Indirect losses that flow from a breach — like lost profits.
Consequential damages are the knock-on losses a breach causes beyond the direct cost of the broken promise — lost profits, lost business, wasted spend. Contracts very often exclude them, so a clause disclaiming “consequential, incidental, or special damages” can quietly bar the largest part of what a breach actually costs you.
“In no event shall either party be liable for any consequential, incidental, or special damages.”
Before you sign, Main AI reads the actual contract and flags where a clause like this shifts risk onto you — in plain language, tied to the exact wording.
Analyze my document free →A mutual waiver of consequential damages is standard and often reasonable — it keeps a small deal from carrying unlimited downstream risk. The danger is asymmetry: if the party most likely to breach is the one you’d sue for lost profits, the waiver protects them and strips your real remedy. Read it alongside any liability cap — together the two clauses set the ceiling on everything you could ever recover.
See this in your own document: run a free analysis — findings quote the exact language.
“Neither party shall be liable for lost profits, lost revenue, or any indirect or consequential damages, however caused.”
“Lost profits” sitting inside the exclusion is the tell — that’s frequently your biggest number. If a category of loss is central to why you’re signing, ask to carve it out of the waiver.