Oklahoma Senate Bill SB1075

Oklahoma 2024 Regular Session

• Introduced: 2/6/23
• Refer: 2/7/23

Caption

State government; prohibiting the state or any political subdivision from entering into contracts with certain companies that engage in boycotts. Effective date.

Impact

The bill outlines that no state agency or political subdivision shall contract with businesses unless there is written verification that they do not engage in economic boycotts. If businesses violate this provision, they will face stringent penalties, including triple damages payable to the state based on the value of the agreement. This law, if enacted, will significantly impact how state agencies engage with companies, ensuring that they cannot contract with entities that politically align against certain industries, thus reinforcing the state's support for those sectors.

Summary

Senate Bill 1075 introduces measures aimed at regulating contracts between state agencies or political subdivisions and businesses that engage in 'economic boycotts.' The bill seeks to define an 'economic boycott' as actions taken without a legitimate business purpose that penalize companies based on their involvement in certain industries, notably fossil fuels, firearms, and environmental standards. By prohibiting state contracts with businesses that partake in such boycotts, the legislation aims to shape economic relations between the state and private sectors, indicating a clear political stance on corporate behavior regarding environmental and social issues.

Contention

Critics of the bill may argue that it could stifle corporate responsibility and efforts to engage in ethical business practices aligned with societal interests. Concerns are raised that the definition of economic boycotts is vague and could encompass a range of actions that are not harmful to state interests but are rather expressions of corporate ethics or sustainability efforts. The role of the Attorney General in enforcing these provisions may also be questioned, particularly regarding how the standards for compliance are determined and what recourse exists for businesses that feel unfairly penalized.