Indemnity in Construction

Indemnity in Construction

Indemnity in Construction

Indemnity clauses require a downstream party to defend and indemnify upstream parties for claims arising from the work. Broad form indemnity covering the indemnitee's own negligence is restricted or void in most states.

The duty to defend is broader than the duty to indemnify.

Alternative Names:

Construction Indemnity|Contractual Indemnity (Construction)

Why it Matters?

Anti-indemnity statutes void or limit provisions covering the indemnitee's own negligence, and the permitted scope varies from intermediate form allowing partial fault coverage to limited form permitting indemnity only for the indemnitor's own negligence. Drafting a broad form provision in a state voiding it can invalidate the entire clause rather than narrowing it. The defense obligation also attaches on allegation rather than proof, which makes it the more valuable protection.

Frequently asked questions

What do anti-indemnity statutes restrict?

Why is the defense obligation more valuable?