House Bill Analysis

HB 2868

HOUSE AGRICULTURE AND ECOLOGY COMMITTEE                 January 28, 2000

BACKGROUND:

Article 7 of the Uniform Commercial Code governs warehouse receipts, bills of lading, and other documents of title.  A warehouseman is a person who stores goods for hire, and is authorized to issue warehouse receipts.  Warehouse receipts are generally negotiable.

A warehouse receipt is not required to be in any particular form.  There is a requirement, however, for a warehouse receipt to contain certain terms in written or printed form in order for a warehouseman to avoid liability to a person injured by the omission of the terms.  Some of these terms include the location of the warehouse where the goods are stored; the date of issue of the receipt; and a description of the goods.  The Uniform Commercial Code does not authorize electronic warehouse receipts.

SUMMARY:

Warehouse receipts, as defined in Article 7 of the Uniform Commercial Code, may be issued in an electronic form.

Appropriation:None

Fiscal Note:Not requested

Effective Date:Ninety days after adjournment of regular legislative session

Prepared for the House Agriculture and Ecology Committee

Bill Lynch (786-7092)

Office of Program Research