Report Title:

Procurement; Indemnification; Construction Professional

Description:

Amends the public procurement code to prohibit a governmental body from requiring a contractor for construction design professional services to indemnify the governmental body for the governmental body's negligence, but allows the governmental body to require the contractor to indemnify the State for the person's negligence.

THE SENATE

S.B. NO.

2121

TWENTY-SECOND LEGISLATURE, 2004

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO PROCUREMENT.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 103D, Hawaii Revised Statutes, is amended by adding a new section to part VII to be appropriately designated and to read as follows:

"§103D-   Indemnification. (a) If a governmental body enters into a contract for construction design professional services with a person who is a licensee under chapter 464, the contract:

(1) Shall not require the person to defend, indemnify, or hold harmless the governmental body, or its employees, officers, or agents from any liability, damage, loss, claim, action, or proceeding caused by the negligence, errors, omissions, recklessness, or intentional misconduct of the employees, officers, or agents of that governmental body; and

(2) May require the person to indemnify and hold harmless the governmental body, its employees, and officers from any liabilities, damages, losses, claims, actions, or proceedings, including, without limitation, reasonable attorneys' fees, to the extent that they are caused by the negligence, errors, or omissions of the person, the person's employees, officers, or agents in the performance of their professional services.

(b) Any provision of a contract entered into between a governing body and a person in violation of this section is declared to be contrary to the public policy of this State and is void."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

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