First Regular Session Seventy-fourth General Assembly STATE OF COLORADO ENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO. 23-0119.01 Jane Ritter x4342 SENATE BILL 23-168 Senate Committees House Committees State, Veterans, & Military Affairs A BILL FOR AN ACT C ONCERNING GUN VIOLENCE VICTIMS ' ACCESS TO THE JUDICIAL101 SYSTEM.102 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) Current law limits product liability actions against manufacturers of firearms and ammunition to situations in which there was a defect in the design or manufacture of a firearm or ammunition. The bill repeals that limitation. The bill defines the terms "firearm industry member" (industry member) and "firearm industry product" (industry product) and requires SENATE 2nd Reading Unamended March 10, 2023 SENATE SPONSORSHIP Jaquez Lewis and Kolker, Cutter, Danielson, Fields, Marchman, Sullivan HOUSE SPONSORSHIP Mabrey and Parenti, Bacon, Dickson, Epps, Garcia, Jodeh, Kipp, Titone, Vigil Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law. each industry member that is engaged in the manufacture, distribution, importation, marketing, or wholesale or retail sale of an industry product in Colorado to establish and implement reasonable controls and precautions related to the industry product in its control (firearm industry standards of responsible conduct). A cause of action is created for a person or entity that suffered harm as a result of an industry member violation of the firearm industry standards of responsible conduct, or for the attorney general or the attorney general's designee, for enforcement and remedy of any harms caused as a result of an industry member's violation. An intervening act by a third party, including unlawful misuse of an industry product, does not prevent an industry member from being liable. A cause of action may be brought within 5 years after the date that the violation occurred or the harm was incurred. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, repeal part 5 of2 article 21 of title 13.3 SECTION 2. In Colorado Revised Statutes, add article 27 to title4 6 as follows:5 ARTICLE 276 Firearms and Ammunition Manufacturers7 6-27-101. Short title. T HE SHORT TITLE OF THIS ARTICLE 27 IS THE8 "G UN VIOLENCE VICTIMS' ACCESS TO JUSTICE AND FIREARMS INDUSTRY9 A CCOUNTABILITY ACT".10 6-27-102. Legislative declaration. (1) T HE GENERAL ASSEMBLY11 FINDS AND DECLARES THAT:12 (a) T HE STATE OF COLORADO HAS A COMPELLING INTEREST IN13 PROTECTING THE LIFE, HEALTH, SAFETY, AND WELL-BEING OF COLORADO14 RESIDENTS;15 (b) U NLAWFUL AND IRRESPONSIBLE CONDUCT BY THE FIREARM16 INDUSTRY POSE SIGNIFICANT RISKS TO THE LIFE , HEALTH, SAFETY, AND17 168-2- WELL-BEING OF COLORADO RESIDENTS;1 (c) O UR STATE AND OUR NATION HAVE A LONG -STANDING2 HISTORICAL TRADITION OF PRESCRIBING STANDARDS OF RESPONSIBLE3 