§412:1-103 Application to existing financial institutions. (a) The provisions of this chapter shall apply to all financial institutions existing on July 1, 1993, except as provided in this section.

(b) The existence, charters, licenses, and certificates of authority of Hawaii financial institutions or foreign financial institutions formed or existing on July 1, 1993, are not affected by the enactment of this chapter nor by any change made thereby in the requirements for the formation of Hawaii financial institutions or chartering, licensing or certification of Hawaii financial institutions or foreign financial institutions, nor by the amendment or repeal thereby of the laws under which they were formed, created, chartered, licensed or certified.

(c) Except to the extent specifically provided in this chapter, the power and authority of financial institutions existing on July 1, 1993, shall not be limited or restricted in any way by the enactment of this chapter nor by the amendment or repeal of the laws under which they were formed or created, or which granted such power and authority. Except to the extent specifically provided otherwise in this chapter, no federal powers granted to Hawaii financial institutions prior to July 1, 1993, under Act 258, Session Laws of Hawaii 1969, as amended, Act 179, Session Laws of Hawaii 1969, as amended, and Act 125, Session Laws of Hawaii 1977, as amended, shall be limited or restricted in any way by the enactment of this chapter.

(d) Except as otherwise provided in this section, any Hawaii financial institution which on July 1, 1993, is not in compliance with any of the provisions of section 412:3-104, 412:3-106, 412:3-209, 412:3-500, or 412:4-104 shall within one-hundred-eighty days after July 1, 1993, inform the commissioner in writing as to the extent and nature of its noncompliance and shall simultaneously file with the commissioner a plan for achieving full compliance with such provisions. The commissioner shall thereafter review and consider the circumstances of the Hawaii financial institution and shall by order establish a date by which the institution shall fully comply, which shall not in any event be later than the third anniversary of July 1, 1993, unless otherwise provided herein or by federal law, or unless extended by the commissioner.

(e) A financial services loan company licensed in this State and actively engaged in business in this State on July 1, 1993, shall have the minimum capital and surplus required for the institution under existing law of this State immediately prior to July 1, 1993, rather than the minimum capital and surplus required under this chapter. Upon a sale or transfer to a third party of a controlling interest in the financial services loan company, other than by devise or descent, the institution shall comply with the minimum capital and surplus requirements of this chapter.

(f) Neither the enactment of this chapter nor the amendment of this chapter nor the amendment or repeal of the laws under which financial institutions existing on July 1, 1993, were formed or created shall void, render voidable, abrogate, terminate or amend any contract, agreement, lease, loan, commitment, indenture, restrictive covenant, participation agreement, trust, designation, appointment, agency, investment, certificate or other instrument of any description to which an existing financial institution is a party or by which it is bound, or under which it holds any rights or benefits, which were in effect immediately before July 1, 1993. L 1993, c 350, pt of §1; am L 1996, c 63, §1

Revision Note

"July 1, 1993," substituted for "the effective date of this chapter".