ContractsIntermediateDelaware Exam

What is a 'hold harmless' clause in a Delaware real estate contract or lease?

AA clause requiring the buyer to hold the earnest money
BA clause where one party agrees to protect another from liability for certain claims or lossesCorrect
CA clause holding the property harmless from assessment increases
DA clause requiring the seller to maintain the property until closing

Why A clause where one party agrees to protect another from liability for certain claims or losses Is Correct

Answer B: A clause where one party agrees to protect another from liability for certain claims or losses

A hold harmless (indemnification) clause is a contractual provision where one party (the indemnitor) agrees to protect the other (the indemnitee) from liability for specified claims, damages, or costs.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

Key Contracts Terms in This Question

People Also Study

Practice More Delaware Real Estate Questions

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

Take the Free Delaware Quiz →