480-14 Suits by the State; amount of recovery.

HI Rev Stat § 480-14 (2019) (N/A)
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§480-14 Suits by the State; amount of recovery. (a) Whenever the State or any of its political subdivisions or governmental agencies is injured, directly or indirectly, in its business or property by reason of anything forbidden or declared unlawful by this chapter, it may sue to recover threefold the actual damages sustained by it, whether directly or indirectly. The attorney general may bring an action on behalf of the State or any of its political subdivisions or governmental agencies to recover the damages provided for by this section, or by any comparable provisions of federal law.

(b) The attorney general of the State shall be authorized to bring a class action for indirect purchasers asserting claims under this chapter. The attorney general or the director of the office of consumer protection may bring a class action on behalf of consumers based on unfair or deceptive acts or practices declared unlawful by section 480-2. Actions brought under this subsection shall be brought as parens patriae on behalf of natural persons residing in the State to secure threefold damages for injuries sustained by the natural persons to their property by reason of any violation of this chapter.

(c) If judgment is in favor of the State or any of its political subdivisions or governmental agencies under any provision of this chapter, the attorney general or the director of the office of consumer protection shall be awarded reasonable attorney's fees together with the cost of suit; provided that in any class action lawsuit brought by the attorney general on behalf of indirect purchasers, the attorney general shall in addition be awarded an amount commensurate with expenses reasonably expected to be expended in distribution of damages to the indirect purchasers. [L 1961, c 190, §12; Supp, §205A-12; HRS §480-14; am L 1980, c 69, §2; am L 1981, c 22, §1; am L 1987, c 274, §5; am L 1988, c 60, §2 and c 141, §§52, 53; am L 2001, c 79, §2; am L 2002, c 229, §4; am L 2003, c 13, §1; am L 2008, c 19, §5; am L 2011, c 66, §1]

Case Notes

Defendants contended that under subsection (b), any action brought by the attorney general on behalf of consumers was perforce a class action; however, because the complaints unambiguously disclaimed class status, the actions could not be removed under the Class Action Fairness Act of 2005. 761 F.3d 1027 (2014).

District court rejected the attorney general's interpretation of subsection (b) as authorizing the attorney general to bring parens patriae suits regarding violations of §480-2 as either a class action or a non-class action. If the attorney general brings an action to recover damages on behalf of Hawaii consumers pursuant to subsection (b), the attorney general can only do so in a parens patriae class action. 907 F. Supp. 2d 1188 (2012).

The statement in subsection (b) that the attorney general "may bring a class action" is merely a recognition that the attorney general has the discretion, as opposed to a statutory obligation, to bring a parens patriae class action in response to violations of §480-2. 907 F. Supp. 2d 1188 (2012).