Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Commerce, Consumer Protection and Housing and Judiciary, to which was referred S.B. No. 483 entitled:

beg leave to report as follows:

The purpose of this measure is to clarify that treble damages may be awarded in lawsuits alleging an illegal restraint of trade that are brought on behalf of indirect purchasers by the attorney general or the director of the office of consumer protection.

Your Committees received testimony in support of this measure from the department of the attorney general and from a concerned citizen.

Your Committees find that our laws prohibiting certain restraints of trade are designed to promote fair and equal competition in the business community. Awarding treble damages to the plaintiff in lawsuits for illegal restraint of trade serves two primary purposes, deterring potential wrongdoers and encouraging enforcement of the law.

With these goals in mind, your Committees agree that treble damages should be allowed in actions brought on behalf of indirect purchasers by the attorney general or the director of the office of consumer protection.

As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection and Housing and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 483 and recommend that it pass Second Reading and be placed on the calendar for Third Reading.