Hold Harmless Agreement

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Hold Harmless Agreement Information

A Hold Harmless Agreement, also known as an indemnity agreement, is commonly used in business, construction, real estate, and service contracts. The agreement typically outlines the scope of protection, identifying who is being held harmless and from what types of claims. There are generally three types: broad form, intermediate form, and limited form, each offering different levels of liability protection.
For example, contractors may require clients to sign a hold harmless clause to protect against potential damages during work. Similarly, landlords, event organizers, and service providers often use such agreements to minimize risk exposure and avoid costly litigation.

Florida Legal Definition

Under Florida law, a Hold Harmless Agreement is recognized as a valid contractual provision where one party (the “indemnitor”) agrees to assume the liability of another party (the “indemnitee”). Florida courts uphold these agreements if they are clearly written, unambiguous, and not against public policy.
According to case law, indemnity or hold harmless clauses must expressly state the intention to protect a party from their own negligence for it to be enforceable. In the construction industry, Section 725.06, Florida Statutes, regulates indemnification clauses, limiting their enforceability unless specific conditions are met, including insurance coverage requirements.

How It’s Used in Practice

Hold Harmless Agreements are frequently used in real estate transactions, event planning, construction contracts, and service agreements. For instance, property owners may require vendors or tenants to sign a hold harmless clause to avoid liability for on-site accidents. In construction, subcontractors often agree to indemnify general contractors for claims arising from their work.
Businesses also use these agreements to manage risk, ensuring that parties clearly understand who bears responsibility in the event of damage or injury. Legal professionals draft these agreements carefully to ensure compliance with Florida law and to provide enforceable protection.

Key Takeaways

• A Hold Harmless Agreement transfers risk from one party to another, protecting against legal claims or damages.
• It is also known as an indemnity agreement and is common in business, real estate, and construction contracts.
• Under Section 725.06, Florida Statutes, certain indemnity clauses in construction contracts must meet strict requirements to be enforceable.
• The agreement must be clear, specific, and express intent to cover negligence if applicable.
• Used properly, it reduces legal exposure and provides clarity on liability between parties.

Disclaimer: The information and opinions provided are for general educational, informational or entertainment purposes only and should not be construed as legal advice or a substitute for consultation with a qualified attorney. Any information that you read does not create an attorney–client relationship with Barnes Walker, Goethe, Perron, Shea & Johnson, PLLC, or any of its attorneys. Because laws, regulations, and court interpretations may change over time, the definitions and explanations provided here may not reflect the most current legal standards. The application of law varies depending on your particular facts and jurisdiction. For advice regarding your specific situation, please contact one of our Florida attorneys for personalized guidance.

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