Marn v. McCully Associates - Hawaii Intermediate Court of Appeals
Summary
The Hawaii Intermediate Court of Appeals has issued a summary disposition order in the case of Marn v. McCully Associates. This order addresses appeals from final judgments and related orders entered by the Circuit Court of the First Circuit concerning partnership and corporate matters.
What changed
This document is a summary disposition order from the Hawaii Intermediate Court of Appeals in the case of Marn v. McCully Associates, involving disputes related to McCully Associates, a Hawaii registered limited partnership, and its general partner, Ala Wai Investment, Inc. The appeal stems from final judgments and orders entered by the Circuit Court of the First Circuit in April 2023. The order is designated as 'NOT FOR PUBLICATION' in West's Hawaiʻi Reports and Pacific Reporter.
This filing represents a judicial decision on an appeal, not a regulatory change impacting regulated entities directly. Compliance officers should note this as a legal proceeding that may set precedents or clarify legal interpretations relevant to partnership disputes. No immediate compliance actions or deadlines are imposed on external parties by this specific court order.
Source document (simplified)
Jump To
Support FLP
CourtListener is a project of Free
Law Project, a federally-recognized 501(c)(3) non-profit. Members help support our work and get special access to features.
Please become a member today.
March 17, 2026 Get Citation Alerts Download PDF Add Note
Marn v. McCully Associates
Hawaii Intermediate Court of Appeals
- Citations: None known
Docket Number: CAAP-23-0000389
Combined Opinion
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
Electronically Filed
Intermediate Court of Appeals
CAAP-XX-XXXXXXX
17-MAR-2026
08:43 AM
Dkt. 371 SO
NOS. CAAP-XX-XXXXXXX AND CAAP-XX-XXXXXXX
IN THE INTERMEDIATE COURT OF APPEALS
OF THE STATE OF HAWAI‘I
CAAP-XX-XXXXXXX
JAMES YEE MARN, JR., as a limited partner of McCULLY ASSOCIATES,
a Hawaii registered limited partnership,
for and on behalf of McCULLY ASSOCIATES
and its limited partners, Plaintiff-Appellee,
v.
McCULLY ASSOCIATES, a Hawaii registered limited partnership;
ALA WAI INVESTMENT, INC., a Hawaii corporation,
as general partner of McCULLY ASSOCIATES, Defendants-Appellees;
and ALEXANDER Y. MARN, individually
and as officer and agent for ALA WAI INVESTMENT, INC.,
Defendant-Appellant, and
ERIC MARN, individually and as officer and agent for
ALA WAI INVESTMENT, INC., Defendant-Appellee,
and JOHN DOES 1-10; JANE DOES 1-10; DOE PARTNERSHIPS 1-10;
DOE CORPORATIONS 1-10; and DOE ENTITIES 1-10, Defendants.
(CASE NO. 1CC980005371)
AND
CAAP-XX-XXXXXXX
IN RE MARN FAMILY LITIGATION
(MASTER CASE FILE NO. 1CC001000MFL)
APPEAL FROM THE CIRCUIT COURT OF THE FIRST CIRCUIT
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
SUMMARY DISPOSITION ORDER
(By: Leonard, Presiding Judge, McCullen and Guidry, JJ.)
In this consolidated appeal, self-represented
Defendant-Appellant Alexander Y. Marn appeals from the Circuit
Court of the First Circuit's final judgments entered on April 3,
2023, April 5, 2023, and April 20, 2023 and related orders. 1
1 In CAAP-XX-XXXXXXX, Marn appeals from the following in 1CC980005371,
also referred to as the Judicial Accounting Case:
(1) April 3, 2023 "Order Denying Defendant Alexander Y. Marn, as
Trustee of the Revocable Living Trust Agreement of Alexander Y. Marn and
Alexander Y. Marn, an Individual's, Request for Authorization to File:
Complaint for Declaratory Relief, Specific Performance, Injunctive Relief,
Other Equitable Remedies and Other General Principles of Equity, Filed
December 8, 2022 [Dkt. 1800] and Amended Request Filed December 23, 2022
[Dkt. 1812]" (April 3, 2023 Order Denying Request to File Complaint);
April 3, 2023 Final Judgment based on the April 3, 2023 Order Denying Request
to File Complaint entered pursuant to Hawaiʻi Rules of Civil Procedure (HRCP)
Rules 54(b) and 58; and July 31, 2023 "Order Denying Defendant Alexander Y.
