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In this tutorial, Elizabeth Potts Weinstein discusses indemnifications—what they are, their importance, and key considerations. Indemnification refers to compensating another party for loss or damage, akin to insurance. It ensures that one party, typically the one with more control or information in a transaction, is held accountable if an issue arises. This promotes fairness in business deals, as the responsible party steps in to address any potential harm. The necessity of an indemnification clause in contracts is emphasized, highlighting its role in protecting involved parties when something goes wrong, such as hiring a contractor or service provider.
