Bill Text: NY A06168 | 2017-2018 | General Assembly | Introduced


Bill Title: Requires contracts between professional design firms and municipal corporations, state and local authorities, or state departments contain language concerning indemnification.

Spectrum: Slight Partisan Bill (Democrat 9-4)

Status: (Introduced - Dead) 2018-01-03 - referred to corporations, authorities and commissions [A06168 Detail]

Download: New_York-2017-A06168-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          6168
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    February 27, 2017
                                       ___________
        Introduced  by M. of A. SCHIMMINGER, LUPARDO, BENEDETTO, JAFFEE, STIRPE,
          LIFTON, RAIA, McDONALD, GARBARINO, CURRAN, FAHY, STECK --  Multi-Spon-
          sored by -- M. of A. CROUCH -- read once and referred to the Committee
          on Corporations, Authorities and Commissions
        AN  ACT  to  amend the general municipal law, the public authorities law
          and the state finance law, in relation to contracts with  professional
          design firms
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. The general municipal  law  is  amended  by  adding  a  new
     2  section 103-h to read as follows:
     3    §  103-h.  Indemnification  language in contracts.  1. Definitions. As
     4  used in this section:
     5    a. The term "municipal corporation" shall mean a  county,  town,  city
     6  and village.
     7    b.  The term "professional firm" shall be defined as any individual or
     8  sole proprietorship, partnership,  corporation,  association,  or  other
     9  legal  entity  permitted by law to practice the professions of architec-
    10  ture, engineering or surveying.
    11    2. All contracts subject to this article shall include  the  following
    12  language:
    13    "To  the fullest extent permitted by law, the professional firm agrees
    14  to indemnify and hold the municipal corporation, its officers, directors
    15  and employees harmless from all third party claims, liabilities, damages
    16  and costs (including all reasonable attorney's fees and cost of defense)
    17  to which the municipal corporation, its officers, directors and  employ-
    18  ees  may be subject to, arising out of the death or bodily injury to any
    19  person or the destruction or damage to any property to the extent caused
    20  by the negligent acts, errors or omissions, or willful misconduct of the
    21  professional firm's performance of professional services provided  under
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09895-01-7

        A. 6168                             2
     1  this  Agreement  and those of its sub-consultants or anyone for whom the
     2  professional firm is legally liable."
     3    "To  the  fullest  extent  permitted by law, the municipal corporation
     4  agrees to indemnify and hold the professional  firm  harmless  from  all
     5  third  party  claims,  liabilities,  damages  and  costs  (including all
     6  reasonable attorney's fees and cost of defense) to the extent caused  by
     7  the  negligent  acts,  errors or omissions of the municipal corporation,
     8  its contractors, consultants or anyone for  whom  the  municipal  corpo-
     9  ration is legally liable."
    10    3. Nothing in this section shall be construed as requiring a notice of
    11  claim  or  other  condition  precedent  in  litigation for any party not
    12  otherwise entitled to receive one, nor shall it require any action to be
    13  brought by or against any party in the court of  claims  unless  such  a
    14  requirement previously existed as to that party.
    15    §  2.  The  public  authorities law is amended by adding a new section
    16  2879-d to read as follows:
    17    § 2879-d. Indemnification language in contracts.   1. Definitions.  As
    18  used in this section:
    19    a.  The term "state authority" shall mean a public authority or public
    20  benefit corporation created by or existing under  this  chapter  or  any
    21  other  law  of  the  state  of New York, with one or more of its members
    22  appointed by the governor or who serve as members by virtue of holding a
    23  civil office of the state, other than  an  interstate  or  international
    24  authority  or public benefit corporation, including subsidiaries of such
    25  public authority or public benefit corporation.
    26    b. The term "local authority" shall mean: (a) a  public  authority  or
    27  public  benefit corporation created by or existing under this chapter or
    28  any other law of the state of New York whose members do not hold a civil
    29  office of the state, are not appointed by the governor or are  appointed
    30  by  the  governor  specifically  upon  the  recommendation  of the local
    31  government or governments; (b) a not-for-profit  corporation  affiliated
    32  with,  sponsored  by,  or  created  by  a  county, city, town or village
    33  government; (c) a local industrial developmental agency or authority  or
    34  other  local  public benefit corporation; (d) an affiliate of such local
    35  authority; or (e) a land bank corporation created  pursuant  to  article
    36  sixteen of the not-for-profit corporation law.
    37    c.  The  term  "professional  firm"  shall mean any individual or sole
    38  proprietorship, partnership, corporation, association,  or  other  legal
    39  entity  permitted  by  law  to practice the professions of architecture,
    40  engineering or surveying.
    41    2. All contracts subject to this article shall include  the  following
    42  language:
    43    "To  the fullest extent permitted by law, the professional firm agrees
    44  to indemnify and hold the  state  and  local  authority,  its  officers,
    45  directors  and  employees  harmless from all third party claims, liabil-
    46  ities, damages and costs (including all reasonable attorney's  fees  and
    47  cost  of  defense) to which the state and local authority, its officers,
    48  directors and employees may be subject to, arising out of the  death  or
    49  bodily injury to any person or the destruction or damage to any property
    50  to  the  extent  caused  by  the negligent acts, errors or omissions, or
    51  willful misconduct of the professional  firm's  performance  of  profes-
    52  sional  services provided under this agreement and those of its sub-con-
    53  sultants or anyone for whom the professional firm is legally liable."
    54    "To the fullest extent permitted by law, the state and local authority
    55  agrees to indemnify and hold the professional  firm  harmless  from  all
    56  third  party  claims,  liabilities,  damages  and  costs  (including all

