HB 2334
Initials PAB Page 1 Land, Agriculture & Rural Affairs
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-fifth Legislature
Second Regular Session
HB 2334: state lands; lease provisions
Sponsor: Representative Cook, LD 8
Committee on Land, Agriculture & Rural Affairs
Overview
Prohibits state trust land leases from containing certain indemnification and liability provisions and
declares that liability for injuries sustained on state trust land will be determined based on
applicable state or federal law.
History
A state trust land lease requires the lessee to agree to indemnify and hold the State, through the
State Land Department, harmless against all liabilities, obligations, damages, claims and costs
which may be imposed from:
• Accidents, injuries and damage that occurred on the land from the lessee's use of the
land;
• Use, non-use or a condition on the land that resulted from the lessee's actions or
negligence; and
• Any failure on the part of the lessee to comply with the lease provisions.
The lease similarly requires the lessee to protect, defend, indemnify and hold the State harmless
against any liabilities, obligations, losses, environmental responses and cleanup costs related to
the presence of any substance regulated under applicable federal, state or local environmental
laws, regulations, ordinances or amendments.
The recreational-use immunity statute generally limits liability for injuries that occur on another's
land. An individual who legally possesses land is not liable for a recreational or educational user's
injury on the land unless the individual was guilty of willful, malicious or grossly negligent conduct
that directly led to the user's injury (A.R.S. § 33-1551).
Tendering a defense is a legal term that involves assigning a client’s defense and associated
costs to another party pursuant to a contract or other agreement.
Provisions
1. Prohibits state trust land leases from containing provisions that:
a) Tender defense of either a claim or cause of action:
i. Based on an injury to someone who is on or using state trust lands and to whom
permission to be on these lands has been granted by this state or any state agency;
and
ii. Arising under state or federal environmental laws;
b) Require indemnification in any form from a lessee or the lessee's employees or agents;
and
c) Otherwise assign liability to a lessee for the claims or causes of action mentioned above.
(Sec. 1)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note HB 2334
Initials PAB Page 2 Land, Agriculture & Rural Affairs
2. Declares that liability for any injury to an individual who is on or using state trust lands and to
whom permission has been granted by the state or any state agency, including as a contracted
third party, will be determined based on the recreational-use immunity statute or applicable
state or federal law. (Sec. 1)