House Bill 994

AN ACT TO EXEMPT PUBLIC CONTRACTORS FROM LIABILITY TO CERTAIN THIRD PARTIES; TO PROVIDE THAT THE IMMUNITY PROVIDED BY THIS ACT SHALL NOT APPLY IF THE CONTRACTOR HAS ACTUAL KNOWLEDGE OF DESIGN ERRORS; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. A contractor who performs construction, repair, maintenance or other work on any public property under contract with the State of Mississippi, a political subdivision thereof, or any other public authority in this state in substantial compliance with plans and specifications for such work shall have no liability to third parties as a result of the condition of the work or as a result of contractor's actions taken in substantial conformance either with the plans and specifications or with directives of the public authority pertaining to such work.

SECTION 2. The immunity provided in Section 1 of this act shall not apply if a contractor has actual knowledge of a design error in the plans and specifications for the public work and fails to report the error to the public authority; provided, however, that the contractor retains immunity from liability to third parties if either the unreported error is not the primary and proximate cause of injury being claimed or if the contractor is directed by the public authority to proceed in accordance with the plans and specifications after the contractor's report of design error.

SECTION 3. This act shall take effect and be in force from and after July 1, 2005.