A 3961 New Jersey General Assembly · 2024-2025 Regular Session

Limits home improvement contractor from entering into contract with full indemnification provision.

This bill prohibits home improvement contractors in New Jersey from including full indemnification clauses in contracts with subcontractors. It specifically bans contractors from seeking full liability coverage for defects or poor workmanship, capping such indemnification at 50% of the cost. All home improvement contracts exceeding $500 must include a certification that the contractor will not seek full indemnification and will limit subcontractor liability to 50%. The law applies to all registered home improvement contractors under New Jersey's Contractors' Registration Act.
Bill status in committee 1 of 4 stages cleared
Introduction
Mar 2024
Committee Review
Floor Vote
Governor
Introduced Mar 4, 2024 Last action Mar 4, 2024
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Mar 4, 2024
Introduced
Introduced in the Assembly, Referred to Assembly Financial Institutions and Insurance Committee
lower
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Gabe Rodriguez
Gabe Rodriguez
DDemocratic
NJ
33