Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred S.B. No. 3031, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to enact a revised article 1 of the Uniform Commercial Code (UCC).

Testimony in support of this measure was received from Hawaii's Commission to Promote Uniform Legislation.

The UCC, drafted by the National Conference of Commissioners on Uniform State Laws (NCCUSL) and adopted in all fifty states, establishes uniform procedures that govern commercial transactions. As various articles of the code have been revised and updated by the NCCUSL over the years, Hawaii has updated its laws by enacting these revised versions.

This measure updates article 1 of the Code that provides for the general administration of the law and covers matters such as definitions, construction, applicability, notice, performance, and remedies. Your Committee finds that adopting this updated version of article 1 is necessary to maintain the viability of the UCC in Hawaii.

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. 3031, S.D. 1, and recommends that it pass Third Reading.