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<section article="ged" article_name="Education" number="4-150" title_number="4" title_name="Local School Administration" subtitle_number="1" subtitle_name="County Boards of Education">
  <level label="a">
    <text>In this section, “public school system contract” means any agreement entered into by a public school system.</text>
  </level>
  <level label="b">
    <text>This section does not apply to collective bargaining agreements entered into under:</text>
    <level label="1">
      <text>Title 6, Subtitles 4 and 5 of this article;</text>
    </level>
    <level label="2">
      <text>Title 9.5, Subtitle 7 of this article; or</text>
    </level>
    <level label="3">
      <text>Title 22 of the State Government Article.</text>
    </level>
  </level>
  <level label="c">
    <text>Except as required by State or federal law, a public school system contract may not include a provision that:</text>
    <level label="1">
      <text>Requires the public school system to indemnify, defend, or hold harmless another person without an appropriation of funds for that purpose;</text>
    </level>
    <level label="2">
      <text>Requires the public school system to agree to binding arbitration or any other binding extrajudicial dispute resolution process;</text>
    </level>
    <level label="3">
      <text>Names a jurisdiction or venue for any action or dispute against the public school system other than a court of proper jurisdiction in the State;</text>
    </level>
    <level label="4">
      <text>Requires the public school system to agree to limit the liability for any direct loss to the public school system for bodily injury, death, or damage to property of the public school system caused by the negligence, intentional or willful misconduct, fraudulent act, recklessness, or other tortious conduct of a person or a person’s employees or agents or a provision that would otherwise impose an indemnification obligation on the public school system;</text>
    </level>
    <level label="5">
      <text>Requires the public school system to be bound by a term or condition that:</text>
      <level label="i">
        <text>Is unknown to the public school system at the time of signing a contract;</text>
      </level>
      <level label="ii">
        <text>May be unilaterally changed by the other party; or</text>
      </level>
      <level label="iii">
        <text>Is electronically accepted by a public school system employee without authority;</text>
      </level>
    </level>
    <level label="6">
      <text>Restricts a public school system’s discretion to select the appropriate legal counsel to represent its interests;</text>
    </level>
    <level label="7">
      <text>Is inconsistent with the public school system’s obligations under Title 3 or Title 4 of the General Provisions Article;</text>
    </level>
    <level label="8">
      <text>Creates a deficiency, incurs a liability, or spends money in excess of the appropriation, or binds a public school system to pay an amount unless funds have been appropriated for that purpose;</text>
    </level>
    <level label="9">
      <text>Requires automatic renewal of the contract and obligates the public school system to allocate funding in subsequent fiscal years; or</text>
    </level>
    <level label="10">
      <text>Limits the public school system’s ability to recover a difference in the cost of a replacement contractor to perform the services not performed by the original contractor.</text>
    </level>
  </level>
  <level label="d">
    <text>If a public school system contract contains a provision listed under subsection (c) of this section, the provision is void ab initio and the contract containing that provision shall be enforceable as if it did not contain the provision.</text>
  </level>
  <level label="e">
    <text>A public school system contract that contains a provision listed under subsection (c) of this section shall be governed by and construed in accordance with State law, notwithstanding any term or condition to the contrary in the contract.</text>
  </level>
</section>
