Kansas Statutes

Chapter 16: Contracts And Promises

Article 1: General Provisions

Statutes:

• 16-101: Joint contracts as joint and several.
• 16-102: Liability of estate of decedent thereon.
• 16-103: Liability on death of all joint obligors.
• 16-104: Suit against copartners or joint obligors.
• 16-105: Release of persons jointly or severally liable.
• 16-106: Seals.
• 16-107: Consideration, what imports.
• 16-108: Want of consideration.
• 16-109: Contracts for sale of improvements on government lands.
• 16-110: Conveyances of improvements on public lands.
• 16-111: Medium of payment.
• 16-112: Restraint of trade; penalty.
• 16-113: Appointment of process agent by nonresident contractor; exception; filing.
• 16-114: Penalty for violating preceding section.
• 16-115: Definitions.
• 16-116: Agreements by electric or gas public utilities waiving partition rights or restricting alienation of certain properties authorized; application of act.
• 16-117: Credit agreements; definitions.
• 16-118: Same; requirements; failure to comply.
• 16-119: Same; declaration of meaning of original act.
• 16-120: Reimbursement for warranty work.
• 16-121: Construction contracts; certain indemnification provisions void, when.

• 16-101: Joint contracts as joint and several. All contracts which by the common law are joint only, shall be construed to be joint and several.

        History:   G.S. 1868, ch. 21, § 1; Oct. 31; R.S. 1923, 16-101.

• 16-102: Liability of estate of decedent thereon. In case of the death of one or more of the joint obligors or promisors, the joint debt or contract shall and may survive against the heirs, executors and administrators of the deceased obligor or promisor, as well as against the survivors.

        History:   G.S. 1868, ch. 21, § 2; Oct. 31; R.S. 1923, 16-102.

• 16-103: Liability on death of all joint obligors. When all the obligors or promisors shall die, the debt or contract shall survive against the heirs, executors and administrators of all the deceased joint obligors and promisors.

        History:   G.S. 1868, ch. 21, § 3; Oct. 31; R.S. 1923, 16-103.

• 16-104: Suit against copartners or joint obligors. In all cases of joint obligations and joint assumptions of copartners or others, suits may be brought and prosecuted against any one or more of those who are so liable.

        History:   G.S. 1868, ch. 21; § 4; Oct. 31; R.S. 1923, 16-104.

• 16-105: Release of persons jointly or severally liable. Any person jointly or severally liable with others for the payment of any debt or demand may be released from such liability by the creditor, and such release shall not discharge the other debtors or obligors beyond the proper proportion of the debt or demand for which the person released was liable.

        History:   G.S. 1868, ch. 21, § 5; Oct. 31; R.S. 1923, 16-105.

• 16-106: Seals. The use of private seals in written contracts (except the seals of corporations) is abolished, and the addition of a private seal to an instrument of writing shall not affect its character in any respect.

        History:   G.S. 1868, ch. 21, § 6; Oct. 31; R.S. 1923, 16-106.

• 16-107: Consideration, what imports. All contracts in writing, signed by the party bound thereby, or his authorized agent or attorney, shall import a consideration.

        History:   G.S. 1868, ch. 21, § 7; Oct. 31; R.S. 1923, 16-107.

• 16-108: Want of consideration. The want or failure in the whole or in part, of the consideration of a written contract, may be shown as a defense, total or partial, as the case may be, in an action on such contract, brought by one who is not an innocent holder in good faith.

        History:   G.S. 1868, ch. 21, § 8; Oct. 31; R.S. 1923, 16-108.

• 16-109: Contracts for sale of improvements on government lands. All contracts, promises, assumptions or undertakings, either written or verbal, made in good faith, and without fraud, collusion or circumvention, for the sale or purchase of improvements made on the lands owned by the government of the United States, shall be deemed valid, and may be sued upon as other contracts.

        History:   G.S. 1868, ch. 21, § 9; Oct. 31; R.S. 1923, 16-109.

• 16-110: Conveyances of improvements on public lands. Deeds of quitclaim and other conveyances of improvements upon public lands shall be as binding, and effectual between the parties, for conveying the title of the grantor in and to the same, as in cases where the grantor has the fee simple to the premises conveyed.

        History:   G.S. 1868, ch. 21, § 10; Oct. 31; R.S. 1923, 16-110.

• 16-111: Medium of payment. That from and after the passage of this act, all obligations of debt, judgments, or executions, stated in terms of dollars, and to be paid in money, if not dischargeable in United States legal-tender notes, shall be payable in either the standard silver or gold coins authorized by the congress of the United States, all stipulations in the contract to the contrary notwithstanding.

        History:   L. 1893, ch. 99, § 1; April 5; R.S. 1923, 16-111.