CONDUCT AND ACCOUNTABILITY FOR INDUSTRIES WHOSE BUSINESS4 PRACTICES MAY CAUSE HARM TO THE PUBLIC ;5 (d) T HE FEDERAL "PROTECTION OF LAWFUL COMMERCE IN ARMS6 A CT" PRESERVES STATES' CRITICAL AUTHORITY TO ENACT LAWS7 PRESCRIBING AND ENFORCING STANDARDS OF RESPONSIBLE CONDUCT AND8 ACCOUNTABILITY FOR FIREARM INDUSTRY MEMBERS ;9 (e) I T IS THE POLICY OF THIS STATE THAT FIREARM INDUSTRY10 MEMBERS HAVE A LAWFUL DUTY AND RESPONSIBILITY TO TAKE11 REASONABLE PRECAUTIONS TO PREVENT FORESEEABLE RISKS TO LIFE ,12 HEALTH, SAFETY, AND WELL-BEING OF THE CITIZENS OF COLORADO; AND13 (f) I T IS FURTHER THE POLICY OF THIS STATE THAT VICTIMS14 HARMED BY FIREARM INDUSTRY MEMBERS ' WRONGFUL AND UNLAWFUL15 CONDUCT, AND PUBLIC OFFICIALS ACTING ON BEHALF OF THE PEOPLE OF16 C OLORADO, SHALL NOT BE BARRED FROM PURSUING CIVIL ACTIONS17 SEEKING APPROPRIATE JUSTICE AND FAIR REMEDIES FOR THOSE HARMS IN18 COURT, INCLUDING CIVIL ACTIONS FOR HARMS CAUSED BY NEGLIGENT19 ENTRUSTMENT OF FIREARM INDUSTRY PRODUCTS , CONSISTENT WITH ANY20 LIMITATIONS OR IMMUNITIES OTHERWISE PROVIDED IN STATE OR FEDERAL21 LAW.22 (2) T HEREFORE, THE GENERAL ASSEMBLY DECLARES THAT IT IS23 THE POLICY OF THIS STATE THAT PRODUCT LIABILITY FOR INJURY ,24 DAMAGE, OR DEATH CAUSED BY THE DISCHARGE OF A FIREARM OR25 AMMUNITION IS NOT BASED UPON THE INHERENT POTENTIAL OF A FIREARM26 TO CAUSE INJURY, DAMAGE, OR DEATH WHEN DISCHARGED . IT SHALL BE27 168 -3- THE FURTHER POLICY OF THIS STATE THAT A CIVIL ACTION IN TORT FOR1 ANY REMEDY ARISING FROM PHYSICAL OR EMOTIONAL INJURY , PHYSICAL2 DAMAGE, OR DEATH CAUSED BY THE DISCHARGE OF A FIREARM IS NOT3 BASED UPON THE INHERENT POTENTIAL OF A FIREARM TO CAUSE INJURY ,4 DAMAGE, OR DEATH WHEN DISCHARGED .5 6-27-103. Definitions. A S USED IN THIS ARTICLE 27, UNLESS THE6 CONTEXT OTHERWISE REQUIRES :7 (1) "F IREARM INDUSTRY MEMBER " MEANS A PERSON, FIRM,8 CORPORATION, OR ANY OTHER ENTITY ENGAGED IN THE MANUFACTURE ,9 DISTRIBUTION, IMPORTATION, MARKETING, OR WHOLESALE OR RETAIL10 SALE OF A FIREARM INDUSTRY PRODUCT .11 (2) "F IREARM INDUSTRY PRODUCT " MEANS:12 (a) A FIREARM, AS DEFINED IN SECTION 18-1-901;13 (b) A MMUNITION;14 (c) A COMPLETED OR UNFINISHED FRAME OR RECEIVER ;15 (d) A FIREARM COMPONENT OR MAGAZINE ;16 (e) A DEVICE MARKETED OR SOLD TO THE PUBLIC THAT IS17 DESIGNED OR ADAPTED TO BE INSERTED INTO , AFFIXED ONTO, OR USED IN18 CONJUNCTION WITH A FIREARM, IF THE DEVICE IS:19 (I) R EASONABLY DESIGNED OR INTENDED TO BE USED TO INCREASE20 A FIREARM'S RATE OF FIRE, CONCEALABILITY, MAGAZINE CAPACITY, OR21 DESTRUCTIVE CAPACITY; OR22 (II) R EASONABLY DESIGNED OR INTENDED TO INCREASE THE23 FIREARM'S STABILITY AND HANDLING WHEN THE FIREARM IS REPEATEDLY24 FIRED; AND25 (f) A NY MACHINE OR DEVICE THAT IS MARKETED OR SOLD TO THE26 PUBLIC, OR REASONABLY DESIGNED OR INTENDED TO BE USED TO27 168 -4- MANUFACTURE OR PRODUCE A