{"id":892819,"date":"2017-08-30T16:28:10","date_gmt":"2017-08-30T22:28:10","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=892819"},"modified":"2017-08-30T16:28:10","modified_gmt":"2017-08-30T22:28:10","slug":"california-limits-indemnification-obligations-design-professionals","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/california-limits-indemnification-obligations-design-professionals\/","title":{"rendered":"California Limits Indemnification Obligations of Design Professionals"},"content":{"rendered":"

William L. Doerler | The Subrogation Stategist<\/a> | August 18, 2017<\/p>\n

The California legislature recently enacted legislation \u2013 SB 496 \u2013 limiting a design professional\u2019s indemnification obligations in private contracts related to design services. The term \u201cdesign professional\u201d refers to licensed architects, landscape architects and professional land surveyors, and registered professional engineers. As revised, Cal. Civ. Code \u00a7 2782.8 states that, for all contracts entered into on or after January 1, 2018 for design professional services, all provisions that purport to have the design professional indemnify the indemnitee for claims against the indemnitee \u2013 or require the design professional to provide a defense to the indemnitee \u2013 are unenforceable\u00a0except<\/u>\u00a0to the extent that the claims against the indemnitee arise out of, or relate to, the negligence, recklessness or willful misconduct of the design professional. In addition, as revised, \u00a7 2782.8 limits a design professional\u2019s liability for the cost of defense to the design professional\u2019s percentage of fault.<\/p>\n

The revised statute provides two exceptions. Pursuant to these exceptions, the limitations related to the duty and cost to defend do not apply to: 1) design service contracts where a project-specific general liability policy insures all project participants, including the design professional, and 2) a design professional who is a party to a written design-build, joint venture agreement.<\/p>\n

Although this change in the law does not go into effect until January 1, 2018, the change serves as a reminder to subrogation professionals that, when faced with indemnification provisions in design or construction-related contracts, they should check local laws to determine the extent to which subrogating insurers can enforce such provisions.<\/p>\n","protected":false},"excerpt":{"rendered":"

William L. Doerler | The Subrogation Stategist | August 18, 2017 The California legislature recently enacted legislation \u2013 SB 496 \u2013 limiting a design professional\u2019s indemnification obligations in private contracts related to design services. The term \u201cdesign professional\u201d refers to licensed architects, landscape architects and professional land surveyors, and registered professional engineers. As revised, Cal.… Continue reading California Limits Indemnification Obligations of Design Professionals<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[9,9009],"tags":[9895,88,224,284,381],"class_list":["post-892819","post","type-post","status-publish","format-standard","hentry","category-construction-contracts","category-design-professionals","tag-advise-consult","tag-california","tag-construction-contract","tag-design-professionals","tag-indemnification","entry"],"jetpack_publicize_connections":[],"yoast_head":"\nCalifornia Limits Indemnification Obligations of Design Professionals - 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