‘Hold Harmless’ and ‘Indemnity’ Clauses In Film Contracts: Important Things To Know

By: Murray A. Roth, Jr., Esq.

9/24/25

Independent filmmakers wear a lot of hats. Anyone who has ever produced an indie film knows this well. In addition to running the set during production, the brave persons who take on this task will also be negotiating contracts, securing locations, hiring cast and crew, entering post-production contracts and, in the end, tackling the big distribution agreement. And these are just some examples. In all of that fine print, the words “hold harmless” and “indemnity” will appear often. These clauses can be confusing, even intimidating, but they’re incredibly important to understand. In short, they deal with who is financially responsible if something goes wrong. And that’s something that should get everyone’s attention.

What is a “Hold Harmless” Clause?

A hold harmless clause is a promise by one party to protect the other party from certain kinds of legal or financial claims. Essentially, for filmmaking purposes, this means that one party assumes liability for certain accidents or other events that cause damage or injury while filming. They are also commonly used in intellectual property matters, especially copyright. Hold harmless clauses are not limited to the entertainment industry either. They are included in all types of contracts in the U.S.

As an example, let’s say the production is filming in a restaurant. There will usually be a hold harmless clause in the location agreement establishing that the production will “hold the owner harmless” for any accidents that the crew may cause – whether to another crew member or a third-party. If a light stand falls and injures someone, the restaurant owner doesn’t want to be liable. So by agreeing to a hold harmless clause, the production agrees to take on that responsibility/liability.

By the same token, the production company may ask that the restaurant “hold harmless” the company for any accidents or injuries caused by the restaurant owner's staff or by any hidden dangers on the property that might hurt someone.

What is an “Indemnity” Clause?

An indemnity clause goes a step further. It requires one party to compensate the other for all losses and damages (and usually all legal fees) that the party incurred as a result of the other party’s acts.

Using the same restaurant example: if a third-party sues the production and the restaurant owner after tripping over film equipment at the restaurant, the indemnity clause usually will require the production company to reimburse (or “indemnify”) the restaurant owner for all costs the owner incurred to 1) defend against the legal action, and 2) for any damages that are awarded against the restaurant owner.

Why Filmmakers Should Care

Independent filmmakers should pay close attention to hold harmless and indemnity clauses because they appear everywhere in film production contracts and carry substantial legal effects. Some more examples include:

• Equipment Rentals – Rental houses don’t want to pay if a large camera, lights, crane or other equipment that the production rented falls and injures someone.

• Location Agreements – Like the restaurant owner in the example above, property owners want assurance that they won’t get sued or have to pay damages if someone gets hurt during filming.

• Cast & Crew Contracts – The production company may be required to indemnify a union, guild, or performer for certain risks.

• Distribution Deals – Distributors will almost always require filmmakers to indemnify them against lawsuits for copyright infringement, defamation, failing to obtain all music rights, invasion of privacy, etc.

How to Protect Yourself

• Read Carefully – Don’t just skim. Hold harmless and indemnity language is often buried in legalese, and not all are the same.

  
  

• Limit the Scope – Try to make hold harmless and indemnity clauses apply only to things within the production’s control (e.g., “only injuries caused by the production’s negligence”).

• Insurance is Essential – General liability insurance and errors & omissions insurance can cover most of the risks that hold harmless and indemnity clauses put on the production’s shoulders.

  
  

• Negotiate – These clauses aren’t always set in stone and often vary to some degree. The production may be able to share or cap liability or only be liable for matters that the production knew (or should have known) about.

Wrapping Up

Hold harmless and indemnity clauses aren’t just filler text—they’re powerful tools that decide who carries the risk when something goes wrong. As a filmmaker, the production will often be asked to accept liability because it’s the one that is bringing people, gear, and activity onto someone else’s property or into a business deal. And also know that distributors and investors will look for these clauses as part of your “chain of title.” Without them, your project could hit a wall when it’s time to sell or screen.

But here’s the good news: risk can be managed. With the right insurance, careful reading, and some smart negotiation, you can protect both your film and your future. Think of it like shooting coverage on set—you don’t want to realize in the editing room that you missed a crucial angle or failed to cover some important items. Contracts are the same way: you want to make sure every angle of risk is covered well before the cameras roll. So take the time to understand these clauses now—it’s an investment that pays off when your film is ready for the world.

Disclaimer:  This article is provided for educational purposes only and is not intended to constitute legal advice. Before taking any action regarding this topic or any other legal issue, always consult an experienced entertainment attorney who can advise on your specific facts, films, and needs.