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Maunalua Bay Beach Ohana 28 v. State. ICA Opinion, filed 03/18/2024 [ada], 154 Haw. 144. Application for Writ of Certiorari, filed 06/14/2024. S.Ct Order Accepting Application for Writ of Certiorari, filed 08/12/2024 [ada]. ICA Order of Correction, filed 11/04/2024 [ada].

2025-09-17

Summary

Holding. The Supreme Court affirmed the circuit court and intermediate appellate court decisions, determining that the circuit court properly awarded zero dollars in just compensation based on substantial evidence and did not err in declining to award nominal damages. Additionally, the court held that the Hawaii Constitution's takings clause does not waive sovereign immunity to permit recovery of attorneys' fees against the state in inverse condemnation cases.

This case involves whether Hawaii's Constitution waived sovereign immunity to allow the state to be sued for attorneys' fees in an inverse condemnation action. Three nonprofit corporations representing oceanfront homeowners purchased narrow strips of beach land and subsequently challenged a 2003 state law that classified accreted (naturally accumulated) land along the beach as public property. The nonprofits sued to recover compensation for the temporary taking of approximately 1.6 acres of accreted land that occurred between 2003 and 2012. The circuit court awarded zero dollars in just compensation based on expert testimony that the land had no rental value due to geographic limitations, conservation regulations, and restrictive covenants that confined use to public beach access and recreational activities. The nonprofits appealed, contending they deserved at least nominal damages and attorneys' fees under the private attorney general doctrine. The Supreme Court rejected both arguments, finding that fair market rental value of zero dollars supported the compensation award and that Hawaii's constitutional takings clause does not waive sovereign immunity for attorneys' fees.

Summary generated by law.co from the public-domain opinion. The opinion text itself is public domain.

Key issues

  • Whether fair market rental value of zero dollars constitutes adequate just compensation for a taking of beachfront property
  • Whether nominal damages may be awarded when just compensation equals zero dollars
  • Whether Hawaii's takings clause waives sovereign immunity for attorneys' fees in inverse condemnation actions

Procedural posture

This case came before the Hawaii Supreme Court on certiorari review from the Intermediate Court of Appeals, following a remand for determination of just compensation owed to the nonprofits for a temporary taking of accreted land that occurred from May 2003 to April 2012.

Authorities cited

Opinion

majority opinion

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Electronically Filed

Supreme Court

SCWC-XX-XXXXXXX

17-SEP-2025

12:49 PM

Dkt. 36 OPA

IN THE SUPREME COURT OF THE STATE OF HAWAI‘I

---o0o---MAUNALUA BAY BEACH OHANA 28, a Hawai‘i Non-Profit Corporation; MAUNALUA BAY BEACH OHANA 29, a Hawai‘i Non-Profit Corporation;

and MAUNALUA BAY BEACH OHANA 38, a Hawai‘i Non-Profit

Corporation, individually and on behalf of all others similarly

situated,

Petitioners/Plaintiffs-Appellants/Cross-Appellees,

vs.

STATE OF HAWAI‘I,

Respondent/Defendant-Appellee/Cross-Appellant.

SCWC-XX-XXXXXXX

CERTIORARI TO THE INTERMEDIATE COURT OF APPEALS

(CAAP-XX-XXXXXXX; CASE NO. 1CC051000904)

SEPTEMBER 17, 2025

RECKTENWALD, C.J., McKENNA, EDDINS, AND DEVENS, JJ.,

AND CIRCUIT JUDGE KIMURA IN PLACE OF GINOZA, J., RECUSED

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OPINION OF THE COURT BY RECKTENWALD, C.J.

I. INTRODUCTION

This case involves the temporary taking of accreted

beachfront land located in the Portlock neighborhood of East

Honolulu, Oʻahu. The Petitioners, Maunalua Bay Beach Ohana 28,

Maunalua Bay Beach Ohana 29, and Maunalua Bay Beach Ohana 38

(collectively “the Ohanas”), are three non-profit corporations,

organized by littoral homeowners, to purchase and own narrow

strips of land (beach reserve lots) that separate their

properties from the publicly owned beach. The Ohanas prevailed

before the Circuit Court of the First Circuit (circuit court)

and the Intermediate Court of Appeals (ICA) in the underlying

suit, establishing that Act 73, a state law that declared

certain accreted lands to be public lands, effectuated an

uncompensated taking in violation of article I, section 20 of

the Hawaiʻi Constitution.

On remand, the sole issue before the circuit court was

the amount of just compensation owed to the Ohanas for the

temporary taking of their property pursuant to the statute.

Following a jury waived trial, the circuit court determined that

the Petitioners were not entitled to any compensation for the

temporary taking, given that the land accreted to the beach

reserve lots had no fair market rental value. The Petitioners

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challenge the circuit court’s award of zero dollars in just

compensation and its failure to award nominal damages. We

conclude that the circuit court did not err when it (1)

determined that, for purposes of just compensation, the fair

market rental value of the accreted land was zero dollars, and

(2) declined to award nominal damages.

The Ohanas also challenge the circuit court’s denial

of their motion for attorneys’ fees under the private attorney

general doctrine. Whether article I, section 20 of the Hawaiʻi

Constitution waives sovereign immunity in inverse condemnation

cases is a question of first impression before this court. 1

Because our just compensation clause does not contemplate

attorneys’ fees, we hold that an award of attorneys’ fees

against the State is barred by sovereign immunity. In so doing,

we join the unanimous position of other states that have

considered the issue.

Accordingly, we affirm the circuit court and the ICA.

II. BACKGROUND

In 2003, the Legislature passed and the governor

signed into law Act 73, which expanded the definition of public

1 “Inverse condemnation” involves “[a]n action brought by a property owner for compensation from a governmental entity that has taken the owner’s property without bringing formal condemnation proceedings.” Condemnation, Black’s Law Dictionary (12th ed. 2024).

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lands to include “accreted lands not otherwise awarded.” 2 2003

Haw. Sess. Laws Act 73, at 128-30 (amending Hawaiʻi Revised

Statutes (HRS) §§ 171-1, -2, 501-33, and 669-1 (eff. May 20,

2003)). Act 73 prevented anyone other than the State from

registering or quieting title to accreted lands, except where

that accretion restored eroded lands. Id.

On May 6, 2005, the Ohanas purchased three beach

reserve lots from the Estate of Bernice Pauahi Bishop dba

Kamehameha Schools for $1,000 per lot. 3 Each of these Ohanas was

formed as a non-profit corporation by its members, the littoral

homeowners, “for the specific and sole purpose of owning one of

the beach reserve lots,” which are narrow strips of beach that

front the littoral homeowners’ lots and separate the homeowners’

lots from the ocean. As the ICA explained in Maunalua Bay Beach

Ohana 28 v. State (Maunalua Bay I), 122 Hawaiʻi 34, 35 n.1, 222

P.3d 441, 442 n.1 (App. 2009):

The oceanfront lots underlying the Portlock homes were

originally owned and developed in leasehold by the Trustees

of the Estate of Bernice Pauahi Bishop (Bishop Estate).

