SB2716.DOC

SECTION 1. The legislature finds that it is the public policy of this state to protect its citizens from the application of foreign law when the application of foreign law would violate a right guaranteed by the Hawaii Constitution or the United States Constitution, including but not limited to due process, freedom of religion, speech or press, and any right of privacy or of marriage. The legislature recognizes the right to contract freely and also recognizes that this right may be reasonably and rationally circumscribed pursuant to the state's interest in preserving rights granted under the Hawaii Constitution or the United States constitution, including but not limited to due process, freedom of speech, or press, and any right of privacy or marriage.

The purpose of this act is to preserve the state and federal constitutional rights of the citizens of this state.

SECTION 2. Chapter 1, Hawaii Revised Statutes is amended by adding four new sections to be appropriately designated and to read as follows:

"§1- Definitions. Whenever used in this section, unless the context otherwise requires:

"Court" means any court, board, administrative agency, or other adjudicative or enforcement authority of this state.

"Foreign law", "legal code", or "system" means any law, legal code, or system of a jurisdiction outside of any state or territory of the United States, including but not limited to international organizations and tribunals and applied by that jurisdiction's courts, administrative bodies, or other formal or informal tribunals.

"Religious organization" means any church, seminary, synagogue, temple, mosque, religious order, religious corporation, association, or society whose identity is distinctive in terms of common religious creed, beliefs, doctrines, practices, or rituals, of any faith or denomination, including any organization qualifying as a church or religious organization under section 501(c)(3) or 501(d) of the Internal Revenue Code.

§1- Foreign law prohibited. (a) A court, arbitration, tribunal, or administrative agency ruling or decision violates the public policy of Hawaii and is void and unenforceable if the court, arbitration, tribunal, or administrative agency bases its ruling or decision on a law, legal code, or system that would not grant the parties affected by the ruling or decision any of the fundamental liberties, rights, and privileges granted under the Hawaii Constitution or the United States Constitution, including but not limited to due process, equal protection, freedom of religion, speech, or press, the right to keep and bear arms, and any right of privacy or marriage.

(b) A contract or contractual provision, if severable, that provides for the choice of a law, legal code or system to govern some or all of the disputes between the parties adjudicated by a court of law or by an arbitration panel arising from the contract violates the public policy of this state and is void and unenforceable if the law, legal code or system chosen includes or incorporates a substantive or procedural law that would not grant the parties any of the fundamental liberties, rights and privileges granted under the Hawaii Constitution or United States Constitution, including but not limited to due process, equal protection, freedom of religion, speech, or press, the right to keep and bear arms, and any right of privacy or marriage.

(1) A contract or contractual provision, if severable, that provides for a chosen jurisdiction for purposes of granting the courts or arbitration panels personal jurisdiction over the parties to adjudicate any disputes between parties arising from the contract violates the public policy of Hawaii and is void and unenforceable if the jurisdiction chosen includes any law, legal code, or system that when applied to the dispute at issue would not grant the parties any of the fundamental liberties, rights and privileges granted under the Hawaii Constitution or United States Constitution, including but not limited to due process, equal protection, freedom of religion, speech, or press, the right to keep and bear arms, and any right of privacy or marriage.

(2) If a resident of this state who is subject to personal jurisdiction in this state seeks to maintain litigation, arbitration, agency or similarly binding proceedings in this state and if the courts of this state find that granting a claim of forum non conveniens or a related claim violates or would likely violate the fundamental liberties, rights, and privileges granted under the United States and Hawaii constitutions of the nonclaimant in the foreign forum, then it is the public policy of this state that the claim should be denied.

(c) Without prejudice to any legal right, this act does not apply to a person, sorporation, partnership, limited liability company, business association, or other legal entity that contacts to subject itself to foreign law in a jurisdiction other than Hawaii or the United States.

§1- Exceptions; freedom of religion; conflict with federal treaty. (a) No court or arbitrator may interpret this section as to limit the right of any person to the free exercise of religion as guaranteed by the first amendment to the United States Constitution and by the Hawaii Constitution. No court may interpret this section to require or authorize any court to adjudicate, or prohibit any religious organization from adjudicating, ecclesiastical matters, including but not limited to the election, appointment, calling, discipline, dismissal, removal, or excommunication of a member, officer, official, priest, nun, monk, pastor, rabbi, imam, or member of the clergy of the religious organization, whenever adjudication by a court would violate the prohibition of the establishment clause of the first amendment of the United States Constitution or violate the Hawaii Constitution.

(b) This section may not be interpreted by a court to conflict with any federal treaty, executive order, or other international agreement to which the United States or Hawaii is a party.

§1- Severability. If a part of this act is invalid, all parts that are severable from the invalid part remain in effect in all valid applications that are severable from the invalid applications."

SECTION 3. New statutory material is underscored.

SECTION 4. This act shall take effect on July 1, 2016.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	2716
TWENTY-EIGHTH LEGISLATURE, 2016
STATE OF HAWAII