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In this video tutorial, Elizabeth Potts Weinstein discusses the concept of indemnifications, explaining their significance and what to consider when including them in contracts. She defines indemnification as the act of compensating another person or entity for loss, damage, or injury, likening it to insurance. The importance of an indemnification clause lies in establishing responsibility in a business transaction. Typically, one party possesses more information or control, and it is fair for that party to be held accountable if issues arise. Weinstein underscores the necessity of having such a clause to protect parties involved in various business dealings.
