§ 23-13-105 — Certain indemnity provisions void - Definitions

(a) As used in this section: (1) "Gas" means all natural gas, including casing-head gas and all other hydrocarbons not defined as oil in this section; (2) "Motor carrier" means: (A) An individual or entity that is engaged in the transportation of property for compensation by motor vehicle; and (B) An agent, employee, servant, or independent contractor of the individual or entity described in subdivision (a)(2)(A) of this section; (3) "Motor carrier transportation contract" means an express or implied contract, agreement, or understanding entered into, renewed, modified, or extended on or after March 20, 2015, that covers: (A) Transportation of property for compensation or hire by a motor carrier; (B) Entrance on property by the motor carrier for the purpose of loading, unloading, delivering, or transporting property for compensation or hire; or (C) Services that are incidental to an activity described in subdivision (a)(3)(A) or subdivision (a)(3)(B) of this section, including without limitation brokerage services or the storage of property; (4) "Oil" means crude petroleum oil and other hydrocarbons, regardless of gravity, which are produced at the well in liquid form by ordinary production methods and which are not the result of condensation of gas after it leaves the reservoir; (5) "Operator" means the person who has the right as an owner or by agreement with an owner to enter upon the lands of another for the purposes of exploring, drilling, and developing for the production of brine, oil, gas, and all other petroleum hydrocarbons; (6) "Person" means an individual, corporation, association, partnership, receiver, trustee, guardian, executor, administrator, fiduciary, federal agency, or representative of any kind; and (7) "Promisee" means the promisee specified in the motor carrier transportation contract and each agent, employee, servant, and independent contractor directly responsible to the specified promisee. (b) A provision, clause, covenant, or agreement contained in, collateral to, or affecting a motor carrier transportation contract to be performed all or in part in Arkansas that purports to indemnify, defend, or hold harmless, or that has the effect of indemnifying, defending, or holding harmless, the promisee from or against any liability for loss or damage resulting from the negligent, reckless, intentional, malicious, willful, or wanton acts or omissions of the promisee is against the public policy of the State of Arkansas and is void and unenforceable. (c) This section does not apply to: (1) The Uniform Intermodal Interchange and Facilities Access Agreement administered by the Intermodal Association of North America or other agreements providing for the interchange, use, or possession of intermodal chassis or other intermodal equipment; (2) A contract of insurance between a motor carrier and its insurance carrier; (3) An indemnity clause entered into as part of a settlement agreement in which a motor carrier and any of its agents, employees, contractors, affiliates, assigns, and insurers are to be indemnified, defended, or otherwise held harmless as to any pending or future claim of: (A) Another party to or a third-party beneficiary of the settlement agreement; or (B) A lienholder, alleged tortfeasor, or other allegedly responsible party; or (4) (A) Except as provided in subdivision (c)(4)(B) of this section, the provision of work or services of any kind to an operator or other person directly related to activities or operations stemming from the exploration, production, processing, gathering, or movement of oil or gas, including without limitation the hauling, movement, or transportation of people, oil, gas, goods, supplies, equipment, facilities, structures, water, fluids, chemicals, waste, or other materials on or off one (1) or more sites where any exploration or production operations have been, are, or will be occurring. (B) The activities and operations described in subdivision (c)(4)(A) of this section shall not include the transportation by motor carrier of refined petroleum products for purposes unrelated to the exploration, drilling, or production of oil or gas. (d) Notwithstanding any choice-of-law provision to the contrary, the law of Arkansas relating to indemnity as embodied in this section shall apply to and govern every motor carrier transportation contract to be performed all or in part within the State of Arkansas.

Legislative History

Added by Act 2015, No. 572,§ 1, eff. 3/20/2015.