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House Passes Motor Carrier Indemnification Bill - Johnson's HB 366

Johnson’s HB 366 offers fairness to Alaska businesses in contracting


Friday, March 26, 2010, Juneau, Alaska – The Alaska State House today unanimously passed House Bill 366, legislation promoting safety and fairness in business contract indemnity agreements. House Resources Committee Ch-Chair Craig Johnson, R-Anchorage, sponsored the bill.

“HB 366 holds the responsible person responsible,” Johnson said. “Right now in Alaska law, businesses can contract away their responsibility, pushing the responsibility onto the contractor. This goes to the core values of business – if an accident happens where both parties are equally responsible they should both be held accountable. The bill protects businesses and will promote fairness in contract indemnity.”

HB 366 amends state statute 45.45.900, adding a new subsection prohibiting indemnification between motor carriers, such as fuel trucks, from entering into contracts with businesses containing “hold harmless” clauses and vice-a-versa. The bill also sets out standards for classifying motor carriers and shippers.

HB 366 now heads to the Alaska State Senate for consideration.

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