AL HB359

Amends Section 10A-1-7.21 of the Alabama Code to establish uniform consequences for all foreign entities transacting business without registering with the Secretary of State, except those formed under federal law.

Foreign entities transacting business in Alabama without registration cannot initiate legal actions but may defend themselves in court and have their contracts remain valid.

Unregistered foreign entities are deemed to consent to service of process for causes of action arising from business conducted in Alabama, with service by registered mail or other methods permitted under law.

Owner liability for foreign entities is governed by the laws of their home jurisdiction, and liability limitations are not waived by conducting unregistered business in Alabama.

Repeals Sections 10A-2-15.01 and 10A-2-15.02 and becomes effective January 1, 2014, following ratification of the constitutional amendment proposed by HB357 of the 2012 Regular Session.