FIREARM OR ANY OTHER FIREARM1 INDUSTRY PRODUCT AS DESCRIBED IN THIS SUBSECTION (2).2 (3) "F IREARM TRAFFICKER" MEANS A PERSON WHO ACQUIRES ,3 TRANSFERS, OR ATTEMPTS TO ACQUIRE OR TRANSFER A FIREARM INDUSTRY4 PRODUCT FOR PURPOSES OF UNLAWFUL COMMERCE , INCLUDING, BUT NOT5 LIMITED TO, A SUBSEQUENT TRANSFER TO A PERSON WHO IS PROHIBITED6 BY STATE OR FEDERAL LAW FROM POSSESSING THE FIREARM INDUSTRY7 PRODUCT.8 (4) "R EASONABLE CONTROLS" MEANS REASONABLE PROCEDURES ,9 SAFEGUARDS, AND BUSINESS PRACTICES THAT ARE DESIGNED AND10 IMPLEMENTED TO DO ALL OF THE FOLLOWING :11 (a) P REVENT THE SALE OR DISTRIBUTION OF A FIREARM INDUSTRY12 PRODUCT TO:13 (I) A STRAW PURCHASER OR FIREARM TRAFFICKER ;14 (II) A PERSON WHO IS PROHIBITED BY STATE OR FEDERAL LAW15 FROM POSSESSING A FIREARM INDUSTRY PRODUCT ; OR16 (III) A PERSON THE FIREARM INDUSTRY MEMBER HAS REASONABLE17 CAUSE TO BELIEVE IS AT SUBSTANTIAL RISK OF USING A FIREARM18 INDUSTRY PRODUCT TO HARM THEMSELVES OR UNLAWFULLY HARM19 ANOTHER OR OF OTHERWISE UNLAWFULLY POSSESSING OR USING A20 FIREARM INDUSTRY PRODUCT ;21 (b) P REVENT THE LOSS OR THEFT OF A FIREARM INDUSTRY22 PRODUCT FROM A FIREARM INDUSTRY MEMBER ;23 (c) E NSURE THE FIREARM INDUSTRY MEMBER DOES NOT PROMOTE24 OR FACILITATE THE UNLAWFUL MANUFACTURE , SALE, POSSESSION,25 MARKETING, OR USE OF A FIREARM INDUSTRY PRODUCT ; AND26 (d) E NSURE THE FIREARM INDUSTRY MEMBER COMPLIES WITH ALL27 168 -5- PROVISIONS OF STATE AND FEDERAL LAWS .1 (5) "S TRAW PURCHASER " MEANS AN INDIVIDUAL WHO2 WRONGFULLY PURCHASES OR OBTAINS A FIREARM INDUSTRY PRODUCT ON3 BEHALF OF A THIRD PARTY WHO IS THE ACTUAL PURCHASER OR4 TRANSFEREE. THE TERM "STRAW PURCHASER" DOES NOT APPLY TO AN5 INDIVIDUAL OBTAINING A FIREARM INDUSTRY PRODUCT AS A BONA FIDE6 GIFT FOR A PERSON WHO IS NOT PROHIBITED BY STATE OR FEDERAL LAW7 FROM POSSESSING OR RECEIVING A FIREARM INDUSTRY PRODUCT . FOR THE8 PURPOSES OF THIS SUBSECTION (5), A GIFT IS NOT A BONA FIDE GIFT IF THE9 TRANSFEREE HAS OFFERED OR GIVEN THE TRANSFEROR A SERVICE OR10 THING OF VALUE TO ACQUIRE THE FIREARM INDUSTRY PRODUCT ON THE11 TRANSFEREE'S BEHALF.12 (6) "U NFINISHED FRAME OR RECEIVER " MEANS ANY FORGING,13 CASTING PRINTING, EXTRUSION, MACHINED BODY, OR SIMILAR ARTICLE14 THAT HAS REACHED A STAGE IN MANUFACTURE WHEN IT MAY BE READILY15 COMPLETED, ASSEMBLED, OR CONVERTED TO BE USED AS THE FRAME OR16 RECEIVER OF A FUNCTIONAL FIREARM OR THAT IS MARKETED OR SOLD TO17 THE PUBLIC TO BECOME OR BE USED AS THE FRAME OR RECEIVER OF A18 FUNCTIONAL FIREARM ONCE COMPLETED , ASSEMBLED, OR CONVERTED.19 6-27-104. Firearm industry standards of responsible conduct.20 (1) T HIS SECTION APPLIES TO A FIREARM INDUSTRY MEMBER ENGAGED IN21 THE MANUFACTURE , DISTRIBUTION, IMPORTATION, MARKETING, OR22 WHOLESALE OR RETAIL SALE OF A FIREARM INDUSTRY PRODUCT THAT23 MEETS ANY OF THE FOLLOWING CONDITIONS :24 (a) T HE