An Act to Prohibit
Maine Legislature, Session 132, LD 1761
Committee Amendment CA_A_H545 (House)

COMMITTEE AMENDMENT << 4 " to H.P. 11 79, L.D, 1761, "An Act to Prohibit
Indemnification Agreements"
Amend the bill by striking out the tide and substituting the following:
'An Act to Prohibit the Transfer of Liability Relating to,a Party's Own Negligence or
Liability in Contracts'
Amend the bill by striking out everything after die enacting clause and inserting the
following;
'See. 1.10 MRSA c. 201-B is enacted to read:
CHAPTER 201-B
TRANSFER OF LIABILITY PROVISIONS IN CONTRACTS PROBUBITED
^1120-E. Transfer of liability provisions incontracts prohibited
L_Transfer of liability provisions void and uncBforceabIe. A urovision or
agreement m a contract that purports to transfer or has the effect of transfernnfi to m^
party liability for nealigence arisina out of a paity's own neglieence or liabi llty for a party's
own liability arising out of an intentional act or omission is.void and.unenforceable,
2._Additional insured not prohibited, This section does not orohibitanagreement
_fromincludjne any party as an additional insured in an insurance Doljc.^
3. Exception. This section does not affect the validity of:
A, An insurance oolscv for workers' compensation or any. Qthejjnsurance policv or
agreement issued by an insurer authorized to engage in the business of insurance in this
State:
B. A surety bond issued by an entity authorized to eneaee in the business ofjactine as
a surety in this State; or
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT "A-" to H.P. 1179. L,D. I 761
C, A release or waiver of liability agreement or other similar agreement related to a
party's own assumption of risk or mdemnification,.
Sec. 2. Application. This Act applies to contracts entered into or renewed on or after
January 1,2026.'
Amend the bill by reiettering or rsnumbering auy nonconsecutive Part letter or section
number to read consecutively.
SUMMARY
This amendment replaces the bill and changes the dtle. The amendment prohibits the
inclusion of transfer of liability provisions in contracts in which a party transfers liability
for negligence arising out of a party's own negligence or liability for a party's own liability
arising out of an intentional act or omission. The amendment does not affect the validity of
workers' compensation or other insurance policies, the validity of surety bonds or the
validity of any release or waiver of liability agreements or similar agreements related to a
party's own assumption of risk or indemnificatiofl. The amendment applies to contracts
entered into or renewed on or after January 1, 2026.
FISCAL NOTE REQUDUSB
(See attached)
JPage2"132LR19n(02)
COMMITTEE AMENDMENT
Approved; 06/03/25 ^Kt-
LD 1761 LR 1911(02)
An Act to Prohibit Indemnification Agreements
Fiscal Note for Bill as Amended by Committee Amendment 'A" IH " 6<
Committee; Health Coverage, Insurance and Financial Services
Fiscal Note Required: Yes
Fiscal Note
Minor cost increase - General Fund
Fiscal Detail and Notes
Any additional-costs to the Office of the Attorney General from tfae provisions of this bill are expected to be minor
and can be absorbed within existing budgeted resources.
LR1911(02) - Fiscal Note - Page 1 of I