HI HR154

Requests the Hawaii Department of Commerce and Consumer Affairs to study barriers timeshare owners face when trying to exit or transfer their timeshare interests, including ongoing maintenance fees and indefinite contractual obligations.

Study must examine consumer complaints, problematic contractual provisions, and business practices of third-party timeshare exit companies, including their fee structures and success rates.

Addresses concerns about predatory third-party exit companies that charge substantial upfront fees but frequently fail to terminate ownership interests, with the Federal Trade Commission and state attorneys general having taken enforcement actions against such companies.

Requires review of existing Hawaii consumer protections, potential regulatory gaps, and best practices from other states including licensing and bonding standards for exit service providers.

Report with findings, recommendations, and proposed legislation must be submitted to the Legislature no later than twenty days prior to the Regular Session of 2027.