Indiana § 20-26-5-4.1 - Void and unenforceable terms in vendor contracts

Full text of Indiana Indiana Code § 20-26-5-4.1 — Void and unenforceable terms in vendor contracts, with citation guidance and answers to common questions.

§ 20-26-5-4.1. Void and unenforceable terms in vendor contracts

Sec. 4.1. (a) This section applies to a vendor contract entered into, amended, or renewed after June 30, 2026.

(b) As used in this section, "automatic renewal provision" means a provision in a vendor contract that provides for the automatic renewal of the contract unless the governing body of a school corporation or the equivalent authority for a charter school gives notice to the vendor that the school corporation or charter school intends to terminate the vendor contract at the end of the contract term.

(c) As used in this section, "choice of law provision" means a term within a vendor contract that subjects the vendor contract to the laws of a state other than Indiana.

(d) As used in this section, "indemnity provision" means a provision, a clause, a covenant, or an agreement that:

(1) is contained in, collateral to, or affecting a vendor contract; and

(2) purports to indemnify, defend, or hold harmless, or has the effect of indemnifying, defending, or holding harmless, a vendor against liability for loss or damage resulting from:

(A) negligence;

(B) intentional acts; or

(C) omissions;

of the vendor or an agent, employee, servant, or independent contractor that is directly responsible to the vendor.

(e) As used in this section, "vendor contract" means a contract between a governing body of a school corporation or the equivalent authority for a charter school and a vendor in which the vendor promises to provide goods or services.

(f) Notwithstanding any other law, an indemnity provision in a vendor contract under this section is:

(1) against public policy; and

(2) void and unenforceable.

(g) Notwithstanding any other law, a choice of law provision in a vendor contract under this section is:

(1) against public policy; and

(2) void and unenforceable.

A vendor contract is only subject to the laws of the state of Indiana.

(h) Notwithstanding any other law, an automatic renewal provision in a vendor contract under this section is:

(1) against public policy; and

(2) void and unenforceable.

As added by P.L.149-2026, SEC.1.

Source: official Indiana text · Last verified 2026-08-27

Frequently Asked Questions About Indiana § 20-26-5-4.1

What does Indiana Code § 20-26-5-4.1 cover?

Section 20-26-5-4.1 ("Void and unenforceable terms in vendor contracts") is part of the Indiana Code, the codified statutory law of Indiana. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Indiana § 20-26-5-4.1?

A common citation format is "Indiana Code § 20-26-5-4.1" (Indiana). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Indiana law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Indiana official source linked on this page or consult a licensed Indiana attorney.

How does Indiana § 20-26-5-4.1 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Indiana can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Indiana.