HB 3306
AN ACT relating to the applicability of certain laws affecting
89th Regular Session
Jan 14, 2025 - Jun 2, 2025 • Session ended
Awaiting Committee Assignment
Bill filed, pending referral to House committee
Committee
Not yet assigned
Fiscal Note
Not available
What This Bill Does
Modifies existing Texas law regarding indemnification agreements, specifically expanding exclusions for electric utility infrastructure contracts. The legislation allows for broader indemnification provisions in contracts related to electric utility infrastructure installation, construction, and vegetation management, providing more flexibility for utility companies and contractors in their legal agreements. The changes apply only to contracts entered into on or after September 1, 2025, leaving existing agreements under previous legal standards.
Subject Areas
Bill Text
relating to the applicability of certain laws affecting indemnification agreements to certain contracts or agreements pertaining to electric utility infrastructure. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 151.105, Insurance Code, is amended to Sec. 151.105. EXCLUSIONS. This subchapter does not affect: (1) an insurance policy, including a policy issued under an owner-controlled or owner-sponsored consolidated insurance program or a contractor-controlled or contractor-sponsored consolidated insurance program, except as (2) a cause of action for breach of contract or warranty that exists independently of an indemnity obligation, including an indemnity obligation in a construction contract under a construction project for which insurance is provided under a consolidated insurance program; (3) indemnity provisions contained in loan and financing documents, other than construction contracts to which the contractor and owner's lender are parties as provided under Section (4) general agreements of indemnity required by sureties as a condition of execution of bonds for construction (5) the benefits and protections under the workers' compensation laws of this state; (6) the benefits or protections under the governmental (7) agreements subject to Chapter 127, Civil Practice (8) a license agreement between a railroad company and a person that permits the person to enter the railroad company's property as an accommodation to the person for work under a construction contract that does not primarily benefit the railroad (9) an indemnity provision pertaining to a claim based (10) an indemnity provision in a construction contract, or in an agreement collateral to or affecting a construction contract, pertaining to: (A) a single family house, townhouse, duplex, or land development directly related thereto; [or] (B) a public works project of a municipality; or (C) installation or construction of electric infrastructure for or vegetation management for an electric utility or a transmission and distribution utility as those terms are defined by Section 31.002, Utilities Code; or (11) a joint defense agreement entered into after a SECTION 2. The change in law made by this Act applies only to a contract or agreement entered into on or after the effective date of this Act. A contract or agreement entered into before the effective date of this Act is governed by the law as it existed immediately before the effective date of this Act, and that law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2025.
Bill History
Bill filed: AN ACT relating to the applicability of certain laws affecting
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