Excess Clause
/ˈɛksɛs klɔːz/
Definitions
- (n.) A contractual provision that limits the liability of a party beyond a specified amount or scope.
The excess clause limited the insurer's liability to claims above $1 million.
Forms
- excess clauses
Related terms
See also
Commentary
Excess clauses are commonly used in insurance and commercial contracts to cap exposure; drafters should ensure clarity in defining the excess amount or conditions triggering the clause.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.