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ME LD2049

ME LD2049
An Act to Clarify Indemnification When Seeking Remedy for Labor Law Violations


summary

Introduced
12/09/2025
In Committee
12/09/2025
Crossed Over
Passed
Dead
02/26/2026

Introduced Session

132nd Legislature

Bill Summary

This bill establishes joint and several liability of contractors and subcontractors in the construction industry, and employment agencies and employers, for violations of labor laws under the Maine Revised Statutes, Title 26, chapters 7 and 15. It also requires subcontractors to indemnify contractors and employment agencies to indemnify employers for any wages, damages, interest, penalties and attorney's fees owed as a result of the subcontractor's violation or the employment agency's violation of Title 26, chapter 7 or 15.

AI Summary

This bill establishes legal accountability for labor law violations in the construction and temporary staffing industries by creating joint and several liability between contractors and subcontractors, and between employment agencies and employers. Specifically, in the construction industry, a contractor and construction subcontractor are now jointly responsible for any labor law violations affecting the subcontractor's employees under Maine's labor chapters. If a subcontractor violates labor laws, they must indemnify (financially reimburse) the contractor for wages, damages, interest, penalties, and attorney's fees, unless the violation resulted from the contractor's failure to make prompt payment. Similarly, in temporary staffing arrangements, an employment agency and the employer are now jointly liable for labor law violations, with the employment agency required to indemnify the employer for any financial damages resulting from their violations. The bill defines "construction subcontractor" by referencing an existing definition in Maine's workers' compensation law. This legislation aims to create more accountability and financial protection for workers and employers in these industries by ensuring that labor law violations can be addressed comprehensively and that responsible parties can be held accountable.

Committee Categories

Labor and Employment

Sponsors (7)

Last Action

Pursuant to Joint Rule 310.3 Placed in Legislative Files (DEAD) (on 02/26/2026)

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