What type of agreement may limit an individual's liability in a potential lawsuit?

A hold harmless agreement is specifically designed to protect one party from liability arising from a particular activity or transaction. These agreements typically stipulate that one party agrees not to hold the other party responsible for any claims, damages, or losses that may occur as a result of certain actions. By entering into a hold harmless agreement, individuals or organizations can limit their exposure to lawsuits and legal claims, which makes it essential in various contexts, including construction, events, or any activity where liability might be a concern.

In contrast, options like an employer's liability contract primarily deals with the obligations of employers towards their employees, especially concerning workplace injuries. A non-disclosure agreement focuses on protecting confidential information and trade secrets, and a promissory note establishes a promise to pay a specified sum of money, which does not relate directly to liability limitations. Hence, the hold harmless agreement stands out as the correct answer for limiting individual liability in potential lawsuits.