Scaffold Indemnity Agreement
Broad form: the indemnitee assumes all responsibility for accidents resulting from the project, regardless of the culprit. In this form, a subcontractor pays for its own negligence, complicity with a general contractor in the event of an accident and the exclusive negligence of the general contractor. Therefore, an electrical installer is liable when an employee injures the employee of another subcontractor with a fallen tool; when an employee leaves materials in a sidewalk on the instructions of the GC, tripping and injuring the employee of another submarine company; And if the scaffolding installed by the GC for the electrician collapses on the employee of another submarine. Many states prohibit this form of agreement unless the person subject to compensation funds the liability assumed by an insurance policy. To be separate and independent, the insurance provision must be a requirement in its own right, different from and complementary to all the requirements of the determination of compensation. Under this definition of cash facts, the 5th Circuit found that BP/Transocean`s determination of compensation was “separate and independent” and that BP was therefore entitled to supplemental insurance coverage under Transocean`s policy. Contractors should work closely with their contract engineer to ensure they understand the terms of a secure agreement. They should also consult with their insurance agents to determine how their liability insurance is applied to agreements. The time to identify and eliminate coverage gaps is before work begins and an accident occurs. The first major problem is to interpret the various treaties. BP argues that in deciding whether it is an “additional insured”, only the language of the insurance policy is important, referring to cases such as EVANSTON INSURANCE COMPANY v.
ATOFINA PETROCHEMICALS, INC., no. 03-0647. The insurers argue that the amount of cover they agreed to grant to BP was limited to the scope of Transocean`s agreement to provide that cover, thus excluding the rights as they stood. On this blog, we have presented a survey on the status of additional insured under the CGL, roof and franchise insurance, car insurance, commercial real estate and employee compensation. Thousands of times a day, demanding companies around the world negotiate commercial contracts. Virtually all of these contracts contain indemnification agreements of one type or another. The majority also includes “insured supplemental” provisions – requirements for one party to be covered by the other`s insurance policies. .