Limitation of Liability Clause

News & Analysis as of

Losing the right to limit: Privy Council confirms parties can contract out of the 1976 Limitation Convention

This Alert looks at the question of whether it is possible to contract out of or waive the right to limit liability under the 1976 Convention on Limitation of Liability for Maritime Claims and if so, what is required in order...more

Preventing Limitation of Liability End-Runs

Owners who are dissatisfied with their contractors’ performance increasingly assert fraud-based claims in addition to breach of contract claims because fraud-based claims are not typically barred by contractual waivers and...more

Real Property & Title Insurance Update: Week Ending July 22, 2016

Lis Pendens: a party seeking to maintain a lis pendens must establish a “fair nexus” between the party’s claim and the subject property by making “a minimal showing that there is at least some basis for the underlying claim...more

Is everyone’s website illegal?

Your website consists of visible text and graphics, geared to the sighted reader. Its terms and conditions include legal disclaimers and limitations of liability, which, it explains, apply unless they are specifically...more

Limitations of Liability – Scenario 3: Pay if Paid and Flow Through Clauses

I suppose that it is apropos that I have been delayed in writing this final piece in the four-part Limitations of Liability series, relating to subcontract pay if paid and flow through clauses. Being more than one step...more

The Value of Terms Limits: YouTube’s Broadly Defined TOS Does the Trick

Frequent readers of our blog will recall that in prior posts on companies such as Uber, Ashley Madison and Twitter, we have stressed the importance of having a robust terms of service (TOS) agreement. In many instances, TOS,...more

Limitations of Liability— Scenario Two: No Damages for Delay Clauses

Owners often attempt to limit their liability to contractors through what is commonly known in the construction industry as a “no damages for delays” clause. Much like waivers of consequential damages, a “no damages for...more

Add Insult to Injury: TOTE Maritime’s Lawsuit Decision after El Faro Sinking

On September 29 of this year, many residents living along the East Coast of the United States and throughout the Caribbean were preparing for the potential impact of Hurricane Joaquin. In Jacksonville, Florida, final...more

Limitations of Liability: Do they work in the Alberta Oilpatch?

Let’s consider that contract you’re about to sign. Does it contain a limitation of liability? And if so, are those even enforceable? It’s been several years since we last wrote about limitations of liability and exclusion...more

Reinsurer’s Motion For Reconsideration Over Liability Caps Denied

In a case on which we previously reported, a federal court in New York recently denied plaintiff insurer’s motion to reconsider the court’s order granting defendant reinsurer’s motion for partial summary judgment. In that...more

Perspectives on Insurance Recovery

Welcome to the latest edition of Pillsbury’s Perspectives on Insurance Recovery. As this 2015 edition of Perspectives demonstrates, our team is working on the most challenging issues—from cyber-insurance and complex claims...more

Food Industry Continues to Face Data Privacy and Security Risk

In 2014, grocers and restaurants continued to be plagued by attacks leading to the theft of credit card information. Among others, Supervalu Inc. and Jimmy John’s both experienced intrusions in 2014, extending the string of...more

Court's Interpretation of Merchant Services Agreement Limits Retailer's Liability to Card Brands for Data Breach

On January 15, 2015, the U.S. District Court for the Eastern District of Missouri ruled that fees, assessments and costs imposed by the credit card brands on Schnuck Markets, Inc. (Schnuck), a grocery chain estimated to have...more

Selling What You Don’t Have…What Happened to my Super Bowl Tickets?

Thursday before Super Bowl XLIX in Phoenix Ima Goen Nomattawatta, a huge Patriots fan, found an online broker Izzure Scalp with Super Bowl tickets for $2,500 apiece. Not believing that he could get 4 tickets at only $750...more

Eleventh Circuit Requests Assistance in Interpreting Consent-to-Settle Provision

Most cases in the United States settle. Insurers are well-aware of this fact. Thus, insurance companies employ consent-to-settle provisions in insurance policies to limit and control their liability in the likely event of a...more

Construction Alert: "Texas Supreme Court Sinks Port Authority's Ship - Port Authority's No Damages for Delay Clause Held...

The Texas Supreme Court recently issued an important decision regarding “no damages for delay” clauses in construction contracts. In Zachry Construction v. Port of Houston Authority, the Court found that the owner, the Port...more

Recent Amendment Implements Important Changes to the Georgia Brownfield Program

Effective on July 1, House Bill 957 (2014) (the “Amendment”) amended the Georgia Brownfield Act, O.C.G.A. § 12-8-200 et seq. (the Act). The Amendment broadens applicability of the Act, expands the pool of eligible parties...more

Limitation of Liability Clauses

Many industry form documents and custom construction contracts contain provisions shifting or limiting the respective parties’ risks. One of the more potentially significant risk-limiting provisions seen primarily in...more

New York’s Highest Court Rejects Timing Requirement for Disclaimers of Coverage

In its recent decision in KeySpan Gas East Corp. v Munich Reinsurance America, Inc., 2014 N.Y. LEXIS 1319 (N.Y. June 10, 2014), the New York Court of Appeals – New York’s highest court – had occasion to consider the length of...more

If You Think Your Family Business’s Service Contracts Limit Your Liability In All Situations, Think Again!

Family-owned businesses in the services industry in Washington (and beyond) should be paying attention to a recent Washington Supreme Court case addressing the “Independent Duty Doctrine” (also referred to as the “economic...more

Washington Supreme Court Permits $1.5M Damages Claim to Proceed against Engineering Firm under “Independent Duty Doctrine”

In a recent decision decided on a narrow 5-to-4 vote, the Washington Supreme Court declined to bar a couple’s negligence claims against an engineering firm based on a contractual limitation of liability, permitting the couple...more

Texas Supreme Court Limits Liability Exclusion in Ewing

On January 17, 2014, the Texas Supreme Court issued a key ruling clarifying the scope of contractual liability exclusions in insurance policies. In Ewing Const. Co., Inc. v. Amerisure Ins. Co., 2014 WL 185035 (Tex. Jan. 17,...more

Straight Talking in Texas: The Contractual Liability Exclusion Means What It Says and Says What It Means

According to prominent insurance commentator, Randy Maniloff, Ewing Construction Co., Inc. v. Amerisure Insurance Co. was “probably the most closely watched coverage case in the country” in 2013. This is no longer, as the...more

Carrier's Website Does Not Limit Liability Under Carmack Amendment

A recent decision in District Court in New Jersey may interest insurers subrogating transportation claims. In particular, it sets forth the legal argument to challenge target-carriers’ arguments about purported limitations of...more

M&A Agreements: Limitations on Contractual and Extra-Contractual Liabilities©

In This Issue: - Perspective - Pre-Signing Definitive Documents - Between Sign and Close - Post-Closing: Fraud Claims - Post-Closing: Survival Clauses - More on Fraud: Not all Erroneous Statements of...more

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