[§261E-10]  Transfer of certificates of
public convenience and necessity; carrier property; control of carriers. 
(a)  No Hawaii air carrier shall sell, lease, assign, mortgage, or otherwise
dispose of, or encumber any certificate, in whole or in part, or any of its
property necessary or useful in the performance of transportation services for
the public; nor shall any Hawaii air carrier, by any means, directly or
indirectly, merge or consolidate its property, certificates, or any part
thereof, with any other carrier, without in each case first having secured from
the air carrier commission an order authorizing it to do so, and every such
sale, lease, assignment, mortgage, disposition, encumbrance, merger, or
consolidation, made other than in accordance with an order of the commission
authorizing the same, shall be void and of no effect.



(b)  No Hawaii air carrier shall purchase or
acquire, take, or hold any part of the capital stock of any other common
carrier without having been first authorized to do so by the commission.  Every
assignment or transfer of any stock by or through any person to any person, or
otherwise, in violation of this section shall be void and of no effect, and no
such transfer shall be made on the books of any air carrier.  Nothing in this
subsection shall prevent the holding of stock lawfully acquired prior to the
effective date of this chapter.



(c)  No person shall acquire control of any
Hawaii air carrier without first receiving the approval of the commission.



(d)  Whenever a transaction is proposed under
subsection (a), (b), or (c), the Hawaii air carrier or carriers, or person or
persons, seeking approval shall present an application to the commission in the
form prescribed by the commission.  The commission may act upon the application
with or without first holding a public hearing; provided that, if requested,
the commission shall afford reasonable opportunity for interested parties to be
heard.  If the commission finds, subject to the terms and conditions that it
determines to be just and reasonable, that the proposed transaction will be
consistent with the public interest, the commission shall enter an order
approving and authorizing the transaction, upon the terms and conditions and
with the modifications found to be just and reasonable.  The proponent of the
transaction within the scope of subsection (a), (b), or (c) shall have the
burden of proof to establish that the transaction is consistent with the public
interest.



(e)  Pending the determination of an
application filed with the commission for approval of a consolidation or merger
of the properties of two or more Hawaii air carriers, or of a purchase, lease,
charter, or contract to operate the properties of one or more Hawaii air
carriers, or of an acquisition of control of a Hawaii air carrier, the
commission, in its discretion and without hearings or other proceedings, may
grant temporary approval for a period not exceeding one hundred twenty days, or
for an additional period as the determination of an application may require, of
the operation of the Hawaii air carrier properties sought to be acquired by the
persons proposing in the pending application to acquire the properties, if it
appears that failure to grant this temporary approval may result in destruction
of or injury to the Hawaii air carrier properties sought to be acquired or
substantial interference with their future usefulness in the performance of
adequate and continuous service to the public.



(f)  This section shall apply to any
transaction entered into or proposed to be entered into by a related company
that is determined by the commission to have potential impact upon the related
Hawaii air carrier or its operations.  A related company shall notify the
commission of any such transaction at least sixty days prior to its
consummation. [L Sp 2008, c 1, pt of §2]



 



Note



 



  For effective date of chapter, referenced in subsection (b),
see note at beginning of chapter.