Common use of Procedures for Third Party Claims Clause in Contracts

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 6 contracts

Sources: License Agreement, License Agreement, License Agreement (AquaMed Technologies, Inc.)

Procedures for Third Party Claims. In Within twenty (20) days after the case assertion by any third party of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)against any indemnitee that, a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt in the judgment of such claim or demandindemnitee, may result in the incurrence by such indemnitee of Costs for which such indemnitee would be entitled to indemnification pursuant to this Agreement, such indemnitee shall deliver to the party from which indemnity is sought indemnitor a written notice (each an “Indemnifying Party”the "Indemnity Notice") of any claim or demand of which describing in reasonable detail such Indemnified Party has knowledge and as to which it may request indemnification hereunderclaim; provided, however, that any delay or failure to give such notice will notify the indemnitor of any claim shall not affect such Indemnified Party’s rights hereunder unless, and then solely relieve it from any liability except to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of indemnitor demonstrates that the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from is materially prejudiced by such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled delay or failure to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claimnotify. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in In the case of any claim or demand described in clause third party claims, the indemnitor shall, within ten (i10) or (ii) days of receipt of notice of such claim, notify the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel indemnitee of its intention to assume the defense of such claim. If the indemnitor shall assume the defense of the claim, the indemnitor shall have the right and obligation (A) to conduct any proceedings or negotiations in connection therewith and necessary or appropriate to defend the indemnitee, (B) to take all other required steps or proceedings to settle or defend any such claims, and (C) to employ counsel to contest any such claim or demandliability in the name of the indemnitee or otherwise. If defendants in any action include the indemnitee and the indemnitor, and the indemnitee shall have been advised by its counsel in writing that there may be legal defenses available to the indemnitee which are different from or in addition to those available to the indemnitor, the reasonable indemnitee shall have the right to employ its own counsel in such action, and, in such event, the fees and disbursements expenses of such counsel shall be at borne by the expense indemnitor. If the indemnitor shall not assume the defense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which litigation resulting therefrom, the indemnitee may defend against any such claim or litigation in such manner as it may deem appropriate and the indemnitee may settle such claim or litigation on such terms as it may deem appropriate; provided, however, that any such settlement shall be settled by the Indemnified Party without subject to the prior written consent of the Indemnifying Partyindemnitor, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party Within ten (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability 10) days after final determination with respect to a third party claim, the matter indemnitor shall pay to the indemnitee the Costs incurred by indemnitee in controversy that is bindingrespect of which indemnity may be sought pursuant to this Section 6.5. In the case of a non-third party claim, valid and enforceable against all applicable Parties)payment of damages incurred by the indemnitee shall be made by the indemnitor within ten (10) days after receipt of the Indemnity Notice by indemnitor. Notwithstanding A final determination of a disputed claim as to damages shall be (A) a judgment of any court determining the foregoingvalidity of a disputed claim, if no appeal is pending from such judgment or if the Indemnified Party fails time to object appeal therefrom has elapsed, (B) an award of any arbitration determining the validity of such disputed claim, if there is not pending any motion to set aside such award or if the time within which to move to set such award aside has elapsed, (C) a written agreement as to the settlement within five termination of the dispute with respect to such claim signed by all of the parties thereto or their attorneys, (5D) Business Days a written acknowledgment of receipt the indemnitor that he, she or it no longer disputes the validity of such claim, or (E) such other evidence of final determination of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party disputed claim as shall be deemed to have consented acceptable to the settlementparties.

