The bill HB230 amends several sections of the Code of Alabama 1975, specifically targeting corporate governance and compliance requirements. A significant change is the elimination of the mandate for corporations to file an annual report with the Secretary of State, which is achieved through the deletion of language that previously required foreign entities to submit their annual reports within 180 days after the due date. This repeal aims to streamline corporate compliance and reduce administrative burdens, allowing businesses to focus more on their operations rather than on filing requirements.

In addition to the repeal, the bill introduces new legal language that modernizes corporate governance practices. It modifies the definition of "PRINCIPAL OFFICE" to specify it as the location of the corporation's principal executive offices, rather than being tied to the annual report. The bill also allows for electronic communication methods for delivering notices to stockholders, provided there is consent, and outlines the necessary record-keeping requirements for corporations, including maintaining a list of current directors and officers. Overall, HB230 seeks to enhance clarity in legal definitions and improve communication protocols within corporate governance, with the act set to take effect on October 1, 2024.

Statutes affected:
Introduced: 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16, 10A-2A-16, 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16
Engrossed: 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16, 10A-2A-16, 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16
Enrolled: 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16, 10A-2A-16, 10A-1-7, 10A-2A-1, 10A-2A-1, 10A-2A-16