HRS §420D-7

Benefit director

A sustainable business corporation must have one director called the benefit director, who has the same powers as other directors plus special duties. The benefit director must be independent, write a statement for the annual benefit report about whether the company met its public benefit goals, and respond to public comments.

businesses

The statute, as written — Benefit director

(a) The board of directors of a sustainable business corporation shall include one director who shall be designated the "benefit director" and who shall have, in addition to all of the powers, duties, rights, and immunities of the other directors of the sustainable business corporation, the powers, duties, rights, and immunities provided in this section. (b) The benefit director shall be elected pursuant to sections 414-193 and 414-194 and may be removed in the manner provided by sections 414-198 and 414-199. The benefit director may serve concurrently as the benefit officer. The articles or bylaws of a sustainable business corporation may prescribe additional qualifications of the benefit director; provided that the qualifications are consistent with this subsection. (c) The benefit director shall prepare, and the sustainable business corporation shall include in the annual benefit report to shareholders required by section 420D-11, a statement whether, in the opinion of the benefit director, the sustainable business corporation acted in accordance with its general, and any specific, public benefit purpose in all material respects during the period covered by the report and whether the directors and officers complied with sections 420D-6(a) and 420D-8(a), respectively. If in the opinion of the benefit director the sustainable business corporation or its directors or officers failed to act according to the requirements of this chapter, then the statement of the benefit director shall include a description of the ways in which the sustainable business corporation or its directors or officers failed to act according to the requirements of this chapter. The benefit director's statement included in the final draft of the benefit report shall include formal responses to all questions, concerns, comments, and suggestions raised through the public comment period required by section 420D-11. (d) A benefit director shall be independent of and shall have no material relationship with the sustainable business corporation.

Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

Sections this one refers to

§414-193 How many directors a company must have and how that number can change

§414-198 When and how shareholders can remove directors

§420D-11 Annual benefit report requirements for sustainable business corporations

§420D-6 Directors' duties in a sustainable business corporation

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