The bill amends the 1966 PA 165, which addresses indemnity requirements in the construction industry. It establishes that any contract provision that attempts to indemnify a promisee against liability for damages resulting from their sole negligence is void and unenforceable. This applies to contracts related to the design, construction, alteration, repair, or maintenance of various types of infrastructure and improvements to real property. Additionally, it specifies that public entities cannot require Michigan-licensed architects, professional engineers, or contractors to defend them from claims or assume liability beyond their degree of fault.
Furthermore, the bill clarifies the definition of "public entity" to include various governmental bodies and their employees, while explicitly excluding institutions of higher education and their employees from this definition. The bill also outlines that a contractor can take various forms, such as an individual or corporation, and emphasizes that any contract provisions violating these stipulations are against public policy and thus unenforceable. The enactment of this bill is contingent upon the passage of House Bill No. 4879.
Statutes affected: House Introduced Bill: 691.991