Pennslyvania State Legislature Considers Y2K Bills

The Pennsylvania state legislature has introduced two additional bills addressing the Y2K problem, HB 2273 and SB 1434.

On February 24,1998, the Pennsylvania House of Representatives introduced HB 2273, which provides technological immunity to public entities and their employees from liability arising from the Y2K problem. This bill is currently under review in the House Committee on Judiciary. At least ten other state legislatures, (including California, Florida, Georgia and Illinois) have introduced similar bills.

Not to be outdone, on April 24, 1998, the Pennsylvania Senate introduced its own bill, SB 1434, which provides a limit to damages available for Y2K claims (not including fraud, intentional harm or gross negligence claims). Under the bill, direct damages recoverable based on Y2K claims include: (1) damages resulting from bodily injury to the plaintiff, or physical damage to the plaintiff's property, proximately caused by the defendant's conduct; and (2) any costs reasonably incurred to reprogram or replace and test the relevant computer system, computer program, software or internal hardware timer. The bill bars recovery for consequential, indirect or incidental damages (including business interruption losses, lost profits, or losses resulting from plaintiff's inability to perform contractual obligations to third parties). The bill is currently under review in the Senate Committee on Communications and High Technology.