The lease for each oceanfront lot described the lot by

specific metes and bounds. The leases did not include a

2 Section 1 of Act 73 amended HRS § 171-1, defining accreted lands as “lands formed by the gradual accumulation of land on a beach or shore along the ocean by the action of natural forces.”

3 The record reflects that the land was originally awarded to Crown Princess and Kuhina Nui Victoria Kamāmalu as Land Commission Award 7713, Apana, and that it subsequently passed to Bernice Pauahi Bishop and, eventually, her estate.

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narrow strip of land between the lot and the ocean, which

Bishop Estate reserved for itself (beach-reserve lot). In

the late 1980’s or early 1990’s, Bishop Estate sold its fee

interest in the oceanfront lots to the Portlock homeowners

but reserved its fee interest in the beach-reserve lots.

On May 6, 2005, Bishop Estate sold to [Ohanas] the beachreserve lots that adjoined the lots of [Ohanas]’s

respective homeowner members. Pursuant to the deeds for

the beach reserve lots, Bishop Estate reserved access and

utility easements for itself, together with the right to

grant easements over the lots to government agencies and

public utilities; Plaintiffs agreed to continue to allow

the public to use the beach-reserve lots “for access,

customary beach activities and related recreational and

community purposes”; and Plaintiffs accepted numerous

restrictive covenants that ran with the lots.

On May 19, 2005, less than two weeks after the

purchase and one day before the statute of limitations expired, 4

the Ohanas brought an inverse condemnation action in the circuit

court, alleging that Act 73 effected an uncompensated and

therefore unconstitutional taking of land accreted to the beach

reserve lots (“makai land”) 5 and seeking declaratory and

injunctive relief and money damages. Id. at 51-52, 222 P.3d at

458-59.

The makai land did not accrete to the homeowners’ lots

directly, but rather to the beach reserve lots, which are owned

4 HRS § 661-5 (1993), “Limitations on action,” provided in relevant part, “Every claim against the State, cognizable under this chapter, shall be forever barred unless the action is commenced within two years after the claim first accrues[.]”

5 The beach reserve lots are a strip of sandy beach between the littoral homeowners’ properties and the water. As of May 19, 2003, sand accreted to the makai, or seaward, side of the beach reserve lots, extending the beach toward the ocean. Here, the “makai land” refers to the accreted land seaward of the beach reserve lots.

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by the Ohanas and not the littoral homeowners individually. As

of May 19, 2003, the area of the three beach reserve lots as

described by metes and bounds in the deeds, taken together, was

48,813 square feet (1.121 acres), including: 15,016 square feet

for tax map key lot 3-9-02-29; 17,123 square feet for tax map

key lot 3-9-03-28; and 16,674 square feet for tax map key lot 3-9-04-38. As of that same date, the makai land consisted of a

total of 70,750 square feet (1.624 acres) of accreted land,

including: 34,179 square feet accreted to tax map key lot 3-9-02-29; 33,844 square feet accreted to tax map key lot 3-9-03-28;

and 2,727 square feet accreted to tax map key lot 3-9-04-38.

The Ohanas moved for partial summary judgment on their

claim for injunctive relief to bar the State from enforcing Act

73 absent just compensation. Id. at 51, 222 P.3d at 458. The

circuit court 6 granted the Ohanas’ motion and the ICA affirmed in

part on interlocutory appeal, holding that “Act 73 effectuated a

permanent taking of littoral owners’ ownership rights to

existing accretions to the owners’ oceanfront properties that

had not been registered or recorded or made the subject of a

then-pending quiet-title lawsuit or petition to register the

6 The Honorable Eden Elizabeth Hifo presided.

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accretions.” 7 Maunalua Bay I, 122 Hawaiʻi at 57, 222 P.3d at

464.

In 2012, in response to the ICA’s ruling on Act 73,

the Legislature passed and the governor signed into law Act 56,

which redefined public lands to include only those “lands

accreted after May 20, 2003.” 2012 Haw. Sess. Laws Act 56, at

122-23 (amending HRS §§ 171-2, 501-33, and 669-1 (eff. Apr. 23,

2012)).

On remand, the Ohanas and the State stipulated to the

existence of the makai lands such that

The only issues in this case at present are whether

Act 73 effected and Act 56 ended a temporary taking of any

accreted lands from May 19, 2003, to April 23, 2012 (or any

part of that time) and if so the amount of just

compensation, if any, that is due to plaintiffs for the

taking. The amount of just compensation, if any, may take

into account any offset, set off, or recoupment.

The parties also stipulated to how just compensation

would be calculated on remand:

7. Just compensation, if any, shall be based on the

fair rental value of the accreted land as of May 19, 2003,

but taking into account restrictions on plaintiffs’ use of

the property, if appropriate. Rental shall be considered

to have been due, in advance, on May 19 of each respective

year. The period May 19, 2011, to April 23, 2012, shall be

pro-rated.

7 The ICA vacated the circuit court’s grant of partial summary judgment to the extent that it “concluded that Act 73 took from oceanfront owners their property rights in all future accretion that was not proven to be the restored portion of previously eroded land” because the Ohanas “had no vested property rights to future accretions to their oceanfront land and, therefore, Act 73 did not effect an uncompensated taking of future accretions.” Maunalua Bay I, 122 Hawaiʻi at 57, 222 P.3d at 464.

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8. The rent, if any, for any succeeding year shall

be based on the rent as of May 19, 2003, increased by 2%

each succeeding year.

9. All unpaid amounts of just compensation shall bear

simple interest at 5% per annum from the date due to the

date of judgment.

After a jury-waived trial, at which expert witnesses

presented competing valuations of the makai lands, the circuit

court 8 entered detailed Findings of Fact, Conclusions of Law, and

Decision and Order on November 28, 2018. The circuit court

concluded that the Ohanas were entitled to just compensation for

the temporary taking of the makai land between the passage of

Act 73 and Act 56, but that just compensation equal to the fair

market rental value of the makai land was zero dollars. The

circuit court credited the testimony of the State’s expert

witness, Craig Leong, that the makai lands had no reasonable

rental value. Based on Leong’s testimony, the circuit court

found:

108. Mr. Leong based his conclusion on highest-andbest use on, among other things, the irregular shapes and

narrow widths of the parcels; limited access; conservationdistrict regulations; the restrictive covenants in the

[Estate of Bernice Pauahi Bishop] deeds to plaintiffs; the

State’s non-interference with plaintiffs use; the lack of

any history of financial gain from the makai land, and the

fact that [the Estate of Bernice Pauahi Bishop] sold the

three beach reserve lots for $1,000 each. The Court finds

that Mr. Leong’s analysis is credible.

8 The Honorable Virginia L. Crandall presided.

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109. The Court agrees with Mr. Leong’s conclusion:

“Given the highly irregular, and narrow property

characteristics of the accreted land, and after

consideration of the restricted street access to the

subject property, and perhaps, more importantly, as both

government and private land use regulations and covenants

restrict the legally permissible use of the accreted land

area to public access, customary beach activities, and

related recreational and community purposes, the appraiser

concludes that no known market buyer exists for the subject

accreted land.”

