John contracts with Kelly to buy a certain number of cattle for Kelly's Circle K ranch. John makes a deal with Lawson, the owner of a local herd, and makes a down payment. Kelly fails to pay the rest of the price. Lawson sues John for breach of contract. John's right to hold Kelly liable for any damages that he has to pay is the right of

Question

John contracts with Kelly to buy a certain number of cattle for Kelly's Circle K ranch. John makes a deal with Lawson, the owner of a local herd, and makes a down payment. Kelly fails to pay the rest of the price. Lawson sues John for breach of contract. John's right to hold Kelly liable for any damages that he has to pay is the right of​

Quizplus · Accepted Answer

Indemnification is the right to hold someone else (in this case, Kelly) financially responsible for any damages or losses incurred by John as a result of their breach of contract. This means that Kelly would be responsible for reimbursing John for any damages he has to pay due to the lawsuit brought by Lawson. Compensation refers to the act of providing something to make up for a loss, while reimbursement refers to being repaid for expenses already incurred. Cooperation is not related to this situation.

John Contracts with Kelly to Buy a Certain Number of Cattle