§ 410.42.Provisions of Contract For Construction of Work of Improvement Prohibiting Resolution of Disputes In State
Title 5. Jurisdiction and Service of Process · Chapter 1. Jurisdiction and Forum · Article 2. Forum · Last amended 2012 · Last verified July 28, 2026
In one sentenceSection 410.42 voids any provision in a construction subcontract between California-based parties, for a work of improvement in California, that requires disputes to be litigated or arbitrated outside the state or that blocks a party from getting a resolution in California courts.
(a)The following provisions of a contract between the contractor and a subcontractor with principal offices in this state, for the construction of a public or private work of improvement in this state, shall be void and unenforceable:
(1)A provision which purports to require any dispute between the parties to be litigated, arbitrated, or otherwise determined outside this state.
(2)A provision which purports to preclude a party from commencing such a proceeding or obtaining a judgment or other resolution in this state or the courts of this state.
(b)For purposes of this section, "construction" means any work or services performed on, or materials provided for, a work of improvement, as defined in Section 8050 of the Civil Code, and for which a lien may be claimed pursuant to Section 8400 of the Civil Code (whether or not a lien is in fact claimed) or for which such a lien could be claimed but for Section 8160 of the Civil Code.
Plain-English Summary
Section 410.42 protects California contractors and subcontractors from being forced into a distant forum by contract language. Subdivision (a) voids two kinds of provisions in a contract between a contractor and a subcontractor with principal offices in California, covering the construction of a public or private work of improvement in the state: a provision requiring disputes to be litigated, arbitrated, or otherwise resolved outside California, and a provision that blocks a party from bringing such a proceeding or obtaining a judgment or other resolution in California or its courts.
Subdivision (b) defines "construction" broadly for this purpose — any work or services performed on, or materials provided for, a work of improvement as defined in Civil Code § 8050, including work for which a mechanics lien could be claimed under Civil Code § 8400, whether or not a lien is in fact claimed, or for which a lien could be claimed but for the limits in Civil Code § 8160.
The effect is narrow but pointed: a subcontractor with a California office who signs a contract routing disputes to another state’s courts or arbitration forum can treat that clause as void and unenforceable, and can still bring or defend the dispute in California.
Frequently Asked Questions
Can a construction contract force a California subcontractor to litigate in another state?
Not if § 410.42 applies. It voids a provision requiring disputes between a contractor and a subcontractor with principal offices in California, on a work of improvement located in California, to be litigated, arbitrated, or resolved outside the state.
Does § 410.42 cover both public and private construction projects?
Yes. Subdivision (a) applies to a contract for the construction of a public or private work of improvement in California, without distinguishing between the two.
What counts as construction for purposes of this section?
Subdivision (b) defines it broadly as any work or services performed on, or materials provided for, a work of improvement under Civil Code § 8050, tied to the mechanics lien provisions in Civil Code §§ 8400 and 8160.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 28, 2026.
· Official source
Also known as:california construction contract forum clause voidout of state arbitration clause construction contract californiasubcontractor forum selection clause california