BusinessAugust 4, 2026

indemnification

in-DEM-nuh-fih-KAY-shun

Definition

A legal obligation where one party agrees to compensate another for potential losses, damages, or legal costs.

Etymology

Derived from the Latin 'indemnis', meaning 'unhurt' or 'free from loss', combined with the suffix '-fication'. It entered English in the 17th century, originally referring to compensation for damages or loss.

In the news

The article uses the term to explain that WWE has a pre-existing legal duty to cover costs for its directors, which is part of how the company's $105 million settlement payment is funded.

WWE portion of merger settlement revealed in TKO second quarter earnings results

Read the full article ↗

PWTorch

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