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Kaho'ohanohano v. State Page 6 of 46
<br /> On July 2, 2002, the State filed a motion to dismiss Plaintiffs' complaint on the grounds that(1)Plaintiffs lacked
<br /> standing; (2)the action was not ripe for adjudication; (3)the claim for declaratory relief was moot; and (4)the action
<br /> involved a non justiciable political question. Intervenor Defendant-Appellee/Cross-Appellant/Cross-Appellee City
<br /> and County of Honolulu (Honolulu County) and Additional Defendants-Appellees/Cross-Appellees/Cross-Appellants
<br /> County of Kauai (Kauai County), County of Maui (Maui County), and County of Hawaii (Hawaii County)joined the
<br /> State's motion.
<br /> On July 29, 2002, Plaintiffs filed a motion to certify the class they represented, which the court subsequently granted
<br /> on March 14, 2003.
<br /> On August 28, 2002, Honolulu County moved to intervene as a defendant and its motion was subsequently granted by
<br /> the court.
<br /> On October 1, 2002, Plaintiffs filed their First Amended Complaint in order to include two additional class
<br /> representatives, Efhan and Caravalho.
<br /> Also on October 1, 2002, Plaintiffs filed two separate motions for partial summary judgment. The first motion sought
<br /> a declaratory judgment that Act 100 violated article XVI, section 2, and was therefore unconstitutional. The second
<br /> motion requested an order declaring that Act 100 breached the contractual rights with respect to the ERS.
<br /> B.
<br /> On October 8, 2002, Honolulu County filed a motion to join Trustees as a "necessary additional party" and/or in
<br /> substitution of Plaintiffs as the real party in interest, and sought an order of joinder of Kauai County, Maui County,
<br /> and Hawaii County as additional defendants.
<br /> On November 15, 2002, Trustees moved to intervene. Also on November 15, the court held a hearing and orally
<br /> granted Honolulu County's motion as to the joinder of Kauai County, Maui County, and Hawaii County as additional
<br /> defendants and Trustees' motion to intervene.
<br /> On December 17, 2002, Plaintiffs filed a motion for leave to file a second amended complaint to add breach of
<br /> contract claims against the counties, which was orally granted on January 10, 2003.
<br /> On December 31, 2002, Honolulu County filed a motion to dismiss Plaintiffs as not being the real party in interest.
<br /> Kauai County, Maui County, and Hawaii County joined Honolulu County's motion.
<br /> On January 7, 2003, an order granting in part and denying in part Honolulu County's October 8, 2002 motion was
<br /> filed, and Kauai County, Maui County, and Hawaii County were joined as parties.
<br /> On January 10, 2003, the State filed a motion for summary judgment against Plaintiffs and Trustees on the grounds
<br /> that Plaintiffs' claims against the State were barred by (1)the doctrine of sovereign immunity and (2)the two-year
<br /> statute of limitations set forth in HRS § 661-5 (1993); and (3) as a matter of law, Act 100 was constitutional and
<br /> Plaintiffs cannot establish that the act is contrary to or violative of article XVI, section 2 of the Hawaii Constitution.
<br /> The State also argued that it was entitled to summary judgment because Plaintiffs were not employees of the State
<br /> and, therefore, lacked privity of contract with the State.
<br /> On January 28, 2003, Trustees filed their complaint against the State challenging the constitutionality of Act 100 and
<br /> alleging that the act unlawfully diminished and impaired ERS funds, risked the actuarial soundness of the ERS, denied
<br /> the ERS members protection of the funds, and interfered with the discretion of Trustees in the investment and
<br /> reinvestment of ERS funds.
<br /> C.
<br /> On February 27, 2003, the court held a hearing on the State's July 2, 2002 motion to dismiss, and Honolulu County's
<br /> December 31, 2002 motion to dismiss. With respect to the State's motion, the court stated:
<br /> http://www.state.hi.us/jud/opinions/sct/2007/26178.htm 8/12/2008
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