WeVote
Log In

Bill

Bill

A 5405

Relates to void provisions in construction contracts

2025 Regular Session Introduced by Pamela Hunter and 2 co-sponsors

Bill A 5405 protects consumers and contractors by clarifying void provisions in construction contracts, ensuring fairness and transparency in agreements.

RETURNED TO ASSEMBLY
0
WeVote Research Nonpartisan
Bill Summary · A 5405

Summary of Bill A 5405: Relates to Void Provisions in Construction Contracts

Purpose and Intent

Bill A 5405 aims to address and clarify the enforceability of certain provisions within construction contracts. The primary intent is to protect parties involved in construction agreements from potentially unfair or void provisions that could undermine the integrity of the contract.

Key Provisions

  • Void Provisions: The bill specifies which types of contract provisions are considered void and unenforceable in construction contracts. This includes clauses that may unfairly limit liability or impose unreasonable obligations on one party.
  • Clarification of Rights: It seeks to ensure that all parties in a construction contract have a clear understanding of their rights and obligations, promoting fairness and transparency in contractual agreements.
  • Consumer Protection: The bill emphasizes consumer protection by preventing contractors from including provisions that could exploit consumers or diminish their legal rights.

Affected Parties

  • Contractors: The bill will impact construction contractors by requiring them to revise their contracts to comply with the new standards regarding void provisions.
  • Consumers: Homeowners and other consumers engaging in construction contracts will benefit from enhanced protections against unfair contractual terms.
  • Legal Professionals: Attorneys and legal advisors in the construction industry will need to stay informed about the changes to ensure compliance and provide accurate guidance to their clients.

Legislative Actions and Timeline

  • Introduced: February 13, 2025
  • Assembly Actions:
    • Passed Assembly on May 22, 2025
    • Delivered to Senate on May 22, 2025
    • Referred to Consumer Protection on May 22, 2025
  • Senate Actions:
    • Substituted for S 5655 on June 11, 2025
    • Passed Senate on June 11, 2025
    • Returned to Assembly on June 11, 2025
  • Current Status: The bill has been returned to the Assembly and is pending further action.

Related Bills

  • S 5655: This is the companion bill in the Senate, which shares similar objectives and provisions regarding void provisions in construction contracts.

Conclusion

Bill A 5405 represents a significant step towards enhancing fairness and clarity in construction contracts. By addressing void provisions, it aims to protect both consumers and contractors, ensuring that all parties are aware of their rights and obligations. As the bill progresses through the legislative process, its final form will be crucial in shaping the future of construction agreements in the state.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.