On Mar. 22, KNY LEG passed bill to update State commercial code.
KNY LEG passed SB 155 to amend Uniform Commercial Code governing said activities.
Repeals, reenacts Kentucky Revised Statutes (KRS), KNY FIN XXIX-355 sections.
Bill Key Provisions
Define money to exclude electronic records that are a medium of exchange recorded or transferable in a system operated for medium before it was adopted by KNY LEG.
Controllable electronic records exclude controllable payments intangible, a deposit account, electronic money, investment property or a transferrable record.
Must adhere to federal statutes provisions re transferrable records, (15 USC 7021).
Covers control of said records, control through another person, options of the account debtor, rights of the qualifying purchaser, acquired rights and evidence of exclusivity.
Reenacts provision for hybrid transactions involving sale of goods in single transaction for services, lease of other goods or for the sale-lease-license for non-goods property.
Security procedure may impose obligation on receiving bank or customer requiring symbol, sound or biometric authentication in addition to currently approved methods.
Perfection of security interests and enforceability in relation to SB 155 effective date.
Legislative History
On Jan. 31, 2024, bill introduced in Senate; on Feb. 22, 2024, bill passed the Senate.
On Mar. 13, 2024, bill introduced in House; on Mar. 21, 2024, bill passed the House.
On Mar. 22, 2024, bill enrolled and sent to governor and awaiting an approval or veto.
Effectiveness
Provisions of Senate bill SB 155 uniform commercial code take effect on Jan. 1, 2025.
Mar. 26, 2024 KNY LEG Governor Approval
On Mar. 26, 2024, KNY LEG governor approved SB 155, act takes effect Jan. 1, 2025.
