After the accession of King Kalākaua to the Hawaiian throne, Kaʻai switched his former loyalty from the defeated Queen Emma and became a supporter of the new monarch.

[3][7][8] Kaʻai was a leading figure of a new generation of Hawaiian leaders, along with Prince Leleiohoku II (the brother of the king) and John Mākini Kapena.

"[3][11] Historian Ralph Simpson Kuykendall notes, "This statement is of great interest, for it contains the very essence of one side of the constitutional controversy that raged in Hawaii for the next dozen years.

The reason cited was for "dereliction of ministerial duty" with American ambassador Rollin M. Daggett writing, he was dismissed "because of his notorious and persistent intemperance."

His funeral the following day was officiated by Reverend Henry Hodges Parker while many members of the government paid their respect to his passing.