Question
Here is the question : ONE PARTY PAYING ANOTHER FOR LOSSES AND DAMAGES IS CALLED WHAT?
Option
Here is the option for the question :
- Jeopardy
- Financial acquiescence
- Payback
- Indemnity
The Answer:
And, the answer for the the question is :
Explanation:
An agreement between two parties in which one party agrees to reimburse the other party for losses and damages is known as an indemnification provision in contract law. Indemnity can cover trial expenditures in a variety of criminal and civil matters, despite the fact that it is most commonly a consideration in insurance disputes. The English word ‘indemnity’ originates from the Latin word ‘indemnis,’ which means ‘free from loss.’
Indemnity refers to the act of one party paying another for losses and damages. It is a common concept in law and insurance and is used to transfer the risk of loss from one party to another.
In the context of insurance, indemnity refers to the payment made by an insurer to an insured in the event of a covered loss. For example, if a person has car insurance and gets into an accident, the insurance company will pay for the damages to the car and any injuries sustained by the driver or passengers. This payment is considered indemnity.
Indemnity can also refer to the payment made by one party to another in a contract. For example, if a contractor agrees to indemnify a property owner against any claims arising from the contractor’s work, the contractor is agreeing to pay for any damages or losses that may result from their work.
The purpose of indemnity is to shift the risk of loss from one party to another. In insurance, the insured pays a premium to the insurer in exchange for the insurer’s promise to pay for any covered losses. In a contract, one party may agree to indemnify another party in order to secure the business relationship and protect themselves against potential losses.
Indemnity is an important concept in law, as it helps to allocate risk and protect parties from financial losses. However, it is important to ensure that indemnity provisions are carefully drafted and negotiated to ensure that they are fair and reasonable for all parties involved.
indemnity is the act of one party paying another for losses and damages. It is a common concept in law and insurance and is used to transfer the risk of loss from one party to another. Indemnity is an important tool for protecting parties from financial losses, but it must be carefully negotiated and drafted to ensure that it is fair and reasonable for all parties involved.