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Exclusionary Clause

contract insurance

A term in a sales contract that limits the remedies available to one or both parties to it in an action for breach of WARRANTY, statements made as to the quality of the goods sold. A provision of an insurance contract that prohibits recovery pursuant to its terms if certain designated circumstances occur.

The exclusionary clause contains the exceptions to insurance coverage upon which the insurer and insured have agreed prior to the execution of the policy.

Exclusionary Rule - Further Readings [next]

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