Virginia Contractor Indemnification

State:
Multi-State
Control #:
US-CGMCA-19
Format:
Word; 
Rich Text
Instant download

Description

This is a Contractor Indemnification form, to be used across the United States. It is used to protect yourself against lawsuits by a Contractor's Employees.

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FAQ

Section 11-4. of the Virginia Code states that any provision that waives or diminishes a subcontractor's right to claim ?demonstrated costs? executed before the subcontractor performs work is null and void. Arguably, an offset clause ?diminishes? a subcontractor's right to claim demonstrated costs.

As indicated above, the 2023 changes to Section 11-4.6 dictate that project owners include in their construction agreements with their general contractors ?a provision that requires the owner to pay the general contractor within 60 days of receipt of an invoice following satisfactory completion of the portion of work ...

Thus, it is critical for every contractor to understand the meaning of indemnification before executing a contract. An indemnification provision is a contractual provision under which one party (the indemnitor) agrees to assume liability for the losses incurred by another party (the indemnitee).

A provision that waives or diminishes a subcontractor's, lower-tier subcontractor's, or material supplier's right to assert payment bond claims or his right to assert claims for demonstrated additional costs in a contract executed prior to providing any labor, services, or materials is null and void.

Virginia's anti-indemnity statute states, in relevant part: ?Any provision contained in any contract relating to the construction, alteration, repair or maintenance of a building ? by which the contractor performing such work purports to indemnify or hold harmless another party to the contract against liability for ...

Indemnity being a 'hold harmless' agreement This clause absolves the manufacturing company of losses in case one of the contractor's personnel gets injured while using the crane. The contractor here indemnifies the manufacturer.

Many clients insist on unilateral indemnification clauses, basically putting all potential liability solely on a contractor's shoulders. The latter should insist on a mutual indemnification clause, where both parties are responsible for liabilities that arise out of their own fault.

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Virginia Contractor Indemnification