HB256 | PROHIBITS CERTAIN INDEMNIFICATION CONTRACTS ON PUBLIC AND PRIVATE CONSTRUCTION WORKS. |
Sponsor: | Green, Timothy P. (73) | Effective Date:00/00/0000 | |||
CoSponsor: | Foster, Bill I. (156) | LR Number:0419-03 | |||
Last Action: | 07/13/1999 - Approved by Governor (G) | ||||
07/13/1999 - Delivered to Secretary of State | |||||
HS HCS HB 256 | |||||
Next Hearing: | Hearing not scheduled | ||||
Calendar: | Bill currently not on calendar | ||||
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HS HCS HB 256 -- CONSTRUCTION CONTRACTS This bill declares that in any contract for construction work a contracting party's agreement to indemnify or hold harmless another person from that person's own negligence is void as against public policy and unenforceable. The bill does not apply to a contracting party's agreement to indemnify another person from the party's negligence; a party's agreement to cause another person to be covered as an insured; contracts between or among state agencies or political subdivisions; certain contracts involving public property; construction bonds; insurance contracts; railroads regulated by the Federal Railroad Administration; agreements that require a party to obtain specified limits of insurance, with liability limited to such limits; and contracts in existence prior to the bill's effective date.
HS HCS HB 256 -- CONSTRUCTION CONTRACTS (George) This substitute declares that a contracting party's agreement to indemnify or hold harmless another person from that person's own negligence is void as against public policy and unenforceable. The substitute does not apply to: a contracting party's agreement to indemnify another person from the party's negligence; a party's agreement to cause another person to be covered as an insured; contracts between or among state agencies or political subdivisions; certain contracts involving public property; construction bonds; insurance contracts; railroads regulated by the Federal Railroad Administration; agreements that require a party to obtain specified limits of insurance, with liability limited to such limits; and contracts in existence prior to the substitute's effective date. FISCAL NOTE: No impact on state funds.
HCS HB 256 -- CONSTRUCTION CONTRACTS SPONSOR: Hickey (George) COMMITTEE ACTION: Voted "do pass" by the Committee on Labor by a vote of 19 to 0. This substitute declares that a contracting party's agreement to indemnify or hold harmless another person from that person's own negligence is void as against public policy and unenforceable. The substitute does not apply to: a contracting party's agreement to indemnify another person from the party's negligence; a party's agreement to cause another person to be covered as an insured; contracts between or among state agencies or political subdivisions; certain contracts involving public property; construction bonds; insurance contracts; and contracts in existence prior to the substitute's effective date. FISCAL NOTE: No impact on state funds. PROPONENTS: Supporters say that this bill makes people responsible for their own acts of negligence and wrongdoing. It helps subcontractors who, by virtue of these indemnification clauses and their unequal negotiating power, have been forced to become the insurance agent for an entire construction project. Testifying for the bill were Representatives Green and Foster; American Subcontractors' Association; The Builders' Association; and Associated General Contractors of Missouri. OPPONENTS: There was no opposition voiced to the committee. Julie Jinkens McNitt, Legislative Analyst
HB 256 -- Construction Contracts Co-Sponsors: Green, Foster This bill declares that a contracting party's agreement to indemnify or hold harmless another person from that person's own negligence is void as against public policy and unenforceable. The bill does not apply to: a contracting party's agreement to indemnify another person from the party's negligence; a party's agreement to cause another person to be covered as an insured; contracts between or among state agencies or political subdivisions; certain contracts involving public property; construction bonds; insurance contracts; and contracts in existence prior to the bill's effective date.
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Last Updated September 30, 1999 at 1:23 pm