What is a waiver?

By signing a waiver, customers acknowledge they are aware of the dangers of an activity as well as limiting their rights to seek compensation from a business if something goes wrong.  Typically, customers sign a waiver before using the business’ services and they are common for businesses offering high-risk activities such as adventure sports.

Will a waiver completely protect your business?

Waivers can substantially lessen your business' liability, but they are not totally ironclad.  Businesses still need to demonstrate a duty of care to operate safely and if there is evidence of gross negligence then waivers may not be enforceable.

In the example of the Titan expedition, if parts of the design or construction of the vessel were kept from passengers or they operated despite knowing the vessel was not suitable for the dive, then the operator could still be found negligent despite waivers having been signed.

Tips for effective waivers

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While waivers do not eliminate the risks to businesses, they can be strengthened by:

• Having waivers drafted by legal experts

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• Keeping language clear and concise

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• Telling customers what risks they are assuming 

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• Listing the activities, risks, and types of injuries associated with the services

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• Knowing the differences in the possible risks and injuries for children and adults

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• Understanding the jurisdiction in which you operate

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• Ensuring the waiver is signed before the service is provided

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With you all the way

Waivers offer the most protection when they are combined with strong risk management and safe practices.  If you’d like to discuss your waiver or other ways to protect your business from risk, we’re here to help.

Matthew Head

Head of Client Service – Victoria

Matthew.head@honan.com.au