On Wednesday, June 9, Trevor Crow was a speaker at the Colorado Bar Association’s Legislative Update. He and his fellow presenters addressed Colorado attorneys about the relevant changes from the most recent Colorado legislative session.
The below takeaways are geared toward business attorneys. However, if you’re a business owner in Colorado, we urge you to take note of the following two newly signed bills and their effective dates, and speak with your counsel about any necessary amendments to be made.
HB 1124: Expand Ability Conduct Business Electronically
This bill passed without a dissenting vote. facilitates business entities’ ability to conduct business activities electronically by:
- Expands the availability of electronic communication and record keeping for Colorado entities;
- Specifying how notice may be given by electronic transmission; and
- Establishing requirements for remote participation in shareholders’ and directors’ meetings
Effective Date. April 19, 2021
Takeaway: The big takeaway is that all of us business lawyers need to be aware of how statutory amendments affect the entity documents that we draft.
Amendments to entity statutes should trigger us to review the entity documents for our clients to ensure that they continue to provide the flexibility intended by the amendments.
Here are a few specific tips to take away from this change to the law:
- Update Articles of Incorporation to remove the requirement that the Board of Directors provide a “Place” for a meeting
- Update Bylaws to allow the Board to hold shareholder and Board meetings by remote communication only and to lay out the requirements provided by Section 7-107-108.
- Update Bylaws to ensure all notice provisions comply with Section 7-90-105 and to allow for electronic transmission of notice (if that is desired)
Click here for a pdf of the signed HB1124.
HB 1048: Retail Business Must Accept Cash
The bill requires retail establishments that offer goods or services to accept US currency (i.e., cash) to purchase the goods or services, BUT applies ONLY to:
- Establishments that have an individual person accepting payment in person; and
- A transaction in which a security deposit is not placed on a credit card or in which a credit card number is not provided to cover unforeseen damages or expenses.
- A violation is a class 2 petty offense punishable by a fine of up to $500.
Effective Date. May 10, 2021
Takeaway: I’ve noticed a lot of retail establishments have signs that say CC only. If you have retail business clients, you may want to advise them of this new law.
Click here for a pdf of the signed HB 1048.
For more information, please contact Doida Crow Legal at 720-306-1001.