Appears in 5 contracts

Sources: Stock Purchase Agreement (American Realty Trust Inc), Stock Purchase Agreement (American Realty Trust Inc), Stock Purchase Agreement (American Realty Trust Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (a) If a claim or demand is made against a SpecCo Indemnitee, a MatCo Indemnitee or an AgCo Indemnitee (each, an “Indemnitee”) by any Person who is not a member of a third-party other than an Infringement Claim subject to Section 13.3 above the AgCo Group, SpecCo Group or MatCo Group (a “Third-Third Party Claim”)) as to which such Indemnitee is or may be entitled to indemnification pursuant to this Agreement, a party seeking such Indemnitee shall notify the Party (and, if applicable, the Contingent Claim Committee and/or the Shared Historical DuPont Claim Committee) which is or may be required pursuant to this Article VIII to make such indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) in writing, and in reasonable detail, of the Third Party Claim as promptly as practicable (and in any claim event within fifteen (15) days) after receipt by such Indemnitee of written notice of the Third Party Claim. If any Party shall receive notice or demand otherwise learn of the assertion of a Third Party Claim which may reasonably be determined to be a Specified DowDuPont Shared Liability or a Shared Historical DuPont Liability, such Indemnified Party, as appropriate, shall give the Contingent Claim Committee and/or the Shared Historical DuPont Claim Committee (as determined pursuant to Article VI or Article VII, as applicable) written notice thereof within fifteen (15) days after such Person becomes aware of such Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that the failure to give provide notice of any such notice will Third Party Claim pursuant to this or the preceding sentence shall not affect such Indemnified Party’s rights hereunder unless, release the Indemnifying Party from any of its obligations under this Article VIII except and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Party shall have been actually materially prejudiced as a result of such failure. The Thereafter, the Indemnitee shall deliver to the Indemnifying Party shall have (and, as applicable, to the right Managing Party, the Contingent Claim Committee and the Shared Historical DuPont Claim Committee), as promptly as practicable (and if it elects in any event within five (5) Business Days) after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to exercise such rightthe Third Party Claim. (b) Other than in the case of (i) Taxes addressed in the Tax Matters Agreement, which shall do so within twenty be addressed as set forth therein, (20ii) days after receiving such notice from the Indemnified Partyindemnification by a beneficiary Party of a guarantor Party pursuant to Section 2.10(c) to defend and to direct (the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected which shall be controlled by the Indemnifying beneficiary Party; provided), that (iii) a Specified DowDuPont Shared Liability (the defense of which shall be controlled by the Managing Party as provided for in Article VI) or (iv) a Shared Historical DuPont Liability (the defense of which shall be controlled by the Managing Party as provided for in Article VII), (A) an Indemnifying Party shall be entitled (but shall not be required) to assume and control the defense of any Third Party Claim, and (B) if it does not assume the defense of such action only Third Party Claim, to participate in the defense of such Third Party Claim, in each case, at such Indemnifying Party’s own cost and expense and by such Indemnifying Party’s own counsel that is reasonably acceptable to the applicable Indemnitees (after consultation in good faith with the applicable Indemnitees), if it gives notice of its intention to do so to the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds applicable Indemnitees within thirty (30) days of the Indemnified Party harmless from and against all Losses resulting receipt of such notice from such Third-Party ClaimIndemnitees; and provided further provided, however, that the Indemnifying Party shall not be entitled to assume control the defense of any Third Party Claim to the extent such Third Party Claim (x) is an allegation of a criminal violation, (y) seeks injunctive, equitable or other relief other than monetary damages against the Indemnitee (provided that such Indemnitee shall reasonably cooperate with the Indemnifying Party, at the request of the Indemnifying Party, in seeking to separate any such claims from any related claim for monetary damages if this clause (y) is the sole reason that such Third Party Claim is a Non-Assumable Third Party Claim) or (z) is made by a Governmental Entity (clauses (x), (y) and (z), the “Non-Assumable Third Party Claims”). After notice from an Indemnifying Party to an Indemnitee of the Indemnifying Party’s election to assume the defense of a Third Party Claim, such Indemnitee shall have the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof, at its own expense and, in any event, shall cooperate with the Indemnifying Party in such defense if and make available to the Indemnifying Party, at the Indemnifying Party’s expense, all witnesses, pertinent Information, materials and other information in such Indemnitee’s possession or under such Indemnitee’s control relating thereto as are reasonably required by the Indemnifying Party; provided, however, that in the event a conflict of interest exists, or is reasonably likely to exist, that would make it inappropriate in the reasonable judgment of the applicable Indemnitee(s) for the same counsel to represent both the Indemnifying Party and the applicable Indemnitee(s), such Indemnitee(s) shall be entitled to retain, at the Indemnifying Party’s expense, separate counsel as required by the applicable rules of professional conduct with respect to such matter. In the event that the Indemnifying Party exercises the right to assume and control the defense of a Third Party Claim as provided above, (i1) the Indemnifying Party shall keep the Indemnitee(s) apprised of all material developments in such defense, (2) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of withdraw from the defense of such claim or demand or (y) the Indemnified Third Party has one or more defenses not available Claim without providing advance notice to the Indemnifying Party, (ivIndemnitee(s) such claim relates reasonably sufficient to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (vallow the Indemnitee(s) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel prepare to assume the defense of such claim Third Party Claim, and (3) the Indemnifying Party shall conduct the defense of the Third Party Claim actively and diligently, including the posting of bonds or demandother security required in connection with the defense of such Third Party Claim. (c) Other than in the case of a Specified DowDuPont Shared Liability, a Shared Historical DuPont Liability or a Non-Assumable Third Party Claim, if an Indemnifying Party elects not to assume responsibility for defending a Third Party Claim or fails to notify an Indemnitee of its election as provided in Section 8.5(b), or if the Indemnifying Party fails to actively and diligently defend the Third Party Claim (including by withdrawing or threatening to withdraw from the defense thereof), the reasonable fees and disbursements of applicable Indemnitee(s) may defend such counsel shall be Third Party Claim at the cost and expense of the Indemnifying Party. The If the Indemnitee is conducting the defense of any Third Party Claim, the Indemnifying Party shall have no indemnification obligations cooperate with the Indemnitee in such defense and make available to the Indemnitee, at the Indemnifying Party’s expense, all witnesses, pertinent Information, material and information in such Indemnifying Party’s possession or under such Indemnifying Party’s control relating thereto as are reasonably required by the Indemnitee. (d) Other than any Third Party Claim that is in respect to any such claim or demand of (x) a Specified DowDuPont Shared Liability, which shall be settled governed by the Indemnified Article VI or (y) a Shared Historical DuPont Liability, which shall be governed by Article VII, no Indemnitee may admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge any Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The delayed. (e) In the case of a Third Party Claim (except for any Third Party Claim that is in respect of (x) a Specified DowDuPont Shared Liability which, with respect to the subject matter of this Section 8.5(e), shall be governed by Article VI or (y) a Shared Historical DuPont Liability which, with respect to the subject matter of this Section 8.5(e), shall be governed by Article VII), the Indemnifying Party shall not settle admit any such claim liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge, the Third Party Claim without the prior written consent of the Indemnified Party Indemnitee (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if delayed) unless such settlement is accompanied or judgment (A) completely and unconditionally releases the Indemnitee in connection with such matter, (B) provides relief consisting solely of money damages borne by a document releasing the Indemnified Indemnifying Party from and (C) does not involve any admission by the Indemnitee of any wrongdoing or violation of Law. (f) Notwithstanding anything herein or in any Ancillary Agreement or any Conveyancing and Assumption Instrument to the contrary, other than (x) as set forth in the Dow Captive Policies and (y) as provided in Section 12.19 with respect to this Agreement, (i) the indemnification provisions of this Article VIII shall be the sole and exclusive remedy of the Parties, the parties to the Conveyancing and Assumption Instruments and any Indemnitee for any breach of this Agreement or any Conveyancing and Assumption Instrument and for any failure to perform and comply with any covenant or agreement in this Agreement or in any Conveyancing and Assumption Instrument; (ii) each party hereto and each Indemnitee expressly waives and relinquishes any and all liability rights, claims or remedies it may have with respect to the foregoing other than under this Article VIII and the Dow Captive Policies against any Indemnifying Party; (iii) none of the Parties, the members of their respective Groups or any other Person may bring a claim under any Conveyancing and Assumption Instrument; (iv) any and all claims arising out of, resulting from, or in connection with the Internal Reorganization or the other transactions contemplated in this Agreement must be brought under and in accordance with the terms of this Agreement (or under an applicable Dow Captive Policy); and (v) no breach of this Agreement or any Conveyancing and Assumption Instrument shall give rise to any right on the part of any party hereto or thereto, after the consummation of the MatCo Distribution, to rescind this Agreement, any Conveyancing and Assumption Instrument or any of the transactions contemplated hereby or thereby, except as expressly provided in Section 2.6(a) and Section 2.6(b); provided, however, that with respect to the transactions contemplated by this Agreement (including the Internal Reorganization and Distributions), the Parties may also bring claims arising under the Tax Matters Agreement under and in accordance with the Tax Matters Agreement and claims arising under the Employee Matters Agreement under and in accordance with the Employee Matters Agreement. Each Party shall cause the members of its Group to comply with this Section 8.5(f). (g) The provisions of this Article VIII shall apply to Third Party Claims that are already pending or asserted as well as Third Party Claims brought or asserted after the date of this Agreement. There shall be no requirement under this Section 8.5 to give a notice with respect to any Third Party Claim that exists as of the Effective Time. Each Party on behalf of itself and each other member of its Group acknowledges that Liabilities for Actions (regardless of the parties to the Actions) may be partly Specialty Products Liabilities, partly Materials Science Liabilities and partly Agriculture Liabilities. If the Parties cannot agree on the allocation of any such Liabilities for Actions, they shall resolve the matter pursuant to the procedures set forth in controversy Article X. No Party shall, nor shall any Party permit the other members of its Group (or their respective then-Affiliates) to, file Third Party Claims or cross-claims against any other Party or any members of another Group in an Action in which a Third Party Claim is being resolved. (h) For purposes of this Section 8.5, any claim or demand that is bindingmade against any member of the SpecCo Group or AgCo Group or any of their respective then-Affiliates as to which any member of the SpecCo Group or AgCo Group or such then-Affiliate, valid as applicable, is or may be entitled to insurance coverage for more than 50% of the total related costs and enforceable against all liabilities by the Dow Insurer pursuant to Section 11.5, shall be considered a “Third Party Claim” and MatCo shall be considered the “Indemnifying Party” and the applicable Parties)member of the AgCo Group or SpecCo Group, or such applicable then-Affiliate, as applicable, shall be considered the “Indemnitee” with respect thereto, each with the rights and responsibilities set forth in this Section 8.5. Notwithstanding With respect to those claims or demands for which any member of the foregoingSpecCo Group or AgCo Group, if or any of their respective then-Affiliates, is or may be entitled to coverage for 50% or less of the Indemnified Party fails to object to total related costs and liabilities, their relationship with the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing Dow Insurer shall be governed by the terms and condition conditions of such settlementthe relevant insurance policy(ies), the Indemnified Party shall be deemed to have consented in accordance with historical claim-handling practices of said insurer, without regard to the settlementterms of this Section 8.5.