110. Mr. Leong concludes that there was a $0 market

rent attributable to the land with a retrospective date of

2003.

111. The Court finds Mr. Leong’s ultimate conclusion

of value to be credible, logical, and well founded. The

Court finds that the fair market rent as of May 2003 was

$0.

(Record citations omitted.)

Conversely, the circuit court found the Ohanas’ expert

witness, Stephany Sofos, not credible and therefore “[gave] no

weight to her testimony.” The circuit court noted, among other

errors, that “Ms. Sofos’s report is premised on her belief that

both the original beach reserve lots and the makai land were

taken by the State. This is a faulty premise that is fatal to

her analysis.” Sofos erroneously valued the taking of the makai

lands based on accretion to the littoral residence lots, not the

beach reserve lots. Thus, the circuit court found that “Ms.

Sofos's proposed values are incredible on their face.”

The circuit court further concluded that “[p]roviding

any compensation to [the Ohanas’] in this case would be nothing

short of a windfall, given the State’s non-interference with

[the Ohanas’] use of the makai land and the absence of any

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financial impact on the plaintiffs.” Therefore, the circuit

court declined to award even nominal damages.

Following entry of the circuit court’s decision and

order, the Ohanas moved for attorneys’ fees under the private

attorney general doctrine as the prevailing party both in the

appeal of the Ohanas’ motion for partial summary judgment before

the ICA and at trial when the circuit court determined that they

were entitled to just compensation. The Ohanas argued that they

were entitled to fees under the private attorney general

doctrine because: (1) the Ohanas vindicated an important public

policy by establishing that Act 73 effected an uncompensated

taking; (2) private enforcement was necessary and burdensome,

resulting in protracted litigation against the “vast resources

of the State”; and (3) the litigation conferred a significant

benefit to “the public at large by putting the legislature on

notice regarding legislative takings of land.”

The State opposed, arguing that, not only were the

Ohanas not entitled to attorneys’ fees under the private

attorney general doctrine, but also that any such award was

barred by sovereign immunity.

Following supplemental briefing on the sole issue of

whether the State waived sovereign immunity when it conceded

subject matter jurisdiction, the circuit court summarily denied

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the Ohanas’ motion. The circuit court then entered final

judgment in favor of the State.

The Ohanas appealed the final judgment, alleging

multiple errors. 9 As is relevant here, the Ohanas challenged the

circuit court’s finding that (1) zero dollars was just

compensation for the temporary taking of the makai lands, and

(2) the Ohanas were not entitled to nominal damages. The Ohanas

also challenged (3) the denial of attorneys’ fees under the

private attorney general doctrine.

The ICA affirmed in Maunalua Bay Beach Ohana 28 v.

State (Maunalua Bay II), 154 Hawaiʻi 144, 547 P.3d 1174 (2024).

First, the ICA concluded that, to the extent that the Ohanas did

not waive alleged errors for failure to argue points raised

regarding the circuit court’s finding that the Ohanas were

entitled to just compensation in the amount of zero dollars, the

findings were supported by substantial evidence and therefore

not clearly erroneous. Id. at 152, 547 P.3d at 1182. Next, the

ICA concluded that because just compensation was zero dollars,

the Ohanas did not suffer any “technical injury” from the

temporary taking that would entitle the Ohanas to nominal

9 The State cross-appealed, challenging the circuit court’s decision and order. That appeal is not at issue before this court.

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damages. Id. (quoting Kanahele v. Han, 125 Hawaiʻi 466, 457-58,

263 P.3d 726, 737-38 (2011)). Finally, the ICA concluded that

although the Ohanas failed to satisfy any of the three prongs of

the private attorney general doctrine and so were not entitled

to attorneys’ fees for any portion of the litigation, an award

of attorneys’ fees would have been barred by sovereign immunity.

Id. at 152-55, 547 P.3d at 1182-1185.

HRS § 661-1 [(1993)] waives sovereign immunity for claims

against the State under article I, section 20 of the Hawaiʻi

Constitution, which states: “Private property shall not be

taken or damaged for public use without just compensation.”

A claim under Haw. Const. art. I, § 20 seeks compensation

for something the government has the right to do. The

circuit court found that just compensation for Act 73’s

temporary taking of the [makai land] was $0. The only

claim on which [the Ohanas] prevailed (partially) was one

for declaratory relief. But their claim for attorneys[’]

fees against the State for obtaining declaratory relief is

barred by sovereign immunity.

Id. at 153, 547 P.3d at 1183 (citing DW Aina Le‘a Dev., LLC v.

State Land Use Comm’n, 148 Hawaiʻi 396, 404, 477 P.3d 836, 844

(2020); Nelson v. Hawaiian Homes Comm’n, 130 Hawaiʻi 162, 170,

307 P.3d 142, 150 (2013)).

The Ohanas sought certiorari review by this court,

which we granted.

III. STANDARDS OF REVIEW

A. Award of Attorneys’ Fees

“The trial court’s grant or denial of attorney’s fees

and costs is reviewed under the abuse of discretion standard.”

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Sierra Club v. Dep’t of Transp. (Superferry II), 120 Hawaiʻi 181,

197, 202 P.3d 1226, 1242 (2009) (brackets and citation omitted).

B. Constitutional Interpretation

“Issues of constitutional interpretation present

questions of law that are reviewed de novo.” Id. at 196, 202

P.3d at 1241 (quoting Blair v. Harris, 98 Hawaiʻi 176, 178, 45

P.3d 789, 800 (2002)).

C. Findings of Fact and Conclusions of Law

[T]his court reviews the trial court’s findings of

fact under the clearly erroneous standard.

A finding of fact is clearly erroneous when, despite

evidence to support the finding, the appellate court is

left with the definite and firm conviction in reviewing the

entire evidence that a mistake has been committed. A

finding of fact is also clearly erroneous when the record

lacks substantial evidence to support the finding. We have

defined substantial evidence as credible evidence which is

of sufficient quality and probative value to enable a

person of reasonable caution to support a conclusion.

Bremer v. Weeks, 104 Hawai‘i 43, 51, 85 P.3d 150, 158 (2004)

(citations omitted).

IV. DISCUSSION

The Ohanas present two questions before this court:

1. Where the State completely divests oceanfront

property owners of their ownership of accreted land, is

just compensation of zero dollars with no nominal or

severance damages awarded for the unconstitutional taking

of more than 70,000 square feet of beachfront land over a

period of nine years consistent with Hawaiʻi’s

constitutional mandate that just compensation be paid for

taking or damaging private property for public use? Haw.

Const. art. I, § 20 (“Private property shall not be taken

or damaged for public use without just compensation.”)

(emphasis added).

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2. Where Petitioners vindicated the constitutional

rights of littoral owners across Hawaiʻi, caused the repeal

of an unconstitutional statute, and litigated the

constitutional right to just compensation for nearly two

decades, did the ICA grievously err in holding that

Petitioners were not entitled to attorneys’ fees under the

private attorney general doctrine?

