A contract between Kim and Larry to lease residential property contains an exculpatory clause. This clause is
A) enforceable as a matter of public policy.
B) enforceable if either party is in a business important to the public.
C) enforceable if an event occurs to which the clause applies.
D) generally unenforceable.

Question

A contract between Kim and Larry to lease residential property contains an exculpatory clause. This clause is​
A) enforceable as a matter of public policy.​
B) ​enforceable if either party is in a business important to the public.
C) ​enforceable if an event occurs to which the clause applies.
D) ​generally unenforceable.

Quizplus · Accepted Answer

Exculpatory clauses are generally looked upon with disfavor by the courts and are therefore strictly construed against the party seeking to enforce them. Thus, an exculpatory clause in a lease agreement is generally unenforceable.

A Contract Between Kim and Larry to Lease Residential Property