TeachMeFinance.com - explain Exculpatory Clause
exculpatory clause -- that part of a written agreement that relieves one party to the agreement of liability as a result of actions (or lack of actions) performed in the course of executing the terms of the contract. In a trust agreement, an exculpatory clause relieves the trustee of liability resulting from any act performed in good faith under the trust agreement. In a lease, the exculpatory clause relieves the landlord of liability for personal injury to tenants or damage to tenants' property.
Exculpatory Clause -- 1. A contractual clause that releases one party from liability in case of wrong doing by the other party involved.
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