We address each question in turn.

A. The Circuit Court Did Not Clearly Err When It Awarded the

Ohanas Zero Dollars in Just Compensation with No Nominal or

Severance Damages for the Temporary Taking of the Ohanas’

Accreted Lands

1. The circuit court’s findings of fact were not clearly

erroneous because they were supported by substantial

evidence

Act 73 effectuated a taking of the Ohanas’ accreted

lands. Maunalua Bay I, 122 Hawaiʻi at 57, 222 P.3d at 464.

Under article I, section 20 of the Hawaiʻi Constitution, “Private

property shall not be taken or damaged for public use without

just compensation.”

On remand, the Ohanas and the State stipulated that

just compensation would be calculated based on the fair market

rental value of the property as of May 19, 2003, and increasing

2% yearly, plus interest. [Stip. at 3, CC Dkt. 185:5]

After hearing testimony from dueling experts as to the

fair rental value of the property, the court determined that the

Ohanas were entitled to just compensation in the amount of zero

dollars. “For all reasons set forth in the findings of fact,

including the credible testimony of Mr. Leong, the Court finds

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that the fair market rent for the makai land not otherwise

awarded, if any, on May 19, 2003 was $0.”

The Ohanas challenge the circuit court’s award of zero

dollars in just compensation for the temporary taking of 1.624

acres of land accreted to the beach front property for the

period between May 19, 2003, and April 23, 2012. Because we

conclude that the circuit court’s finding was supported by

substantial evidence and was therefore not clearly erroneous, we

affirm. See Bremer, 104 Hawai‘i at 51, 85 P.3d at 158. “We have

defined substantial evidence as credible evidence which is of

sufficient quality and probative value to enable a person of

reasonable caution to support a conclusion.” Id.

The Ohanas argue that the circuit court improperly

rejected the testimony of their valuation expert, Stephany

Sofos, a licensed real estate broker and certified general

appraiser licensed in the State of Hawaiʻi, alleging the circuit

court ignored evidence that Sofos employed a methodology

approved by the State Board of Land & Natural Resources to

determine rental rates for private noncommercial piers for

littoral landowners in Kāneʻohe Bay. To the extent that the

Ohanas ask this court to second guess the circuit court’s

evaluation of credibility, we decline to do so. See Fisher v.

Fisher, 111 Hawaiʻi 41, 46, 137 P.3d 355, 360 (2006) (“An

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appellate court will not pass upon issues dependent upon the

credibility of witnesses and the weight of evidence; this is the

province of the fact finder.”).

The circuit court found that Sofos’s report, which was

not an “appraisal report,” was not credible as to the valuation

of the accreted lands because it was based on a “faulty premise

that is fatal to her analysis” as her valuation was premised on

a taking both of the accreted land and the beach reserve lots,

whereas only the accreted land was taken. Further, the circuit

court concluded that Sofos “fundamentally misunderstood” her

proposed evaluation method, the “Kaneʻohe Bay methodology.” The

circuit court also noted that Sofos’s valuations were

“incredible on their face” and that the data she relied upon was

“unreliable” as she “did not verify [its] accuracy.” Therefore,

the circuit court “did not find Ms. Sofos to be a credible

witness” and “[gave] no weight to her testimony.”

Conversely, the circuit court gave full credit to the

State’s expert witness, Craig Leong, an appraiser licensed in

the State of Hawaiʻi with designations both as certified general

appraiser and as a member of the Appraisal Institute. 10 The

10 “The Appraisal Institute is the leading profession association of real estate appraisers” and was created “to help standardize the appraisal process by promoting professional education and upholding high ethical

(. . . continued)

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circuit court found credible Leong’s conclusion that the

“highest and best use for the makai land ‘as of the

retrospective periods beginning May 2003 through April 2012 was

for public access, customary beach activities and related

recreational and community purposes.’” The court further found

the accreted land had limited commercial rental value:

The Court agrees with Mr. Leong’s conclusion: “Given

the highly irregular, and narrow property characteristics

of the accreted land, and after consideration of the

restricted street access to the subject property, and

perhaps, more importantly, as both government and private

land use regulations and covenants restrict the legally

permissible use of the accreted land area to public access,

customary beach activities, and related recreational and

community purposes, the appraiser concludes that no known

market buyer exists for the subject accreted land.”

(Emphasis added.)

Given these restrictions, the circuit court found

Leong’s conclusion that the fair market value of the accrete

lands was zero dollars “credible, logical, and well founded.”

On this record, we conclude that there was evidence of

“sufficient quality and probative value to enable a person of

reasonable caution” to conclude that the fair rental value of

the accreted lands, including yearly appreciation and simple

interest, is zero dollars. See Bremer, 104 Hawai‘i at 51, 85

standards.” Who We Are and What We Stand For, Appraisal Institute, https://www.appraisalinstitute.org/about/ [https://perma.cc/7YWW-K97C].

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P.3d at 158. The circuit court’s findings were supported by

substantial evidence and were properly affirmed by the ICA.

2. The circuit court did not err in concluding that the

Ohanas are not entitled to nominal damages

We turn now to whether, in the context of a taking

whose just compensation amounts of zero dollars, the Ohanas are

entitled to nominal damages.

We have stated generally in civil cases:

While compensatory damages seek to restore a

plaintiff to his or her position prior to the tortious act,

nominal damages are a small and trivial sum awarded for a

technical injury due to a violation of some legal right and

as a consequence of which some damages must be awarded to

determine the right.

Kanahele, 125 Hawai‘i at 457–58, 263 P.3d at 737–38 (brackets,

internal quotation marks, and citation omitted); see Damages,

Black’s Law Dictionary (12th ed. 2024) (defining “nominal

damages” as, inter alia, “[a] trifling sum awarded when a legal

injury is suffered but there is no substantial loss or injury to

be compensated”).

“‘Nominal damages means no damages at all,’ and are

but ‘a mere peg to hang costs on[.]’” Kanahele, 125 Hawaiʻi at

458, 263 P.3d at 738 (first quoting Hall v. Cornett, 240 P.2d

231, 235 (Or. 1952); then Ferreira v. Honolulu Star-Bulletin, 44

Haw. 567, 579, 356 P.2d 651, 658 (1960)) (internal citations

omitted).

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Courts in some jurisdictions have explained that

“[w]here an owner is unable to prove that the taking or damaging

of property by a governmental entity has caused him any economic

injury, he is entitled to recover only nominal damages.” City

of Los Angeles v. Ricards, 515 P.2d 585, 588 n.4 (Cal. 1973);

see also Heuer v. City of Cape Girardeau, 370 S.W.3d 903, 916

(Mo. Ct. App. 2012) (concluding that although plaintiff

“concedes he did not make the requisite showing to prove the

amount of his damages for inverse condemnation, but because the

City unreasonably violated his right to ingress and egress, we

find he is entitled to nominal damages”); Keene Valley Ventures,

Inc. v. City of Richland, 298 P.3d 121, 123, 126 (Wash. Ct. App.

