Bill Summary for S 792 (2015-2016)

Summary date: 

Jun 22 2016

Bill Information:

View NCGA Bill Details2015-2016 Session
Senate Bill 792 (Public) Filed Thursday, April 28, 2016
AN ACT SETTING THE LIMITS OF CONTRACTOR LIABILITY UNDER STATE INFORMATION TECHNOLOGY PROCUREMENT CONTRACTS.
Intro. by Tarte, Hise.

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Bill summary

House committee substitute makes the following changes to the 2nd edition.

Amends GS 143B-1350(h1) concerning limitations of liability for IT procurement contracts, providing that when specified circumstances apply, the amount of liability for damages and any other losses relating to the loss of, unauthorized access to, or unauthorized disclosure of data can be raised no more than three times the value of the contract (previously, could not be raised more than five times the value of the contract). Makes clarifying changes to provisions that the limitation on liability for the contractor does not apply to intentional or willful misconduct, damage to personal property, or injuries to individuals. Also adds new language that the limitation on liability also does not apply to notification costs resulting from compliance with GS 132-1.10(c1), concerning disclosures of social security numbers and other personal information as specified.

Amends the effective date providing that when the bill becomes law, it also applies to contracts entered into, extended via the exercise of options, or otherwise, renewed, or amended on or after that date.

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