Non-Judicial Foreclosure Auctions Prohibited on Court Property

In accordance with Act 48 (SLH 2011), which became effective May 5, 2011, the Hawaii Supreme Court today issued temporary rules establishing a process by which an owner-occupant of a residential property subject to a non-judicial foreclosure may convert the action into a judicial foreclosure. The Temporary Rules, a Certified Conversion Petition form, a Submission Statement (a form by which co-owners and co-signers may agree to submit the case to the courts), and form Judgments are available on the Judiciary’s website.

Because Act 48 became effective May 5, the rules are effective as of that date.  Anyone, however, may propose amendments to the temporary rules by sending an email to pao@courts.state.hi.us or writing to the Judiciary’s Communications and Community Relations office at 417 South King Street, Room 212, Honolulu, HI 96813.

Act 48 also specifies that public auctions of real property resulting from non-judicial foreclosures cannot take place on court property. According to the law and effective immediately, non-judicial foreclosure auctions may no longer be held on judiciary grounds and are to be held at state buildings designated by the Department of Accounting and General Services. Judicial foreclosure auctions may continue to be held on court grounds.