STAND. COM. REP. NO. 1544

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 1267
                                        H.D. 1
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred H.B.
No. 1267, H.D. 1, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO FORECLOSURES,"

begs leave to report as follows:
     
     The purpose of this measure is to make amendments to the
alternative power of sale foreclosure law enacted in 1998.

     Your Committee received testimony in support of this measure
from the Hawaii Bankers Association, the Mortgage Bankers
Association of Hawaii, the Hawaii Credit Union League, the Hawaii
Financial Services Association, the Hawaii Council of
Associations of Apartment Owners, the Community Associations
Institute, Security Title Corporation, Title Guaranty of Hawaii,
Inc., and four individuals.  The Department of Commerce and
Consumer Affairs, Legal Aid Society of Hawaii, and the American
Association of Retired Persons, opposed the measure.  The Hawaii
Association of REALTORS and two individuals submitted comments.

     Your Committee finds that the proposed changes are intended
to improve the efficiency of the power of sale foreclosure
process and, as a result, reduce the time and cost of
foreclosures.  Your Committee has heard that under judicial
foreclosure procedures, it takes twelve to eighteen months to
complete a foreclosure, and that Act 122, Session Laws of Hawaii
1998, provided an alternative non-judicial process.  This measure

 
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                                   STAND. COM. REP. NO. 1544
                                   Page 2


further clarifies and streamlines the procedures under non-
judicial foreclosures.

     Your Committee has amended this measure to change the
proposed thirty days that a delinquent borrower has to bring a
loan current to an unspecified number of days, and to make
technical, nonsubstantive amendments to reflect preferred
drafting style.

     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 H.B.
No. 1267, H.D. 1, S.D. 1, as amended herein, and recommends that
it pass Third Reading in the form attached hereto as H.B.
No. 1267, H.D. 1, S.D. 2.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Judiciary,



                                   ______________________________
                                   AVERY B. CHUMBLEY, Co-Chair



                                   ______________________________
                                   MATTHEW M. MATSUNAGA, Co-Chair

 
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