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Rentenbach Constructors11/13/2000
This appeal from the Jefferson County Chancery Court concerns whether the Chancery Court erred in determining that Appellant, Rentenbach Constructors, Incorporated is obligated to indemnify Appellees, Mathews Corporation and Ball Corporation under the terms of a construction contract entered into between Rentenbach and Ball. We reverse the decision of the Chancery Court in this respect and remand for further proceedings, if any, consistent with this opinion. We adjudge costs of the appeal against the Appellees, Ball Corporation and Mathews Corporation.
Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Chancery Court Reversed in Part; Cause Remanded
Houston M. Goddard, P.J., delivered the opinion of the court, in which Charles D. Susano, Jr.,and D. Michael Swiney, JJ., joined.
OPINION
This is an appeal from a declaratory judgment of the Chancery Court of Jefferson County. Plaintiff/Appellant, Rentenbach Constructors, Incorporated contests the Chancellor's ruling that Rentenbach is contractually obligated to indemnify Defendants/Appellees Mathews Corporation and Ball Corporation for defense of personal injury lawsuits filed against them and to indemnify Mathews for any judgment rendered against Mathews in those lawsuits.
Rentenbach, as general contractor, entered into a contract to construct a warehouse for Ball. Under a separate agreement between Ball and Mathews, Mathews consented to provide construction management services in the warehouse construction project.
At Section 14.1 of the contract between Ball and Rentenbach the following indemnity provision is set forth:
14.1 Except only such injury or damage as shall have been occasioned by sole gross negligence of the Owner, the Contractor shall be responsible for and indemnify and save and hold harmless the Owner, its agents, Construction Manager, and employees, from and against any and all claims, liens, causes of action, damage, losses, expenses (including attorneys' fees), and liability for injury, sickness, disease or death to any person or persons, whether of not employed by or agent of the Owner, Contractor, sub-contractor or any third party, or for damage to or destruction of any property, tangible or otherwise, including the loss of use resulting therefrom, or for payments and expenses of any expenses of any nature caused or alleged to have been caused by the Owner, Contractor, or subcontractors, their agents or employees, in connection with Work to be performed herein or incidental to extension of Work to be performed herein by the Contractor, its agents or employees, or any of its sub-contractors, their agents or employees, and without regard to whether any ladders, scaffolds, or other equipment or property belonging to the Owner are used in connection with such Work. In any and all claims against the Owner or any of its agents or employees by any employee of the Contractor, any sub-contractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, the indemnification obligation of this paragraph shall not be limited in any way by any limitation on the amount or type of damages, compensation or benefits payable by or for the Contractor or any sub-contractor under workmen's compensation acts, disability benefit acts or other employee benefit acts.
An additional indemnity provision at Section 3.18.1 of the General Conditions of the contract states:
3.18.1 To the fullest extent permitted by law, the Contractor shall indemnify and hold harmless the Owner & Construction Manager, Construction Manager's consultants, and agents and employees of any of them from and against claims, da
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