Report Title:

Interest on judgments

Description:

Reduces the interest on judgments recovered in civil suits from the current 10% a year to a financial market rate, based upon the yield for treasury bonds with a one-year maturity.

HOUSE OF REPRESENTATIVES

H.B. NO.

577

TWENTY-THIRD LEGISLATURE, 2005

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO INTEREST ON JUDGMENTS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 478-3, Hawaii Revised Statutes, is amended to read as follows:

"§478-3 On judgment. Interest [at the rate of ten per cent a year, and no more, shall be allowed on any judgment recovered before any court in the State, in any civil suit.] shall be allowed on any money judgment in a civil case in any circuit court or state district court. Such interest shall be calculated from the date of the entry of the judgment, at a rate equal to the weekly average one-year constant maturity treasury yield, as published by the Board of Governors of the Federal Reserve System, for the calendar week preceding the date of judgment. The chief justice shall distribute notice of that rate and any changes to all circuit court and state district court judges."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

BY REQUEST