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HRS §412:3-615

Time to sell assets that no longer fit the law

When a Hawaii financial institution changes through a merger or similar deal, it might end up with assets or business activities that are no longer allowed. The state banking commissioner must give the institution a reasonable amount of time to get rid of those nonconforming items as part of the approval order.

financial institutions

The statute, as written — Nonconforming assets or business

If a Hawaii financial institution resulting from a conversion, merger, consolidation, acquisition, or assumption by law may no longer own certain types of assets once it undergoes the conversion, merger, consolidation, acquisition, or assumption, or if it may no longer engage in certain types of business activities, the commissioner shall, as part of the order approving the transaction, allow a reasonable time within which the institution may divest itself of the nonconforming assets or business activities in order to conform with law.
Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.