SB431: (New Title) prohibiting the waiver of workers' compensation subrogation rights and prohibiting certain indemnification provisions in construction-related contracts.

CHAPTER 3

SB 431 - FINAL VERSION

01/29/04 0164s

2004 SESSION

04-3088

01/10

SENATE BILL 431

AN ACT prohibiting the waiver of workers' compensation subrogation rights and prohibiting certain indemnification provisions in construction-related contracts.

SPONSORS: Sen. Clegg, Dist 14; Sen. Foster, Dist 13; Sen. Flanders, Dist 7; Sen. Gallus, Dist 1; Sen. D'Allesandro, Dist 20; Rep. Stone, Rock 73; Rep. Rausch, Rock 77; Rep. Ferland, Sull 23; Rep. Gilman, Graf 9

COMMITTEE: Insurance

AMENDED ANALYSIS

This bill prohibits waivers of workers' compensation subrogation rights. The bill also prohibits certain indemnification provisions connected with construction-related contracts.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01/29/04 0164s

04-3088

01/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Four

AN ACT prohibiting the waiver of workers' compensation subrogation rights and prohibiting certain indemnification provisions in construction-related contracts.

Be it Enacted by the Senate and House of Representatives in General Court convened:

3:1 New Paragraph; Workers' Compensation; Waiver of Subrogation Rights Prohibited. Amend RSA 281-A:13 by inserting after paragraph V the following new paragraph:

VI. Any provision in any agreement which requires employers or the employer's insurance carrier to waive any rights of subrogation granted pursuant to this chapter is hereby prohibited. 3:2 New Section; Certain Indemnification Provisions Prohibited. Amend RSA 338-A by inserting after section 1 the following new section:

338-A:2 Indemnification as Part of Contract. Any provision for or in connection with a contract for construction, reconstruction, installation, alteration, remodeling, repair, demolition, or maintenance work, including without limitation, excavation, backfilling or grading, on any building or structure, whether underground or above ground, or on any real property, including without limitation any road, bridge, tunnel, sewer, water, or other utility line, which requires any party to indemnify any person or entity for injury to persons or damage to property not caused by the party or its employees, agents, or subcontractors, shall be void.

3:3 Applicability. Section 2 of this act shall apply to contracts which take effect on or after the effective date of this act.

3:4 Effective Date. This act shall take effect upon its passage.

(Approved: March 5, 2004)

(Effective Date: March 5, 2004)