Release of Liability Information
A Release of Liability is also known as:
- Release Form
- Release Agreement
- Liability Release
- Liability Waiver
- Waiver of Liability
What is a Release of Liability?
A Release of Liability is an agreement between two parties to waive a legal claim. When you waive a claim, you agree not to proceed with legal action in exchange for compensation. Simply put, it is a way to settle a dispute out of court.
A liability release can be used to waive a claim for damages that have already occurred, e.g. after a motor vehicle accident. It can also be used to waive any future claims for injuries or damage. For instance, you may be asked to sign a waiver form before participating in any physical or high-risk activity.
Who Should Use a Release of Liability?
The parties involved in a Release of Liability are:
- The releasee: the party who is making a payment in order to be released from a possible claim for injuries or damages
- The releasor: the party who is receiving money or other consideration in exchange for abandoning their claim
In some cases, each party may claim the other party is to blame for injuries or damages. If this happens, they can sign a mutual release agreement. If one party is more at fault, they can offer additional compensation.
What is a Release of Liability Used for?
In general, a Release of Liability is used to release a party from liability in the event of an accident or other incident causing injuries or damage.
More specifically, you can use a release form to:
- Compensate the other driver to release yourself from liability in the event of a car accident where you are at fault
- Release a contractor from liability if they damage your property while providing a service such as landscaping or roofing
- Settle a debt where there is a dispute over the amount owed or another aspect of the loan contract
- Release both you and the other party from liability in the event of a disagreement over who is to blame for injuries or damages (mutual release)
- Waive any future claims against your company for personal injuries sustained by participants during an athletic event or other potentially hazardous activity
What to Include in a Liability Release Form:
A general release form should contain the following information:
- Type of liability release
- Releasor and releasee names and contact information
- Details about the dispute or incident that took place (or in the case of an activity waiver, details about the activity that will be taking place)
- Compensation details, including amount and type of compensation