House Study Bill 31 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON JUDICIARY BILL BY CHAIRPERSON BALTIMORE) A BILL FOR An Act requiring in-state construction contracts and disputes 1 thereof to be governed by Iowa law. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1607YC (2) 85 je/nh

H.F. _____ Section 1. NEW SECTION . 537A.6 In-state construction 1 contracts —— Iowa law to govern. 2 1. As used in this section, “in-state construction 3 contract” means a public, private, foreign, or domestic 4 agreement relating to construction, alteration, repair, or 5 maintenance of any real property in this state and includes 6 agreements for architectural services, demolition, design 7 services, development, engineering services, excavation, or any 8 other improvement to real property in this state, including 9 buildings, shafts, wells, and structures, whether on, above, or 10 under real property in this state. 11 2. A provision of an in-state construction contract is void 12 and unenforceable as contrary to public policy if the provision 13 does any of the following: 14 a. Makes the in-state construction contract subject to the 15 laws of another state. 16 b. Requires any litigation arising from the in-state 17 construction contract to be conducted in another state. 18 3. Any mediation, arbitration, or other dispute resolution 19 proceeding arising from or relating to an in-state construction 20 contract shall be conducted in this state. 21 EXPLANATION 22 This bill provides that a provision of an in-state 23 construction contract is void and unenforceable as contrary to 24 public policy if the provision makes the contract subject to 25 the laws of another state or requires any litigation arising 26 from the contract to be conducted in another state. The bill 27 also requires any mediation, arbitration, or other dispute 28 resolution proceeding arising from or relating to an in-state 29 construction contract to be conducted in this state. 30 “In-state construction contract”, as defined in the bill, 31 means a public, private, foreign, or domestic agreement 32 relating to construction, alteration, repair, or maintenance 33 of any real property in this state and includes agreements 34 for architectural services, demolition, design services, 35 -1- LSB 1607YC (2) 85 je/nh 1/ 2

H.F. _____ development, engineering services, excavation, or any 1 other improvement to real property in this state, including 2 buildings, shafts, wells, and structures, whether on, above, or 3 under real property in this state. 4 -2- LSB 1607YC (2) 85 je/nh 2/ 2