STAND. COM. REP. NO. 2488

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2296
                                        




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred S.B. No.
2296 entitled:

     "A BILL FOR AN ACT RELATING TO UNIFORM DISCLAIMER OF
     PROPERTY INTERESTS ACT,"

begs leave to report as follows:

     The purpose of this bill is to enact the Uniform Disclaimer
of Property Interests Act (1999).

     Your Committee finds that this uniform Act authorizes people
to disclaim interests in property.  Disclaimers are typically
used to reallocate interests in estates, trusts, and other types
of property interests allocated at death, and which are often
used to obtain more favorable tax treatment.  The Act specifies
the types of interests that may be disclaimed, and establishes
when disclaimers are effective and the effects of a disclaimer on
the distribution of the disclaimed property interest.  The Act
also clarifies that trustees and other fiduciaries may use
disclaimers, that powers of appointment may be disclaimed, and
that unfair distributions of interests are avoided when
disclaimers are used.

     Your Committee agrees with the intent of this bill, which
also repeals the existing law relating to disclaimers of property

 
a                                                          SB2296
 
 
 
 
                                   STAND. COM. REP. NO. 2488
                                   Page 2


interest under the Uniform Probate Code, and finds that there is
a need to update state law as provided in the uniform Act.

     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.
2296 and recommends that it pass Third Reading.

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



                                   ______________________________
                                   AVERY B. CHUMBLEY, Co-Chair



                                   ______________________________
                                   MATTHEW M. MATSUNAGA, Co-Chair

 
a                                                          SB2296