Marn, as Trustee of the Revocable Living Trust Agreement of Alexander Y. Marn
and Alexander Y. Marn, an Individual's, Motion for Reconsideration Under HRCP
Rule 59(e) of Dkts. 1958, 1960 and 1962, Filed April 3, 2023, Filed on
April 12, 2023 [Dkt. 1968]" (July 31, 2023 Order Denying Motion for
Reconsideration). (Formatting altered.) The Honorable John M. Tonaki
presided.
(2) April 5, 2023 "Order Granting Successor Liquidating Receiver
S. Steven Sofos' Motion to Approve His Final Report and for Entry of Final
Judgment, Filed December 19, 2022 [Dkt. 1804]" (April 5, 2023 Order Approving
Final Report); April 5, 2023 Final Judgment entered pursuant to HRCP
Rule 54(b) regarding the April 5, 2023 Order Approving Final Report and "all
prior orders filed in this proceeding not already made final"; and June 23,
2023 "Order Denying Defendant Alexander Y. Marn, as Trustee of the Revocable
Living Trust Agreement of Alexander Y. Marn and Alexander Y. Marn, an
Individual's, Motion for Reconsideration Under HRCP Rule 59(e) of Orders
Granting Final Report and Final Judgment, Filed December 19, 2022 Filed
April 5, 2023 [Dkts. 1964 and 1966], Filed April 17, 2023 [Dkt. 1981]"
(June 23, 2023 Order Denying Motion for Reconsideration). (Formatting
altered.) The Honorable James H. Ashford presided.
(3) April 20, 2023 "Order Denying Defendant Alexander Y. Marn, as
Trustee of the Revocable Living Trust Agreement of Alexander Y. Marn and
Alexander Y. Marn, an Individual's, Motion for Reconsideration of the Order
Denying Alexander Y. Marn's Expedited Motions to: (1) Amend Order on Defense
of Fees [Dkt. 1796]; (2) Reconsider Order on Defense of Fees [Dkt. 1796];
(3) Vacate All Orders Granting Fee Applications Prior to November 29, 2022;
(4) Disgorge the Liquidating Receiver; (5) Direct the Liquidating Receiver to
(continued . . .)
2
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
Marn also appeals from the circuit court's June 21, 2024 order
denying his motion to dissolve his designation as a vexatious
litigant. 2
We note that Marn's opening briefs do not comply with
Hawaiʻi Rules of Appellate Procedure (HRAP) Rule 28.
Nonetheless, we address the issues raised in Marn's opening
briefs to the extent we can discern. See, e.g., Marvin v.
Pflueger, 127 Hawaiʻi 490, 496, 280 P.3d 88, 94 (2012).
To the extent we can discern, Marn appears to
challenge (1) his designation as a vexatious litigant, (2) the
denial of his requests for authorization to file a complaint and
other documents, (3) the denial of his request to reconsider
(. . . continued)
Calculate the Amount Due to McCully Associates; and (6) Appoint a Special
Master, Filed December 21, 2022 [Dkt. 1810], Filed February 8, 2023
[Dkt. 1886], Filed February 16, 2023 [Dkt. 1894]" (April 20, 2023 Order
Denying Motion for Reconsideration of Order Denying Expedited Motions);
April 20, 2023 Final Judgment based on the April 20, 2023 Order Denying
Motion for Reconsideration of Order Denying Expedited Motions entered
pursuant to HRCP Rule 54(b); and June 23, 2023 "Order Denying Defendant
Alexander Y. Marn, as Trustee of the Revocable Living Trust Agreement of
Alexander Y. Marn and Alexander Y. Marn, an Individual's, Motion for
Reconsideration Under HRCP Rule 59(e) of the" April 20, 2023 Order Denying
Motion for Reconsideration of Order Denying Expedited Motions and "Final
Judgment, Filed April 20, 2023 [Dkt. 1985], Filed May 1, 2023 [Dkt. 2005]"
(June 23, 2023 Order Denying Motion for Reconsideration of the April 20, 2023
Order Denying Motion for Reconsideration of Order Denying Expedited Motions).