• 16-112: Restraint of trade; penalty. A person, firm, corporation or association of persons doing business in this state shall not make it a condition of the sale of goods, wares or merchandise that the purchaser shall not sell or deal in the goods, wares or merchandise of any other person, firm, corporation, or association of persons, but the provisions of this section shall not prohibit the appointment of agents or sole agents for the sale of, nor the making of contracts for the exclusive sale of, goods, wares, or merchandise. Whoever, as principal or agent, violates the provisions of this section shall be punished for the first offense by a fine of not less than fifty nor more than one hundred dollars; and for each succeeding offense by a fine of not less than one hundred nor more than five hundred dollars, or by imprisonment for not more than one year, or by both such fine and imprisonment.

        History:   L. 1907, ch. 139, § 1; March 6; R.S. 1923, 16-112.

• 16-113: Appointment of process agent by nonresident contractor; exception; filing. (a) Whenever the state or any political subdivision of the state, or any agency or instrumentality thereof, enters into a contract with any person who is not a resident of this state for the construction of any public improvement to be paid for by public funds, such person shall appoint in writing, as such person's agent, a resident of Kansas, except, no appointment under this section is required if the person is a foreign corporation, foreign limited partnership, or foreign limited liability company qualified to do business and in good standing in Kansas.

        (b)   Process for such person may be served on such agent in any civil action which arises out of the contract and in which the state, political subdivision, agency or instrumentality is a plaintiff. The appointment of such agent shall be filed with the secretary of state as provided in K.S.A. 60-306 and amendments thereto. No person required to appoint such an agent shall receive public moneys pursuant to such person's contract until the appointment has been made and filed as required by this section.

        (c)   As used in this section, "person" means any individual, partnership or unincorporated association.

        History:   L. 1913, ch. 299, § 1; L. 1980, ch. 73, § 1; L. 1993, ch. 179, § 1; July 1.

• 16-114: Penalty for violating preceding section. Any person or corporation which shall violate any of the provisions of this act shall be guilty of a misdemeanor and upon conviction shall be fined in any sum not more than one thousand dollars.

        History:   L. 1913, ch. 299, § 2; March 5; R.S. 1923, 16-114.

• 16-115: Definitions. Whenever used in this act, the following words and phrases shall have the meanings respectively ascribed to them herein, unless the context otherwise requires:

        (a)   "Property" means real or personal property, or both, and any interest therein; and

        (b)   "person" means any person, firm, partnership, association or corporation.

        History:   L. 1969, ch. 304, § 1; July 1.

• 16-116: Agreements by electric or gas public utilities waiving partition rights or restricting alienation of certain properties authorized; application of act. (a) Any two (2) or more persons who own or intend to own, jointly or as tenants in common, any property that is used or is to be used, in whole or in part, for the generation, transmission or distribution of electricity, or for the production, gathering, storage, processing, transmission or distribution of manufactured or natural gas, may enter into an agreement waiving their respective rights with respect to the partition of such property, or otherwise restricting the alienation thereof, for a period of time ending not later than the abandonment of such use. Without limiting the general application of the foregoing, the rule of law commonly known as the rule against perpetuities and the rule of law commonly known as the rule prohibiting unreasonable restraints on alienation of property shall not be applied to invalidate, render unenforceable or otherwise affect any such agreement.

        (b)   The provisions of this act shall apply to any such agreement entered into either prior or subsequent to the effective date of this act.

        History:   L. 1969, ch. 304, § 2; July 1.

• 16-117: Credit agreements; definitions. As used in this act:

        (a)   "Credit agreement" means an agreement by a financial institution to lend or delay repayment of money, goods or things in action, to otherwise extend credit or to make any other financial accommodation. For purposes of this act the term "credit agreement" does not include the following agreements: Open-end or closed-end promissory notes, real estate mortgages, security agreements, guaranty agreements, letters of credit, deposit account agreements, agreements in connection with deposit accounts for the payment of overdrafts, agreements in connection with student loans insured or guaranteed pursuant to the federal higher education act of 1965 and acts amendatory thereof and supplementary thereto, and agreements in connection with "lender credit cards" as defined in the uniform consumer credit code;

        (b)   "creditor" means a financial institution which extends credit or extends a financial accommodation under a credit agreement with a debtor;

        (c)   "debtor" means a person who obtains credit or receives a financial accommodation under a credit agreement with a financial institution; and

        (d)   "financial institution" means a bank, savings and loan association, savings bank or credit union.

        History:   L. 1988, ch. 55, § 1; L. 1989, ch. 70, § 1; L. 1998, ch. 56, § 1; July 1.

