HI Timeshare Law Modernized

2013-10-11

Issue Brief

S.B. 913 modernizes the state’s timeshare marketing practices. The bill makes two changes to the current timeshare statute governing marketing practices. First, it eliminates the requirement that a timeshare pricelist be filed with the Department of Commerce and Consumer Affairs. Hawaii is one of only two U.S. states that require this cumbersome filing. The pricelist must be constantly updated to reflect market changes and changing unit prices due to negotiations with prospective buyers. Second, the bill clarifies that promotional items given as an incentive for a potential purchaser to attend a sales presentation may be given at the completion of the sales presentation.  

Impact

These changes should help to increase operational efficiencies for timeshare developers and bring the timeshare statute in line with current sales and marketing practice. In addition, and most importantly, these changes will not decrease the level of consumer protection that is currently provided for in 514E.

Resolution

S.B. 913 was signed into Hawaii law on April 24, 2013