A standard release of liability protects the organizer, host, sponsor or other party conducting an activity from being held liable in the event somebody is injured during the course of the covered activity, according to Rocket Lawyer. The document is often used when participants are doing something physical.
When a participant signs a release of liability, he is releasing the organizing entity from potential harm that may happen as a result of normal activity, Rocket Lawyer explains. A business is not covered by this form if an accident occurs due to negligence. A standard release of liability is a common business document, particularly when patrons of the business are involved in strenuous physical activity.