STAND. COM. REP. NO. 773

Honolulu, Hawaii

RE: S.B. No. 1342

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred S.B. No. 1342 entitled:

"A BILL FOR AN ACT RELATING TO THE PROBATE CODE,"

begs leave to report as follows:

The purpose and intent of this measure is to establish restrictions on donative transfers to protect transferors from coercive, exploitative, or otherwise improper transfers benefitting persons involved with drafting the transfer instrument or persons who have significant influence over the transferor.

Your Committee did not receive any testimony on this measure.

Your Committee finds that a donative transfer is the means by which an individual may transfer a gift of property to another and includes wills, trusts, and other legal documents. Your Committee further finds that donative transfers to others with whom the drafter of the transferring instrument is in a special relationship, due to blood, marriage, business, or a legal relationship, run the risk of the donative transfer being subject to undue influence. This measure enacts safeguards to ensure that a donative transfer represents the intention of the transferor and is not compromised by an act of the transferee.

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. 1342 and recommends that it pass Second Reading and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Judiciary,

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KARL RHOADS, Chair