SB1388

SECTION 1. Section 521-68, Hawaii Revised Statutes, is amended to read as follows:

"§521-68 Landlord's remedies for failure by tenant to pay rent. (a) A landlord or the landlord's agent may, any time after rent is due, demand payment thereof and notify the tenant in writing that unless payment is made within a time mentioned in the notice[,] as provided in subsection (b), not less than [~~five business~~] fifteen calendar days after receipt thereof, the rental agreement will be terminated. If the tenant cannot be served with notice as required, notice may be given the tenant by posting the same in a conspicuous place on the dwelling unit[.] and the notice will be deemed received on the date of posting. If the tenant remains in default, the landlord may thereafter bring a summary proceeding for possession of the dwelling unit or any other proper proceeding, action, or suit for possession[.], subject to subsections (b) through (h). The notice required in this section need not be given if the action is based on the breach of a mediated agreement or other settlement agreement.

(b) The fifteen-calendar day notice shall provide the following:

(1) The name of the landlord or the landlord's agent and the landlord or landlord's agent's contact information, including, if possible, phone number, electronic mail address, and mailing address;

(2) The name and contact information of each tenant, including, if possible, phone number, electronic mail address, and mailing address;

(3) The monthly rental rate on the dwelling unit;

(4) The current amount of the rent due as of the date of the notice, including all rent paid from all sources;

(5) Whether the landlord or landlord's agent has applied for rental assistance or been contacted on behalf of the tenant by any agency providing rental assistance;

(6) That any rental assistance received by the landlord or landlord's agent has been credited to the tenant's account;

(7) That a copy of the fifteen-calendar day notice shall be provided to the appropriate mediation center in accordance with subsection (d) in order for the mediation center to contact the landlord and tenant to attempt to schedule a mediation;

(8) That the mediation center will provide proof to the landlord that the notice was received and confirmation when mediation is scheduled;

(9) That the landlord or landlord's agent may file an action for summary possession if the rent due is not paid or if mediation is not scheduled within fifteen calendar days, regardless of whether the scheduled mediation session occurs within the fifteen calendar days, after receipt of the fifteen-calendar day notice;

(10) A warning in bold typeface print that:

(A) If mediation is not scheduled within fifteen calendar days after receipt of the notice, regardless of whether the scheduled mediation session occurs within the fifteen calendar days, then the landlord may file an action for summary possession after the expiration of the fifteen-calendar day period;

(B) If mediation is scheduled before the expiration of the fifteen-calendar day period, regardless of whether the scheduled mediation session occurs within the fifteen calendar days, then the landlord cannot file an action for summary possession until thirty calendar days after receipt of the fifteen-calendar day notice; and

(C) If the fifteen-calendar day notice is mailed, receipt of notice shall be deemed to be two days after the date of the postmark;

(11) Notice that the eviction may be subject to additional requirements and protections under state or federal law and that the tenant should seek the tenant's own legal advice; and

(12) That the landlord or landlord's agent must engage in mediation if mediation is scheduled.

If the fifteen-calendar day notice is mailed, receipt of the notice shall be deemed to be two days after the date of the postmark.

"I, ____________________, am the landlord or landlord's agent for the property at ____________________ and the contact information of the landlord or landlord's agent is: ____________________.

The tenant(s) are: ____________________ and the contact information of the tenant(s) is: ____________________.

Under the terms of the lease for the property, you are obligated to pay rent of $____________________ per ____________________.

The current amount of rent due as of the date of this notice is $____________________.

I applied to, or was notified that you applied to, ____________________ (names of programs or agencies) for rental assistance with respect to rent. Any rental assistance received has already been included in calculating the amount stated in the preceding sentence.

As required under Hawaii Revised Statutes section 521-68, this notice is also being sent to ____________________ (appropriate mediation center) and they will contact you to schedule mediation regarding the nonpayment of rent. You may also contact this mediation center to schedule mediation and the contact information of the mediation center is: ____________________.

