Subchapter C of Chapter 151 of the Texas Insurance Code, generally referred to as the Texas Construction Anti-Indemnity Act (TCAIA), has a much broader scope than what its name suggests. The act’s scope causes surprises for some parties who, despite signing contracts they believed had limited connection to “construction”, discover that the TCAIA applies to them as well.
The TCAIA regulations are applicable wherever there’s a “construction contract”, which can lead to surprising outcomes for entities that did not assume their agreements fell under the umbrella of “construction”. A significant level of caution is thus urged upon entities engaging in contracting, in order to understand and navigate the wide reach of the TCAIA.
More detailed analysis on this topic is available in a recent article published by Porter Hedges LLP on JDSupra.