SF 541 – Smart contracts in ledger technology

SF 541 modifies the Uniform Electronic Transactions Act by permitting the use of “distributed ledger technology” and “smart contracts” in electronic transactions. The bill allows this new technology to facilitate the use of electronic transactions in commerce by giving legal recognition to electronic records, signatures and contracts. Fifteen states have adopted this language this year.

The Committee removed language around cryptology and made the bill technology neutral, which will be useful as technology changes in the future. The House amended and the Senate concurred with these changes: inserted “may” include taking custody of transfer of assets, but doesn’t require it for a smart contract and pushes the effective date out to January 1, 2022. [5/5: 48-0 (Excused: Hogg, Nunn)]

HF 384 – Takeout alcohol for bars and restaurants

HF 384, as amended in committee, addresses liquor control licenses to clarify that bars and restaurants can sell “original unopened” alcohol containers for off-premises consumption; clarifies under miscellaneous prohibitions that mixed drinks or cocktails must be properly sealed to avoid being considered “opened containers” under Iowa law; and conforms selling hours starting at 6 a.m. for all days of the week. There will be no difference in Sunday sales hours, but a special permit will still be required for an establishment to sell on Sundays. The committee amendment also added language from another bill that would allow a native distillery, beer/wine wholesalers, native brewery and native wineries to be granted not more than two (was only one) licenses to consume beverages on premises.

The Senate amended the bill by striking the second location language in the Senate Committee amendment because it was already covered under HF 768. [5/5: 45-3 (No: Celsi, Costello, Guth; Excused: Hogg, Nunn)]