Adds more penalties against pawnbrokers for failure to comply
with their licensing laws.  Defines "suitable person".  Allows
customer to make the choice of remedy where pawnbroker is liable.

a                                                     r-14b (99)
THE SENATE                              S.B. NO.           1396
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  Section 445-131, Hawaii Revised Statutes, is
 2 amended by adding a new definition to be appropriately inserted
 3 and to read as follows:
 4      ""Suitable persons" means anyone who has not been convicted
 5 of a drug related offense for a period of ten years prior to the
 6 date of application for a license or has never been convicted of
 7 a felony for any offense."
 8      SECTION 2.  Section 445-134.16, Hawaii Revised Statutes, is
 9 amended to read as follows:
10      "[[]445-134.16[]]  Pawnbroker liability.  Where the
11 pawnbroker has exercised reasonable care in holding pledged
12 goods, a pawnbroker's liability shall be limited to twice the
13 original pawn amount or replacement in kind, at the
14 [pawnbroker's] customer's option, where the pledged goods have
15 become lost, damaged, or stolen."
16      SECTION 3.  Section 445-136, Hawaii Revised Statutes, is
17 amended to read as follows:
18      "445-136  Breach of condition; penalty.  [Every licensed
19 pawnbroker who fails to comply with any of the provisions of this

a                                                     r-14b (99)
Page 2                                                     
                                     S.B. NO.           

 1 part shall be fined not more than $2,500 for each violation and
 2 shall forfeit the pawnbroker's license.] (a)  Every licensed
 3 pawnbroker, or dealer, agent, employee, or representative of a
 4 licensed pawnbroker who fails to comply with any of the
 5 provisions of this part shall:
 6      (1)  Be fined not more than $2,500 for each violation;
 7      (2)  Forfeit the pawnbroker's license after two or more
 8           convictions for any violation of this section; and
 9      (3)  Be permanently prohibited from engaging in the business
10           of buying or selling of precious or semiprecious
11           metals, or precious or semiprecious gems, or any
12           article.
13      (b)  Violation of this section is a misdemeanor."
14      SECTION 4.  This Act does not affect rights and duties that
15 matured, penalties that were incurred, and proceedings that were
16 begun, before its effective date.
17      SECTION 5.  Statutory material to be repealed is bracketed.
18 New statutory material is underscored.
19      SECTION 6.  This Act shall take effect upon its approval.
21                           INTRODUCED BY:  _______________________

a                                                     r-14b (99)