HB251 Summary

• Establishes the Alabama Small Business Protection Act to prohibit product liability actions against distributors, wholesalers, dealers, retailers, or sellers who are not manufacturers

• Exempts non-manufacturer sellers from liability unless they are the manufacturer/assembler, exercised substantial control over product design/testing/manufacturing/packaging/labeling, or altered/modified the product in a way that caused the harm

• Allows product liability actions against non-manufacturer sellers if the claimant cannot identify the manufacturer despite good faith due diligence, with claimant providing an affidavit certifying the diligent search

• Requires defendants to file an affidavit identifying the actual manufacturer, and mandates claimants dismiss claims against non-manufacturers once they locate and sue the manufacturer, unless prima facie evidence shows the non-manufacturer meets exemption criteria

• Becomes effective on the first day of the third month following passage and gubernatorial approval