Bill Text: HI SB1576 | 2025 | Regular Session | Introduced
Bill Title: Relating To Foreclosures.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2025-01-27 - Referred to CPN, JDC. [SB1576 Detail]
Download: Hawaii-2025-SB1576-Introduced.html
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THE SENATE |
S.B. NO. |
1576 |
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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 foreclosures.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 657-1, Hawaii Revised Statutes, is amended to read as follows:
"§657-1 Six years. The following actions shall be commenced within six years next after the cause of action accrued, and not after:
(1) Actions
for the recovery of any debt founded upon any contract, obligation, [or]
liability, note, or mortgage note, excepting [such as are] actions
brought upon the judgment or decree of a court; excepting further that actions
for the recovery of any debt founded upon any contract, obligation, or
liability made pursuant to chapter 577A shall be governed by chapter 577A;
(2) Actions upon judgments or decrees rendered in any court not of record in the State, or, subject to section 657-9, in any court of record in any foreign jurisdiction;
(3) Actions for taking or detaining any goods or chattels, including actions in the nature of replevin; and
(4) Personal actions of any nature whatsoever not specifically covered by the laws of the State."
SECTION 2. Section 667-38, Hawaii Revised Statutes, is amended to read as follows:
"§667-38 Deficiency judgment
against [owner-occupant] residential
property owners prohibited. Upon
completion of the [nonjudicial] foreclosure of residential property
pursuant to this part, the mortgagee or other person, excluding an association,
shall not be entitled to pursue or obtain a deficiency judgment against [an
owner-occupant] a residential property owner unless the debt is
secured by other collateral. The debts
of other lien creditors are unaffected except as provided in this part."
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect upon its approval.
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INTRODUCED BY: |
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Report Title:
Limitations of Actions; Judicial Foreclosures; Nonjudicial Foreclosures; Residential Property Owners; Deficiency Judgments; Prohibited
Description:
Clarifies the limitation of actions to recover debts related to notes and mortgage notes shall be six years. Prohibits creditors from pursuing deficiency judgments against residential property owners upon completion of a judicial or nonjudicial foreclosure.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
