Ohio Adopts New Statutory Requirements Regarding Modifications to Industry Standard Construction Contracts on Public Projects

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Senate Bill 262 (SB 262), which became effective September 17, 2026, modified Ohio Revised Code sections 9.334, 153.12, 153.01, 153.503, and 153.693 to require industry-standard public construction contracts to clearly identify any modifications made to those forms.

Under this new law, parties must specifically denote any deviations from the standard language. If a modification is not properly identified, it is unenforceable, and the applicable industry standard language will control instead.

The new requirement applies to commonly used industry forms, including those published by the American Institute of Architects (AIA), the Engineers Joint Contract Documents Committee (EJCDC), the Design-Build Institute of America (DBIA), and the Ohio Facilities Construction Commission (OFCC). Modifications may be identified by methods including strikethroughs, underlining revised language, cross-references to supplemental conditions, or supplemental provisions that specifically reference the section or sections of the standard form being modified. Any changes that are not identified in one of the prescribed manners are void, and the original standard form provision will be effective.

The new procedural requirement applies when industry standard contracts involving a public authority are used for a construction manager-at-risk, design-build firm, general contractor, or their subcontractors. It broadly covers contracts for the construction, reconstruction, improvement, enlargement, alteration, repair, painting, or decoration of public improvements undertaken by state and local governmental entities, as well as state institutions of higher education. The Ohio Department of Transportation is exempt from the requirement for road, highway, and bridge projects.

Importantly, the statute applies regardless of whether the revised standard form is provided by the public authority or the contractor. SB 262 further directs the Ohio Facilities Construction Commission to adopt rules under Ohio's Administrative Procedure Act requiring public authorities, construction managers-at-risk, design-build firms, and general contractors using industry-standard contract or subcontract forms to comply with these marking requirements on specific public projects.

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