Bill > SB1265

This bill establishes an Ombudsman's Office for Condominium Associations within the Department of Commerce and Consumer Affairs to address systemic problems in condominium governance. The ombudsman will serve as a neutral resource for unit owners, board members, and associations to resolve disputes, investigate complaints, and ensure compliance with existing laws and association governing documents. The office will be staffed by legal professionals with extensive experience in real estate and dispute resolution, and will have the power to investigate complaints, issue advisory opinions, levy fines, and even remove board members who commit misconduct. The ombudsman will be funded by the existing Condominium Education Trust Fund, with no impact on the state's general fund. Key provisions include mandatory participation in dispute resolution, protection for unit owners from retaliation, limits on legal fees charged to owners, and requirements for associations to provide transparent documentation. The bill aims to provide a more accessible and cost-effective alternative to court litigation for resolving condominium-related disputes, with the ultimate goal of preventing abuse of power and promoting fair governance in condominium associations.

Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=1265&year=2026