Appears in 5 contracts

Sources: Separation and Distribution Agreement (Corteva, Inc.), Separation and Distribution Agreement (DowDuPont Inc.), Separation and Distribution Agreement (Dow Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of asserted by a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party the person or entity seeking indemnification hereunder pursuant to this Article V (each an the “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party Party from which indemnity indemnification is sought pursuant to this Article V (each an the “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that the failure of any Indemnified Party to give such notice will shall not affect such Indemnified Party’s rights hereunder unlessrelieve any Indemnifying Party of his or its obligations under this Article V, and then solely except to the extent that, the rights of the that such Indemnifying Parties from whom indemnity Party is sought are actually prejudiced as a result of by such failurefailure to give prompt written notice. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in his or its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled unless counsel to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between for such counsel in representing the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Third Party has one or more defenses not available to the Indemnifying PartyClaim; provided, (iv) such claim relates to or arises in connection with any criminal proceedinghowever, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or shall not be entitled to assume the defense of a Third Party Claim unless it has acknowledged and agreed in a separate writing that it is failing responsible, subject to vigorously prosecute or the limitations of this Article V, for the indemnity giving rise to such Third Party Claim and will defend such Third-Third Party Claim. Claim subject to the limitations of this Article V. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at his or its own expense; provided, however, that, in the case of any claim Third Party Claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim Third Party Claim or demand which shall be is settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldconditioned, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 4 contracts

Sources: Stock Purchase Agreement (Symmetric Capital LLC), Stock Purchase Agreement (Steiner Robert M), Stock Purchase Agreement (Steiner Michael S)

Procedures for Third Party Claims. (a) In order for a Person (the case "Indemnified Party") to be entitled to any indemnification provided for under Section 10.2 or 10.3 hereof in respect of, arising out of any claim for indemnification arising from or involving a claim of a third-party made by any Person (other than an Infringement Claim subject to Section 13.3 above another Party or its Affiliate) against the Indemnified Party (a "Third-Party Claim"), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundermust notify the indemnifying party in writing of the Third-Party Claim promptly following receipt by such Indemnified Party of written notice of the Third-Party Claim; provided, however, that failure to give such notice will notification shall not affect such Indemnified Party’s rights the indemnification provided hereunder unless, and then solely except to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are indemnifying party shall have been actually materially prejudiced as a result of such failure. The Indemnifying Thereafter, the Indemnified Party shall have deliver to the right (and if it elects to exercise such rightindemnifying party, shall do so within twenty (20) days after receiving such notice from as promptly as practicable following the Indemnified Party's receipt thereof, copies of all notices and documents (including court papers) received by the Indemnified Party relating to defend and the Third-Party Claim that are not separately addressed to direct the defense indemnifying party. (b) If a Third-Party Claim is made against any such claim or demand, in its name or in the name of the an Indemnified Party, as the case may beindemnifying party shall be entitled to participate in the defense thereof and, at if it so chooses, to assume the expense of the Indemnifying Party, and defense thereof with counsel selected by the Indemnifying Partyindemnifying party; provided, however, that such counsel is not reasonably objected to by the Indemnifying Party shall be entitled Indemnified Party. Should the indemnifying party so elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such a Third-Party Claim; and provided further that , the Indemnifying Party indemnifying party shall not be entitled liable to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) for any reasonable legal expenses subsequently incurred by the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend indemnifying party assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense, separate from the counsel employed by the indemnifying party, it being understood that the indemnifying party shall control such defense; provided, however, thatthat the indemnifying party shall bear the reasonable fees and expenses of such separate counsel (i) if the Parties to any such action or proceeding (including impleaded parties) include other Parties and representation of both Parties would, in the case reasonable opinion of any claim or demand described in clause (i) counsel for the Indemnified Party, be inappropriate due to a conflict of interest or (ii) of if the second preceding sentence or as to which the Indemnifying Party indemnifying party shall not in fact have employed counsel (other than counsel that is reasonably objected to assume by the defense Indemnified Party) within a reasonable time after the Indemnified Party has given notice of such claim or demand, the institution of a Third-Party Claim in compliance with Section 10.4(a) hereof. The indemnifying party shall be liable for the reasonable fees and disbursements expenses of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled employed by the Indemnified Party for any period during which the indemnifying party has not assumed the defense thereof, provided, however, that such counsel is not reasonably objected to by the indemnifying party. If the indemnifying party chooses to defend or prosecute a Third-Party Claim, all the Indemnified Parties shall cooperate in the defense or prosecution thereof at the indemnifying party's expense. Such cooperation shall include the retention and (upon the indemnifying party's request) the provision to the indemnifying party of records and information that are reasonably relevant to such Third-Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. If the indemnifying party assumes the defense of a Third-Party Claim, the Indemnified Party shall not admit any liability with respect to, or settle, compromise or discharge, such Third-Party Claim without the indemnifying party's prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding If the foregoing, if indemnifying party assumes the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt defense of a written notice from the Indemnifying Third-Party containing the terms and condition of such settlementClaim, the Indemnified Party shall be deemed agree to have consented any settlement, compromise or discharge of a Third-Party Claim that the indemnifying party may recommend and that by its terms obligates the indemnifying party to pay the settlementfull amount of the liability in connection with such Third-Party Claim, which releases the Indemnified Party completely in connection with such Third-Party Claim and that would not otherwise materially adversely affect the Indemnified Party.