(Formatting altered.) Judge Ashford entered the April 20, 2023 Final
Judgment.
2 In CAAP-XX-XXXXXXX, Marn appeals from the circuit court's June 21,
2024 "Order Denying Alexander Y. Marn's Motion to (1) Dissolve and Vacate the
Order Granting Liquidating Receiver's Motion to Declare Alexander Y. Marn a
Vexatious Litigant, Filed June 7, 2012, Filed July 30, 2012 [Dkt. 3204]; and
(2) Dissolve, Vacate, and/or Modify Related Orders," entered in 1CC001000MFL,
which is the Marn Family Litigation Master File. The Honorable Shirley M.
Kawamura entered this order.
3
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
sixty-four prior orders that awarded fees to the court-appointed
Liquidating Receiver, and (4) decisions in prior appeals.
Upon careful review of the record and the briefs
submitted by the parties, and having given due consideration to
the issues raised and the arguments advanced, we resolve the
points of error as discussed below and affirm.
(1) We first address Marn's argument in CAAP-24-
0000481 that the circuit court erred in denying his motion to
dissolve his vexatious litigant designation.
On May 17, 2024, Marn moved to dissolve his vexatious
litigant designation based on Hawaiʻi Rules of Civil Procedure
(HRCP) Rules 60(b)(4) and 60(b)(5), which the circuit court
denied.
"[U]nder HRCP Rule 60(b)(4), an order is void only if
the court that rendered it lacked jurisdiction of either the
subject matter or the parties or otherwise acted in a manner
inconsistent with due process of law." James B. Nutter & Co. v.
Namahoe, 153 Hawaiʻi 149, 162, 528 P.3d 222, 235 (2023) (internal
quotation marks and citation omitted). Marn, however, does not
argue that the circuit court lacked subject matter jurisdiction
or that he was denied due process.
Under HRCP Rule 60(b)(5), the court may relieve a
party from an order if "the judgment has been satisfied,
released, or discharged, or a prior judgment upon which it is
4
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
based has been reversed or otherwise vacated, or it is no longer
equitable that the judgment should have prospective
application[.]" Marn does not directly address HRCP
Rule 60(b)(5), and the continuing prohibition on filing
frivolous lawsuits itself does not justify relief from a
vexatious litigant order. See Ek v. Boggs, 102 Hawaiʻi 289, 298,
75 P.3d 1180, 1189 (2003) (explaining that a prefiling order
"does not deny the vexatious litigant access to the courts, but
operates solely to preclude the initiation of meritless lawsuits
and their attendant expenditures of time and costs," and
"[p]reventing the filing of a frivolous and vexatious document
'deprives a litigant of nothing at all, except perhaps the
punishment of [HRCP Rule] 11 sanctions'" (some brackets and
citations omitted)).
Marn also appears to challenge the merits of the
original vexatious determination. This is improper, because
Marn did not appeal the 2012 order declaring him a vexatious
litigant.
Thus, the circuit court did not err in denying Marn's
motion to dissolve his vexatious litigant designation.
(2) Turning to CAAP-XX-XXXXXXX, Marn's appeal from
orders entered in 1CC980005371, otherwise referred to as the
Judicial Accounting Case, challenges the "Final Judgment Re:
Request for Authorization to File Complaint for Declaratory
5
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
Relief Against the Liquidating Receiver." 3 Marn appears to argue
that the circuit court erred by denying his December 2022
requests for authorization to file a complaint and other
documents.
As discussed above, Marn was designated a vexatious
litigant in 2012. Hawaiʻi Revised Statutes (HRS) § 634J-7(a)
(1993) "prohibits a vexatious litigant from filing any new
litigation in the courts of this State on the litigant's own
behalf without first obtaining leave of the presiding judge."
Subsection (b) states that "[t]he presiding judge shall permit
the filing of litigation only if it appears, after hearing, that
the litigation has merit and has not been filed for the purposes
of harassment or delay." HRS § 634J-7(b) (1993).
