Contracts & ExecutionQuestion 203 of 1605

An indemnification (hold harmless) clause in a construction contract generally:

a.Sets the down payment amount
b.Shifts certain liability or defense obligations from one party to another
c.Establishes the project completion date
d.Determines the contractor's license classification

Explanation

An indemnification clause allocates risk by requiring one party to protect, defend, or reimburse another against specified claims or losses arising from the work.

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Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen Licensed California General Contractor (CSLB License #1101856 verify)
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