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Subcontractor Indemnification Agreement

Subcontractor Indemnification Agreement Template for United States

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Key Requirements PROMPT example:

Subcontractor Indemnification Agreement

"I need a Subcontractor Indemnification Agreement for a large construction project in Texas, where we'll have multiple subcontractors working on specialized electrical installations, and we need particularly robust protection against workplace safety incidents and property damage claims."

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Document background
The Subcontractor Indemnification Agreement is essential in managing risk allocation between contractors and subcontractors in the United States. This document becomes necessary when a primary contractor engages subcontractors and needs protection against potential claims, losses, or damages resulting from the subcontractor's work. The agreement must comply with state-specific anti-indemnification laws and insurance requirements, while clearly defining the scope of protection, notification procedures, and defense obligations. It's particularly crucial in high-risk industries or complex projects where liability exposure needs careful management.
Suggested Sections

1. Parties: Identification of the contractor and subcontractor, including legal entities and addresses

2. Background: Context of the agreement and reference to the main contract

3. Definitions: Key terms used throughout the agreement including 'Indemnification', 'Claims', and 'Losses'

4. Scope of Indemnification: Specific circumstances and claims covered by the indemnification

5. Insurance Requirements: Required insurance coverage and limits

6. Notice Requirements: Procedures for notifying parties of claims

7. Term and Termination: Duration of the agreement and termination conditions

Optional Sections

1. Defense Obligations: Specific obligations regarding legal defense of claims, including responsibility for legal costs and choice of counsel

2. Limitation of Liability: Caps or restrictions on indemnification obligations and any carve-outs from such limitations

3. Cross-Indemnification: Mutual indemnification provisions between contractor and subcontractor

Suggested Schedules

1. Schedule A - Insurance Requirements: Detailed insurance requirements including types, limits, and endorsements

2. Schedule B - Scope of Work: Description of subcontractor's work covered by the indemnification

3. Appendix A - Claim Notification Form: Standard form for notifying parties of claims under the indemnification agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Clauses


















Industries

State-Specific Indemnification Laws: Each state has its own requirements for indemnification agreements, including anti-indemnification statutes (particularly in construction) and specific requirements for enforceability

Miller Act: Federal law (40 USC �� 3131-3134) requiring performance and payment bonds for federal construction projects

Federal Acquisition Regulation (FAR): Comprehensive set of rules governing federal government contracting process, relevant if government contracts are involved

Fair Labor Standards Act (FLSA): Federal law establishing standards for wage and hour requirements, overtime pay, and child labor regulations

Occupational Safety and Health Act (OSHA): Federal law ensuring safe working conditions and establishing workplace safety standards

State Workers' Compensation Laws: State-specific regulations governing compensation for work-related injuries and illnesses

Common Law Contract Principles: Fundamental principles of contract formation, interpretation, and enforcement under common law

Uniform Commercial Code (UCC): Standardized set of laws governing commercial transactions, applicable if goods are involved in the subcontract

State Insurance Regulations: State-specific requirements for insurance coverage and additional insured endorsements in subcontracting relationships

Statute of Limitations: State-specific time limits for filing claims and contract limitation periods

Construction Lien Laws: State-specific laws governing mechanics' liens and other construction-related claims

Prompt Payment Laws: State and federal requirements for timely payment to subcontractors and suppliers

Sherman Act: Federal antitrust law prohibiting certain business activities that reduce competition in the marketplace

Clayton Act: Federal law supplementing the Sherman Act with additional prohibited practices, including certain mergers and acquisitions

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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