Appears in 4 contracts

Sources: Acquisition Agreement (TMM Holdings Sa De Cv), Acquisition Agreement (Grupo TMM Sa), Acquisition Agreement (Grupo TMM Sa)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundernotice thereof; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that, extent) the rights of the Indemnifying Parties from whom indemnity Indemnitor is sought are actually prejudiced as a result of by such failure. The Indemnifying Party shall delay. (b) Any Indemnitor will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense Indemnitee against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that Claim with counsel of its choice reasonably satisfactory to the Indemnifying Party shall not be entitled to assume control of such defense if Indemnitee so long as (i) the Indemnifying Party shall not have notified Indemnitor notifies the Indemnified Party Indemnitee in writing within ten (10) days after the Indemnitee has given notice of its exercise of its right to defend such the Third-Party claim within Claim that the Indemnitor will indemnify the Indemnitee from and against any such twenty (20) day period; Indemnifiable Losses, (ii) such claim or demand seeks the Indemnitor provides the Indemnitee with evidence reasonably acceptable to the Indemnitee that the Indemnitor will have the financial resources to defend against the Third-Party Claim and fulfill its indemnification obligations hereunder, (iii) the Third-Party Claim involves only monetary damages and does not seek an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Partyrelief, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigationsettlement of, or an adverse judgment in respect of, the Third-Party Claim is not, in the good faith judgment of the Indemnitee, likely to establish a precedential custom or practice adverse to the continuing business interests of the Indemnitee, and (v) the appropriate court rules that Indemnitor conducts the Indemnifying Party failed or is failing to vigorously prosecute or defend such defense of the Third-Party Claim. Notwithstanding anything in this Agreement to Claim actively and diligently. (c) So long as the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in Indemnitor is conducting the defense of such claim or demand. The Indemnified the Third-Party shall have Claim in accordance with Section 9.4(b), (i) the right to Indemnitee may retain separate co-counsel at its sole cost and expense and participate in the defense of the Third-Party Claim, (ii) the Indemnitee will not consent to the entry of any claim judgment or demand with counsel employed at its own expenseenter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitor (which consent will not be unreasonably conditioned, delayed, or withheld), and (iii) the Indemnitor will not consent to the entry of any judgment or enter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitee (which consent will not be unreasonably conditioned, delayed, or withheld); provided, however, that, in respect of subsection (iii) above, the case Indemnitee may condition such consent upon the delivery by the claimant or plaintiff to the Indemnitee of a duly executed unconditional release of the Indemnitee from all liability in respect of such Third-Party Claim. (d) In the event any claim condition set forth in Section 9.4(b) is or demand described in clause becomes unsatisfied, however, (i) the Indemnitee may defend against, and consent to the entry of any judgment or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not enter into any settlement in fact have employed counsel to assume the defense of such claim or demandrespect of, the reasonable fees Third-Party Claim in any manner it reasonably may deem appropriate, provided that the Indemnitee will consult with and disbursements of such counsel shall be at obtain the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, Indemnitor in connection therewith which consent shall not be unreasonably conditioned, delayed, or withheld, delayed (ii) the Indemnitor will reimburse the Indemnitee promptly and periodically for the costs of defending against the Third-Party Claim (including reasonable attorneys’ fees and expenses), and (iii) the Indemnitor will remain responsible for any Indemnifiable Losses the Indemnitee may suffer resulting from, arising out of, relating to, in the nature of, or conditioned. The Indemnifying caused by, the Third-Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect Claim to the matter fullest extent provided in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthis Section.

Appears in 3 contracts

Sources: Series a Preferred Stock Purchase Agreement, Series a Preferred Stock Purchase Agreement (Sinocom Pharmaceutical, Inc.), Series a Preferred Stock Purchase Agreement (DBS Nominees (Private) LTD)

Procedures for Third Party Claims. In the case (a) Promptly after receipt by an Indemnified Party of any claim for indemnification arising from a claim notice of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), such Indemnified Party shall provide a party seeking indemnification hereunder Claim Notice to the Indemnifier within five (each an “Indemnified Party”5) shall give prompt written notice, following such days after the Indemnified Party’s receipt of such claim or demandnotice of the Third Party Claim. (b) The Indemnifier shall have the right, upon written notice delivered to the Indemnified Party within thirty (30) days after receipt of the Claim Notice, to assume the party from which indemnity is sought (each an “Indemnifying Party”) defence of any claim or demand such Third Party Claim, including the employment of which such counsel reasonably satisfactory to the Indemnified Party and the payment of the reasonable fees and disbursements of such counsel. The Indemnified Party shall co-operate in good faith in the defence of each Third Party Claim, even if the defence has knowledge been assumed by the Indemnifier and as may participate in such defence assisted by counsel of its own choice at its own expense. (c) If the Indemnifier declines or fails to assume the defence of the Third Party Claim on the terms provided above within such thirty (30) day period, the Indemnified Party may, at its option, employ counsel to represent or defend it in any such Third Party Claim and, if such Third Party Claim is a matter with respect to which it may request indemnification hereunderthe Indemnified Party is entitled to receive payment from the Indemnifier for the Loss in question, the Indemnifier will pay the reasonable fees and disbursements of such counsel as incurred; provided, however, that failure to give such notice the Indemnifier will not affect such be required to pay the fees and disbursements of more than one (1) counsel for all Indemnified Party’s rights hereunder unless, and then solely Parties in any jurisdiction in any single Third Party Claim. (d) In any Third Party Claim with respect to the extent thatwhich indemnification is being sought hereunder, the rights of Indemnified Party or the Indemnifying Parties from whom indemnity Indemnifier, whichever is sought are prejudiced as a result not assuming the defence of such failure. The Indemnifying Party action, shall have the right (and if it elects to exercise participate in such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend matter and to direct the defense against any retain its own counsel at such claim or demand, in its name or in the name of Party’s own expense. The Indemnifier and the Indemnified Party, as the case may be, shall at the expense all times use all reasonable efforts to keep each other reasonably apprised of the Indemnifying Party, status of any matter the defence of which they are maintaining and to co-operate in good faith with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or each other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available with respect to the Indemnifying Party, defence of any such matter. (ive) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have may not make any admission of liability or settle or compromise any Third Party Claim or consent to the right to participate in the defense entry of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations judgement with respect to any such claim or demand which shall be settled by the Indemnified Third Party Claim without the prior written consent of the Indemnifying PartyIndemnifier, which such consent shall not to be unreasonably withheld, delayed withheld or conditioneddelayed. The Indemnifying Party shall not settle any such claim without Without the prior written consent of the Indemnified Party (which consent Party, the Indemnifier shall not be unreasonably withheld, delayed enter into any compromise or conditioned if such settlement is accompanied by a document releasing of any Third Party Claim which would lead to liability or create any financial or other material obligation on the part of the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementParty.

