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Title

AN ANALYSIS OF THE INTERACTIONS OF ACCEPTING LIABILITY/ COMPENSATION WITH CONVEYING IT TO THE INSURER

Pages

 Start Page 589 | End Page 608

Abstract

 Allocation and share of contractual liability is one of the important issues of contract law which consume a lot of time in contractual negotiations. According to the primary principle, everybody is liable for his faults, but complicated contracts in industry such as oil and gas, have passed this boundaries, and by contractual terms transfer the liability to the opposite party or third party (insurance company). These levels of risk allocation which refer to indemnity and insurance clauses in contracts, are mechanisms which prevent project costs related to insurance, and minimize the contractual controversies which may hold the project advancement. The interaction between indemnity and insurance, and their dependency would be analyzed together.

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