FIREARM INDUSTRY PRODUCT WAS SOLD , MADE,25 DISTRIBUTED, OR MARKETED IN THIS STATE;26 (b) T HE FIREARM INDUSTRY PRODUCT WAS INTENDED TO BE SOLD ,27 168 -6- MADE, DISTRIBUTED, OR MARKETED IN THIS STATE; OR1 (c) T HE FIREARM INDUSTRY PRODUCT WAS USED OR POSSESSED IN2 THIS STATE, AND IT WAS REASONABLY FORESEEABLE THAT THE PRODUCT3 WOULD BE USED OR POSSESSED IN THIS STATE .4 (2) A FIREARM INDUSTRY MEMBER SHALL :5 (a) E STABLISH AND IMPLEMENT REASONABLE CONTROLS6 REGARDING ITS MANUFACTURE , DISTRIBUTION, IMPORTATION,7 MARKETING, AND WHOLESALE OR RETAIL SALE OF FIREARM INDUSTRY8 PRODUCTS IN THIS STATE; AND9 (b) T AKE REASONABLE PRECAUTIONS TO ENSURE THE FIREARM10 INDUSTRY MEMBER DOES NOT SELL OR DISTRIBUTE A FIREARM INDUSTRY11 PRODUCT TO A DISTRIBUTOR OR RETAILER OF FIREARM INDUSTRY12 PRODUCTS THAT FAILS TO ESTABLISH AND IMPLEMENT REASONABLE13 CONTROLS.14 (3) A FIREARM INDUSTRY MEMBER SHALL NOT MANUFACTURE ,15 DISTRIBUTE, IMPORT, MARKET, OR OFFER FOR WHOLESALE OR RETAIL SALE16 A FIREARM INDUSTRY PRODUCT THAT IS :17 (a) D ESIGNED, SOLD, OR MARKETED IN A MANNER THAT18 FORESEEABLY PROMOTES CONVERSION OF A LEGAL FIREARM INDUSTRY19 PRODUCT INTO AN ILLEGAL FIREARM INDUSTRY PRODUCT ; OR20 (b) D ESIGNED, SOLD, OR MARKETED IN A MANNER THAT IS21 TARGETED AT MINORS OR INDIVIDUALS WHO ARE LEGALLY PROHIBITED22 FROM PURCHASING OR POSSESSING A FIREARM .23 (4) I N ADDITION TO SUBSECTIONS (1) TO (3) OF THIS SECTION, A24 FIREARM INDUSTRY MEMBER SHALL COMPLY WITH THE FOLLOWING LAWS25 WHEN ENGAGED IN THE MANUFACTURE , DISTRIBUTION, IMPORTATION,26 MARKETING, OR WHOLESALE OR RETAIL SALE OF A FIREARM INDUSTRY27 168 -7- PRODUCT:1 (a) T HE "COLORADO CONSUMER PROTECTION ACT", ARTICLE 1 OF2 THIS TITLE 6;3 (b) T HE "UNFAIR PRACTICES ACT", ARTICLE 2 OF THIS TITLE 6;4 (c) T HE "COLORADO ANTITRUST ACT OF 1992 ", ARTICLE 4 OF THIS5 TITLE 6; AND6 (d) A RTICLE 12 OF TITLE 18.7 6-27-105. Cause of action for violations of standards of8 responsible conduct. (1) A PERSON OR ENTITY THAT HAS SUFFERED9 HARM AS A RESULT OF A FIREARM INDUSTRY MEMBER 'S ACTS OR10 OMISSIONS IN VIOLATION OF SECTION 6-27-104 MAY BRING A CIVIL ACTION11 PURSUANT TO THIS ARTICLE 27 IN A COURT OF COMPETENT JURISDICTION.12 (2) T HE ATTORNEY GENERAL , OR THE ATTORNEY GENERAL 'S13 DESIGNEE, MAY BRING A CIVIL ACTION IN A COURT OF COMPETENT14 JURISDICTION TO ENFORCE THIS ARTICLE 27 AND REMEDY HARMS CAUSED15 BY ANY ACTS OR OMISSIONS IN VIOLATION OF SECTION 6-27-104.16 (3) I N AN ACTION BROUGHT PURSUANT TO THIS SECTION , IF THE17 COURT DETERMINES THAT A FIRE ARM INDUSTRY MEMBER ENGAGED IN18 CONDUCT IN VIOLATION OF SECTION 6-27-104, THE COURT SHALL AWARD19 JUST AND APPROPRIATE RELIEF, INCLUDING, BUT NOT LIMITED TO:20 (a) I NJUNCTIVE RELIEF SUFFICIENT TO PREVENT THE FIREARM21 INDUSTRY MEMBER AND ANY OTHER DEFENDANT FROM FURTHER22 VIOLATING THIS ARTICLE 27;23 (b) C OMPENSATORY