L5M3 practice question 14 of 25

An agreement in which an organisation is not accountable for any damages that occur during a contract is known as what?

Full set: 120 questions
Answer options
A: limited liability
B: liquidated damages
C: hold harmless agreement Correct answer
D: waiver of subrogation
Correct Answer:
C. hold harmless agreement
Explanation

This is a Hold Harmless Agreement and the definition is given on p. 26. A Waiver of Subrogation is a related term which stops an insurance firm claiming money back from someone in the contract - see p.26 for more info.

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