Which of the Following Statements About Hold-Harmless Agreements Is Correct

question 46

Multiple Choice

Which of the following statements about hold-harmless agreements is correct?

• A) Hold-harmless agreements create moral hazard.
• B) In a hold-harmless agreement, a party assumes a second party's financial responsibility in the case of a loss.
• C) Hold-harmless agreements are created after a loss occurs.
• D) All of the above are incorrect.

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Definitions:

Stimulus Situations

Specific environmental conditions or events that elicit responses from individuals or organisms.

Big Five

A model describing human personality through five broad dimensions: openness, conscientiousness, extraversion, agreeableness, and neuroticism.

Variations

Differences or deviations in conditions, outcomes, or characteristics from what is considered standard or normal.

Cooperate

To work together towards a common goal or to act jointly with others.