        A. 6168                             3
     1  reasonable attorney's fees and cost of defense) to the extent caused  by
     2  the  negligent acts, errors or omissions of the state and local authori-
     3  ty, its contractors, consultants or anyone for whom the state and  local
     4  authority is legally liable."
     5    3. Nothing in this section shall be construed as requiring a notice of
     6  claim  or  other  condition  precedent  in  litigation for any party not
     7  otherwise entitled to receive one, nor shall it require any action to be
     8  brought by or against any party in the court of  claims  unless  such  a
     9  requirement previously existed as to that party.
    10    § 3. Section 136-a of the state finance law is amended by adding a new
    11  subdivision 6 to read as follows:
    12    6.  (a) Definitions. As used in this subdivision:
    13    (i)  The  term  "state  department"  shall mean those state government
    14  departments, divisions or commissions empowered by the  state  to  enter
    15  into contractual agreements on behalf of the state of New York.
    16    (ii)  The  term "professional firm" shall be defined as any individual
    17  or sole proprietorship, partnership, corporation, association, or  other
    18  legal  entity  permitted by law to practice the professions of architec-
    19  ture, engineering or surveying.
    20    (b) All contracts subject to this article shall include the  following
    21  language:
    22    "To  the fullest extent permitted by law, the professional firm agrees
    23  to indemnify and hold the state department, its officers, directors  and
    24  employees harmless from all third party claims, liabilities, damages and
    25  costs  (including all reasonable attorney's fees and cost of defense) to
    26  which the state department, its officers, directors and employees may be
    27  subject to, arising out of the death or bodily injury to any  person  or
    28  the  destruction  or  damage to any property to the extent caused by the
    29  negligent acts, errors  or  omissions,  or  willful  misconduct  of  the
    30  professional  firm's performance of professional services provided under
    31  this agreement and those of its sub-consultants or any one for whom  the
    32  design consultant is legally liable."
    33    "To  the  fullest extent permitted by law, the state department agrees
    34  to indemnify and hold the professional  firm  harmless  from  all  third
    35  party  claims,  liabilities, damages and costs (including all reasonable
    36  attorney's fees and cost of defense) to the extent caused by the  negli-
    37  gent acts, errors or omissions of the state department, its contractors,
    38  consultants or anyone for whom the state department is legally liable."
    39    (c)  Nothing  in  this  subdivision  shall be construed as requiring a
    40  notice of claim or other condition precedent in litigation for any party
    41  not otherwise entitled to receive one, nor shall it require  any  action
    42  to be brought by or against any party in the court of claims unless such
    43  a requirement previously existed as to that party.
    44    § 4. This act shall take effect immediately.
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