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What is limitation in a contract?

A limitation period is the period of time within which a party to a contract must bring a claim. In construction contracts, limitation periods are often relevant in relation to defects claims brought against contractors.

What is the purpose of a limitation of liability?

A limitation of liability clause in a contract limits the amount of money or damages that one party can recover from another party for bdocHubes or performance failures. In other words, the clause can put a cap on the number of damages the organization will have to pay under certain circumstances.

What is exclusion and exemption?

An exclusion clause (or exemption clause) is a provision in a contract included by a party to try and exclude or limit their liability for conduct that would otherwise bdocHub the contract or constitute a tort.

What are the two components of a limitation of liability?

Generally, there are two components to limitation of liability provisions: (1) limiting damages to certain types of liability; and, (2) limiting the amount of potential liability.

What is limitation of liability clause example?

Neither Party shall have any Liability to the other Party in the event that any information exchanged or provided pursuant to this Agreement is found to be inaccurate in the absence of gross negligence, bad faith or willful misconduct by the Party providing such information.

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