New law impacts snow removal policy

Q. Our association is negotiating a snow removal contract for the parking areas and other common elements of our association. The contracts with all of the association's vendors typically include some sort of requirement that the contractor indemnifies the association for damages caused by the vendor. Our snow removal contractor says that some of these provisions are no longer valid. Is that true?

A. "Maybe." The Snow Removal Service Liability Limitation Act became effective Aug. 25 and eliminates certain common contractual remedies of associations. As a result, certain indemnity agreements are void.

A provision that is part of, or in connection with, a snow removal and ice control services contract is against public policy and void if it does any of the following:

• Requires, or has the effect of requiring, a service provider to indemnify a service receiver for damages resulting from the acts or omissions of the service receiver or the service receiver's agents or employees.

• Requires, or has the effect of requiring, a service receiver to indemnify a service provider for damages resulting from the acts or omissions of the service provider or the service provider's agents or employees.

• Requires, or has the effect of requiring, a service provider to hold a service receiver harmless from any tort liability for damages resulting from the acts or omissions of the service receiver or the service receiver's agents or employees.

• Requires, or has the effect of requiring, a service receiver to hold a service provider harmless from any tort liability for damages resulting from the acts or omissions of the service provider or the service provider's agents or employees.

• Requires, or has the effect of requiring, a service provider to defend a service receiver against any tort liability for damages resulting from the acts or omissions of the service receiver or the service receiver's agents or employees.

• Requires, or has the effect of requiring, a service receiver to defend a service provider against any tort liability for damages resulting from the acts or omissions of the service provider or the service provider's agents or employees.

A service provider means a person providing services under a snow removal and ice control services contract. Service receiver means a person receiving services under a snow removal and ice control services contract.

In other words, this new law in Illinois prevents the passing of liability from the property owner to another party for snow or ice removal-related lawsuits. This means property owners cannot transfer risk from themselves to a snow removal contractor.

This act applies to snow removal and ice control service contracts entered into on and after Aug. 25. This act does not apply to an insurance policy, and does not affect any liabilities, immunities or affirmative defenses arising under other law.

Associations should have their proposed snow and ice removal contacts reviewed by counsel, in order to see what impact this act may have and to determine what changes can be made to level the playing field.

• David M. Bendoff is an attorney with Kovitz Shifrin Nesbit in the Chicago suburbs. Send questions for the column to him at CondoTalk@ksnlaw.com. The firm provides legal service to condominium, townhouse, homeowner associations and housing cooperatives. This column is not a substitute for consultation with legal counsel.