IF MEDIATION IS NOT SCHEDULED WITHIN FIFTEEN (15) CALENDAR DAYS AFTER RECEIPT OF THIS NOTICE, REGARDLESS OF WHETHER THE SCHEDULED MEDIATION SESSION OCCURS WITHIN THE FIFTEEN (15) CALENDAR DAYS, THEN THE LANDLORD MAY FILE AN ACTION FOR SUMMARY POSSESSION AFTER THE EXPIRATION OF THE FIFTEEN (15) CALENDAR DAY PERIOD. BUT IF YOU DO SCHEDULE MEDIATION BEFORE THE EXPIRATION OF THE FIFTEEN (15) CALENDAR DAY PERIOD, REGARDLESS OF WHETHER THE SCHEDULED MEDIATION SESSION OCCURS WITHIN THE FIFTEEN (15) CALENDAR DAYS, THEN THE LANDLORD MAY NOT FILE AN ACTION FOR SUMMARY POSSESSION UNTIL THE EXPIRATION OF THIRTY (30) CALENDAR DAYS AFTER RECEIPT OF THIS NOTICE. IF THIS FIFTEEN (15) CALENDAR DAY NOTICE IS MAILED, THE RECEIPT OF THE NOTICE IS DEEMED TO HAVE OCCURRED TWO DAYS AFTER THE DATE OF THE POSTMARK. IF THIS NOTICE WAS POSTED ON YOUR PREMISES, RECEIPT IS DEEMED TO HAVE OCCURRED ON THE DATE OF POSTING.

If we reach an agreement before the filing of an action for summary possession, whether through mediation or otherwise, then I will not bring an action for summary possession against you, except as provided in any agreement we may reach. I will be required to note the status of our mediation or settlement effort and proof of my sending this notice to the mediation center in the action for summary possession.

PLEASE BE AWARE THAT WE MAY BOTH BE SUBJECT TO ADDITIONAL STATE OR FEDERAL REQUIREMENTS OR PROGRAMS REGARDING EVICTION AT THE TIME OF THIS NOTICE. YOU ARE ENCOURAGED TO SEEK YOUR OWN LEGAL ADVICE AS TO YOUR RIGHTS AND RESPONSIBILITIES.

As landlord, I must engage in mediation with you, if you choose to schedule mediation.

(Date of notice and signature)"

(d) Landlords or their agents shall provide the fifteen-calendar day notice to mediation centers that offer free mediation for residential landlord-tenant matters. The mediation center shall contact the landlord or landlord's agent and the tenant to schedule the mediation. If a tenant schedules mediation within the fifteen-calendar day period, regardless of whether the scheduled mediation session occurs within the fifteen days, the landlord shall not file a summary proceeding for possession until the expiration of thirty days from the date of receipt of the notice. If the tenant schedules mediation, the landlord shall participate.

(e) The summary possession complaint for nonpayment of rent shall include:

(1) A copy from the mediation center that shows proof that the landlord provided a copy of the fifteen-calendar day notice to the mediation center;

(2) A representation as to whether the landlord of landlord's agent and tenant participated in, or will participate in, any mediation scheduled; and

(3) If mediation is pending, the date on which the mediation is scheduled.

(f) If the mediation has not occurred or been scheduled for a future date, as of the return hearing date on the summary possession complaint, the court may, in its discretion, based on a finding of good cause, order a separate mediation.

(g) No landlord may issue a notice demanding payment of rent or bring a summary proceeding for possession, an action for rent alone, or any other proceeding, action, or suit for a tenant's failure to pay rent except pursuant to this section and as follows:

(1) Beginning on May 1, 2021, through June 30, 2021, the rent due is equal to or greater than four months' rent;

(2) Beginning on July 1, 2021, through August 31, 2021, the rent due is equal to or greater than three months' rent;

(3) Beginning on September 1, 2021, through October 31, 2021, the rent due is equal to or greater than two months' rent; and

(4) Beginning on November 1, 2021, through May 31, 2022, the rent due is equal to or greater than one month rent.

[~~(b)~~] (h) A landlord or the landlord's agent may bring an action for rent alone at any time after the landlord has demanded payment of past due rent and notified the tenant of the landlord's intention to bring such an action."

SECTION 2. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date; provided that any contract in effect prior to the effective date of this Act that is subsequently renewed or extended on or after the effective date of this Act shall comply with the requirements of this Act.

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

SECTION 4. This Act shall take effect on May 1, 2021; provided that on June 1, 2022, this Act shall be repealed and section 521-68, Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day prior to the effective date of this Act.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	1388
THIRTY-FIRST LEGISLATURE, 2021
STATE OF HAWAII