Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection, and Housing, to which was referred H.B. No. 2901 entitled:

begs leave to report as follows:

The purpose of this measure is to eliminate outdated and duplicative requirements from the garnishment law.

Testimony in support of this measure was submitted by Hawaii Bankers Association and the Collection Law Section of the Hawaii State Bar Association. No testimony in opposition was received by your Committee.

Under section 652-14, Hawaii Revised Statutes, a creditor is required to provide duplicate receipts to a garnishee when a payment is received through the garnishment process, and the garnishee is then required to deliver one of those receipts to the debtor. Your Committee finds that these requirements are outdated and unnecessary because current employment and banking practices sufficiently document payment of funds in the garnishment process.

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection, and Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2901, and recommends that it pass Second Reading and be referred to the Committee on Judiciary and Hawaiian Affairs.