Appears in 3 contracts

Sources: Acquisition and Funding Agreement (New Gold Inc. /FI), Share Purchase Agreement (Yamana Gold Inc), Share Purchase Agreement (Yamana Gold Inc)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundernotice thereof; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that, extent) the rights of the Indemnifying Parties from whom indemnity Indemnitor is sought are actually prejudiced as a result of by such failure. The Indemnifying Party shall delay. (b) Any Indemnitor will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense Indemnitee against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that Claim with counsel of its choice reasonably satisfactory to the Indemnifying Party shall not be entitled to assume control of such defense if Indemnitee so long as (i) the Indemnifying Party shall not have notified Indemnitor notifies the Indemnified Party Indemnitee in writing within ten (10) days after the Indemnitee has given notice of its exercise of its right to defend such the Third-Party claim within Claim that the Indemnitor will indemnify the Indemnitee from and against any such twenty (20) day period; Losses, (ii) such claim or demand seeks the Indemnitor provides the Indemnitee with evidence reasonably acceptable to the Indemnitee that the Indemnitor will have the financial resources to defend against the Third-Party Claim and fulfill its indemnification obligations hereunder, (iii) the Third-Party Claim involves only monetary damages and does not seek an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Partyrelief, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigationsettlement of, or an adverse judgment in respect of, the Third-Party Claim is not, in the good faith judgment of the Indemnitee, likely to establish a precedential custom or practice adverse to the continuing business interests of the Indemnitee, and (v) the appropriate court rules that Indemnitor conducts the Indemnifying Party failed or is failing to vigorously prosecute or defend such defense of the Third-Party Claim. Notwithstanding anything in this Agreement to Claim actively and diligently. (c) So long as the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in Indemnitor is conducting the defense of such claim or demand. The Indemnified the Third-Party shall have Claim in accordance with Section 10.3(b), (i) the right to Indemnitee may retain separate co-counsel at its sole cost and expense and participate in the defense of the Third-Party Claim, (ii) the Indemnitee will not consent to the entry of any claim judgment or demand with counsel employed at its own expenseenter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitor (which consent will not be unreasonably conditioned, delayed, or withheld), and (iii) the Indemnitor will not consent to the entry of any judgment or enter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitee (which consent will not be unreasonably conditioned, delayed, or withheld); provided, however, that, in respect of clause (iii) above, the case Indemnitee may condition such consent upon the delivery by the claimant or plaintiff to the Indemnitee of a duly executed unconditional release of the Indemnitee from all liability in respect of such Third-Party Claim. (d) In the event any claim condition set forth in Section 10.3(b) is or demand described in clause becomes unsatisfied, however, (i) the Indemnitee may defend against, and consent to the entry of any judgment or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not enter into any settlement in fact have employed counsel to assume the defense of such claim or demandrespect of, the reasonable fees Third-Party Claim in any manner it reasonably may deem appropriate, provided that the Indemnitee will consult with and disbursements of such counsel shall be at obtain the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, Indemnitor in connection therewith which consent shall not be unreasonably conditioned, delayed, or withheld, delayed (ii) the Indemnitor will reimburse the Indemnitee promptly and periodically for the costs of defending against the Third-Party Claim (including reasonable attorneys’ fees and expenses), and (iii) the Indemnitor will remain responsible for any Losses the Indemnitee may suffer resulting from, arising out of, relating to, in the nature of, or conditioned. The Indemnifying caused by, the Third-Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect Claim to the matter fullest extent provided in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthis Section 10.3.

Appears in 3 contracts

Sources: Common Stock Purchase Agreement (Landmark Apartment Trust of America, Inc.), Securities Purchase Agreement (Landmark Apartment Trust of America, Inc.), Securities Purchase Agreement (Landmark Apartment Trust of America, Inc.)

Procedures for Third Party Claims. In the case of any claim The following procedures shall apply with respect to claims that may be made for indemnification arising from hereunder except to the extent that a claim of a thirdwith respect to Reinsurer Extra-party other than an Infringement Claim subject Contractual Obligations is resolved in accordance with Article VII. No Person that may be entitled to Section 13.3 above be indemnified under this Agreement (a “Third-Party Claim”), a party seeking indemnification hereunder (each an the “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, be entitled to indemnification against any Losses unless it has given to the party from which indemnity whom indemnification is sought (each an the “Indemnifying Party”) of any a written claim or demand of which notice relating to such Losses (a “Claim Notice”). The Claim Notice shall be given reasonably promptly after the Indemnified Party has knowledge becomes aware of the facts indicating that a claim for indemnification may be warranted and as shall state in reasonable detail, to the extent reasonably available at such time, the nature of the claim, identify the sections of this Agreement which it form the basis for such claim, attach copies of all material written evidence thereof received from a third party to the date of such notice and set forth the estimated amount of the Losses that have been or may request indemnification hereunder; providedbe sustained by an Indemnified Party relating to such claim to the extent reasonably estimable. The failure of an Indemnified Party to give a Claim Notice shall not relieve the Indemnifying Party of its obligations under this Article XI, however, except to the extent that the Indemnifying Party is prejudiced by such failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failureClaim Notice. The Indemnifying Party shall have the right (and if it elects no Liability with respect to exercise such right, shall do so within twenty (20) days after receiving such notice from any unreasonable expenses incurred by the Indemnified Party) Party prior to defend and to direct the defense against any such claim or demand, in its name or in time the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected Claim Notice is received by the Indemnifying Party; provided. If a Claim Notice relates to a Third Party Claim, that the Indemnifying Party may, through counsel of its own choosing (provided that in the event of any Third Party Claim asserted by any Governmental Authority, such counsel shall be reasonably acceptable to the Indemnified Party), assume the defense and investigation of such Third Party Claim; provided that any Indemnified Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges participate in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of any such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party with counsel of its exercise of own choice at its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandown expense. The Indemnified Party shall have the right to employ one (1) separate counsel in any such Third Party Claim and to participate (but not control) in the defense of any claim or demand with counsel employed at its own expense; providedthereof, however, that, in but the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements expenses of such counsel shall not be at the expense of the Indemnifying Party unless (i) the employment of such counsel has been specifically authorized in writing by the Indemnifying Party, (ii) in the reasonable opinion of counsel to the Indemnified Party, a conflict or potential conflict exists between the Indemnified Party and the Indemnifying Party that would make such separate representation advisable or (iii) one or more defenses are available to the Indemnified Party that are not available to the Indemnifying Party. If the Indemnifying Party elects to assume the defense and investigation of such Third Party Claim, it shall, no later than thirty (30) days following its receipt of the Claim Notice notify the Indemnified Party in writing of its assumption of the defense and investigation of such Third Party Claim. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Partynot, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if delayed), settle or compromise any pending or threatened Third Party Claim in respect of which indemnification may be sought hereunder (whether or not the Indemnified Party is an actual or potential party to such settlement action or claim) or consent to the entry of any judgment, except to the extent (i) it includes as an unconditional term thereof the delivery by the claimant or plaintiff to the Indemnified Party of a written release from all Liability in respect of such Third Party Claim and (ii) any such action or claim is accompanied limited solely to monetary damages against the Indemnified Party that are recoverable in full by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties)Indemnifying Party. Notwithstanding If the foregoing, if Indemnifying Party does not notify the Indemnified Party fails to object to the settlement within five thirty (530) Business Days of days following its receipt of a written notice from the Claim Notice that it desires to assume the defense and investigation of such Third Party Claim, then the Indemnifying Party containing shall have the terms right to participate in any such defense at its sole cost and condition expense. The Indemnified Party shall not, without the prior written consent of such settlementthe Indemnifying Party (which consent shall not be unreasonably withheld, conditioned or delayed), settle or compromise any pending or threatened Third Party Claim or consent to the entry of any judgment, except to the extent the sole relief granted is equitable relief for which the Indemnifying Party would have no Liability or to which the Indemnifying Party would not be subject. The Indemnified Party and the Indemnifying Party shall make reasonably available to each other and their respective Representatives all relevant business records and other documents available to them that are necessary or appropriate for the defense of any Third Party Claim, subject to any bona fide claims of attorney-client privilege, and each of the Indemnifying Party and the Indemnified Party shall use its reasonable efforts to assist, and to cause the employees and counsel of such party to assist, in the defense of such Third Party Claim. Direct Claims. The Indemnitor will have a period of thirty (30) days within which to respond in writing to any claim by an Indemnitee on account of a Loss that does not result from a Third Party Claim. If the Indemnitor does not so respond within such thirty (30)-day period, the Indemnitor will be deemed to have consented rejected such claim, in which event the Indemnitee will be entitled to pursue such remedies as may be available to the settlementIndemnitee. No Duplication of Indemnity. Any payment arising under this Article XI shall be made by wire transfer of immediately available funds to such account or accounts as the Indemnitee shall designate to the Indemnitor in writing. To the extent that an Administrator Indemnified Party or a Company Indemnified Party has received payment in respect of a Loss pursuant to the provisions of any other Transaction Agreement, such Administrator Indemnified Party or Company Indemnified Party shall not be entitled to indemnification for such Loss under this Agreement. In no event shall any Indemnitee (i) be entitled to duplicate Losses under this Agreement and any other Transaction Agreement attributable to the same underlying event giving rise to such Loss or Losses, or (ii) initiate duplicate proceedings under two (2) or more Transaction Agreements seeking recovery for the same Loss or Losses.

