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HB 300 Maryland House of Delegates · 2026 Regular Session

State Contracts - Prohibited Provisions - Exemptions

HB 300 amends Maryland's state contract law to prohibit specific provisions in state agreements, such as requiring the state to pay for damages without budgeted funds, mandating binding arbitration, or limiting the state's legal options. The bill exempts contracts entered by the Office of International Trade (within the Department of Commerce) for international business development, as authorized under existing law. This exemption allows the Office to include terms that would otherwise be invalid under the general prohibition. The change ensures these international business contracts remain enforceable without being voided for standard prohibited clauses.
Issues: ✓ Budget & TaxesSupports Budget & TaxesProhibits contract terms requiring unbudgeted payments, promoting fiscal responsibility in state budget management.90% confidence
Bill status signed all 5 stages cleared
Introduction
Oct 2025
Committee Review
Apr 2026
House of Delegates Passage
Apr 2026
Senate Passage
Apr 2026
Signed into Law
May 2026
Introduced Oct 1, 2025 Signed May 12, 2026
Maddy AI version diff · 1 comparison

What changed between versions

First - State Contracts - Prohibited Provisions - Exemptions → Third - State Contracts - Prohibited Provisions - Exemptions · 4 edits
MODERATE
The bill was amended to reflect its progression from a pre-filed draft to an adopted version, adding formal committee approval and adoption dates. Substantively, the bill's scope was expanded to explicitly exempt contracts involving the Office of International Trade from standard prohibitions on indemnification and arbitration, ensuring these specific international business activities are not hindered by the new restrictions.
Scope change
The bill now explicitly includes contracts entered into by the Office of International Trade in its list of exemptions, whereas the original text was less specific about this entity's inclusion in the exemption clause.
TIMELINE

Added specific dates for committee report, second reading, and adoption to formalize the bill's legislative history.

SCOPE

Reformatted the header to change the title from a generic description to a formal 'Chapter' placeholder, indicating the bill has moved to the final stage of the legislative process.

Clarified the exemption list to explicitly include contracts by the Office of International Trade relating to international business activities, ensuring these specific contracts are not subject to prohibitions on indemnification or binding arbitration.

ENFORCEMENT

Added a new subsection (d) stating that contracts containing prohibited provisions must be governed by State law, regardless of any conflicting terms in the contract itself.

Floor votes · House of Delegates Feb 23, 2026

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
14
Key actions
9
Committee
6
May 12, 2026
Signed into law
Approved by the Governor - Chapter 374
executive
Apr 8, 2026
Lower · Passed
Returned Passed
lower
Apr 8, 2026
Upper · Passed
Third Reading Passed
upper
Apr 1, 2026
Upper · Passed
Favorable Adopted Second Reading Passed
upper
Apr 1, 2026
Upper · Passed
Favorable Report by Budget and Taxation
upper
Mar 5, 2026
Committee
Referred Budget and Taxation
upper
Mar 4, 2026
Lower · Passed
Third Reading Passed
lower
Mar 3, 2026
Lower · Passed
Favorable Adopted
lower
Mar 2, 2026
Lower · Passed
Favorable Report by Government, Labor, and Elections
lower
Feb 23, 2026
House Of Delegates · Passed
House of Delegates Vote: pass (128-0-14)
house of delegates
Jan 14, 2026
Committee
First Reading Government, Labor, and Elections
lower
Oct 1, 2025
Introduced
Pre-filed
lower
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.