616                              Laws of Maryland                       [Ch. 448

CHAPTER 448
(House Bill 76)

AN ACT to add new Section 7A to Article 78A of the Annotated
Code of Maryland (1957 Edition), title "Public Works", subtitle
"Board of Public Works", to follow immediately after Section 7
thereof, requiring State construction contracts and subcontracts to
contain non-discrimination clauses, and requiring the contractor
and sub-contractor to post notices of the non-discrimination pro-
visions, and providing for sanctions and penalties where the pro-
visions are not included or are wilfully breached, and relating
generally to non-discrimination because of race, color, creed, or
national origins, in the award of State construction contracts and
sub-contracts.

Section 1. Be it enacted by the General Assembly of Maryland,
That new Section 7A be and it is hereby added to Article 78A of
the Annotated Code of Maryland (1957 Edition), title "Public Works",
subtitle "Board of Public Works", to follow immediately after Section
7 thereof, and to read as follows:

7A.

(a). No contract for any construction work subject to Section 7 of
this Article shall be awarded to any contractor unless the contract
contains provisions obligating the contractor not to discriminate in
any manner against any employee or applicant for employment be-
cause of race, creed, color or national origin and obligating the
contractor to include a similar clause in all subcontracts, except
subcontracts for standard commercial supplies or raw materials. In
addition, the contractor and subcontractor shall agree to post in
conspicuous places, available to employees and applicants for employ-
ment, notices setting forth the provisions of the non-discrimination
clause.

(b). Failure to include such a contract provision renders any
contract void ab initio, but any party shall be entitled to the reasonable
value of services performed and materials supplied. However, the
State may elect to compel the performance of any contract under this
section not containing the non-discrimination provisions, but re-
covery against the proper party shall be limited to the reasonable
value of services performed and materials supplied.

(c). Where the contractor wilfully fails to comply with the non-dis-
crimination provisions the State may, where the contract is still
executory in part, compel continued performances of the contract, but
it shall be liable only for the reasonable value of services performed
and materials supplied from the date that the breach of contract was
discovered or should have been discovered, and any sums previously
paid by the State under the contract, shall be set off against the sums
to become due as the contract is performed.

Explanation: Italics indicate new matter added to existing law.

[Brackets] indicate matter stricken from existing law.
CAPITALS indicate amendments to bill.
Strike out indicates matter stricken out of bill.