House Bill No. 701 amends and reenacts R.S. 9:2779 to provide a clear definition of "construction contract" and to make technical changes related to construction contracts, subcontracts, and purchase orders. The bill defines a "construction contract" as any agreement involving the design, construction, alteration, renovation, repair, or maintenance of various types of real property improvements, while explicitly excluding certain activities such as the construction of dirt or gravel roads for oil and gas access, oil flow lines, and various manufacturing facilities.

Additionally, the bill establishes that any provisions in construction contracts requiring disputes to be resolved outside of Louisiana or governed by the laws of another jurisdiction are deemed inequitable and against public policy. Such provisions are declared null and void. The bill also clarifies that these regulations apply to contracts entered into on or after September 6, 1991, and specifies that they do not apply to negotiated labor contracts. The amendments adopted by the House further expand the exceptions to the definition of "construction contract" and include technical changes to improve clarity.

Statutes affected:
HB170 Original:
HB170 Engrossed:
HB170 Reengrossed: