Virginia governor to sign UCITA bill Tuesday

Fairfax, Va.

Virginia will become the first state to approve the controversial Uniform Computer Information Transactions Act (UCITA) when Gov. James Gilmore signs the bill on Tuesday.

But implementation of UCITA will be delayed in Virginia until July 2001, after a study committee made up of software user companies and software vendors reviews the law.

The delay was sought by a coalition of user companies that are either headquartered in the state or have a strong presence in it, including Reynolds Metals Co., Philip Morris Companies Inc., International Paper Co. and The Prudential Insurance Company of America (see story).

Gilmore, who spoke here today at the 2000 Global Internet Summit at George Mason University, said he believes UCITA is a "good start" and the implementation delay will allow the legislature to consider amendments to it.

UCITA, which is heavily supported by software vendors but opposed by CIOs at many user companies, sets a series of default rules governing commercial software transactions. One of its most controversial provisions would allow a software vendor to automatically disable software in a contract dispute.

Copyright © 2000 IDG Communications, Inc.

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