STAND. COM. REP. NO. 674-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 2614

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 2614 entitled:

"A BILL FOR AN ACT RELATING TO DECEPTIVE PRACTICES,"

begs leave to report as follows:

The purpose of this measure is to bolster consumer protections with respect to cosmetic sales by:

(1) Requiring merchants that sell cosmetics to accept returns of new or unopened goods within specified timeframes;

(2) Clarifying the definition of "conspicuous sign"; and

(3) Requiring a merchant that sells cosmetics and receives three or more warning letters from the Office of Consumer Protection for failing to post a conspicuous sign to post return and refund policy signs.

Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Protection.

Your Committee finds that some cosmetics merchants engage in predatory practices by using aggressive sales techniques to pressure consumers into purchasing cosmetics while failing to prominently inform those consumers that all sales are final. This is in spite of existing consumer protection laws, which require merchants to post a conspicuous sign informing purchasers of any return or refund limitations. This measure provides additional protections for consumers by requiring cosmetics merchants to accept the return of new or unopened cosmetics within sixty days and imposing additional signage requirements upon merchants that are habitually failing to post conspicuous signs.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 3000, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2614, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2614, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

SCOT Z. MATAYOSHI, Chair