The bill amends various sections of the Arkansas Uniform Commercial Code (UCC) to modernize and clarify definitions and legal language related to commercial transactions. Key changes include redefining "conspicuous" to focus on the totality of circumstances rather than specific formatting, updating "delivery" to encompass authoritative tangible copies of records, and refining the definition of "money" to exclude pre-authorized electronic records. The bill also introduces new definitions such as "electronic," which covers various technological capabilities, and clarifies "signed" to include both tangible symbols and electronic associations. Additionally, it replaces the term "writing" with "record" in several sections, broadening the scope of enforceable contracts to include electronic records, and emphasizes the necessity of signed records for certain agreements.

Furthermore, the bill proposes the repeal of existing laws regarding virtual currency and introduces a new chapter that establishes regulations for controllable electronic records. This new chapter includes definitions and outlines the rights and obligations associated with these records, ensuring that the legal framework remains relevant in the context of evolving commercial practices. The amendments also clarify the conditions for the enforceability of security interests, particularly in relation to electronic assets, and establish rules for the perfection and priority of security interests in controllable accounts and payment intangibles. Overall, these changes aim to enhance clarity, efficiency, and consumer protection in commercial transactions within Arkansas.

Statutes affected:
HB 1746: 4-1-201(b), 4-1-204, 4-1-301, 4-2-402, 4-4-102, 4-5-116, 4-9-301, 4-9-307, 4-12-107, 4-1-306, 4-2-102, 4-2-106, 4-2-401, 4-2-201, 4-2-606, 4-2-202, 4-1-303, 4-2-203, 4-2-205, 4-2-209(2), 4-3-104(a), 4-3-105(a), 4-3-401, 4-3-402, 4-3-604, 4-5-104, 4-5-108(e), 4-5-103(c), 4-7-102(a), 4-7-106, 4-8-102(a), 4-8-102(b), 4-8-103, 4-8-106(d), 4-8-106, 4-8-110, 4-8-303(b), 4-9-102, 18-41-101, 18-41-103, 4-12-105, 4-7-201(b), 4-9-519(a), 4-9-501, 4-9-502(a), 4-9-105, 4-9-203(d), 4-9-310(c), 4-9-609(b), 4-9-620, 4-9-621, 4-9-622, 4-2-505, 4-2-711(3), 4-4-210, 4-5-118, 4-5-102, 4-8-102, 4-3-104, 4-12-102, 4-4-104, 4-3-302, 4-8-201, 4-7-102, 4-2-104, 4-5-114, 4-8-303, 4-3-103, 4-8-501, 4-11-102, 4-9-104(a), 4-9-203(b), 4-9-204, 4-9-315(a), 4-9-336(c), 4-9-207(c), 4-9-208(b), 4-9-209(b), 4-9-210, 4-9-303, 4-9-306, 4-9-304(a), 4-9-305(a), 4-9-310(b), 4-9-312, 4-9-315(c), 4-9-314, 4-9-308(d), 4-9-313, 4-9-313(a), 4-9-313(c), 4-9-313(d), 4-9-104, 4-9-106, 4-9-107, 4-9-316(a), 4-9-316(f), 4-9-317, 4-9-322, 4-9-320, 4-9-321, 4-9-323(d), 4-9-323(f), 4-9-324(b), 4-9-324(d), 4-9-330, 4-9-327, 4-9-331(a), 4-9-331, 4-9-332, 4-9-334(f), 4-9-341, 4-9-340(c), 4-9-404(a), 4-9-406, 4-9-407, 11-9-110(a), 4-9-408, 4-9-509(a), 4-9-513(b), 4-9-601(b), 4-9-605, 4-9-608(a), 4-9-611, 4-9-610, 4-9-311(a), 4-9-613, 4-9-614(3), 4-9-614(a), 4-9-614(b), 4-9-614, 4-9-613(1), 4-9-623, 4-9-615(a), 4-9-616(a), 4-9-619(a), 4-9-624, 4-9-621(a)