MLP Files Countersuit Against Kapalua Golf Courses and Luxury Homes
Suit seeks to set the record straight regarding false accusations and misinformation on water use and drought conditions
KAPALUA, HI (Sept. 23, 2025) - Rather than work collaboratively with Maui Land & Pineapple Company, Inc. (NYSE: MLP), Plaintiffs chose litigation. TY Management, owner of the Kapalua golf courses, chose false claims. Through its counterclaim, MLP will set the record straight.
“The problem is not MLP’s system; the problem is there has not been enough rain in the past year to supply stream water to all off-stream users in West Maui. State law is clear: Public trust uses, such as in-stream flows and drinking water, take priority over private irrigation. False claims and smear campaigns will not deter us from following state guidance or distract us from collaborating on long-term water solutions for generations to come.” – Race Randle, CEO, Maui Land & Pineapple Company
Excerpts of MLP Countersuit
- West Maui is experiencing a historic drought.
- There is not enough water for all users.
- Under Hawai‘i law, public trust uses, such as in-stream flows and drinking water, have priority over watering the lawns of luxury estates and resort homes, and golf courses.
- The Hawai‘i Commission on Water Resource Management sets the standard for the amount of water that must remain in the stream.
- Ignoring the priorities set by Hawai‘i law, TY and the Associations took water prioritization into their own hands.
- When asked to conserve, they put their irrigation needs first, knowingly using millions of gallons of water meant for fire protection for the entire Kapalua community.
- As TY and the Associations rushed to use water, they also took water from each other and thereby caused each other and Hua Momona Farms the very injuries for which they blame MLP.
- Adding insult to manufactured injury, after ignoring irrigation restrictions for months, TY suddenly began following them.
- Once it stopped improperly using water, TY took pictures of browning grass, curated a narrative for a defamatory publicity campaign and filed a lawsuit made more of media soundbites than legal substance.
- The truth is that between reduced rainfall and governmental restrictions to protect public trust uses, there is less water available for commercial private uses, including for TY’s and the Associations’ irrigation.
- The truth is that the reduction in water available to TY, the Associations and Hua Momona Farms is not due to any failure to maintain the ditch system.
- MLP has appropriately maintained the system, despite operational losses and TY’s efforts to avoid paying its fair share for the water that it uses…
READ MORE: MLP's Answer and Counterclaims
Randle added, “They used water that they were not entitled to — at the expense of our community. They prioritized lawns and putting greens over fire protection and people, putting our whole community at risk.”
Overview of Counterclaims
TY’s breach of contracts and its implied duty of good faith and fair dealing
TY breached the non-potable water delivery agreements between it and MLP, including by violating irrigation use restrictions that protect public trust purposes and fire protection for the entire Kapalua community. By overconsuming, TY also took water from the Associations and Hua Momona Farms.
Despite Tier 4 restrictions prohibiting all irrigation, sprinklers ran on the Kapalua golf courses on June 25, 2025. That month, the courses consumed more than 11 million gallons of water — compared with just 80,000 for Maui County drinking water — while MLP’s agricultural tenants used none.
“Securing Maui’s water future will take all of us doing our part. We need water solutions that benefit the broader community, not just a few wealthy individuals. The golf courses had a chance to secure their own irrigation water after they were granted an easement by MLP to do so over 15 years ago. Now, they try to deflect blame for their years of inaction and overconsumption during a historic drought.” – Race Randle, CEO, Maui Land & Pineapple Company
Conversion
In disregard of prioritized uses, including fire protection, TY took more water than it is entitled to, even during drought conditions.
Defamation
When TY’s demands to prioritize its golf courses were not met, TY made false and defamatory statements about MLP with the intent of discrediting MLP, going so far as to blame MLP for the PGA cancelling the Sentry golf tournament.
Negligence and Public Nuisance
TY breached its duty to not interfere with the health and safety of the Kapalua community by responsibly reducing its water use during drought conditions. TY failed to prepare for drought conditions—TY negotiated easements from MLP to develop its own well source and storage over 15 years ago, yet failed to develop. The Associations breached their duty to not interfere with the health and safety of the Kapalua community by responsibly reducing their water use during drought conditions. TY’s and the Associations’ overconsumption and failures to respect water restrictions during drought conditions jeopardized fire protection for the entire Kapalua community and increased the risk of fire.
By their overconsumption, TY and the Associations also took water from each other and Hua Momona Farms thereby causing each other harm.
About Maui Land & Pineapple Company, Inc.
Maui Land & Pineapple Company, Inc. (NYSE: MLP) is dedicated to the thoughtful stewardship of its portfolio, including over 22,000 acres of land along with approximately 247,000 square feet of commercial real estate. The Company envisions a future where Maui residents thrive in more resilient communities with sufficient housing supply, economic stability, food and water security, and deep connections between people and place. For over a century, MLP has built a legacy of thoughtful stewardship through conservation, agriculture, community building, and land management. The Company continues this legacy today with a mission to thoughtfully maximize the productive use of its assets to meet the critical needs of current and future generations.
Company assets include land for future residential communities and mixed-use projects within the world-renowned Kapalua Resort, home to luxury hotels such as The Ritz-Carlton Maui and Montage Kapalua Bay, pristine beaches, a network of walking and hiking trails, and the Pu‘u Kukui Watershed, the largest private nature preserve in Hawai‘i.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding the claims and counterclaims involved in the litigation between the Company and TY Management and certain irrigation water users in Kapalua. These forward-looking statements are based upon the current beliefs and expectations of management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of the Company. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from the anticipated results discussed in these forward-looking statements because of possible uncertainties. Factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in the Company's reports (such as Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K) filed with the SEC and available on the SEC's Internet site (http://www.sec.gov). We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether because of new information, future developments or otherwise.
Ashley Takitani Leahey
