An Act relating to immunity for certain claims arising out of or in connection with the year 2000 date change; amending Rule 23, Alaska Rules of Civil Procedure; and providing for an effective date.

Prepared by: Representative Norman Rokeberg
Updated: May 19, 1999

Section 1: States the Findings and Intent of the Legislature with regard to Y2K, its potential impact on Alaska, and its potential impact on Alaskans and Alaskan businesses.

Section 2: 09.65.260 Adds new section concerning claims against persons engaged in business arising out of or in connection with the year 2000 date change.

1. Indicates that in a civil action based on contract a business or member of board of director is not liable for damages arising from Y2K and caused by failure of an electronic computing devise if the business shows by a preponderance of evidence that it made substantial efforts to avoid damages claimed in a civil action. The business must have used reasonable care to prevent or remedy damages.
   
   
2. Indicates that the defense in (a) cannot be asserted by a business that develops or manufacturers certain computer items but does not apply to a business that only sells, rents or leases software, firmware, microcode, or hardware developed by another person.
   
   
3. Provides that in civil actions based on contract may not be brought as class actions unless the aggregate claim of all members of the class for economic loss exceeds $150,000.
   
   
4. Provides that in civil actions based on contract a contract against business or board of directors (1) damages may not be awarded for noneconomic losses if the party bringing the claim the claim is unable to provide by a preponderance of evidence that the party defending the claim, knew or should have
   
   
5. known, that failure of the electronic computing device would cause damages.
   
   Further provides that a civil action may not proceed until the person bringing the action notifies the business, in writing, and gives the business an opportunity to fix the problem.
   
   If a provision of this law is contrary to a Y2K date change provision obtained in a valid and enforceable contract, the contract language prevails.
   
   
6. States that this legislation does not apply to personal injury or wrongful death claims.
   
   
7. Definitions section.
   
   

Section 3: Repeals this statute effective January 1, 2006.

Section 4: States that the class action limitations in the bill would change Rule 23, Alaska Rules of Civil Procedure.

Section 5: Applicability.

Section 6: Effective Date: Immediate.