SB219 Alabama 2012 Session

Summary

Primary Sponsor

Gerald O. Dial

Republican

Session

Regular Session 2012

Title

Motor carrier transportation contracts, contracts by motor carriers and entities shipping may not limit liability for each party for their own negligence, exception, Sec. 37-3-23.1 added

Summary

SB219 would bar contract provisions that require indemnification for losses caused by a party's own negligence or intentional acts in motor carrier transportation contracts between shippers and motor carriers in Alabama.

What This Bill Does

If enacted, the bill makes indemnity provisions in motor carrier transportation contracts unenforceable and void. It defines who is a motor carrier, who is a shipper, and what counts as a motor carrier transportation contract, and it applies to contracts made in Alabama or performed there, regardless of any choice-of-law clause. It also excludes intermodal interchange agreements and certain intermodal equipment arrangements from the prohibition. The protections apply to all related documents, including bills of lading, within Alabama.

Who It Affects

• Motor carriers and shippers entering into motor carrier transportation contracts in Alabama would be prohibited from including or enforcing indemnity provisions for each party's own negligence or actions.
• Intermodal interchange agreements and similar intermodal equipment arrangements are exempt from the prohibition and could still include indemnity terms.

Key Provisions

• Adds Section 37-3-23.1 to define motor carrier, motor carrier transportation contract, and shipper.
• Prohibits in a motor carrier transportation contract any provision that indemnifies or holds harmless the other party against liability for negligence or intentional acts/omissions of that party.
• Declares such indemnity provisions void and against public policy.
• Excludes the Uniform Intermodal Interchange and Facilities Access Agreement and other intermodal equipment agreements from the prohibition.
• Extends protections to every bill of lading, contract, or understanding made in Alabama or performed there, regardless of choice-of-law provisions.
• Effective immediately after gubernatorial approval.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Motor Vehicles