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A BILL TO BE ENTITLED
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AN ACT
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relating to the applicability of certain laws affecting |
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indemnification agreements to certain contracts or agreements |
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pertaining to electric utility infrastructure. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 151.105, Insurance Code, is amended to |
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read as follows: |
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Sec. 151.105. EXCLUSIONS. This subchapter does not affect: |
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(1) an insurance policy, including a policy issued |
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under an owner-controlled or owner-sponsored consolidated |
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insurance program or a contractor-controlled or |
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contractor-sponsored consolidated insurance program, except as |
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provided by Section 151.104; |
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(2) a cause of action for breach of contract or |
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warranty that exists independently of an indemnity obligation, |
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including an indemnity obligation in a construction contract under |
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a construction project for which insurance is provided under a |
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consolidated insurance program; |
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(3) indemnity provisions contained in loan and |
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financing documents, other than construction contracts to which the |
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contractor and owner's lender are parties as provided under Section |
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151.001(5); |
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(4) general agreements of indemnity required by |
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sureties as a condition of execution of bonds for construction |
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contracts; |
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(5) the benefits and protections under the workers' |
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compensation laws of this state; |
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(6) the benefits or protections under the governmental |
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immunity laws of this state; |
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(7) agreements subject to Chapter 127, Civil Practice |
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and Remedies Code; |
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(8) a license agreement between a railroad company and |
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a person that permits the person to enter the railroad company's |
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property as an accommodation to the person for work under a |
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construction contract that does not primarily benefit the railroad |
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company; |
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(9) an indemnity provision pertaining to a claim based |
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upon copyright infringement; |
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(10) an indemnity provision in a construction |
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contract, or in an agreement collateral to or affecting a |
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construction contract, pertaining to: |
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(A) a single family house, townhouse, duplex, or |
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land development directly related thereto; [or] |
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(B) a public works project of a municipality; or |
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(C) electric infrastructure construction, |
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maintenance, or vegetation management for an electric utility or a |
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transmission and distribution utility as those terms are defined by |
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Section 31.002, Utilities Code, or an electric cooperative, as that |
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term is defined by Section 11.003, Utilities Code; or |
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(11) a joint defense agreement entered into after a |
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claim is made. |
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SECTION 2. The change in law made by this Act applies only |
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to a contract or agreement entered into on or after the effective |
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date of this Act. A contract or agreement entered into before the |
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effective date of this Act is governed by the law as it existed |
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immediately before the effective date of this Act, and that law is |
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continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2025. |