When the German Army occupied France, the legitimate government of France was removed and replaced by a puppet government.  That did not mean that French sovereignty was extinguished.  That did mean that the legitimate government of France was absent.  When France was liberated, the legitimate government was restored.  Similarly, the overthrow of the Kingdom government did not extinguish the Kingdom as a sovereign entity.  It simply put in place an illegitimate government whose successors still rule Hawai'i today.