2013) (holding that trial court properly awarded $1 in nominal

damages when private party “proved trespass, nuisance, and

inverse condemnation, but . . . the damage to the land was

temporary . . . [and the private party] failed to prove that it

had sustained damage”).

Here, the Ohanas were able to prove that there was a

temporary taking under article I, section 20 of the Hawaiʻi

Constitution. Maunalua Bay I, 122 Hawaiʻi at 57, 222 P.3d at 464

(“Act 73 effectuated a permanent taking of littoral owners’

ownership rights to existing accretions to the owners’

oceanfront properties that had not been registered or recorded

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or made the subject of a then-pending quiet-title lawsuit or

petition to register the accretions.”). “A takings claim seeks

compensation for something the government is entitled to do; a

taking is not a legal injury, but rather an entitlement to just

compensation.” See DW Aina Le‘a, 148 Hawaiʻi at 404, 477 P.3d at

844. As the ICA in Maunalua Bay II properly concluded, “[the

Ohanas] did not sustain a ‘technical injury due to a violation

of some legal right[.]’ Kanahele, 125 Hawaiʻi at 457–58, 263

P.3d at 737–38. They were not entitled to nominal damages.”

Maunalua Bay II, 154 Hawaiʻi at 152, 547 P.3d at 1182. Instead,

the proper remedy for a takings claim is just compensation. DW

Aina Le‘a, 148 Hawai‘i at 404, 477 P.3d at 844.

As previously discussed, just compensation in this

case was agreed by the parties to be the fair market rental

value of the property at the time of the taking, to increase 2%

yearly thereafter. [CC Dkt. 185:5] Based on expert testimony

adduced at trial, the circuit court determined that the fair

market rental value of accreted lands for the relevant period

was zero dollars. Thus, the Ohanas were entitled to just

compensation in the amount of zero dollars, and the circuit

court did not err in concluding that the Ohanas are not entitled

to nominal damages.

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B. The ICA Properly Held That Attorneys’ Fees Are Barred by

Sovereign Immunity in Inverse Condemnation Cases

The Ohanas request attorneys’ fees through the private

attorney general doctrine, arguing that they are entitled to

fees because: (1) “[t]he Ohanas vindicated fundamental rights

through this litigation,” (2) of “the effort, resources, and

time involved (two decades) that illustrates the magnitude of

the burden of litigating against the State and the need to

promote lawsuits that vindicate important public rights by

awarding fees,” and (3) the issues they raised in this

litigation are consistent with the public interest. 11 However,

we must first resolve the threshold question of whether

sovereign immunity bars the recovery of attorneys’ fees against

the State in inverse condemnation cases. 12 See Nelson, 130

Hawaiʻi at 168, 307 P.3d at 148 (quoting Superferry II, 120

11 In Waiāhole II, we adopted a three-prong test to determine whether attorneys’ fees should be awarded under the private attorney general doctrine: “(1) the strength or societal importance of the public policy vindicated by the litigation, (2) the necessity for private enforcement and the magnitude of the resultant burden on the plaintiff, [and] (3) the number of people standing to benefit from the decision.” In re Water Use Permit Applications (Waiāhole II), 96 Hawaiʻi 27, 29, 25 P.3d 802, 804 (2001) (citing Serrano v. Priest, 569 P.2d 1303, 1314 (Cal. 1977) (en banc)).

12 The ICA concluded that sovereign immunity barred the recovery of attorneys’ fees under the private attorney general doctrine, Maunalua Bay II, 154 Hawaiʻi at 152-53, 547 P.3d at 1182-83, but nevertheless went on to further determine that the Ohanas were not entitled to recover under the doctrine in any event, id. at 153-55, 547 P.3d at 1183-85. Unlike the ICA, we do not reach the latter question, and note that the ICA’s discussion of that issue is dicta.

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Hawaiʻi at 221, 225-29, 307 P.3d at 1266, 1270-74) (“‘Application

of the private attorney general doctrine is . . . subject to the

defenses which a defendant may have’ . . . [including] the

State’s defense of sovereign immunity.”). As discussed below,

we conclude that recovery of attorneys’ fees in inverse

condemnation cases is barred by sovereign immunity.

1. The State is immune to awards for attorneys’ fees

absent a “clear relinquishment” of sovereign immunity

“It is well established that the State as sovereign is

immune from suit except as it consents to be sued.” Id.

(quoting Figueroa v. State, 61 Haw. 369, 381, 604 P.2d 1198,

1205 (1979)). Absent a “clear relinquishment” of immunity and

consent to be sued, “the sovereign State is immune from suit for

money damages. . . . [U]nder our sovereign immunity doctrine,

‘the crucial inquiry . . . is whether the relief sought for a

past violation of law is “tantamount to an award of damages” or

would merely have

an “ancillary” effect on the state treasury.’” Kahoʻohanohano v.

State, 114 Hawaiʻi 302, 336, 162 P.3d 696, 730 (2007) (quoting

Bush v. Watson, 81 Hawaiʻi 474, 481, 482 n.9, 918 P.2d 1130,

1137, 1138 n.9 (1996)) (emphasis in original omitted).

In Superferry II, we explained that awards of

attorneys’ fees against the State are subject to the sovereign

immunity doctrine: “‘an award of costs and fees to a prevailing

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party is inherently in the nature of a damage award.’

Accordingly, to properly award attorney’s fees and costs against

[the State] in this case, there must be ‘a clear relinquishment’

of the State’s immunity.” 120 Hawaiʻi at 226, 202 P.3d at 1271

(first quoting Fought & Co. v. Steel Eng’g & Erection, Inc., 87

Hawaiʻi 37, 51, 951 P.2d 487, 501 (1998); then citing Bush, 81

Hawaiʻi at 481, 918 P.2d at 1137) (internal citations omitted).

“[T]hat sovereign immunity was no bar to the

underlying claim ‘does not necessarily result in a right to

attorneys’ fees.’” Nelson, 130 Hawaiʻi at 168, 307 P.3d at 148

(quoting Taomae v. Lingle, 110 Hawaiʻi 327, 333, 132 P.3d 1238,

1244 (2006)). For example, in Nelson, a case brought against

the State and State officials for failing to sufficiently fund

the Department of Hawaiian Home Lands, we noted that sovereign

immunity did not bar the underlying claims for declaratory and

injunctive relief for constitutional violations, because

“sovereign immunity will not be a bar where governmental action

is challenged as unconstitutional.” Id. (quoting Kahoʻohanohano,

114 Hawaiʻi at 337, 162 P.3d at 731 (citing Pele Def. Fund v.

Paty, 73 Haw. 578, 607, 837 P.2d 1247, 1265 (1992))). However,

we went on to hold that although the Nelson plaintiffs were able

to seek declaratory and injunctive relief, they were not

entitled to attorneys’ fees under the private attorney general

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doctrine because their constitutional claims were not founded

upon any statute waiving sovereign immunity. Id. at 171-73, 307

P.3d at 151-53 (citing Kahoʻohanohano, 114 Hawaiʻi at 338, 162

P.3d at 732) (“[C]onstitutional claims are not founded upon any

statute and are therefore not cognizable under HRS § 661[-1(1)].”).