Marn requested authorization to file a complaint,
essentially asserting that "funds in the Interest Account were
improperly and illegally released to the Liquidating Receiver
because the Original Holdback Escrow Agreement's and the Amended
and Restated Holdback Escrow Agreement's definition of
'litigation' includes all litigation in the In Re Marn Family
Litigation, and that litigation has not been completed."
(Footnote omitted.)
3 Marn appears to refer to the circuit court's April 3, 2023 Final
Judgment based on the April 3, 2023 Order Denying Request to File Complaint.
6
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
The circuit court found that Marn's proposed complaint
sought to relitigate the funds released to the Liquidating
Receiver:
After a review of the record, the Court cannot
find that Mr. Marn's proposed complaint has not been filed
for the purposes of harassment and delay and cannot find
that the proposed complaint has merit.The receivership was formed over twenty years
ago.Mr. Marn seeks to litigate the release of
escrowed funds to the [Liquidating] Receiver. Such release
was already approved by the court, Judge James Ashford
presiding, and the funds are under court supervision.Mr. Marn argues that it was error under the
Amended and Restated Holdback Agreement between First
American Title Co. and the [Liquidating] Receiver for
escrowed funds to have been released to the [Liquidating]
Receiver. However, Mr. Marn lacks standing to make such a
claim and has not suffered damages.
The circuit court's findings are supported by the
record. On November 29, 2022, the circuit court rejected Marn's
"objection that the Liquidating Receiver and his attorneys
should not be paid because they improperly attempted to obtain
funds held in escrow by First American Title Company, Inc.,"
stating it did "not find anything improper in the effort by the
Liquidating Receiver to obtain the release of escrowed funds."
In addition, Marn's prayer for relief in the proposed
complaint sought to raise issues regarding the Liquidating
Receiver's sale of McCully Shopping Center, which was affirmed
in In re Marn Family Litigation, 136 Hawaiʻi 374, 362 P.3d 807,
No. CAAP-XX-XXXXXXX, 2015 WL 8547300 (App. Dec. 11, 2015) (SDO),
7
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
and Marn does not justify seeking to name defendants that do not
appear to be involved in the alleged conduct.
Thus, the circuit court did not err by denying Marn's
December 2022 requests for authorization to file a complaint and
other documents.
(3) Next, Marn challenges the "Final Judgment Re:
Fees Charged by the Liquidating Receiver for preparing and
defending fee applications." 4 Marn appears to argue that the
circuit court erred by denying his request to reconsider sixty-
four prior orders, entered between 2003 and 2022, that awarded
fees to the court-appointed Liquidating Receiver.
Marn objected to the Liquidating Receiver's request
for attorneys' fees to prepare and defend its sixty-sixth fee
application.
Although the circuit court denied the attorneys' fees
for work on the sixty-sixth fee application, the circuit court
found that "this is the first time Mr. Marn has raised the
defense of fees issue" and concluded that any challenge to the
previous fees were waived:
- The Court makes makes [sic] its ruling only with respect to the 66th Application and rejects Mr. Marn's request to review prior fee and cost applications. Mr. Marn raised for the first time in opposition to the 66th Application his objection to compensating the [Liquidating] Receiver's attorneys for fees on fees based on the Otaka cases. The Court does not want to go back and review 64 fee applications. If the defense of fees issue has not arisen before, the argument has been waived.
4 Marn appears to refer to the circuit court's April 20, 2023 Final
Judgment based on the April 20, 2023 Order Denying Motion for Reconsideration
of Order Denying Expedited Motions entered pursuant to HRCP Rule 54(b).
8
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
Ultimately, the circuit court disallowed a portion of the
attorney fees billed "to prepare and defend the portion of the
65th and 66th fee applications seeking recovery of attorneys' fees
. . . ." Marn moved for reconsideration of the sixty-four prior
fee orders.
Marn, however, fails to identify where in the record
he timely objected to any of the prior sixty-four fee
applications. See Lanai Co. v. Land Use Comm'n, 105 Hawaiʻi 296,
309 n.31, 97 P.3d 372, 385 n.31 (2004) ("This court is not
obligated to sift through the voluminous record to verify an
appellant's inadequately documented contentions."); Kamaka v.
