This article requires all parties involved in the negotiation, performance, or administration of state contracts to act in good faith. Good faith means honesty in fact in the conduct or transaction concerned.

(1) This article applies to contracts solicited and entered into after October 1, 2022.
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Terms Used In Alabama Code 41-4-112

  • Contract: A legal written agreement that becomes binding when signed.
  • following: means next after. See Alabama Code 1-1-1
  • state: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Alabama Code 1-1-1
(2) Except as otherwise provided in this article, this article applies to every expenditure of public funds by a governmental body of this state under a contract for supplies or services.
(3) This article does not apply to either of the following:

a. Gifts, grants, or contracts between state agencies, between state agencies and political subdivisions, or between the state and other governments.
b. All expenditures of funds of whatever nature made by or on behalf of the county commissions and the governing boards of instrumentalities of counties, including waterworks boards, sewer boards, gas boards, and other like utility boards, and commissions for which procurement activities are currently governed by Article 3, commencing with Section 41-16-50, of Chapter 16.
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