The Release Indemnification And Hold Harmless Agreement is a critical risk management tool used in the United Arab Emirates business environment. It is commonly employed when parties need to allocate risk and establish clear liability boundaries in business transactions, projects, or activities. This document is particularly relevant in situations involving potential risks or liabilities, such as construction projects, business sales, or service provisions. The agreement must be structured to comply with UAE Civil Code requirements and local commercial practices, ensuring enforceability while respecting UAE public policy limitations on liability exclusions. It provides a comprehensive framework for risk transfer, including both passive (release) and active (indemnification) obligations, making it essential for complex business transactions in the UAE market.
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1. Parties: Identification of the Releasor/Indemnitor and Releasee/Indemnitee with full legal names and addresses
2. Background: Context of the agreement, relationship between parties, and circumstances necessitating the release and indemnification
3. Definitions: Key terms including 'Claims', 'Losses', 'Indemnified Parties', and specific activities or circumstances covered
4. Release: Specific details of what claims, rights, and causes of action are being released
5. Indemnification: Scope of indemnification obligation, including what losses are covered and under what circumstances
6. Hold Harmless: Agreement to protect and defend the released party against third-party claims
7. Exceptions and Limitations: Specific exclusions from the release and indemnification, particularly those required by UAE law
8. Duration: Time period for which the release and indemnification obligations remain effective
9. Governing Law and Jurisdiction: Specification of UAE law as governing law and designation of appropriate UAE courts
10. Execution: Signature blocks and execution requirements compliant with UAE law
1. Insurance Requirements: Required when the indemnifying party needs to maintain specific insurance coverage
2. Consideration: Include when there is specific payment or consideration for the release and indemnification
3. Notice Requirements: Include when specific procedures for claim notification need to be established
4. Survival: Include when certain obligations need to survive the termination of a related agreement
5. Assignment: Include when transfer of rights under the agreement needs to be addressed
6. Severability: Include when there's a need to ensure partial invalidity doesn't void the entire agreement
7. Arabic Translation: Include when the agreement needs to be bilingual, with provisions about controlling language
1. Schedule A - Specific Released Claims: Detailed list of specific claims, incidents, or circumstances being released
2. Schedule B - Indemnified Parties: List of additional parties covered by the indemnification beyond the primary releasee
3. Schedule C - Insurance Requirements: Detailed insurance requirements including types of coverage and minimum limits
4. Appendix 1 - Related Agreements: List of any related agreements referenced in the main agreement
5. Appendix 2 - Specific Activities: Detailed description of activities or operations covered by the release and indemnification
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