SENATE BILL REPORT

                   HB 2868

              As Reported By Senate Committee On:

Commerce, Trade, Housing & Financial Institutions, February 22, 2000

Title:  An act relating to electronic forms of warehouse receipts.

Brief Description:  Allowing electronic warehouse receipts.

Sponsors:  Representatives Ericksen and Linville.

Brief History:

Committee Activity:  Commerce, Trade, Housing & Financial Institutions:  2/22/2000 [DP].

SENATE COMMITTEE ON COMMERCE, TRADE, HOUSING & FINANCIAL INSTITUTIONS

Majority Report:  Do pass.

  Signed by Senators Prentice, Chair; Benton, Gardner, Hale, Heavey, Rasmussen, T. Sheldon and Winsley.

Staff:  Susan Jones (786-7784)

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.

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 of Bill:  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 session in which bill is passed.

Testimony For:  This is not a complicated bill.  The Uniform Commercial Code was written before much of the technology of today was available.  This bill will allow the issuance of warehouse receipts electronically.

Testimony Against:  None.

Testified:  Sheryl Hershey, Bellingham Cold Storage (pro).