AND PUNITIVE DAMAGES ;24 (c) R EASONABLE ATTORNEY FEES , FILING FEES, AND REASONABLE25 COSTS OF ACTION; AND26 (d) A NY OTHER JUST AND APPROPRIATE RELIEF NECESSARY TO27 168 -8- ENFORCE THIS ARTICLE 27 AND REMEDY THE HARM CAUSED BY THE1 VIOLATION.2 (4) I N AN ACTION BROUGHT PURSUANT TO THIS ARTICLE 27:3 (a) A N INTERVENING ACT BY A THIRD PARTY, INCLUDING, BUT NOT4 LIMITED TO, THE UNLAWFUL MISUSE OF A FIREARM INDUSTRY PR ODUCT ,5 DOES NOT PREVENT A FIREARM INDUSTRY MEMBER FROM BEING LIABLE6 FOR HARM CAUSED BY THE FIREARM INDUSTRY MEMBER 'S VIOLATION OF7 THIS ARTICLE 27; AND8 (b) N OTWITHSTANDING ANY INTERVENING ACT BY A THIRD PARTY ,9 THERE IS A PRESUMPTION THAT A FIREARM INDUSTRY MEMBER 'S10 VIOLATION OF THIS ARTICLE 27 WAS THE PROXIMATE CAUSE OF HARM11 SUFFERED BY THE PLAINTIFF FROM A FIREARM INDUSTRY PRODUCT IF THE12 FIREARM INDUSTRY MEMBER 'S VIOLATION CREATED A REASONABLY13 FORESEEABLE RISK THAT THE HARM WOULD OCCUR .14 (5) A N ACTION BROUGHT PURSUANT TO THIS SECTION MUST BE15 COMMENCED WITHIN FIVE YEARS AFTER THE DATE THAT THE VIOLATION16 OCCURRED OR THE HARM WAS INCURRED .17 (6) A CIVIL ACTION BROUGHT PURSUANT TO THIS SECTION MAY BE18 BROUGHT IN:19 (a) T HE COUNTY IN WHICH ALL OR A SUBSTANTIAL PART OF THE20 EVENTS OR OMISSIONS GIVING RISE TO THE CLAIM OCCURRED ;21 (b) T HE COUNTY OF RESIDENCE OF ANY ONE OF THE NATURAL22 PERSON DEFENDANTS AT THE TIME THE CAUSE OF ACTION ACCRUED ;23 (c) T HE COUNTY OF THE PRINCIPAL OFFICE IN THIS STATE OF ANY24 OF THE DEFENDANTS THAT IS NOT A NATURAL PERSON ; OR25 (d) T HE COUNTY OF RESIDENCE FOR THE PLAINTIFF IF THE26 PLAINTIFF IS A NATURAL PERSON RESIDING IN COLORADO.27 168 -9- 6-27-106. Limitations. (1) N OTHING IN THIS ARTICLE 27 LIMITS1 OR IMPAIRS IN ANY WAY THE RIGHT OF THE ATTORNEY GENERAL , OR ANY2 PERSON OR ENTITY, TO PURSUE A LEGAL ACTION PURSUANT TO ANY OTHER3 LAW, CAUSE OF ACTION, TORT THEORY, OR OTHER AUTHORITY.4 (2) N OTHING IN THIS ARTICLE 27 LIMITS OR IMPAIRS IN ANY WAY5 AN OBLIGATION OR REQUIREMENT PLACED ON A FIREARM INDUSTRY6 MEMBER BY ANY OTHER AUTHORITY .7 (3) T HIS ARTICLE 27 MUST BE CONSTRUED AND APPLIED IN A8 MANNER THAT IS CONSISTENT WITH THE REQUIREMENTS OF THE9 CONSTITUTIONS OF COLORADO AND THE UNITED STATES.10 SECTION 3. Severability. If any provision of this act or the11 application thereof to any person or circumstance is held invalid, such12 invalidity does not affect other provisions or applications of the act that13 can be given effect without the invalid provision or application, and to14 this end, the provisions of this act are declared to be severable.15 SECTION 4. Effective date. This act takes effect October 1,16 2023.17 SECTION 5. Safety clause. The general assembly hereby finds,18 determines, and declares that this act is necessary for the immediate19 preservation of the public peace, health, or safety.20 168 -10-