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LSDefine
Simple English definitions for legal terms
exemption clause
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A quick definition of exemption clause:
An exemption clause is a part of a contract that says one party will not be held responsible for something they would normally be responsible for. This means that if something goes wrong, the party with the exemption clause will not have to pay for any damages or problems that happen. Sometimes, these clauses only apply to certain parts of the contract, like the quality of goods being sold. Other times, they can protect a party from any kind of responsibility, even if they did something wrong.
A more thorough explanation:
An exemption clause is a provision in a contract that states that one party will not be held responsible for damages that they would normally be liable for. This clause can take many forms, but they all have the same purpose of exempting a party from liability.
For example, in a contract of sale, an exemption clause may relieve the seller of their duty to provide goods of a certain quality or fitness. In another case, a shipping company's ticket may exempt the company from liability for any injuries to passengers, even if the injuries were caused by the company's employees.
These examples illustrate how an exemption clause can protect a party from liability that they would have otherwise been responsible for. However, it is important to note that exemption clauses may not always be enforceable, and their validity may depend on the specific circumstances of the contract.