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subject property and the purported claim by the Waikoloa Land. We do have the <br />Applicant’s attorney, Mr. Steven Kornberg, present; and, so, if you have specific <br />questions relating to that matter, he’d be more than willing to respond to them. <br />SPRINGER:Is now the time? <br />FUJIKAWA:Yeah, go ahead. Could you kindly raise your right hand? Do you <br />swear to tell the truth on this matter now before the Hawaii Planning Commission? <br />KORNBERG:I do. <br />FUJIKAWA:Can you state your full name and your address, please? <br />KORNBERG:Yes, Steven A. Kornberg, 75-167 Kalani Street, Kailua-Kona, <br />Hawaii. <br />FUJIKAWA:Go ahead. Commissioner Springer, you have a question? <br />SPRINGER:Thank you. Mr. Kornberg, I’m looking at a letter dated <br />January 23, 2004 from Goodsill, Anderson, Quinn and Stifel. Are you familiar with that <br />document? <br />KORNBERG:Yes, I am. <br />SPRINGER:What my concern is, is that Waikoloa Land has advised both the <br />Waikoloa Village Association and Bay Pacific’s consultant, Mr. Fuke, that the Waikoloa <br />Village Association must comply with the applicable deed restrictions. And do you have <br />any comment on that? <br />KORNBERG:Yes, I do, Commissioner Springer. Thank you very much and <br />thank you, Members of the Commission. The history of that use restriction is such that <br />we don’t believe that it’s a valid use restriction affecting this land. The very day, <br />actually, that that deed was recorded, that has that language in it, they also recorded a <br />lease for 20 years to use that very land for a quarry site, which is, in fact, in direct <br />violation of that use restriction. And I think there’ve been other examples of the use by <br />Waikoloa Land when it suits them to Light Industrial uses. You’re not familiar with the <br />law on covenants and use restrictions but basically you can’t have them selective. The <br />person who creates the restriction can’t say this applies to everybody else but me; and <br />when there has been, over time, an ignoring of the use restriction and uses directly in <br />violation of the use restriction, the courts say that you lose the right to enforce that use <br />restriction. From a technical point of view, there’s a Hawaii Supreme Court case that <br />requires, in creating such a restriction, that the benefited parcel be identified; and we <br />don’t believe that the language even complies technically with what’s necessary to create <br />a restriction. But we really believe that the history is such that there is no valid <br />restriction. <br />5 <br /> <br />