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Relating to certain agreements by architects and engineers in or in connection with certain construction contracts.
No fiscal implication to the State is anticipated.
HB 2116 would prohibit covenants in certain construction
contracts that require a licensed engineer or architect to defend a party
against a claim based on the negligence, fault, or breach of contract of the
property owner. Such a contract could provide for the reimbursement of the
property owner's attorney's fees in proportion to the engineer or architect's
liability. If enacted, the owner could require the engineer or architect name
the owner as an additional insured under their liability policy.
HB 2116 would also require construction contracts related to
improvements of real property to have a standard of care for engineers and
architects. Such a contract would have to require the services be performed
with the skill and care ordinarily provided by competent architects or
engineers practicing under similar circumstances.
Texas Action is neutral on HB 2116 as it does not have a significant effect on any of our Liberty Principles.