Hold Harmless Clause

What is hold harmless clause?

A hold harmless clause is a legal provision in a contract that protects one party from liability for any damage, injury, or loss incurred by the other party. It is also known as an indemnification clause. The purpose of a hold harmless clause is to shift the risk of potential damages or losses from one party to another in a contractual relationship.

What are the types of hold harmless clause?

There are two main types of hold harmless clauses: broad form and intermediate form. 1. Broad Form Hold Harmless Clause: This type of clause applies to any and all claims, damages, losses, or expenses arising from any cause whatsoever, including the negligence of the party being protected. 2. Intermediate Form Hold Harmless Clause: This type of clause provides protection only in cases where the party being protected is not at fault. It does not cover claims arising from the party's own negligence or misconduct.

Broad Form Hold Harmless Clause
Intermediate Form Hold Harmless Clause

How to complete hold harmless clause

Completing a hold harmless clause requires careful consideration and attention to detail. Here are the steps to follow: 1. Identify the parties involved: Clearly state the names and roles of the parties entering into the contract. 2. Define the scope of protection: Specify the types of claims, damages, or losses that will be covered by the hold harmless clause. 3. Determine the extent of liability: Clarify whether the party being protected is completely exempt from liability or if there are certain limitations. 4. Include indemnification obligations: Specify the obligations of the party being protected to indemnify and defend the other party against any claims. 5. Consult legal advice: It's recommended to seek the assistance of a qualified legal professional to ensure the hold harmless clause is drafted accurately and in compliance with applicable laws.

01
Identify the parties involved
02
Define the scope of protection
03
Determine the extent of liability
04
Include indemnification obligations
05
Consult legal advice

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