Are your cities allowing design professionals to limit their liability in their contracts (e.g. to total contract value)? What is the standard provision that you are using? If you are allowing them to limit their liability, have you seen evidence that fees end up being lower than when the City does not allow the professional to limit their liability?
Thanks! We seem to be encountering more and more engineering firms that are pushing back against the City's standard contract provision that does not allow limitations of liability which makes me wonder what the standard is these days.
Teresa Nowlin | City Attorney
211 North Elm | P.O Box 2007 | Jenks, OK 74037
918-299-5883 Office
I have used the attached AG opinion to convince professional contractors that a city cannot agree to the limitation. Also I use it to remove indemnity language;
From: Teresa Nowlin tnowlin@jenksok.org
Sent: Tuesday, May 10, 2022 12:28 PM
To: oama@lists.imla.org
Subject: [Oama] Professional Services Agreements - Limitations of Liability?
Are your cities allowing design professionals to limit their liability in their contracts (e.g. to total contract value)? What is the standard provision that you are using? If you are allowing them to limit their liability, have you seen evidence that fees end up being lower than when the City does not allow the professional to limit their liability?
Thanks! We seem to be encountering more and more engineering firms that are pushing back against the City's standard contract provision that does not allow limitations of liability which makes me wonder what the standard is these days.
Teresa Nowlin | City Attorney
211 North Elm | P.O Box 2007 | Jenks, OK 74037
918-299-5883 Office