Limited Liability Agreement

Limited Liability Agreement Template for Denmark

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Document background

The Limited Liability Agreement is a crucial document used in Danish business relationships to establish clear boundaries on potential liability exposure between contracting parties. This type of agreement is particularly important in business contexts where significant risks need to be managed and allocated between parties, such as in professional services, technology implementations, or complex project deliveries. The document addresses key aspects such as liability caps, excluded damages, and insurance requirements, while ensuring compliance with Danish law, including the Danish Contracts Act and relevant EU regulations. It's commonly used when parties need to define their risk exposure clearly and establish mutual understanding about liability limitations, while maintaining the agreement's enforceability under Danish jurisdiction.

Suggested Sections

1. Parties: Identification and details of all contracting parties

2. Background: Context of the agreement and relationship between the parties

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Agreement: Detailed description of the activities or services covered by the liability limitations

5. Limitation of Liability: Specific provisions detailing the agreed limitations on liability, including caps and excluded damages

6. Exceptions to Limitation: Circumstances where liability limitations do not apply (e.g., gross negligence, willful misconduct)

7. Indemnification: Mutual or unilateral indemnification obligations between the parties

8. Insurance Requirements: Required insurance coverage to be maintained by the parties

9. Duration and Termination: Term of the agreement and circumstances for termination

10. Governing Law and Jurisdiction: Confirmation of Danish law application and jurisdiction for disputes

11. General Provisions: Standard legal provisions including severability, entire agreement, and amendments

Optional Sections

1. Confidentiality: Provisions for handling confidential information, used when sensitive information is shared

2. Data Protection: GDPR compliance provisions, required when personal data processing is involved

3. Force Majeure: Provisions for unforeseeable circumstances, particularly relevant for service-based agreements

4. Intellectual Property: IP rights and limitations, needed when intellectual property is involved in the relationship

5. Notice Requirements: Detailed notification procedures, useful for complex business relationships

6. Dispute Resolution: Alternative dispute resolution procedures, recommended for high-value agreements

7. Assignment: Rights and restrictions regarding assignment of the agreement, important for corporate relationships

Suggested Schedules

1. Schedule 1 - Liability Caps: Detailed breakdown of specific liability caps for different types of claims or damages

2. Schedule 2 - Insurance Requirements: Detailed insurance requirements including types of coverage and minimum amounts

3. Schedule 3 - Service Description: Detailed description of services or activities covered by the liability limitations

4. Appendix A - Contact Information: List of key contacts and notice addresses for all parties

5. Appendix B - Related Agreements: List of other agreements that interact with or are affected by this liability agreement

6. Appendix C - Specific Exclusions: Detailed list of specifically excluded liabilities or circumstances

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Limited Liability Agreement Template for Denmark

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