Bill
Bill > A469
NJ A469
NJ A469Limits home improvement contractor from entering into contract with full indemnification provision.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill provides that a contractor that is subject to the "Contractors' Registration Act" is prohibited from entering into a contract for full indemnification from a subcontractor. Under the bill, the term contractor includes home improvement contractors and home elevation contractors. The bill prohibits the contractor from entering into a contract with a liability clause between a contractor and a subcontractor for defects or poor workmanship which exceeds 50 percent indemnification. The bill also requires a home improvement contractor who is subject to its provisions to certify, in every home improvement contract for a purchase price in excess of $500, that the contractor will not contract for full indemnification from a subcontractor, and that any liability clause in a contract between a contractor and a subcontractor for defects or poor workmanship will be limited to 50 percent indemnification.
AI Summary
This bill prohibits contractors, including home improvement and home elevation contractors, who are registered under the "Contractors' Registration Act" from entering into contracts with subcontractors that include a full indemnification provision, meaning a subcontractor would be fully responsible for any damages or losses. Additionally, it limits any liability clauses in contracts between contractors and subcontractors concerning defects or poor workmanship to a maximum of 50 percent indemnification. For home improvement contracts exceeding $500, the bill requires contractors to certify in writing that they will not seek full indemnification from subcontractors and that any liability clauses will be capped at 50 percent.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Introduced, Referred to Assembly Financial Institutions and Insurance Committee (on 01/13/2026)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/A469 |
| BillText | https://pub.njleg.gov/Bills/2026/A0500/469_I1.HTM |
Loading...