Contracts

A 'hold harmless' clause in a real estate agreement protects one party from:

AFinancial losses due to market decline
BLegal liability for specified claims or actions✓ Correct
CFailure to obtain financing
DTitle defects

Explanation

A hold harmless clause protects one party from being held legally liable for claims or losses arising from specified activities or events.

Related Alabama Contracts Questions

Practice More Alabama Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Alabama Quiz →