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In this tutorial, Elizabeth Potts Weinstein explains the concept of indemnification, which involves compensating another person or entity for loss or damage. She likens indemnification to insurance, where one party takes responsibility for damages incurred by another. The importance of including an indemnification clause in contracts is emphasized, as it ensures fairness in transactions where one party holds more control or information than the other. This clause holds the party with control accountable if issues arise, promoting a balanced distribution of risk in business dealings. Elizabeth illustrates this with the example of hiring someone to write, highlighting the need for accountability.
