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Article: Transferring risk by contractual indemnity: a view from oil and energy.
- Article from:
- Defense Counsel Journal
- Article date:
- July 1, 1998
- Author:
CopyrightCOPYRIGHT 1998 International Association of Defense Counsels. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Preparing clear, comprehensive and effective contracts of indemnity is a complex task, but it pays off by reducing litigation and expense
THE petrochemical and energy resource industries have traditionally subcontracted a large portion of work necessary to locate, capture, transport or refine their products. In almost every contract there is at least one provision designed to either limit or shift potential liability.
Courts have adopted a conservative approach to allowing one party to shift its legal liability to another. Before contractual provisions will be enforced, courts have required that the language used be clear and unequivocal, some even ...