Contracts

In New Mexico, what is a 'hold harmless' clause in a real estate transaction?

AA clause preventing lawsuits against the NMREC
BA clause where one party agrees not to hold the other party responsible for certain risks or damages✓ Correct
CA clause fixing the commission rate
DA clause requiring buyer's agent to hold funds

Explanation

A hold harmless (indemnification) clause is an agreement where one party releases another from liability for certain damages. In real estate, they are common in lease agreements and some purchase contracts.

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