2. Article I, section 20 does not waive sovereign

immunity for attorneys’ fees in inverse condemnation

cases

The Ohanas argue that the bar from recovery for money

damages in suits for declaratory or injunctive relief is a “red

herring” because, unlike cases like Nelson and Kahoʻohanohano,

which were not suits for money damages, the Ohanas expressly

sought money damages the instant case. The Ohanas assert that

“the State, by litigating the issue of damages, consented to

suit.” Accordingly, the Ohanas argue that “Hawaiʻi’s Takings

Clause — by its own force — abrogates state sovereign immunity

by allowing suits for money damages against the State where

there has been a taking or damage to property without just

compensation.” 13

13 The Ohanas point to Bridge Aina Leʻa v. Land Use Commission, Civ. No. 11-00414, 2018 WL 6705529 (D. Haw. Dec. 20, 2018), an unpublished decision from the United States District Court for the District of Hawaiʻi for the proposition that:

(. . . continued)

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This court has not squarely addressed whether article

I, section 20 of the Hawaiʻi Constitution waives sovereign

immunity for attorneys’ fees in inverse condemnation cases.

However, we have held, “the Takings Clause of the Hawaiʻi

Constitution contains self-executing language, enabling suits

based on the provision itself without implementing legislation.”

DW Aina Le‘a, 148 Hawaiʻi at 403, 477 P.3d at 843.

In State v. Davis, we considered whether our Takings

Clause waived sovereign immunity in direct condemnation actions.

53 Haw. 582, 499 P.2d 663 (1972). We concluded it did not. Id.

at 587, 499 P.2d at 667-68. At the time, article I, section 18

“The [district c]ourt is unpersuaded by the [Land Use

Commission’s (LUC)] argument that the LUC is immune from as

[sic] award of attorneys’ fees under Hawaiʻi law,” noting

that the State cited no Hawaiʻi case law to support its

claim that “Hawaiʻi courts have definitively stated that the

State is immune from an award of attorneys’ fees under the

private-attorney-general doctrine.”

(Quoting Bridge Aina Leʻa, 2018 WL 6705529, at *4-5).

Bridge Aina Leʻa involved a motion for attorneys’ fees arising from the LUC’s redesignation of the plaintiff’s property from urban to agricultural use. Id. at *1. The district court concluded – and the LUC conceded - that, when the LUC removed the case to the federal district court, “it voluntarily invoked federal [supplemental] jurisdiction and waived its Eleventh Amendment immunity with respect to [the plaintiff]’s state and federal claims.” Id. at *3. However, the LUC then challenged the award of fees under state sovereign immunity. The district court determined that the LUC had also waived a sovereign immunity defense as to attorneys’ fees. Id. at *4-5.

Bridge Aina Leʻa is neither precedential nor binding on this court. To the extent that the Ohanas ask us to hold that the State waived sovereign immunity for purposes of attorneys’ fees merely by litigating the amount of just compensation owed to the Ohanas, we decline to do so.

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of the Hawaiʻi Constitution contained our Takings Clause, which

provided “Private property shall not be taken for public use

without just compensation.” Noting that the definition of just

compensation adopted by this court “contains no reference to

attorneys’ fees or litigation costs,” 14 we held, “in accordance

with the overwhelming weight of authority that attorneys’ fees

and expenses, including expert witness’ fees, are not embraced

within the meaning of ‘just compensation’ for purposes of

article I, section 18 of the Hawaiʻi Constitution.” Davis, 53

Haw. at 587, 499 P.2d at 667-68. In reaching this conclusion,

we adopted the reasoning of the Supreme Court of Delaware, as

stated in 9.88 Acres of Land v. State, 274 A.2d 139, 140 (Del.

1971):

The argument is that the owner is deprived of ‘just

compensation’ when it must expend a substantial portion of

the award, founded upon fair market value of the property,

for the necessary services of counsel and experts; and this

14 In Hawai᷾i Housing Authority v. Rodrigues, 43 Haw. 195 (Haw. Terr. 1959), this court adopted the definition of just compensation stated by in 4 Nichols, Eminent Domain §§ 12.2 and 12.2[1] (3d ed.):

“It is well settled that, when a parcel of land is

taken for public use by the exercise of the power of

eminent domain, the measure of compensation is the fair

market value of the land.”

“By fair market value is meant the amount of money

which a purchaser willing but not obliged to buy the

property would pay to an owner willing but not obliged to

sell it, taking into consideration all uses to which the

land was adapted and might in reason be applied.”

Rodrigues, 43 Haw. at 197 (citations omitted).

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is especially so, says the owner, when the final offer of

the condemnor is greatly less than the value ultimately

established.

The argument appeals to the sense of fairness, but it

has no tenable basis in constitutional law. . . .

. . . [A]uthorities propound the rationale of fairness that

may motivate legislative relief in this area; but they cast

no doubt upon the force and effect of the general rule of

constitutional law we here endorse: in the absence of

statute, there is no right to counsel fees (and litigation

costs) in condemnation cases, and the deprivation of such

fees does not violate any constitutional right.

If an adjustment in the law of eminent domain is

dictated by fairness in this connection, it is a matter for

consideration and action by the (legislature).

Davis, 53 Haw. at 587-88, 499 P.2d at 668 (ellipses and brackets

in original).

This court did not address the whether then article I,

section 18 waived sovereign immunity for attorneys’ fees in

inverse condemnation cases. Nonetheless, because our reasoning

in Davis applies equally to direct condemnation and inverse

condemnation cases, and in the absence of authority to the

contrary, it would be incongruent to read just compensation to

include inverse condemnation but not direct condemnation

actions. We therefore conclude that the Hawaiʻi Constitution

prior to the 1968 amendment had not waived sovereign immunity

for attorneys’ fees in inverse condemnation cases.

We now turn to whether the 1968 amendment of our

Takings Clause to include “or damaged” constituted a waiver of

sovereign immunity in that context. While it is clear that the

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“or damaged” clause should be read broadly when determining

whether an injury requires “just compensation,” we conclude that

that the inclusion of “or damaged” was insufficient to extend

the self-executing waiver of sovereign immunity to the recovery

of attorneys’ fees in inverse condemnation actions.

As we explained in City and County of Honolulu ex rel.

Honolulu Authority for Rapid Transportation v. Victoria Ward,

Ltd., the proceedings of the 1968 Constitutional Convention make

clear that the amendment of the Takings Clause to include “or

damaged” was made to permit severance damages in response to the

construction of the H-1 freeway, where neighboring landowners

were damaged by the project despite their land not being taken.

153 Hawaiʻi 462, 493, 541 P.3d 1225, 1256 (2023) (citing 2

Proceedings of the Constitutional Convention of Hawaiʻi of 1968,

at 27-31 (1973), and City & Cnty. of Honolulu v. Market Place,

Ltd., 55 Haw. 226, 230-31, 517 P.2d 7, 12-13 (1973)).

