Substitute House Bill No. 6970, effective January 1, 2026, amends the Uniform Commercial Code (UCC) to modernize and clarify various definitions and provisions related to commercial transactions, secured interests, and electronic records. Key insertions include new definitions for terms such as "conspicuous," "controllable accounts," and "hybrid transactions," while also updating existing definitions for "money," "security interest," and "person." The bill replaces the term "authenticated" with "signed" in several contexts, streamlining documentation requirements. Additionally, it clarifies the treatment of electronic documents and financial assets, emphasizing the importance of control and jurisdiction in transactions involving electronic records.

The bill also repeals and substitutes numerous sections of the general statutes to enhance the legal framework surrounding secured transactions, including the perfection and priority of security interests. Notable changes include provisions that allow for the perfection of security interests through control, updates to the rules governing the disposition of collateral, and the establishment of clearer guidelines for notifications and communications between secured parties and debtors. Overall, these amendments aim to align the UCC with contemporary business practices and technological advancements, ensuring that the legal framework is efficient and comprehensible for stakeholders involved in commercial transactions.

Statutes affected:
Raised Bill: 1-204, 1-306, 2-102, 2-106, 2-201, 2-202, 2-203, 2-205, 3-401, 5-104, 5-116, 7-106, 8-102, 8-103, 8-106, 8-110, 8-303, 9-102, 9-104, 9-105, 9-204, 9-210, 9-301, 9-312, 9-313, 9-314, 9-316, 9-317, 9-323, 9-324, 9-330, 9-331, 9-332, 9-341, 9-406, 9-408, 9-509, 9-513, 9-605, 9-608, 9-611, 9-613, 9-614, 9-616, 9-620, 9-621, 9-624, 9-628, 1-1a
JUD Joint Favorable Substitute: 1-204, 1-306, 2-102, 2-106, 2-201, 2-202, 2-203, 2-205, 3-401, 5-104, 5-116, 7-106, 8-102, 8-103, 8-106, 8-110, 8-303, 9-102, 9-104, 9-105, 9-204, 9-210, 9-301, 9-312, 9-313, 9-314, 9-316, 9-317, 9-323, 9-324, 9-330, 9-331, 9-332, 9-341, 9-406, 9-408, 9-509, 9-513, 9-605, 9-608, 9-611, 9-613, 9-614, 9-616, 9-620, 9-621, 9-624, 9-628, 1-1a
File No. 809: 1-204, 1-306, 2-102, 2-106, 2-201, 2-202, 2-203, 2-205, 3-401, 5-104, 7-106, 8-102, 8-103, 8-106, 8-110, 8-303, 9-102, 9-104, 9-105, 9-204, 9-210, 9-301, 9-312, 9-313, 9-314, 9-316, 9-317, 9-323, 9-324, 9-330, 9-331, 9-332, 9-341, 9-406, 9-408, 9-509, 9-513, 9-605, 9-608, 9-611, 9-613, 9-614, 9-616, 9-620, 9-621, 9-624, 9-628, 1-1a
Public Act No. 25-145: 1-204, 1-306, 2-102, 2-106, 2-201, 2-202, 2-203, 2-205, 3-401, 5-104, 5-116, 7-106, 8-102, 8-103, 8-106, 8-110, 8-303, 9-102, 9-104, 9-105, 9-204, 9-210, 9-301, 9-312, 9-313, 9-314, 9-316, 9-317, 9-323, 9-324, 9-330, 9-331, 9-332, 9-341, 9-406, 9-408, 9-509, 9-513, 9-605, 9-608, 9-611, 9-613, 9-614, 9-616, 9-620, 9-621, 9-624, 9-628, 1-1a