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Published on February 11, 2025
Hawaiʻi Supreme Court Greenlights $4 Billion Settlement for Maui Wildfire Victims, State Triumphant Over InsurersSource: Wikipedia/Coolcaesar, CC BY-SA 4.0, via Wikimedia Commons

The Hawaiʻi Supreme Court has unanimously ruled to allow a $4 billion wildfire litigation settlement to proceed, favoring the state of Hawaiʻi and Maui fire victims over insurance companies. The insurers had been attempting to assert their right to subrogation, aiming to recover what they paid out for the fire damages. However, the court upheld that under HRS 663-10, the insurers are to seek reimbursement from the insured, not the settlement funds designated for the victims.

Following the decision, Hawaiʻi Governor Josh Green expressed his approval, stating “As Governor of Hawai‘i, I welcome the state Supreme Court’s unanimous decision to uphold the $4 billion Maui wildfire settlement. We reached this historic settlement for the wildfire survivors on Maui through a collaborative effort to do what is right (pono), for our people, consistent with our values.” he told the Office of the Governor. The settlement was achieved in a year, a notable turnaround compared to the expected five or more years.

The ruling is a significant development for those affected by the Maui wildfires, ensuring that the settlement monies are to be swiftly directed to the people who suffered losses in the disaster. The decision was further welcomed by the state Attorney General Anne Lopez, who emphasized the importance of this milestone in a statement obtained by the Office of the Governor: "We are very pleased that this hurdle to resolving the claims of the fire victims has been cleared."

After the ruling, Governor Green highlighted his commitment to continued recovery efforts, “Going forward I will continue to work with all parties, including those who opposed the settlement, to expedite our critical recovery as a people and a state.” The case now moves back to the Circuit Court of the Second Circuit for further proceedings, as per the Office of the Governor.