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Hold Harmless Agreement
I need a hold harmless agreement for a small business event where participants will engage in physical activities. The agreement should clearly state that participants assume all risks and release the business from any liability for injuries, with a clause for parental consent for minors.
What is a Hold Harmless Agreement?
A Hold Harmless Agreement protects one party from legal claims and financial losses related to specific activities or transactions in the Netherlands. It's commonly used when businesses or individuals engage in potentially risky activities, like construction projects, event hosting, or equipment rentals.
Under Dutch civil law, these agreements transfer liability from one party to another through a written promise. While they can't protect against gross negligence or intentional harm, they're valuable tools for risk management in commercial relationships. Dutch courts generally enforce these agreements when they're clear, specific, and don't violate public policy or mandatory consumer protection laws.
When should you use a Hold Harmless Agreement?
Consider using a Hold Harmless Agreement when your business takes on activities with clear risks in the Netherlands. Common scenarios include hiring contractors for construction work, organizing public events, or letting others use your equipment or facilities. It's especially valuable when working with partners who might face higher-than-normal accident risks.
These agreements make particular sense when providing professional services, running sports facilities, or managing property rentals. Dutch businesses often use them before starting projects where accidents or damages could occur. The key timing is before any risky activity begins - waiting until after an incident happens is too late to establish protection.
What are the different types of Hold Harmless Agreement?
- Hold Harmless And Indemnity Agreement: Most comprehensive form, combining protection from liability with financial compensation obligations
- Waiver Of Liability And Hold Harmless Agreement: Focused on participant risk acceptance, common in recreational activities
- Mutual Hold Harmless Agreement: Both parties agree to protect each other, typical in equal business partnerships
- Hold Harmless Release Letter: Simpler format for one-time situations or smaller-scale activities
- Reciprocal Hold Harmless Agreement: Detailed two-way protection with specific risk allocation terms
Who should typically use a Hold Harmless Agreement?
- Business Owners: Most common users, seeking protection from liability risks in their operations, especially in construction, events, and property management
- Property Managers: Use these agreements when leasing spaces or allowing third-party use of facilities
- Event Organizers: Require participants and vendors to sign before hosting public gatherings or activities
- Contractors: Often both request and provide these agreements when performing work for clients
- Legal Advisors: Draft and review agreements to ensure compliance with Dutch civil law and enforceability
- Insurance Companies: Often require these agreements as part of broader risk management strategies
How do you write a Hold Harmless Agreement?
- Basic Details: Gather full legal names, addresses, and business registration numbers of all involved parties
- Activity Description: Define exactly what activities, services, or situations the agreement covers
- Risk Assessment: List specific risks and potential liabilities you want to address
- Time Period: Determine when the agreement starts and ends, including any renewal options
- Local Requirements: Check Dutch civil code requirements for liability limitations in your industry
- Insurance Coverage: Document existing insurance policies and their relationship to the agreement
- Signing Authority: Confirm who has legal power to bind each organization
What should be included in a Hold Harmless Agreement?
- Party Details: Full legal names, addresses, and roles of all involved parties, clearly stating who provides and receives protection
- Scope Definition: Precise description of activities, timeframe, and specific risks covered under Dutch law
- Indemnification Terms: Clear language explaining the transfer of liability and financial responsibilities
- Exclusions: Specific limitations on protection, especially regarding gross negligence or willful misconduct
- Duration Clause: Start and end dates, plus any renewal or termination conditions
- Jurisdiction: Statement confirming Dutch law governs the agreement
- Signature Block: Space for dated signatures, including titles and authority of signatories
What's the difference between a Hold Harmless Agreement and an Affidavit and Indemnity Agreement?
A Hold Harmless Agreement often gets confused with an Affidavit and Indemnity Agreement, but they serve different purposes in Dutch law. While both deal with risk and liability, their scope and application differ significantly.
- Protection Scope: Hold Harmless Agreements primarily prevent one party from suing another, while Affidavit and Indemnity Agreements focus on compensating for specific losses and include sworn statements
- Legal Structure: Hold Harmless Agreements are preventive shields against future claims, whereas Indemnity Agreements create active obligations to compensate for damages
- Timing and Use: Hold Harmless Agreements typically apply before activities begin, while Affidavit and Indemnity Agreements often respond to existing or anticipated specific losses
- Evidence Requirements: Affidavit components require sworn statements and formal verification, unlike Hold Harmless Agreements which focus on future risk prevention
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