Unfair Contract Terms Act 1977 · 2020 Revised Edition · Part 1
4. Unreasonable indemnity clauses
Feedback & supportA person dealing as consumer cannot by reference to any contract term be made to indemnify another person (whether a party to the contract or not) in respect of liability that may be incurred by the other for negligence or breach of contract, except in so far as the contract term satisfies the requirement of reasonableness.
negligence
“negligence” means the breach —(a)of any obligation, arising from the express or implied terms of a contract, to take reasonable care or exercise reasonable skill in the performance of the contract; or(b)of any common law duty to take reasonable care or exercise reasonable skill (but not any stricter duty).(2) This Part is subject to Part 3; and in relation to contracts, the operation of sections 2 to 4 and 7 is subject to the exceptions made by the First Schedule.(3) In the case of both contract and tort, sections 2 to 7 apply (except where the contrary is stated in section 6(4)) only to business liability, that is liability for breach of obligations or duties arising from things done or to be done by a person in the course of a business (whether his own business or another’s), and references to liability are to be read accordingly.(4) In relation to any breach of duty or obligation, it is immaterial for any purpose of this Part whether the breach was inadvertent or intentional, or whether liability for it arises directly or vicariously. For the purposes of this Part,
This section applies whether the liability in question —
is directly that of the person to be indemnified or is incurred by him vicariously;
is to the person dealing as consumer or to someone else.