Goodsill Anderson Quinn & Stifel, 117 Hawaiʻi 92, 104, 176 P.3d
91, 103 (2008) ("Reconsideration is not a device to relitigate
old matters or to raise arguments or evidence that could and
should have been brought during the earlier proceeding.")
(citation omitted)).
Without identifying where in the record he timely
objected, we cannot say the circuit court erred by determining
Marn waived any challenge to the sixty-four prior fee orders.
(4) Finally, Marn challenges the "Final Judgment Re:
Entire Case." 5
5 Marn appears to refer to the circuit court's April 5, 2023 Final
Judgment entered pursuant to HRCP Rule 54(b) regarding the April 5, 2023
Order Approving Final Report.
9
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
Marn, however, appears to advance various arguments
that were addressed in prior appeals. Marn asserts the circuit
court "erred in dissolving Ala Wai Investment, Inc. and McCully
Associates"; "erred when it ordered the Judicial Accounting
trial to be held before the Buyout trial"; and "erred in
granting Plaintiffs' request for a liquidating receiver and a
judicial accounting which resulted in Marn and Eric Marn being
unfairly deprived of their companies [Ala Wai Investment, Inc.]
and McCully Associates and millions of dollars in
distributions." We disregard these assertions as they pertain
to matters addressed in prior appeals.
Marn also asserts that "[t]he jury's decision in the
Buyout Case affects the distributions in the Judicial Accounting
Case" and makes various assertions related to the role of the
Liquidating Receiver. Marn, however, provides no legal
authority and provides no discernible argument. HRAP
Rule 28(b)(7) (providing that the argument must contain "the
contentions of the appellant on the points presented and the
reasons therefor, with citations to the authorities, statutes
and parts of the record relied on").
And Marn asserts that "[t]he holding in Lee v. Aiu[ 6]
applies to the consolidated Buyout Case and the Judicial
Accounting Case because they are part of the 'same case[]'" and
6 Marn appears to cite Lee v. Aiu, 85 Hawaiʻi 19, 936 P.2d 655 (1997)
but provides no citation.
10
NOT FOR PUBLICATION IN WEST'S HAWAIʻI REPORTS AND PACIFIC REPORTER
"[t]he distributions should be reversed or adjusted based on the
subsequent Jury Verdict in the Buyout trial." But Marn provides
no argument at all. HRAP Rule 28(b)(7) ("Points not argued may
be deemed waived.").
Based on the foregoing, we affirm the circuit court's
final judgments entered on April 3, 2023, April 5, 2023, and
April 20, 2023, and related orders in CAAP-XX-XXXXXXX. We also
affirm the June 21, 2024 order denying Marn's motion to dissolve
his vexatious litigant designation in CAAP-XX-XXXXXXX.
DATED: Honolulu, Hawaiʻi, March 17, 2026.
On the briefs: /s/ Katherine G. Leonard
Presiding Judge
Alexander Y. Marn,
Self-represented Defendant- /s/ Sonja M.P. McCullen
Appellant. Associate Judge
Lyle M. Ishida, /s/ Kimberly T. Guidry
(Tom Petrus & Miller), Associate Judge
for Plaintiff-Appellee
James Y. Marn, Jr.,
Individually and as Trustee
of the James Marn, Jr. Family
Partnership Trust.
Steven Guttman,
(Kessner Umebayashi Bain &
Matsunaga),
for Plaintiff-Appellee
James K.M. Dunn, as
Successor Trustee of the
Annabelle Y. Dunn Trust,
Dated June 18, 1991.
Louise K.Y. Ing,
Laura P. Moritz,
(Dentons),
for Liquidating Receiver-
Appellee S. Steven Sofos.
11
Related changes
Source
Classification
Who this affects
Taxonomy
Browse Categories
Get Courts & Legal alerts
Weekly digest. AI-summarized, no noise.
Free. Unsubscribe anytime.
Get alerts for this source
We'll email you when Hawaii Intermediate Court of Appeals publishes new changes.