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State of Hawaii Security Deposit Law

Section 521-44

(a)  As used in this section "security deposit" means money, and
shall include all interest accrued thereon, deposited by or for the
tenant with the landlord to be held by the landlord to:
     (1)  Remedy tenant defaults for accidental or intentional
damages resulting from failure to comply with section 521-51, for
failure to pay rent due, or for failure to return all keys furnished 
by the landlord at the terminatintal agreement so as to place the condition of
the dwelling unit in as fit a condition as that which the tenant
entered into possession on of the rental agreement;
     (2)  Clean the dwelling unit or have it cleaned at the
termination of the reof the dwelling unit; and
     (3)  Compensate for damages caused by a tenant who wrongfully
quits the dwelling unit.
(b)  The landlord may require as a condition of a rental agreement a
security deposit to be paid by or for the tenant for the items in
subsection
(a) and no others, in an initial amount not in excess of a sum equal 
to one month's rent.  The landlord may not require or receive from
or on behalf of a tenant at the beginning of a rental agreement any
money other than the money for the first month's rent and a security 
deposit as provided in this section.  The security deposit shall not 
be construed as payment of the last month's rent by the tenant,
unless mutually agreed upon, in writing, by the landlord and tenant
if the tenant gives forty-five days' notice of vacating the
premises; in entering such agreement, the landlord shall not be
deemed to have waived the right to pursue legal remedies against the 
tenant for any damages the tenant causes.  Any such security deposit 
shall be held by the landlord for the tenant and the claim of the
tenant to the security deposit shall be prior to the claim of any
creditor of the landlord, including a trustee in bankruptcy, even if 
the security deposits are commingled.
 Interest shall be paid by the landlord on the entire amount of the
 security deposit at the rate of 5 per cent a year simple interest
and shall be calculated from the latest of the following dates:
     (1)  From the date the security deposit is paid by the tenant;
or
     (2)  From the date of this Act; whichever is later.
(c)  At the termination of a rental agreement in which the landlord
required and received a security deposit, the landlord shall notify
the tenant, in writing, as to the amount of interest accrued, and if
the landlord proposes to retain any amount of the security deposit
for any of the purposes specified in subsection (a), the landlord
shall so notify the tenant, in writing, unless the tenant had
wrongfully quit the dwelling unit, together with the particulars of
and grounds for the retention, including written evidence of the
costs of remedying tenant defaults, such as estimates or invoices
for material and services or of the costs of cleaning, such as
receipts for supplies and equipment or charges for cleaning
services.  The security deposit, or the portion of the security
deposit remaining after the landlord has claimed and retained
amounts authorized under this section, if any, shall be returned to
the tenant not later than fourteen days after the termination of the
rental agreement.  If the landlord does not furnish the tenant with
the written notice and other information required by this
subsection, within fourteen days after the termination of the rental
agreement, the landlord shall not be entitled to retain the security 
deposit or any part of it, and the landlord shall return the entire
amount of the security deposit to the tenant.  A return of the
security deposit or the furnishing of the written notice and other
required information in compliance with the requirements of this
subsection shall be presumptively proven if mailed to the tenant, at 
an address supplied to the landlord by the tenant, with acceptable
proof of mailing and postmarked before midnight of the fourteenth
day after the date of the termination of the rental agreement or if
there is an acknowledgment by the tenant of receipt within the
fourteen-day limit.  All actions for the recovery of a landlord's
complete or partial retention of the security deposit shall be
instituted not later than one year after termination of the rental
agreement.

Section 521-66 Tenant's right to refund of rent, etc., on
termination; return of security deposit. When a tenant exercises a
right to terminate the rental agreement pursuant to section 521-62,
521-63, or 521-65 the landlord shall return to the tenant, not later 
than fourteen days after the termination, the amount of any advance
rentpaid apportionable to the remaining days of the term and the
amount of any security deposit including any accrued interest that
thelandlord is not authorized to retain pursuant to section 521-44.
A return of advance rent or of a security deposit complies with the
requirements of this section if it is mailed to the tenant, at an
address supplied to the landlord by the tenant, by certified mail,
return receipt requested, and postmarked before midnight of the
fourteenth day after the date of the termination of the rental
agreement.