Appears in 3 contracts

Sources: Administrative Services Agreement (Lincoln Life Flexible Premium Variable Life Account LMB-V), Administrative Services Agreement (Lincoln Life Variable Annuity Account LMB-K), Administrative Services Agreement (Lincoln Life Flexible Premium Variable Life Account LMB-V)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article V in respect of any legal proceeding, action, claim for indemnification arising from or demand instituted by a claim of a third-party other than an Infringement Claim subject to Section 13.3 above third Person (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of the Indemnifying Party from whom indemnification with respect to such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”i) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such prompt written notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty but in no event more than fifteen (2015) days after receiving such notice from the Indemnified PartyParty acquires knowledge thereof) of such Third Party Claim and (ii) copies of all documents and information relating to defend and to direct the defense against any such claim or demand, in its name or in the name Third Party Claim within fifteen (15) days of their being obtained by the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds failure by the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that to so notify or provide copies to the Indemnifying Party shall not be entitled to assume control of such defense if (i) relieve the Indemnifying Party shall not have notified of any liability to the Indemnified Party of its exercise of its right hereunder except to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded extent that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of demonstrates that the defense of such claim or demand or (y) Third Party Claim is prejudiced by the Indemnified Party has one Party’s failure to give such notice or more defenses not available to the Indemnifying Party, provide such copies. (ivb) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations thirty (30) days (or such lesser time as may be necessary to comply with respect statutory response requirements for litigation claims that are included in any Third Party Claim) from receipt of the notice contemplated in Section 5.3(a) to any such claim or demand which shall be settled by notify the Indemnified Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against such claim. If the Indemnifying Party timely gives notice that it intends to defend the Third Party Claim, it shall have the right, except as hereafter provided, to defend against, negotiate, settle or otherwise deal with the Third Party Claim and to be represented by counsel of its own choice, and the Indemnified Party will not admit any liability with respect thereto or settle, compromise, pay or discharge the same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed, delayed or conditioned. The so long as the Indemnifying Party shall is contesting or defending the same with reasonable diligence and in good faith; provided, that the Indemnified Party may participate in any proceeding with counsel of its choice and at its expense; provided further, that the Indemnifying Party may not settle enter into a settlement of any such claim Third Party Claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party from is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party; and provided further that, in the event the Indemnifying Party does not agree in writing to accept the defense of, and assume all liability with respect to the matter responsibility for, such Third Party Claim as provided above in controversy that is bindingthis Section 5.3(b), valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if then the Indemnified Party fails shall have the right to object to defend against, negotiate, settle or otherwise deal with the settlement within five (5) Business Days of receipt of a written notice from Third Party Claim in such manner as the Indemnifying Indemnified Party containing the terms deems appropriate, in its sole discretion, and condition of such settlement, the Indemnified Party shall be deemed entitled to have consented indemnification therefor from the Indemnifying Party to the settlement.extent provided under this Article V.

Appears in 3 contracts

Sources: Equity Purchase Agreement (Mine Safety Appliances Co), Asset Purchase Agreement (Mine Safety Appliances Co), Share Purchase Agreement (Mine Safety Appliances Co)

