Hold Harmless agreements/letters and clauses are used heavily today because increasingly more companies are trying to protect themselves from devastating and expensive litigation. These agreements can be used to release one or both persons or parties from potential legal claims which might arise after or during an activity or transaction, such as injury or damage. Read on below to know more about the Hold Harmless document.
Almost every contract has Hold Harmless clauses and agreements. When a hold harmless clause or hold harmless letter is written in a contract between two parties or people the agreement will state that one of the parties is agreeing to hold the other free of the responsibility for any damage or liability that might result. Essentially, the parties who are in the agreement can be a business or individual.
You can use a hold harmless clause form alone or a part of a liability waiver that is more involved. An entity can use a hold harmless form to avoid all financial and legal responsibility in their dealings. However, it is important to point out that this type of agreement will not make the business or entity invincible, or free it from responsibilities which are reasonable, standard, and legal. These responsibilities would include local regulations and rules which are in place to ensure that an environment is safe and secure. If these safety and procedural requirements are not followed, then the hold harmless template is going to provide little or absolutely no protection.
Here is an example of when to use it:
If you are hiring someone to perform real estate or construction services or they are using your property, you can use a Hold Harmless agreement to limit both of your legal liability. A construction agreement template will come in handy before you demolish a wall when doing your next renovation or construction project as it can protect you in case of cost overruns, delays, or other mishap.
What Hold Harmless Agreements Contain
If you want to create an agreement with the important provisions to indemnify you, then it should include the:
- Name and address of the person or party who is protected from any liability;
- Name and address of whoever is giving the protection;
- Name of the person or party who will sign of behalf of or for whoever is providing the protection, in case it’s not the person;
- Name of the person or party who will sign on behalf of or for whoever is being protected, in case it’s not the person;
- Date when the agreement is effective;
- Applicable state law.
Overall, it is very simple and easy to incorporate Hold harmless agreements in your everyday practices to get protection from any unfair litigation. When a hold harmless template is put in place only the participant’s signature is generally required for it to be legally binding. There is additional information available if you want to know about Hold Harmless Waiver, Clauses, and more.