18-2-124. Construction contract indemnification provisions. (1) Except as provided in subsections (2) and (3), a construction contract provision that requires one party to the contract to indemnify, hold harmless, insure, or defend the other party to the contract or the other party's officers, employees, or agents for liability, damages, losses, or costs that are caused by the negligence, recklessness, or intentional misconduct of the other party or the other party's officers, employees, or agents is void as against the public policy of this state.
(2) A construction contract may contain a provision:
(a) requiring one party to the contract to indemnify, hold harmless, or insure the other party to the contract or the other party's officers, employees, or agents for liability, damages, losses, or costs, including but not limited to reasonable attorney fees, only to the extent that the liability, damages, losses, or costs are caused by the negligence, recklessness, or intentional misconduct of a third party or of the indemnifying party or the indemnifying party's officers, employees, or agents; or
(b) requiring a party to the contract to purchase a project-specific insurance policy, including but not limited to an owner's and contractor's protective insurance, a project management protective liability insurance, or a builder's risk insurance.
(3) This section does not apply to indemnity of a surety by a principal on a construction contract bond or to an insurer's obligation to its insureds.
(4) As used in this section, "construction contract" means an agreement for architectural services, alterations, construction, demolition, design services, development, engineering services, excavation, maintenance, repair, or other improvement to real property, including an agreement to supply labor, materials, or equipment for an improvement to real property.
History: En. Sec. 1, Ch. 259, L. 2007.
Structure Montana Code Annotated
Chapter 2. Construction Contracts
18-2-101. Definitions of building, costs, and construction
18-2-102. Authority to construct buildings
18-2-103. Supervision of construction of buildings
18-2-104. Scheduling of state building program
18-2-105. General powers and duties of department of administration
18-2-106. Pecuniary interest prohibited
18-2-107. Deposit of capitol building grant revenue
18-2-108. Compliance with state laws and regulations
18-2-109. and 18-2-110 reserved
18-2-112. Appointment of architects and consulting engineers
18-2-113. Architects on public buildings to be certified
18-2-114. Seal and signature of architect on plans
18-2-116. through 18-2-120 reserved
18-2-121. Engineer or land surveyor to supervise project