Contra proferentem

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Definition

A rule that ambiguous contract terms are interpreted against the party who drafted them. It rewards careful drafting and punishes anyone who wrote 'reasonable efforts' without defining it.

Example Usage

Since the insurer wrote the policy, the court applied contra proferentem and read the ambiguous exclusion in the insured's favor.

Origin

Latin, 'against the one who put it forward', meaning the drafter.

Source: Contract law doctrine; Black's Law Dictionary

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