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Can I sell products or services online without violating e-commerce laws in Hawaii? What are the requirements?
Selling Products or Services Online in Hawaii
If you plan to sell products or services online in Hawaii, you must comply with the state’s e-commerce laws. Here are some requirements you need to consider:
- Business Registration: You must register your business with the Hawaii Department of Commerce and Consumer Affairs (DCCA) Business Registration Division [4.2].
- Sales Tax: You must collect and remit sales tax on all taxable sales made to customers in Hawaii. The current general excise tax rate is 4.5% [1.1].
- False Labeling: You must not falsely label any products, including Hawaii-grown coffee, with regard to the geographic origin of the product. Doing so is a class C felony [1.1].
- Trademark Counterfeiting: You must not knowingly sell any items bearing or identified by a counterfeit mark. Doing so is a class C felony [1.3].
- Deceptive Business Practices: You must not engage in any deceptive business practices, such as using false weights or measures, selling less than the represented quantity of any commodity or service, or selling adulterated or mislabeled commodities. Doing so is a misdemeanor [1.4].
- Trade Name Registration: If you plan to use a trade name or mark, you must register it with the Hawaii Department of Commerce and Consumer Affairs (DCCA) Business Registration Division. If your trade name or mark infringes upon the common law rights of another person or entity, your registration may be revoked [7.1].
- International Matchmaking Organizations: If you are an international matchmaking organization doing business in Hawaii, you must comply with specific requirements related to criminal record and marital history information [4.3].
In addition to the above requirements, there are some other e-commerce laws in Hawaii that you should be aware of:
- Antitrust Laws: No provision of the e-commerce laws shall repeal, modify, or supersede, directly or indirectly, any provision of chapter 480 [2.1].
- Sale of Adult Entertainment Products: If you are selling adult entertainment products on premises open to the general public, you must obscure the adult entertainment products from view from any location off the premises, segregate the adult entertainment products from other products sold on the premises, and obscure the adult entertainment products from view from any location on the premises where other products are sold by use of a curtain, screen, or other device [3.1].
- Jurisdiction: An international matchmaking organization shall be deemed to be doing business in Hawaii if it contracts for matchmaking services with a Hawaii resident or is considered to be doing business under any other law of this State [4.1].
- Distribution of Products: No distributor shall sell, consign, exchange, or otherwise transfer any product to any dealer for sale or resale in this State except by way of a dealership [2.2].
- False Advertising: You must not make or cause to be made a false or misleading statement in any advertisement addressed to the public or to a substantial number of persons. Doing so is a misdemeanor [1.2].
In summary, to sell products or services online in Hawaii, you must register your business, collect and remit sales tax, avoid false labeling and trademark counterfeiting, avoid deceptive business practices, register your trade name or mark, and comply with specific requirements if you are an international matchmaking organization. Additionally, you must comply with antitrust laws, sale of adult entertainment products, jurisdiction, distribution of products, and false advertising laws in Hawaii.
[1.1]: HIRS 708-871.5 [4.2]: HIRS 489N-1 [4.3]: HIRS 489N-2 [1.3]: HIRS 708-875 [1.4]: HIRS 708-870 [7.1]: HIRS 482-8 [2.1]: HIRS 481G-8 [3.1]: HIRS 489X-1 [4.1]: HIRS 489N-3 [2.2]: HIRS 481G-3 [1.2]: HIRS 708-871
Source(s):
- [1.1] False labeling of Hawaii-grown coffee.
- [2.1] Antitrust laws.
- [3.1] Sale of adult entertainment products; view.
- [4.1] Jurisdiction.
- [2.2] Distribution of products; dealership required.
- [4.2] Definitions.
- [1.2] False advertising.
- [4.3] Dissemination of criminal record and marital history information.
- [1.3] Trademark counterfeiting.
- [1.4] Deceptive business practices.
- [7.1] Revocation of trade name registration.
Jurisdiction
Hawaii