Common use of DAMAGES AND INDEMNIFICATION Clause in Contracts

DAMAGES AND INDEMNIFICATION. (a) No rights under this lease may be exercised by the lessee until the lessee has provided to pay the owner of another estate in the land subject to this lease, his lessees and permittees, full payment for all damages that may be sustained by the owner by reason of the exercise of the rights granted by this lease. If the owner for any reason does not settle the damages, the lessee may enter the land after posting a surety bond determined by the state, after notice and an opportunity to be heard, to be sufficient as to form, amount, and security to secure to the owner, his lessees and permittees, payment for damages, and may institute legal proceedings in a court of competent jurisdiction where the land is located to determine the damages which the owner of the land may suffer. The lessee agrees to pay for any damages that may become payable under AS