The People of Hawaiʻi added the phrase “or damaged” to

the Hawaiʻi Constitution in 1968 following the construction

of the H-1 freeway to provide remedies for property owners

whose property lost value or usefulness although no

physical taking was executed. The Framers of the 1968

Constitution considered such effects as they relate to

highway construction in adding the “or damaged” provision

to the constitution. See 2 Proceedings of the

Constitutional Convention of Hawaiʻi of 1968, at 27-31

(1973).

Id.

Nothing in Standing Committee Report No. 55 suggests

that the inclusion of “or damaged” contemplated a waiver of

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sovereign immunity for attorneys’ fees. Instead, Standing

Committee Report No. 55 is clear: consequential damages from

depreciation of a property’s value were to be recoverable.

Stand. Comm. Rep. No. 55, in 1 Proceedings of the Constitutional

Convention of Hawaiʻi of 1968, at 236 (1973) (“Your Committee

finds that loss by damage to private property for public use is

no less real than loss by taking of private property for public

use. The amendment seeks to cure this inequity[.]”).

Furthermore, Standing Committee Report No. 55 gave

examples of three types of damages that were not covered under

article I, section 18 as it then provided, 15 but that would be

under the “or damaged” language of the amended Takings Clause:

(1) damage from the termination of a tenant’s occupancy when a

building is condemned; (2) architectural plans rendered

worthless following condemnation of a property; and (3) damage

from sporadic flooding resulting from inadequate storm drainage.

Id. at 235. Nothing in these examples supports a conclusion

that “or damaged” was intended or understood to permit recovery

of attorneys’ fees in inverse condemnation cases.

15 Article I, section 18 was renumbered article I, section 20 following the 1978 Constitutional Convention.

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Similarly, nothing in Committee of the Whole Report

No. 15 suggests the amendment adding “or damaged” extended the

waiver of sovereign immunity to include attorneys’ fees.

Committee of the Whole Report No. 15 relied on Rigney v. City of

Chicago, which interpreted the first-of-its-kind inclusion of

“or damaged” in the Illinois Constitution to permit recovery for

the diminution in value in property without requiring actual,

physical damage to the property. 16 102 Ill. 64, 78 (Ill. 1881).

However, nothing in Rigney, or Committee of the Whole Report No.

15, suggests waiver of sovereign immunity that would include

attorneys’ fees.

Instead, read together, the legislative history of the

1968 amendment shows that the building of the H-1 was top of

mind at the 1968 Constitutional Convention. “[O]r damaged”

certainly encompasses a broader range of situations meriting

just compensation than had been previously contemplated, and its

16 Although the Committee of the Whole relied on Rigney, it noted:

The established body of law will be helpful and will

provide guidance to our courts; however, it is not your

Committee’s intent that our courts be bound by each

precedent in every case. It should also be noted that it

is not the intent of your Committee that our courts be

guided or controlled in any way by the several specific

examples [citing 4 Nichols, Eminent Domain] mentioned on

page 8 of Standing Committee Report No. 55 and in the

debates of your Committee of the Whole.

Comm. of the Whole Rep. No. 15, in 1 Proceedings of the Constitutional Convention of Hawaiʻi of 1968, at 357.

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inclusion was clearly intended to remedy the perceived

inadequacies of our then-existing Takings Clause. Nevertheless,

nothing from the proceedings indicates that attorneys’ fees

would be recoverable. “[O]r damaged” merely allows for just

compensation for property damage caused by government actions

that do not rise to the level of a taking, such as diminution in

value. Stand. Comm. Rep. No. 55, in 1 Proceedings of the

Constitutional Convention of Hawaiʻi of 1968, at 236-37.

Legislative action contemporaneous to the 1968

Constitutional Convention confirms our interpretation that the

1968 amendment did not waive sovereign immunity in inverse

condemnation cases. In 1971, only three years after the 1968

Constitution was ratified, the legislature enacted Act 32,

“Relating to the Acquisition of Real Property by the State for

Use in any Project or Program in which Federal or Federal-Aid

Funds are Used.” 1971 Haw. Sess. Laws. Act 32, at 33-36.

Section 4 of Act 32, codified as HRS § 113-4 (2012), allows

inverse condemnation plaintiffs to recover “reasonable costs,

disbursements and expenses, including reasonable attorney,

appraisal and engineering fees.” 17 The scope of waiver under HRS

17 As enacted in 1971, HRS § 113-4, “Proceeding by owner,” provided,

Where an inverse condemnation proceeding is

instituted by the owner of any right, title or interest in

(. . . continued)

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§ 113-4 is limited to those owners whose property is taken for

use “in any program or project in which federal or federal-aid

funds are used.” That the legislature explicitly provided for

attorneys’ fees in these circumstances, but not others, supports

the view that “or damaged” was not intended to waive sovereign

immunity in all inverse condemnation cases. And as we have

previously recognized, “it is not a court’s right to extend the

waiver of sovereign immunity more broadly than has been directed

by the legislature.” Kaleikini v. Yoshioka, 129 Hawaiʻi 454,

467, 304 P.3d 252, 265 (2013).

The passage of Act 32 in 1971 supports our conclusion

that sovereign immunity was not waived in inverse condemnation

cases. Act 32 was specifically enacted to bring state law into

compliance with the requirements of Title III of Public Law 91-646, the Uniform Relocation Assistance and Real Property

real property because of use of his property in any program

or project in which federal or federal-aid funds are used,

the court, rendering a judgment for the plaintiff in such

proceeding and awarding compensation for the taking of

property, or the State’s attorney effecting a settlement of

any such proceeding, shall determine and award or allow to

such plaintiff, as part of such judgment or settlement,

such sums as will, in the opinion of the court or the

State’s attorney, reimburse such plaintiff for his

reasonable costs, disbursements and expenses, including

reasonable attorney, appraisal and engineering fees,

actually incurred because of such proceeding.

HRS § 113-4 was amended in 1984 by replacing the word “his” in the first instance with “the owner’s” and in the second instance with “the plaintiff’s.”

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Acquisition Policies Act of 1970 (the Uniform Act). H. Stand.

Comm. Rep. No. 307, in 1971 House Journal, at 833. Section 305

of the Uniform Act prohibited federal agencies from funding any

state program absent assurance that state land acquisition

policies would align with the policies set forth in the act.

Pub. L. No. 91-646, § 305, 84 Stat. 1906-07 (1971) (codified at

42 U.S.C. § 4655). This included the policy that property

owners in certain circumstances be reimbursed for their

litigation expenses, including reasonable attorneys’ fees. Pub.

L. No. 91-646, § 304, 84 Stat. 1906 (codified at 42 U.S.C.

§ 4644). Compliance with federal policy was of particular

concern to the Hawaiʻi state legislature in 1971, as it expected

to receive $58 million in federal-aid highway funds that year to

fund the State’s construction of the H-2 freeway. H. Stand.

