Maine Legislature, Session 122, LD 1045
Committee Amendment CA_A_S514 (Senate)

MAINE STATE LEGISLATURE 
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1~ 
~. 
L.D. 1045 
DATE: 2> ... ~;l .. O~ 
(Filing No. S-~14 ) 
JUDICIARY 
Reported by: N; flO ltiS 
Reproduced and distributed under the direction of the Secretary 
of the Senate. 
SENATE 
t22ND LEGISLATURE 
COMMITTEE AMENDMENT "A" to S.P. 362, L.D. 1045, Bill, "An 
Act Regarding Contract Indemnification" 
Amend the bill by striking out everything after the enacting 
clause and before the summary and inserting in its place the 
following: 
'Sec.t. to MRSA c. 20t-B is enacted to read: 
CHAPTER 20l-B 
INDEMNIFICATION IN CONSTRUCTION AND TIMBER CONTRACTS 
§1120-A. 
Indemnification agreements against public policy 
1. 
I»dfflnnification void and unenforceable. 
A provision, 
clause, 
covenant or agreement contained in, collateral to or 
affecting a contract described in subsection 3 is against public 
policy and is void and unenforceable if it purports to indemnify 
the 
promisee 
against 
liability 
for 
damages 
described 
in 
subsection 
arising solely 
from 
the 
negligence 
or willful 
misconduct of the promisee or the promisee's agents, servants or 
independent 
contractors 
who 
are directly responsible 
to 
the 
promisee. 
2. 
Damages. 
Subsection 
prohibits indemnification for 
liability for damages for: 
A. 
Death or bodily injury to persons; 
B. 
Injury to property; 
Page l-LR1707(2) 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. A 
.. to S.P. 362, L.D. 1045 
C. 
Design defects; or 
D. 
Other loss, damage or expense arising under paragraph A, 
B or C. 
3. 
Ap,plication to certain contracts. 
This section applies 
to construction contracts and contracts involving the harvesting 
of timber, contracts involving maintenance of property engaged in 
the harvesting of timber and contracts attendant to timber or 
woodworking operations of any nature. 
4. 
Hamed insured not prohibited. 
This section does not 
prohibit 
an 
agreement 
or 
reguirement 
in 
a 
contract 
under 
subsection 3 from including the promisee as an insured or an 
additional insured in an insurance contract. 
5. 
Exceptions. 
This section does not affect the validity 
of an insurance contract for workers' compensation or any other 
insurance contract or agreement issued by a licensed insurer. 
6. 
Application. 
This section applies to contracts entered 
into or renewed on or after January 1, 2007.' 
SUMMARY 
This amendment is the minority report of the Joint Standing 
Committee on Judiciary. 
It replaces the bill but maintains the 
purpose 
of prohibiting certain indemnification 
agreements 
in 
construction and related contracts, but only when the agreement 
would 
indemnify 
the 
promisee 
against 
liability 
for 
certain 
damages arising solely from the negligence or willful misconduct 
of the promisee or the promisee's agents, servants or independent 
contractors. 
This amendment clarifies that the parties are not 
prohibited from agreeing that the promisee must be included as an 
insured or an additional insured in an insurance contract. 
COMMITTEE AMENDMENT