CO HB1197

Limits indemnification obligations in public construction contracts to only the degree or percentage of negligence or fault attributable to the contractor or their agents, representatives, subcontractors, or suppliers.

Voids as against public policy any contract clause requiring a contractor to indemnify or defend a public entity from the public entity's own negligence.

Exempts construction bonds, insurance contracts, and insurance policies from these limitations.

Requires that for architects, engineers, surveyors, and other design service providers, the extent of their indemnification obligation may only be determined after their liability or fault has been established through adjudication, alternative dispute resolution, or mutual agreement.

Takes effect September 1, 2015, but is subject to voter approval in November 2016 if a referendum petition is filed; applies only to contracts entered into on or after the effective date.