Clarifies that unpaid parking fines and judgments do not prevent the transfer of a motor vehicle's registration and title by a registered owner of a motor vehicle who was previously issued a certificate of registration and certificate of ownership for the motor vehicle, despite the existence of unpaid judgments against the motor vehicle. Effective on approval with retroactive application to existing affected registrations prior to approval of this Act. (CD1)

A BILL FOR AN ACT

SECTION 1. Section 291D-10, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) In all cases where the registered owner of a motor vehicle to which a notice of traffic infraction has been issued fails to pay the total amount of fines, fees, surcharges, costs, or monetary assessments that have been ordered, the court shall cause an entry to be made in the motor vehicle's record so as to prevent issuance or renewal of the motor vehicle's certificate of registration and transfer of title to the motor vehicle until the outstanding amount is paid or the notice of traffic infraction is otherwise disposed of pursuant to this chapter[.]; provided that if the traffic infraction involves an unpaid parking violation, this subsection shall not prevent the issuance or renewal of the motor vehicle's certificate of registration and transfer of title to the motor vehicle to another person, in which case the clerk of the court shall issue a clearance to effectuate the registration and transfer of title; and provided further that in no event shall a clearance:

(3) Otherwise encumber the title of that motor vehicle."

SECTION 2. This Act shall apply retroactively to vehicles that have been prevented from being transferred prior to the effective date of this Act by reason of section 291D-10(b), Hawaii Revised Statutes.

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.