Chapter 449 — Chapter 449

§449-1 Definitions. As used in this chapter: "Acquisition of control" means acquisition by a person or persons acting in concert of the power to vote fifty-one per cent or more of any voting securities of a licensee. "Branch office" means any location, separate from the principal…

§449-1.9 Powers of commissioner. In addition to any other powers provided by law, the commissioner may:

§449-10 Suit on bond. The commissioner, or any person claiming to have sustained damage by reason of the failure of the escrow depository to comply with its bond, may bring an action on the bond to recover the damage therefrom. The commissioner may deposit with a court of compete…

upon all of its directors, officers, and employees who have access to money or negotiable securities or instruments in its possession or under its control. Notwithstanding the above provision, the escrow depository may carry bonds or deposit cash or securities above the amounts r…

§449-13 Cancellation of bonds or insurance; withdrawal of deposits. None of the bonds or insurance or deposits in lieu thereof required by this chapter shall be canceled or withdrawn as to future accruing liability except upon prior written notice to the commissioner: sixty days'…

§449-14 Fees. (a) The following fees shall be paid by licensed escrow depositories to the commissioner and, together with any administrative penalty or other charge assessed under this chapter, shall be deposited into the compliance resolution fund established pursuant to section…

§449-15 Audited statements. (a) Each escrow depository, at its own expense, shall submit to the commissioner within ninety days after the close of its fiscal year its annual financial statements accompanied by a report of an independent certified public accountant who has prepare…

§449-16 Accounting for moneys, property, etc. (a) Every licensee under this chapter shall have the responsibility of a trustee for all moneys, other consideration, or instruments received by it. No licensee shall mingle any such moneys or other property with its own moneys or oth…

§449-16.5 Earnings on funds. In all escrow agreements involving the purchase of real property or appurtenances thereon and in which an escrow depository acts as a fiduciary party holding the funds in escrow, any earnings on such funds during the holding thereof shall accrue to th…

§449-17 Revocation and suspension of licenses. The commissioner may revoke any license issued hereunder, or suspend the right of the licensee to use the license, for any of the following causes: No license shall be suspended for longer than five years and no corporation whose lic…

§449-18 REPEALED. L 1992, c 205, §15.

§449-2 Rules. Subject to chapter 91, the commissioner may adopt such rules as the commissioner deems necessary for the effective administration and enforcement of this chapter. [L 1967, c 144, pt of §1; HRS §449-2; am L 1985, c 269, §50; gen ch 1985; am L 1992, c 205, §3]

§449-24 Termination of escrow depository operations. (a) A solvent escrow depository whose capital is not impaired and that has not received a notice of charges and proposed suspension or revocation order pursuant to section 449-17 may cease its business and surrender its license…

§449-3 Excepted from this chapter. This chapter does not apply to any of the following when acting as escrow depositories:

§449-4 Administrative penalty. (a) Any person who violates any of the provisions of this chapter, shall be subject to an administrative fine of a maximum of $5,000 for each violation. The commissioner may impose an administrative fine on a licensee or person subject to this chapt…

§449-5 License required to act as escrow depository. (a) No person shall act as an escrow depository in this State unless it is a corporation licensed to do so by the commissioner. No person subject to the provisions of this chapter not licensed or exempted under this chapter sha…

§449-5.5 Net capital. The net capital of any corporation engaging in the escrow depository business under this chapter shall not be less than $100,000. The amount of the minimum net capital of $100,000 shall be maintained at all times by the licensee. [L 1973, c 174, §§1, 2; am L…

§449-7 Investigation and ruling. The commissioner shall make an investigation into the information furnished by the applicant and may require the applicant to furnish additional information. If the commissioner is satisfied, with or without a hearing upon the application, that th…

§449-7.5 Licensing requirements. (a) Every corporation desiring to be licensed as an escrow depository shall be incorporated in this State and have and maintain a principal place of business in the State for the transaction of its escrow depository business. (b) A license issued …

§449-8.6 Sale or transfer of license or change in control. (a) No escrow depository license shall be transferred except as provided in this section. (b) A bona fide sale of all or substantially all of the ongoing operations of a licensee shall not result in the assignment or tran…

§449-9 Escrow depository's bond. Before an escrow depository's license becomes effective, the escrow depository shall give a bond to the commissioner in the penal sum of not less than $100,000 executed by a surety insurer authorized in this State, conditioned: The aggregate liabi…