LRB-4687/1
RPN:skg:jlb
1995 - 1996 LEGISLATURE
March 6, 1996 - Introduced by Representatives Green, Lehman, Brandemuehl,
Freese, Otte, Hutchison, Springer, Silbaugh, Vrakas, Musser, Goetsch,
Hasenohrl, Lazich, Ainsworth, F. Lasee, Duff, Ott and Grothman,
cosponsored by Senators Huelsman, Drzewiecki and
Grobschmidt. Referred
to Committee on Judiciary.
AB981,1,2
1An Act to repeal and recreate 895.49 of the statutes;
relating to: voiding cer
2tain provisions of construction contracts.
Analysis by the Legislative Reference Bureau
Under current law, construction contracts are void if they contain a provision
that limits or eliminates tort liability, although exceptions are made for insurance
contracts and worker's compensation plans that are purchased by the person whose
liability is limited or eliminated. Under this bill, provisions of construction contracts
are void if the provisions limit or eliminate tort liability, require a person to purchase
an insurance contract that names another person as the insured or to amend an in
surance contract to name another person as an insured, or require a person to indem
nify another person, or to hold harmless another person, in regard to liability for
damage that the person so required does not cause. The exception for insurance con
tracts and worker's compensation plans remains in effect.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB981, s. 1
3Section
1. 895.49 of the statutes is repealed and recreated to read:
AB981,1,8
4895.49 Voiding of certain provisions of construction contracts. (1) A
5provision of a contract, covenant or agreement relating to the construction, alter
6ation, repair or maintenance of a building or other structure or to other work related
7to construction, including any moving, demolition or excavation, is void if the provi
8sion does any of the following:
AB981,2,1
1(a) Limits or eliminates tort liability.
AB981,2,42
(b) Requires a person to purchase an insurance contract that names another
3person as an insured or requires a person to amend an insurance contract to name
4another person as an insured.
AB981,2,65
(c) Requires a person to indemnify another person, or hold harmless another
6person, in regard to liability for damage that the person so required does not cause.
AB981,2,9
7(2) Subsection (1) does not apply to any insurance contract or worker's com
8pensation plan that is purchased by the person whose liability is limited or elimi
9nated by the contract or plan.
AB981,2,12
11(1) This act first applies to contracts, covenants and agreements entered into
12on the effective date of this subsection.
