| SB 0224 | Prohibits certain indemnification contracts on public and private construction works |
| Sponsor: | Caskey | |||
| LR Number: | S0642.01P | Fiscal Note: | 0642-01 | |
| Committee: | Civil and Criminal Jurisprudence | |||
| Last Action: | 03/30/99 - Voted Do Pass H Labor Committee | Journal page: | ||
| Title: | ||||
| Effective Date: | August 28, 1999 | |||
SB 224 - This act declares that indemnification clauses in
construction contracts are void as against public policy. The
act specifies that a contracting party's promise to indemnify
against the negligence or wrong doing of another is
unenforceable. This act does not apply to promises to indemnify
against the party's own negligence or wrong doing or that of its
subcontractors and suppliers. In addition, this act does not
apply to contracts between or amongst state agencies or political
subdivisions, certain contracts involving public property,
construction bonds, and insurance contracts. Contracts in
existence are not affected. The act also provides two exceptions
for an agreement that requires a party to obtain specified limits
of insurance, in which case liability shall be limited to such
limits, and for railroads regulated by the Federal Railroad
Administration.
JOAN GUMMELS