Limit Clause
/ˈlɪmɪt klɔːz/
Definitions
- (n.) A contractual provision that sets a maximum or minimum boundary on rights, obligations, or liabilities.
The limit clause in the contract capped the liability at one million dollars.
- (n.) A clause in a legal instrument that restricts the scope or extent of a right or duty.
The lease contained a limit clause restricting subletting without landlord consent.
Forms
- limit clauses
Related terms
See also
Commentary
Limit clauses are crucial in contract drafting to clearly define the extent of obligations or liabilities, helping to manage risk and avoid disputes.
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.