Hawaii's New Cruise Passenger Tax Draws Fire From Maritime Legal Expert Peter Walsh in Bloomberg Law Op-Ed

The Cruise Injury Law Firm founder warns tax "may have invited a legal storm"

News Release from Cruise Injury Law Firm, May 27, 2025

MIAMI, May 27, 2025 -- In a newly published op-ed in Bloomberg Law, veteran maritime attorney Peter Walsh of The Cruise Injury Law Firm challenges the legality of Hawaii's new 11% transient accommodations tax on cruise passengers. The full article, titled "Hawaii's New Cruise Tax Enters Uncharted Legal Waters," is available in today's Bloomberg Law.

In the piece, Walsh argues that the new tax—which applies to passengers aboard cruise ships docked in Hawaiian ports—treads dangerously close to violating the Commerce Clause, the Foreign Commerce Clause, and principles of federal maritime preemption. He warns the measure could spark a cascade of lawsuits and, if upheld, set a precedent that reverberates through every coastal state with a cruise port.

"This tax pushes the limits of what a state can do under the Constitution," said Peter Walsh, founder of The Cruise Injury Law Firm. "States can't just treat cruise ships like floating hotels. These vessels are governed by international treaties and federal maritime law. If Hawaii's approach sticks, it could open the floodgates to a fragmented, state-by-state regulatory nightmare—exactly the kind of patchwork maritime law was designed to avoid."

Walsh, who holds a Master of Laws in Maritime Law and is board-certified in both maritime and civil trial law, has spent his career representing cruise passengers in injury and jurisdictional claims. His firm is regarded as a go-to authority for legal matters involving the cruise industry.

Why It Matters:

• The tax applies even to passengers who do not disembark, treating time onboard in port as equivalent to a hotel stay.
• Many of these vessels are foreign-flagged, raising international commerce and constitutional law questions.
• A legal challenge is expected, and the case could ultimately reach the U.S. Supreme Court.

Peter Walsh is available for interviews to discuss the constitutional and maritime legal risks of Hawaii's tax, how the cruise industry may respond in court, and the broader implications for tourism, federalism, and the future of cruise regulation.

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