CIPS L5M3 Exam - Topic 3 Question 65 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 65
Topic #: 3

What is the name given to a term in a contract where one party promises to compensate the other party for a trigger event?

Aliability

Bwarranty

Cdamages

Dindemnity

Show Suggested Answer

Suggested Answer: D

Indemnity- this is the definition given on p. 20

by Alaine at May 05, 2026, 03:39 AM

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Lili

8 hours ago

Wait, isn't that just liability?

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Eulah

6 days ago

Definitely indemnity, no doubt about it.

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Genevieve

11 days ago

It's called indemnity!

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Raul

16 days ago

I’m pretty confident it’s "indemnity." We had a similar practice question where that was the correct answer, right?

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Thaddeus

2 months ago

I’m torn between "damages" and "indemnity." I feel like both could apply, but I can't recall the exact definitions we went over.

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Alonzo

2 months ago

I remember practicing a question about this! "Indemnity" was definitely mentioned, but I also feel like "warranty" could be relevant in some contexts.

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Lezlie

2 months ago

I think the term we're looking for is "indemnity," but I'm not completely sure. It sounds familiar from our contract law discussions.

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