SB206 Alabama 2020 Session
In Committee
Bill Summary
Sponsors
Session
Regular Session 2020
Title
Business and Nonprofit Entities Code, substantially revised to allow corporations to elect to become benefit corporations, update definitions, allow for electronic filing, and provide standards for filing instruments, numerous sections of Title 10A added, amended, and renumbered
Description
<p class="bill_description"> This bill would make changes to the Alabama
Business and Nonprofit Entities Code to allow
business corporations to elect to become benefit
corporations; allow electronic filing of all entity
filings to increase the speed at which businesses
may be formed and by which transactions may be
accomplished; update definitions to include terms
applicable to the allowance of electronic and
digital transactions and transmissions of filings,
notices, and data; establish certain basic
standards for all filing instruments to allow for
easier electronic transmission; provide a mechanism
to allow the Secretary of State to reject certain
filing instruments which are not accompanied by
full payment, to assist in the electronic filing
process; clarify the requirements of certificates
of existence for entities; remove certain outdated
definitions and matters to streamline the code; and
to clarify that volunteer partners, managers,
members, governing persons, and other members of a
governing authority are considered officers of a
qualifying nonprofit entity, thereby recognizing
that there are nonprofit partnerships, nonprofit
limited partnerships, and non-profit limited
liability companies</p><p class="bill_entitled_an_act"> Relating to the Alabama Business and Nonprofit
Entities Code; to amend Sections 10A-1-1.02, 10A-1-1.03, and
10A-1-1.08, as amended by Act 2019-94, 2019 Regular Session,
Code of Alabama 1975; to add Sections 10A-1-3.07 and
10A-1-3.08 to the Code of Alabama 1975; to amend Sections
10A-1-3.32, as amended by Act 2019-94, 2019 Regular Session,
10A-1-3.33, as amended by Act 2019-304, 2019 Regular Session,
10A-1-3.42, 10A-1-4.01, and 10A-1-4.02, as amended by Act
2019-94, 2019 Regular Session, and 10A-1-4.05, Code of Alabama
1975; to add Section 10A-1-4.07 to the Code of Alabama 1975;
to amend Sections 10A-1-4.11, as amended by Act 2019-94, 2019
Regular Session, 10A-1-4.12, 10A-1-4.21 and 10A-1-4.31, as
amended by Act 2019-94, 2019 Regular Session, and Sections
10A-1-5.04 and 10A-1-5.11, Code of Alabama 1975; to add
Section 10A-1-5.17 to the Code of Alabama 1975; to amend
Sections 10A-1-6.02, 10A-1-8.01, and 10A-1-8.02, as amended by
Act 2019-94, 2019 Regular Session, 10A-2A-1.40, 10A-2A-1.41,
10A-2A-1.52, 10A-2A-2.02, 10A-2A-2.05, 10A-2A-3.04,
10A-2A-7.03, 10A-2A-7.20, 10A-2A-7.24, 10A-2A-7.29,
10A-2A-7.40, 10A-2A-8.09, 10A-2A-13.30, 10A-2A-14.01,
10A-2A-14.03, 10A-2A-14.04, 10A-2A-14.07, 10A-2A-14.10,
10A-2A-14.11, 10A-2A-16.04, 10A-2A-16.05, and 10A-2A-16.10, as
added to the Code of Alabama 1975, by Act 2019-94, 2019
Regular Session; to add Sections 10A-2A-17.01, 10A-2A-17.02,
10A-2A-17.03, 10A-2A-17.04, 10A-2A-17.05, and 10A-2A-17.06, to
the Code of Alabama 1975; to amend and renumber existing
Sections 10A-2A-17.01, 10A-2A-17.02, 10A-2A-17.03,
10A-2A-17.04, 10A-2A-17.05, and 10A-2A-17.06 as added to the
Code of Alabama 1975 by Act 2019-94, 2019 Regular Session, as
Sections 10A-2A-18.01, 10A-2A-18.02, 10A-2A-18.03,
10A-2A-18.04, 10A-2A-18.05, and 10A-2A-18.06, Code of Alabama
1975; and to amend Sections 10A-3-2.14, 10A-3-3.01,
10A-3-3.03, 10A-3-4.02, 10A-3-4.04, 10A-3-5.04, 10A-3-7.01,
10A-3-7.04, 10A-3-7.05, 10A-3-7.06, 10A-3-7.07, 10A-3-7.08,
10A-3-7.09, 10A-3-7.10, 10A-3-7.16, 10A-3-7.18, and
10A-4-3.02, as added to the Code of Alabama 1975, by Act
2019-94, 2019 Regular Session, Section 10A-4-4.01, as amended
by Act 2019-94, 2019 Regular Session, Sections 10A-4-5.08,
10A-5A-2.01, 10A-5A-2.02, 10A-5A-2.04, 10A-5A-2.05,
10A-5A-2.06, 10A-5A-4.01, 10A-5A-7.01, 10A-5A-7.02,
10A-5A-7.03, 10A-5A-7.05, 10A-5A-7.08, 10A-5A-8.02,
10A-5A-11.09, 10A-5A-11.11, 10A-5A-11.13, 10A-8A-8.02,
10A-8A-8.07, 10A-8A-8.11, 10A-8A-10.03, 10A-9A-2.01,
10A-9A-2.02, 10A-9A-2.03, 10A-9A-2.04, 10A-9A-2.06,
10A-9A-8.01, 10A-9A-8.02, 10A-9A-8.03, 10A-9A-8.07,
10A-9A-8.11, 10A-10-1.07, and 10A-10-1.14, 10A-10-1.15, as
amended by Act 2019-94, 2019 Regular Session, and Sections
10A-16-1.05, 10A-17-1.06, 10A-17-1.11, 10A-20-1.08,
10A-20-2.01, 10A-20-6.02, 10A-20-6.06, 10A-20-7.02,
10A-20-9.01, 10A-20-10.01, 10A-20-11.01, 10A-20-12.01,
10A-20-16.01, and 10A-20-16.02, Code of Alabama 1975, to to
allow business corporations to elect to become benefit
corporations; to allow electronic filing of all entity
filings; to update definitions to include terms applicable to
the allowance of electronic and digital transactions and
transmissions of filings, notices, and data; to establish
certain basic standards for all filing instruments; to provide
a mechanism to allow the Secretary of State to reject certain
filing instruments which are not accompanied by full payment;
to clarify the requirements of certificates of existence for
entities; to remove certain outdated definitions and matters;
and to clarify that volunteer partners, managers, members,
governing persons, and other members of a governing authority
are considered officers of a qualifying nonprofit entity,
thereby recognizing that there are nonprofit partnerships,
nonprofit limited partnerships, and non-profit limited
liability companies.
</p>
Subjects
Business and Nonprofit Entities Code
Bill Actions
| Action Date | Chamber | Action |
|---|---|---|
| February 27, 2020 | S | Pending third reading on day 9 Favorable from Judiciary |
| February 27, 2020 | S | Read for the second time and placed on the calendar |
| February 18, 2020 | S | Read for the first time and referred to the Senate committee on Judiciary |
Bill Calendar
| Type | Date | Location | Description |
|---|---|---|---|
| Hearing | February 26, 2020 | Room 825 at 14:30 | Senate JUDY Hearing |
Bill Text
Bill Documents
| Type | Link |
|---|---|
| Bill Text | SB206 Alabama 2020 Session - Introduced |