Procedures for Third Party Claims. (a) In the case of any claim Claim for indemnification arising from a claim Claim of a third-third party other than against an Infringement Claim subject to Section 13.3 above Indemnified Party arising under paragraph 8.2(a) or 8.2(b) as the case may be (a “Third-Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim Claim or demand of which such Indemnified Party has knowledge knowledge, and as to which it may request indemnification hereunder, specifying (to the extent known) the amount of such Claim and any relevant facts and circumstances relating thereto; provided, however, that any failure to give such prompt notice or to provide any such facts and circumstances will not affect such waive any rights of the Indemnified Party’s rights hereunder unless, and then solely except to the extent that, that the rights of the Indemnifying Parties from whom indemnity is sought Party are actually materially prejudiced as a result of such failurethereby. The Indemnifying Party shall have the right (and and, if it elects to exercise such right, shall to do so by written notice within twenty thirty (2030) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird-Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled and reasonably satisfactory to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if Party, unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right taken any action to defend such Third-Party claim Claim within such twenty thirty (2030) day period; , or (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarycontrary (other than the last sentence of this Section 8.4(a)), the Indemnified Party shallParty, at the expense of the Indemnifying PartyParty (which shall include only reasonable out-of-pocket expenses actually incurred), shall cooperate with the Indemnifying Party, Party and keep the Indemnifying Party fully informed, informed in the defense of such claim or demandThird-Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third-Party Claim with counsel employed at its own expense; provided, however, that, that in the case of any claim or demand Third-Party Claim (A) described in clause (iii) above, or (iiB) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim Third-Party Claim within such thirty-day (30-day) period, or demand(C) that involves assertion of criminal liability on the Indemnified Party, or (D) seeks to force the Indemnified Party to take (or prevent the Indemnified Party from taking) any action, then in each such case the Indemnified Party shall have the right, but not the obligation, to conduct and control the defense thereof for the account of, and at the risk of, the Indemnifying Party, and the reasonable fees and disbursements of such Indemnified Party’s counsel shall be at the expense of the Indemnifying Party. The Except as provided in the last sentence of Section 8.4(b), the Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third-Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. . (b) The Indemnifying Party, if it has assumed the defense of any Third Party Claim as provided in this Agreement, shall not settle consent to a settlement of, or the entry of any judgment arising from, any such claim Third-Party Claim without the Indemnified Party’s prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if conditioned) unless (i) such settlement is accompanied by a document releasing or judgment relates solely to monetary damages, and (ii) prior to consenting to such settlement or such entry of judgment, the Indemnifying Party delivers to the Indemnified Party from all liability with respect a writing (in form reasonably acceptable to the matter Indemnified Party) which unconditionally provides that, subject to the provisions of Section 8.2(d) or Section 8.2(e), as appropriate, relating to the Minimum Claim Amount, the Threshold Amount and the Cap Amount, the Damages represented thereby are the responsibility of the Indemnifying Party pursuant to the terms of this Agreement and that, subject to the provisions of the Threshold Amount, the Indemnifying Party shall pay all Damages associated therewith in controversy accordance with the terms of this Agreement. The Indemnifying Party shall not, without the Indemnified Party’s prior written consent, enter into any compromise or settlement that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if (x) commits the Indemnified Party fails to object take, or to forbear to take, any action or (y) involves a reasonable likelihood of an imposition of criminal liability on the settlement within five Indemnified Party, or (5z) Business Days does not provide for a complete release by such third party of receipt the Indemnified Party. With the written consent of a written notice from the Indemnifying Party containing the terms and condition of such settlementParty, which consent shall not be unreasonably withheld, conditioned or delayed, the Indemnified Party shall be deemed have the sole and exclusive right to have consented settle any Third-Party Claim, on such terms and conditions as it deems reasonably appropriate, to the settlementextent such Third-Party Claim involves equitable or other nonmonetary relief against the Indemnified Party or involves a reasonable likelihood of an imposition of criminal liability on the Indemnified Party, and shall have the right to settle any Third-Party Claim involving money damages for which the Indemnifying Party has not assumed the defense pursuant to this Section 8.4.

Appears in 3 contracts

Sources: Redemption Agreement (Southern Union Co), Redemption Agreement (Energy Transfer Equity, L.P.), Redemption Agreement (Energy Transfer Equity, L.P.)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following notice (but in no event later than thirty (30) calendar days after becoming aware) thereof and such Indemnified Party’s receipt notice shall include a reasonable description of the claim and any documents relating to the claim and an estimate of the Indemnifiable Loss and shall reference the specific sections of this Agreement that form the basis of such claim or demand, to claim; provided that no delay on the party part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from which indemnity is sought any obligation hereunder unless (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent thatextent) the Indemnitor is actually prejudiced by such delay (except that the Indemnitor shall not be liable for any expenses incurred during the period in which the Indemnitee failed to give such notice). Thereafter, the rights Indemnitee shall deliver to the Indemnitor, within five calendar days after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Indemnitee relating to the Third Party Claim. (b) The Indemnitor shall be entitled to participate in the defense of such failure. The Indemnifying any Third Party shall have the right (and Claim and, if it elects so chooses, to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying Party; provided, that Indemnitor. Any election by the Indemnifying Party shall be entitled Indemnitor to assume control of the defense of such action only if a Third Party Claim must be delivered by the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds Indemnitor to the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that Indemnitee within fifteen (15) Business Days after receipt by the Indemnifying Party Indemnitor of the Indemnitee’s notice delivered pursuant to Section 7.4(a). Such assumption of defense shall not be entitled deemed to be an admission or assumption of liability by the Indemnitor. Should the Indemnitor so elect to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of a Third Party Claim, the Indemnitor shall not as long as it conducts such claim or demand or (y) the Indemnified Party has one or more defenses not available defense be liable to the Indemnifying Party, (iv) such claim relates to or arises Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend Indemnitor assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, howeverseparate from the counsel employed by the Indemnitor, that, in it being understood that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party Indemnitor shall not in fact have employed counsel to assume the defense of control such claim or demand, defense. The Indemnitor shall be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof (other than during any period in which the Indemnitee shall be have not yet given notice of the Third Party Claim as provided above). If the Indemnitor chooses to defend any Third Party Claim, all of the parties hereto shall, and shall cause their respective Affiliates to, cooperate in the defense thereof. Such cooperation shall include the retention and (upon the Indemnitor’s request at the expense Indemnitor’s expense) the provision to the Indemnitor of records and information that are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnifying Party. The Indemnifying Party Indemnitor shall have no indemnification obligations assumed the defense of a Third Party Claim, the Indemnitee shall not admit any liability with respect to to, or pay, settle, compromise, or discharge, such Third Party Claim without the Indemnitor’s prior written consent, and any such claim admission, payment, settlement, compromise, or demand which shall be settled by the Indemnified Party discharge without the Indemnitor’s prior written consent shall be deemed to be a waiver by the Indemnitee of any right to indemnity for all Indemnifiable Losses related to such Third Party Claim. If the Indemnifying PartyIndemnitor has assumed the defense of a Third Party Claim, which consent shall not be unreasonably withheldthe Indemnitor may only pay, delayed settle, compromise, or conditioned. The Indemnifying discharge a Third Party shall not settle any such claim without Claim with the Indemnitee’s prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned, or conditioned delayed); provided that the Indemnitor may pay, settle, compromise, or discharge such a Third Party Claim without the written consent of the Indemnitee if such settlement is accompanied by (i) includes a document releasing release of the Indemnified Party Indemnitee from all liability in respect of such Third Party Claim, (ii) does not subject the Indemnitee to any injunctive relief or other equitable remedy, and (iii) does not include a statement or admission of fault, culpability, or failure to act by or on behalf of the Indemnitee. If the Indemnitor submits to the Indemnitee a bona fide settlement offer that satisfies the requirements set forth in the proviso of the immediately preceding sentence and the Indemnitee refuses to consent to such settlement, then thereafter the Indemnitor’s liability to the Indemnitee with respect to such Third Party Claim shall not exceed the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to Indemnitor’s portion of the settlement within five (5) Business Days of receipt of a written notice from amount included in such settlement offer, and the Indemnifying Party containing Indemnitee shall either assume the terms and condition defense of such settlement, Third Party Claim or pay the Indemnified Indemnitor’s attorney’s fees and other out-of-pocket costs incurred thereafter in continuing the defense of such Third Party shall be deemed to have consented to the settlementClaim.