Comm. Rep. No. 307, in 1971 House Journal, at 833.

Had article I, section 20 already waived sovereign

immunity for inverse condemnation cases, no legislative action

would have been required to comply with the Uniform Act.

Accordingly, the enactment of Act 32 suggests that the

legislature did not understand our Takings Clause as waiving

sovereign immunity for attorneys’ fees. This understanding that

attorneys’ fees in inverse condemnation proceedings were not

payable under then-existing state law is confirmed in the

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legislative history of Act 32. Id. (“[P]roperty owners will be

paid or reimbursed for necessary expenses incidental to transfer

of title to the state and certain litigation expenses, not now

payable under existing state laws.”). House Standing Committee

Report No. 307 expressly reflects the legislature’s

understanding that attorney fees and other incidental costs were

“not included as payment of ‘just compensation’ under the

present law.” Id. at 832. Again, this was only three years

after our Takings Clause was amended. Given the proximity in

time between the “or damaged” amendment and Act 32, we credit

this subsequent action by the legislature as informative as to

the scope of the waiver in our Takings Clause in the wake of the

1968 Constitutional Convention. Cf. Cnty. of Hawaiʻi v. Ala Loop

Homeowners, 123 Hawaiʻi 391, 410, 235 P.3d 1103, 1122 (2010)

(crediting the legislature’s post-hoc interpretation of art. XI,

§ 9 in determining that the statute at issue was a law relating

to environmental quality).

Our interpretation of “or damaged” is also consistent

with the approaches adopted by other states. Research by this

court found no states that have interpreted their “or damaged”

clause as waiving sovereign immunity for attorneys’ fees in

inverse condemnation cases. Indeed, we are only aware of a

single state, Montana, that authorizes an award of attorneys’

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fees in such cases. 18 See Wohl v. City of Missoula, 300 P.3d

1119, 1137 (Mont. 2013). However, unlike Hawaiʻi, Montana’s

Takings Clause expressly requires the award of litigation

expenses. Mont. Const. art. II, § 29 (“Private property shall

not be taken or damaged for public use without just compensation

to the full extent of the loss having been first made to or paid

into court for the owner. In the event of litigation, just

compensation shall include necessary expenses of litigation to

be awarded by the court when the private property owner

prevails.”).

Instead, those states that do permit recovery of

attorneys’ fees do so under express statutory authority,

regardless of whether the constitution includes an “or damaged”

clause or not. For example, article I, section 19 of

California’s constitution includes an “or damaged” clause

similar to ours: “Private property may be taken or damaged for a

public use and only when just compensation, ascertained by a

18 Although the Florda Supreme Court concluded in Jacksonville Expressway Authority v. Henry G. Du Pree Co., 108 So.2d 289, 294 (Fla. 1959), that then article XVI, section 29 of the Florida Constitution (renumbered article X, section 6(a) in 1986), which requires “full compensation,” not “just compensation,” for a taking, allows recovery of attorneys’ fees where a landowner successfully defends a taking on appeal, the Florida legislature had already acted to permit the award of attorneys’ fees in takings cases by statute. See also Fla. Dep’t of Agric. & Consumer Servs. v. Bogorff, 132 So.3d 249, 253 (Fla. Dist. Ct. App. 2013) (“Because the right to fees in an eminent domain proceeding is statutory, fees awarded in an inverse condemnation also must be determined within the statutory framework.”).

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jury unless waived, has first been paid to, or into court for,

the owner.” Nonetheless, § 1036 of the California Code of Civil

Procedure (as amended in 1995) specifically provides for

attorneys’ fees and costs in inverse condemnation cases:

In any inverse condemnation proceeding, the court

rendering judgment for the plaintiff by awarding

compensation . . . shall determine and award or allow for

the plaintiff, as a part of that judgment or settlement, a

sum that will, in the opinion of the court, reimburse the

plaintiff’s reasonable costs . . . including reasonable

attorney, appraisal, and engineering fees, actually

incurred because of that proceeding in the trial court or

in any appellate proceeding in which the plaintiff prevails

on any issue in that proceeding.

Presumably, this provision would not be required if

attorneys’ fees were contemplated by California’s “or damaged”

clause.

In the absence of a statutory provision authorizing

attorneys’ fees, no court has concluded that “just compensation”

amounts to a waiver of sovereign immunity in inverse

condemnation cases. See 8A Nichols, Eminent Domain § G15.02[3].

For example, in State ex rel. New Wen, Inc. v. Marchbanks, 167

N.E.3d 934, 937-38 (Ohio 2020), the Ohio Supreme Court declined

to hold that a statute similar to HRS § 113-4 extended to an

inverse condemnation action absent federal involvement; Ohio

does not have “or damaged” language in their constitution.

Similarly, in DeKalb County v. Trustees, Decatur Lodge No. 1602,

B.P.O. Elks, the Georgia Supreme Court held that the Georgia

constitution’s taking clause, which includes an “or damaged”

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clause and which provides that the “General Assembly may provide

by law for the payment of . . . attorneys’ fees,” does not

require the award of attorneys’ fees, and further holding that

it “is a matter for legislative determination.” 251 S.E.2d 243,

244 (Ga. 1978) (quoting Ga. Const. Art. I, § 3 para. 1(d)).

Because waiver of sovereign immunity requires a “clear

relinquishment,” Kahoʻohanohano, 114 Hawaiʻi at 336, 162 P.3d at

730, we conclude that article I, section 20’s waiver for

sovereign immunity for “just compensation” does not extend to

attorneys’ fees. The legislative history of the “or damaged”

clause and persuasive authority from other states lead us to

conclude that permitting attorneys’ fees here is something for

the legislature – and not this court - to provide. Our

reasoning in Allen v. City & County of Honolulu, a regulatory

takings case, is apt here: “it seems a usurpation of legislative

power for a court to force compensation.” See 58 Haw. 432, 438,

571 P.2d 328, 331 (1977) (quoting Fulham & Scharf, Inverse

Condemnation: Its Availability in Challenging the Validity of a

Zoning Ordinance, 26 Stan. L. Rev. 1439, 1450-51 (1974)).

Consistent with our caselaw, we hold that the Ohanas are barred

by sovereign immunity from seeking attorneys’ fees against the

State under the private attorney general doctrine.

37

*** FOR PUBLICATION IN WEST’S HAWAI᷾I REPORTS AND PACIFIC REPORTER ***

V. CONCLUSION

For the foregoing reasons, we affirm the Intermediate

Court of Appeals’ April 15, 2024, Judgment on Appeal. The

circuit court’s October 2, 2019, Order Denying Plaintiff’s

Motion Regarding Attorneys’ Fees and Costs Pursuant to the

Private Attorney General Doctrine, filed March 27, 2019, is also

affirmed.

Paul Alston /s/ Mark E. Recktenwald Claire Wong Black

for petitioners /s/ Sabrina S. McKenna

Lauren K. Chun /s/ Todd W. Eddins for respondent

/s/ Vladimir P. Devens

/s/ Jordon J. Kimura

38