Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Consumer Protection and Commerce, to which was referred S.B. No. 2704 entitled:

begs leave to report as follows:

The purpose of this bill is to require a seller of residential real property to disclose any release or waiver of liability for a construction defect that measurably affects the value of the property.

Four individuals testified in support of the measure.

Your Committee finds that this measure protects prospective purchasers of residential real property by providing them with relevant and necessary information relating to construction defects prior to making a purchase of residential real property. The availability of this information will protect Hawaii's consumers by allowing them to make informed decisions regarding the purchase of any residential real property.

Your Committee has amended this bill by:

(1) Changing the effective date to July 1, 2099;

As affirmed by the record of votes of the members of your Committee on Consumer Protection and Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2704, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2704, H.D. 1, and be placed on the calendar for Third Reading.