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Bill

SB 2829

RELATING TO THE POWERS OF ARTIFICIAL PERSONS.

2026 Regular Session Introduced by Karl Rhoads

SB 2829 modifies Hawaii law governing corporate and organizational powers, potentially reshaping business entity operations and legal authorities statewide.

Reported from CPN (Stand. Com. Rep. No. 2650) with recommendation of passage on Second Reading, as amended (SD 1) and referral to JDC.
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Bill Summary · SB 2829

Legislative bill overview

SB 2829 modifies Hawaii's legal framework governing the powers and authorities of artificial persons—typically referring to corporations, non-profits, and other legally-created entities. The bill has passed first reading and is currently under committee review, with recent deferrals suggesting ongoing deliberation about its specific provisions.

Why is this important

This legislation directly affects how businesses, non-profits, and other organizations operate in Hawaii by potentially expanding, restricting, or clarifying what legal actions and decisions these entities can undertake. The changes could impact contract enforcement, liability protection, governance structures, and operational flexibility for thousands of Hawaii-based organizations.

Potential points of contention

  • Scope of entity powers: Whether the bill appropriately balances expanded corporate authority with public protection and accountability
  • Non-profit versus for-profit treatment: Whether artificial persons of different types receive differentiated treatment or uniform rules
  • Liability and accountability mechanisms: How individual stakeholders (shareholders, directors, members) remain responsible if entity powers are expanded

Compiled from official sources — confirm details with the bill’s official record.

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