HRS §490:7-507
Warranties when you transfer a document of title
Read the official text at capitol.hawaii.gov ↗When someone sells or transfers a document of title for value, they make certain promises to the buyer. These promises cover the document's authenticity, the transferor's knowledge of problems, and the legality of the transfer. The promises only apply to the immediate buyer, not others.
businessesbuyers
The statute, as written — Warranties on negotiation or delivery of document of title
A copy, taken August 20, 2026. The version published by the Legislature is the one that governs, and it may have changed since. Check it before relying on anything here.
If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under section 490:7-508, unless otherwise agreed, the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that: (1) The document is genuine; (2) The transferor does not have knowledge of any fact that would impair the document's validity or worth; and (3) The negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.
Sections this one refers to
§490:7-508 What a bank promises when it handles shipping documents
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