arts
Bill Author
Bill Co-Author(s):