• 16-118: Same; requirements; failure to comply. (a) A debtor or a creditor may not maintain an action for legal or equitable relief or a defense, based in either case upon a failure to perform on an alleged credit agreement, unless the material terms and conditions of the agreement are in writing and signed by the creditor and the debtor.

        (b)   All credit agreements shall contain a clear, conspicuous and printed notice to the debtor that states that the written credit agreement is a final expression of the credit agreement between the creditor and debtor and such written credit agreement may not be contradicted by evidence of any prior oral credit agreement or of a contemporaneous oral credit agreement between the creditor and debtor. A written credit agreement shall contain a sufficient space for the placement of nonstandard terms, including the reduction to writing of a previous oral credit agreement and an affirmation, signed or initialed by the debtor and the creditor, that no unwritten oral credit agreement between the parties exists.

        (c)   Failure to comply with provisions of subsections (a) and (b) shall preclude an action or defense based on any of the following legal or equitable theories: (1) An implied agreement based on course of dealing or performance or on a fiduciary relationship; (2) promissory or equitable estoppel; (3) part performance; or (4) negligent representation.

        History:   L. 1988, ch. 55, § 2; L. 1989, ch. 70, § 2; L. 1998, ch. 56, § 2; July 1.

• 16-119: Same; declaration of meaning of original act. This act is a declaration of the meaning of chapter 55 of the laws of 1988, as originally adopted.

        History:   L. 1989, ch. 70, § 3; March 9.

• 16-120: Reimbursement for warranty work. (a) As used in this section:

        (1)   "Contract" has the meaning provided by K.S.A. 16-1302 or 16-1402, and amendments thereto.

        (2)   "Dealer" includes farm equipment dealers, as defined in K.S.A. 16-1202, and amendments thereto, or retailers, as defined in K.S.A. 16-1302 or 16-1402, and amendments thereto.

        (3)   "Dealership agreement" has the meaning provided by K.S.A. 16-1202, and amendments thereto.

        (4)   "Equipment" includes farm equipment, as defined in K.S.A. 16-1202, and amendments thereto, outdoor power equipment, as defined in K.S.A. 16-1302, and amendments thereto, or equipment, as defined in K.S.A. 16-1402, and amendments thereto.

        (5)   "Manufacturer" includes farm equipment manufacturers as defined in K.S.A. 16-1202, and amendments thereto, or suppliers, as defined in K.S.A. 16-1302 or 16-1402, and amendments thereto.

        (b)   With respect to any equipment sold on or after July 1, 2000, any warranty repair work performed for a consumer by a dealer under the provisions of a manufacturer's express warranty, shall require the manufacturer to reimburse the dealer at an hourly labor rate which is the same as the hourly labor rate the dealer currently charges consumers for nonwarranty repair work.

        (c)   Nothing in this act shall apply to, or operate or be construed to invalidate, impair or otherwise infringe upon the specific requirements of any contract or dealership agreement between a dealer and a manufacturer entered into prior to the effective date of this act, if such contract or dealership agreement is in effect on the effective date of this act.

        (d)   The provisions of this section shall not apply to a manufacturer who provides in a written dealer agreement for compensation to a dealer for warranty labor costs either as (1) a discount in the pricing of the equipment to the dealer or, (2) a lump sum payment to the dealer, provided such payment is not less than 5% of the suggested retail price of the equipment.

        History:   L. 2000, ch. 83, § 1; July 1.

• 16-121: Construction contracts; certain indemnification provisions void, when. (a) When used in this section:

        (1)   "Construction contract" means an agreement for the design, construction, alteration, renovation, repair or maintenance of a building, structure, highway, road, bridge, water line, sewer line, oil line, gas line, appurtenance or other improvement to real property, including any moving, demolition or excavation, except that no deed, lease, easement, license or other instrument granting an interest in or the right to possess property shall be deemed to be a construction contract even if the instrument includes the right to design, construct, alter, renovate, repair or maintain improvements on such real property.

        (2)   "Damages" means personal injury damages, property damages or economic loss.

        (3)   "Indemnification provision" means a covenant, promise, agreement or understanding in connection with a construction contract that requires the promisor to hold harmless, indemnify or defend the promisee or others against liability for damages.

        (b)   An indemnification provision in a construction contract or other agreement, including, but not limited to, a right of entry, entered into in connection with a construction contract, which requires the indemnitor to indemnify the indemnitee for the indemnitee's negligence is against public policy and is void and unenforceable.

        (c)   This act shall not be construed to affect or impair the contractual obligation of a contractor or owner to provide railroad protective insurance or general liability insurance.

        (d)   This section applies only to indemnification provisions entered into after the act takes effect.

        History:   L. 2004, ch. 70, § 1; July 1.