Report Title:
Procurement; Contracts; Defense of a Governmental Body
Description:
Contracts between a governmental body and professional architects, landscape architects, engineers, and surveyors, shall not require defense of a governmental body; contracts may require indemnification and holding harmless of the governmental body.
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THE SENATE |
S.B. NO. |
17 |
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TWENTY-FOURTH LEGISLATURE, 2007 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to procurement.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The purpose of this Act is to prohibit provisions in certain governmental procurement contracts that require contractors to defend the governmental body, and to allow the contracts to require a contractor to indemnify and hold harmless the governmental body.
SECTION 2. Chapter 103D, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§103D- Defense of a governmental body. (a) If a governmental body enters into a contract with a person for professional services to be performed by one or more professionals as defined in chapter 464, the contract shall not require the person to defend the governmental body, its officers, employees, or agents against any liability, damage, or loss, in any claim, action, or proceeding.
(b) Notwithstanding subsection (a), the contract may require a person to indemnify and hold harmless the governmental body, and its officers and employees, from and against any liability, loss, damage, cost, and expense, including reasonable attorneys' fees, and all claims, suits, and demands therefore, arising out of or resulting from the negligent acts, errors, or omissions of the person, the person's employees, officers, agents, or subcontractors in the performance of their professional services.
(c) The defense of a governmental body provision of any contract between a governmental body and a person in violation of subsection (a) is void.
(d) As used in this section, "person" means any person, partnership, corporation, or other entity conducting business in the State."
SECTION 3. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun, before its effective date.
SECTION 4. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval.
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INTRODUCED BY: |
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