Scope and application of chapter
HRS §412:1-102
in effect412:1-102. Scope and application of chapter
(a) This chapter shall be applicable to the following:
(1) All Hawaii financial institutions;
(2) Other persons, including foreign financial
institutions, who subject themselves to special provisions of this chapter, or
who, by violating any of its provisions, become subject to the penalties of
this chapter; and
(3) To the extent permitted by federal law, all
federal financial institutions transacting business in this State.
(b) A person shall not be deemed to be doing
business in this State simply because it participates in a mortgage loan
transaction with a Hawaii financial institution or a federal financial
institution whose operations are principally conducted in this State by
purchasing, acquiring, transferring, servicing, enforcing, or otherwise dealing
with mortgaged property located in this State, or by foreclosing upon, or
acquiring title to mortgaged property in case of a default under the mortgage,
securing the rents and profits therefrom, or disposing of the same.
(c) Loans made by a financial institution
pursuant to an agreement that a federal agency will guaranty the loan, or will
purchase the loan, shall be subject to this chapter only to the extent
consistent with federal law. No law of the State prescribing the nature,
amount, or form of security or requiring security upon which loans may be made,
or limiting the aggregate amount which is permitted to be invested in loans by
reason of type of investment, or prescribing or limiting interest rates upon
loans, or prescribing or limiting the period for which loans may be made shall
be deemed to apply to loans made pursuant to an agreement with a federal agency
that it will guaranty or purchase the loan.
[L 1993, c 350, pt of §1]
Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: https://www.capitol.hawaii.gov/hrscurrent/Vol08_Ch0401-0429/HRS0412/HRS_0412-0001-0102.htmFetched: 11/10/2026