Common use of Guarantee and Indemnities Clause in Contracts

Guarantee and Indemnities. The Guarantor hereby unconditionally and irrevocably guarantees the due and punctual payment to the Department of all monies and liabilities including interest which are now or may at any time hereafter be due and payable to the Department from or by the Contractor under or pursuant to, or in respect of or in connection with, any of the Liabilities (whether at stated maturity, by acceleration or otherwise). Accordingly, if there shall at any time or from time to time be any default in the payment on the due date of any of such monies and liabilities, the Guarantor will immediately on demand thereof made by the Department unconditionally pay or procure to be paid to the Department the monies and liabilities in relation to which such default has been made. The Guarantor hereby unconditionally and irrevocably guarantees to the Department the due and punctual performance by the Contractor of all the Contractor's obligations, services, liabilities, duties and undertakings under, pursuant to, in respect of and/or in connection with any of the Liabilities. The Guarantor agrees, as a primary obligation, to indemnify and keep indemnified the Department from time to time on demand from and against any loss incurred by the Department as a result of any Liability being or becoming invalid, void, voidable, unenforceable or ineffective as against the Contractor for any reason whatsoever, whether or not known to the Department, the Guarantor or any other person, the amount of such loss being the amount which the Department would otherwise have been entitled to recover from the Contractor. Without prejudice to or in any way derogating from the Department's rights under the preceding Clause 2.3, the Guarantor agrees, as a primary obligation, to indemnify and keep indemnified the Department from time to time on demand against all losses, costs and expenses incurred or sustained by the Department as a result of or in connection with any failure by the Contractor (whether or not caused by or connected with any invalidity, voidability, unenforceability or ineffectiveness contemplated in Clause 2.3) fully and promptly to pay any of the monies referred to in Clause 2.1 or to discharge any of the Liabilities as and when the same shall respectively become due. The obligations of the Guarantor under each of Clauses 2.1, 2.3 and 2.4 shall be separate and independent from each other.