Lawsuit filed against Maui Land & Pineapple

The suit alleges that the company has failed to maintain its Honokōhau ditch system.

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Stephanie Salmons

August 23, 20255 min read

TY Management Corp., the owner and operator of the Kapalua Plantation Golf Course and Kapalua Bay Golf Course is a plaintiff in a lawsuit filed this week against Maui Land & Pineapple Co.
TY Management Corp., the owner and operator of the Kapalua Plantation Golf Course and Kapalua Bay Golf Course, is a plaintiff in a lawsuit filed this week against Maui Land & Pineapple Co. This photo was taken Aug. 19. (Alex Nakajima)

A lawsuit filed this week in Maui Circuit Court alleges that Maui Land & Pineapple Co. has failed to maintain its Honokōhau ditch system to the detriment of nearby property owners and businesses.

TY Management Corp., the owner and operator of the Kapalua Plantation Golf Course — where the PGA hosts its annual Sentry Tournament of Champions — and Kapalua Bay Golf Course; Hua Momona Farms LLC; Plantation Estates Lot Owners' Association; Association of Apartment Owners of the Coconut Grove on Kapalua; and the Association of Apartment Owners of the Ridge at Kapalua filed the complaint.

In it, they allege that the Lahaina-based company has violated promises and obligations to the plaintiffs and have "allowed the ditch system to fall into a state of demonstrable disrepair. That disrepair, not any act of God, or force of nature, or other thing, is why users who need it are currently without water."

The suit alleges that non-potable water users in the Kapalua area have been "subject to unprecedented, nearly constant water use restrictions since September 2024. "

The plaintiffs allege also that MLP has claimed that water is scarce because of low precipitation in the Pu‘u Kukui watershed, but assert in the filing that's untrue.

(You can find a July precipitation summary from the National Weather Service here. Year-to-date in Maui County, most sites are at 60% or more of their July average rainfall, it notes, "However, leeward areas and the Maui central valley are still limping along this year so far with only 30% to 50% of their YTD averages)."

"Plaintiffs bring this complaint to compel MLP to do what it should have done, and what it was required to do, from the start — repair, maintain and improve the ditch system for the benefit of all of Kapalua and West Maui's community members who rely upon it," the suit reads.

Hua Momona Farms is a 25-acre farm in Plantation Estates that's supplied water from the water system, owner Gary Grube told Aloha State Daily. On those 25 acres, they use the non-potable irrigation water for produce that's grown outside on about four acres, which goes into free community meals provided by the farm; watering trees planted as a host site for Treecovery Hawai‘i; and sod.

In aggregate, the farm typically uses 100,000 gallons a month and has done so for the last five years, he says.

"This whole thing is about really just getting Maui Land & Pineapple to do something about their commitment, because we just don't have the water that we were expecting," Grube says. "We know that there is enough water coming down the ditch. It's not going where it's supposed to go."

In a statement provided to Aloha State Daily, Honolulu-based TY Management — owned by Japanese billionaire Tadashi Yanai, the CEO of Uniqlo — notes it has been a "community partner on Maui for 15 years and remains committed to supporting residents, cultural practitioners, and local businesses."

"We believe water is a public trust resource that must be managed fairly and transparently. Unfortunately, Maui Land & Pineapple has failed to properly maintain the Honokōhau Ditch, including by ignoring state repair orders from 2019 and 2021," the statement reads. "They've cut water deliveries, raised rates without proper explanation, and continued new development projects — despite claiming water shortages. These actions have increased wildfire risk and disrupted homes, farms, businesses, and even major events like the Sentry PGA Tournament which contributes approximately $48 [million] annual to Maui’s economy.

"TY has invested over $10 million in conservation and alternative water infrastructure and we’ve repeatedly tried to work with MLP to resolve these issues. After repeated attempts with no resolution, we have no choice but to join with other community partners in pursuing legal action to protect fair access and ensure water is managed responsibly."

According to the suit, MLP sold the Plantation course to TY in 2009 and the Bay course in 2010. As part of the purchases, the two organizations executed water delivery agreements, wherein MLP would operate and maintain the ditch system in exchange for payments by TY, the suit contends.

Maui Land and Pineapple was founded in 1909 and today stewards more than 22,000 acres of land, including preservation of the Pu‘u Kukui watershed, and approximately 247,000 square feet of commercial properties.

CEO Race Randle said in a written statement provided to Aloha State Daily that the company is reviewing the complaint filed by the golf courses, "which appears to be a continuation of their efforts to compel the use of water for irrigation during this time when West Maui is experiencing a historic drought."

"Having tried and failed to get the regulatory agencies to force this irresponsible water use, the golf courses, unfortunately, turned to the courts," Randle said. "We are following the clear guidance from the Commission on Water Resources Management [CWRM] to prioritize streamflow and traditional and customary uses, followed by delivery to the County of Maui to provide drinking water for Lahaina. We will continue to follow CWRM’s guidance.”

MLP says that the Hawai‘i Water Service is contracted to operate and maintain the water system, including regular inspections, frequent adjustments to ensure the stream flow levels are being maintained, clearing vegetation and debris, and completing ongoing maintenance on the system components.

MLP says, too, it is incorporating new technology to monitor "stream flow and turbidity conditions."

The company says it has also been making capital improvements — and has the funds to do so. For example, MLP says that in 2023 it finished relining a reservoir that services the Plantation Golf course and Plantation Estates community.

MLP also has implemented remote control and automation upgrades to the systems and completed a study for increased storage capacity along the system.

According to MLP, previous intakes at Honolua Stream and Kaluanui Stream were destroyed by Hurricanes Olivia and Lane, but the state did not permit their restoration, and the Honokohau intake was damaged by the hurricanes and not permitted to be repaired.

The CWRM designated the Lahaina Aquifer sector area as a groundwater and surface water management area in August 2022.

According to a 2019 report from CWRM, the Honokōhau ditch was a jointly funded by MLP and Pioneer Mill Co. It aimed to bring water from the Honokōhau and Honolua watersheds "into drier lands to support pineapple and sugarcane agriculture," but after their closures "water has been diverted by the ditch to support non-potable needs of the Kapalua Resort area ... and the Mahinahina Water Treatment Facility of the Maui Department of Water Supply."

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Stephanie Salmons can be reached at stephanie@alohastatedaily.com.

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Stephanie Salmons

Senior Reporter

Stephanie Salmons is the Senior Reporter for Aloha State Daily covering business, tourism, the economy, real estate and development and general news.