Bill > HB1209

This bill addresses legal fees and practices for condominium associations in Hawaii by establishing several key provisions. The legislation requires that attorneys' fees for condominium associations be paid from the association's funds or reserves, with exceptions for collecting delinquent common dues payments. The bill limits legal fees to twenty-five percent of the original debt amount and mandates that attorneys primarily communicate only with the condominium board, except when directly requesting information from unit owners. Attorneys are prohibited from billing unit owners directly and must provide detailed billing statements that include specific information such as hourly rates, task descriptions, hours spent on each task, and total amounts. The bill also requires that when an association intends to foreclose on a unit, they must provide a notice of default that gives the unit owner thirty days to respond. The underlying purpose of these provisions is to protect unit owners from excessive legal fees, ensure transparency in legal billing, and establish clear guidelines for how condominium associations handle legal matters. By regulating attorney communications and fee structures, the bill aims to create more equitable and fair legal practices within condominium associations.

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https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=1209&year=2026