HB 1372

                                                             Introduced Version
           HOUSE BILL No. 1372
                 _____
              DIGEST OF INTRODUCED BILL
Citations Affected: IC 24-5-28.
Synopsis: Commercial property services contracts. Defines a
"commercial property services contract" as a contract that: (1) is
initially entered into by a service provider and a property owner after
June 30, 2026; and (2) provides for the provision of services and any
personal property related to providing, or necessary to provide, those
services; with respect to the property owner's commercial property.
Provides that any automatic renewal clause included in a commercial
property services contract: (1) may not provide for a renewal term that
is longer than 12 months; and (2) must specify a time frame during
which the property owner may give notice to the service provider of the
property owner's intent to terminate the contract, or any subsequent
renewal of the contract, at the end of the contract term or renewal term.
Specifies that the time frame during which the property owner may
give notice of the property owner's intent to terminate the contract or
a renewal of the contract must: (1) begin at least 120 days before; and
(2) end not later than 30 days before; the expiration of the contract term
or renewal term. Provides that an automatic renewal clause that does
not conform to the bill's requirements is void and may not be enforced.
Provides that a service provider that does not comply with the bill's
requirements commits a deceptive act that is actionable by the attorney
general and the property owner under the statute concerning deceptive
consumer sales.
Effective: July 1, 2026.
                      Slager, Pressel
   January 8, 2026, read first time and referred to Committee on Judiciary.
2026  IN 1372—LS 6991/DI 101
                                                                                       Introduced
            Second Regular Session of the 124th General Assembly (2026)
 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
 Constitution) is being amended, the text of the existing provision will appear in this style type,
 additions will appear in this style type, and deletions will appear in this style type.
   Additions: Whenever a new statutory provision is being enacted (or a new constitutional
 provision adopted), the text of the new provision will appear in this style type. Also, the
 word NEW will appear in that style type in the introductory clause of each SECTION that adds
 a new provision to the Indiana Code or the Indiana Constitution.
  Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
 between statutes enacted by the 2025 Regular Session of the General Assembly.
                   HOUSE BILL No. 1372
    A BILL FOR AN ACT to amend the Indiana Code concerning trade
 regulation.
     Be it enacted by the General Assembly of the State of Indiana:
1    SECTION 1. IC 24-5-28 IS ADDED TO THE INDIANA CODE AS
2 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
3 1, 2026]:
4    Chapter 28. Commercial Property Services Contracts
5    Sec. 1. As used in this chapter, "automatic renewal clause"
6 means a provision in a commercial property services contract that
7 provides for the automatic renewal of the contract unless the
8 property owner gives notice to the service provider that the
9 property owner intends to terminate the contract at the end of the
10 contract term.
11    Sec. 2. (a) As used in this chapter, "commercial property"
12 means a parcel of real estate that is located in Indiana and used for
13 commercial purposes.
14    (b) The term does not include the following:
15      (1) Real estate assessed as agricultural or industrial property
16      for property tax purposes.
17      (2) Real estate containing one (1) to four (4) residential units.
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                                   2
1      (3) Single family residential units such as:
2(A) condominiums;
3(B) townhouses;
4(C) manufactured homes; or
5(D) homes in a subdivision;
6      when sold, leased, or otherwise conveyed on a unit-by-unit
7      basis, even if those units are part of a larger building or parcel
8      or are located on real estate containing more than four (4)
9      residential units.
10    Sec. 3. (a) As used in this chapter, "commercial property
11 services contract" means a contract that:
12      (1) is initially entered into by a service provider and a
13      property owner after June 30, 2026; and
14      (2) provides for the provision of:
15(A) services; and
16(B) any personal property related to providing, or
17necessary to provide, those services;
18      with respect to the property owner's commercial property.
19    (b) The term includes a contract for:
20      (1) private waste hauling or removal services;
21      (2) security or alarm services;
22      (3) services involving fire prevention or suppression systems,
23      including any related inspection or maintenance services;
24      (4) document shredding services;
25      (5) landscaping or irrigation services;
26      (6) cleaning or sanitation services; or
27      (7) other similar services;
28 used in a commercial operation.
29    Sec. 4. As used in this chapter, "person" means an individual, a
30 partnership, a limited liability company, a corporation, an
31 association, or any other legal entity.
32    Sec. 5. As used in this chapter, "property owner" means a
33 person that:
34      (1) owns, controls, or manages commercial property; and
35      (2) is authorized to enter into a commercial property services
36      contract with respect to the commercial property.
37    Sec. 6. As used in this chapter, "service provider" means a
38 person that agrees to provide:
39      (1) services; and
40      (2) any personal property related to providing, or necessary
41      to provide, those services;
42 with respect to commercial property, under a commercial property
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                                  3
1 services contract.
2     Sec. 7. (a) An automatic renewal clause that is included in a
3 commercial property services contract:
4(1) may not provide for a renewal term that is longer than
5twelve (12) months in duration, regardless of the duration of
6the initial term of the commercial property services contract;
7and
8(2) must specify a time frame during which the property
9owner may give notice to the service provider of the property
10owner's intent to terminate:
11(A) the contract; or
12(B) any subsequent renewal of the contract under the
13automatic renewal clause or otherwise;
14at the end of the contract term or renewal term, as applicable.
15     (b) The time frame described in subsection (a)(2) during which
16 the property owner may give notice of the property owner's intent
17 to terminate the contract or any subsequent renewal of the
18 contract must:
19(1) begin at least one hundred twenty (120) days before; and
20(2) end not later than thirty (30) days before;
21 the expiration of the contract term or renewal term, as applicable.
22     (c) An automatic renewal clause that:
23(1) is included in a commercial property services contract;
24and
25(2) does not conform to the requirements set forth in this
26section;
27 is void and may not be enforced.
28     Sec. 8. A service provider that does not comply with the
29 requirements set forth in section 7 of this chapter commits a
30 deceptive act that is actionable by the attorney general and the
31 property owner under IC 24-5-0.5 and is subject to the remedies
32 and penalties under IC 24-5-0.5.
 2026  IN 1372—LS 6991/DI 101