Appears in 2 contracts

Sources: Master Agreement (Protective Life Corp), Master Agreement (Genworth Financial Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-(a) The party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party or parties seeking indemnification hereunder recovery under Article IV and this Article VII (each an a Claimant and, collectively, the Indemnified PartyClaimants”) shall agree to give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party parties from which indemnity whom recovery is sought (each an a Indemnifying PartyRespondent” and, collectively, the “Respondents”) of the assertion of any claim, or the commencement of any suit, action or proceeding in respect of which recovery may be sought (each a “Third Party Claim” and, collectively, the “Third Party Claims”). The failure by any Claimant so to notify the Respondent in accordance with this Section 7.04(a) shall not relieve any Respondent from any liability that it may have to such Claimant with respect to any claim or demand of which such Indemnified Party has knowledge and as made pursuant to which it may request indemnification hereunder; providedthis Section 7.04, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely except to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as such failure shall actually prejudice a result of such failure. Respondent. (b) The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party Respondent shall be entitled to assume control contest and defend any Third Party Claim with counsel of its choice reasonably satisfactory to the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if Claimant, so long as (i) the Indemnifying Respondent notifies the Claimant in writing within fifteen (15) days after the Claimant has given notice of the Third Party shall not have notified Claim that the Indemnified Respondent will indemnify the Claimant from and against any Losses the Claimant may suffer resulting from, arising out of, relating to, in the nature of, or caused by the Third Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; Claim, (ii) such claim or demand seeks the Respondent provides the Claimant with evidence reasonably acceptable to the Claimant that the Respondent will have the financial resources to defend against the Third Party Claim and fulfill its indemnification obligations hereunder, (iii) the Third Party Claim involves only money damages and does not seek an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Partyrelief, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigationsettlement of, or an adverse judgment with respect to, the Third Party Claim is not, in the good faith judgment of the Claimant, likely to establish a precedential custom or practice materially adverse to the continuing business interests of the Claimant and (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in Respondent conducts the defense of such claim or demandthe Third Party Claim actively and diligently. The Indemnified Party shall have In the right to event the Respondent conducts a defense under this Section 7.04(b) above, (i) the Claimant may retain separate co-counsel at its sole cost and expense and participate in the defense of any claim or demand with counsel employed at its own expense; providedthe Third Party Claim, however, that, in the case of any claim or demand described in clause (i) or (ii) the Claimant will not consent to the entry of the second preceding sentence any judgment or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations entry into any settlement with respect to any such claim or demand which shall be settled by the Indemnified Third Party Claim without the prior written consent of the Indemnifying Party, which Respondent (not to be withheld unreasonably) and (iii) the Respondent will not consent shall not be unreasonably withheld, delayed to the entry of any judgment or conditioned. The Indemnifying enter into any settlement with respect to the Third Party shall not settle any such claim Claim without the prior written consent of the Indemnified Party Claimant (which consent shall not to be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Partieswithheld unreasonably). Notwithstanding the foregoing, if the Indemnified subject matter of a Third Party fails to object Claim relates to the settlement within five ongoing business of any of the Claimants, which Third Party Claim, if decided against any of the Claimants, would have a material and adverse affect on the ongoing business or reputation of the Company, its Subsidiaries or any of its Affiliates, then the Claimant alone shall be entitled to contest, defend and settle such Third Party Claim in the first instance (5subject to the right of the Respondent to participate in such defense at the Respondent’s expense) Business Days of receipt of a written notice from and, if the Indemnifying Claimant does not contest, defend or settle such Third Party containing the terms and condition of such settlementClaim, the Indemnified Respondent shall then have the right to contest and defend (but not settle) such Third Party shall be deemed to have consented to the settlementClaim.

Appears in 2 contracts

Sources: Share Purchase Agreement (Purpose Financial Holdings, Inc.), Share Purchase Agreement (Purpose Financial Holdings, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (a) If a claim or demand is made against a Remainco Indemnitee or a Spinco Indemnitee (each, an “Indemnitee”) by any Person who is not a member of a third-party other than an Infringement Claim subject to Section 13.3 above the Remainco Group, Spinco Group or RMT Partner and its Affiliates (a “Third-Third Party Claim”)) as to which such Indemnitee is or may be entitled to indemnification pursuant to this Agreement, a party seeking such Indemnitee shall notify the Party which is or may be required pursuant to this Article V to make such indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) in writing, and in reasonable detail, of the Third Party Claim as promptly as practicable (and in any claim or demand event within thirty (30) days) after receipt by such Indemnitee of which such Indemnified written notice of the Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that the failure to give provide notice of any such notice will Third Party Claim pursuant to this sentence shall not affect such Indemnified Party’s rights hereunder unless, release the Indemnifying Party from any of its obligations under this Article V except and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Party shall have been actually materially prejudiced as a result of such failure. The Indemnifying Party Thereafter, the Indemnitee shall have the right (and if it elects deliver to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, as promptly as practicable (and in any event within ten (10) Business Days) after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to the Third Party Claim. (b) Other than in the case of indemnification by a beneficiary Party of a guarantor Party pursuant to Section 1.10(c) (the defense of which shall be controlled by the beneficiary Party), an Indemnifying Party shall be entitled (but shall not be required) to assume and control the defense of any Third Party Claim at such Indemnifying Party’s own expense and with counsel selected by the Indemnifying Party with the consent of the applicable Indemnitees (such consent not to be unreasonably withheld, conditioned or delayed) if it gives prior written notice of its intention to do so to the applicable Indemnitees within thirty (30) days of the Indemnifying Party; provided’s receipt of notice of the relevant Third Party Claim from the applicable Indemnitees pursuant to Section 5.4(a). Within thirty (30) days after the receipt of notice from an Indemnitee (or sooner, that if the nature of such Third-Party Claim so requires), the Indemnifying Party shall be entitled notify the Indemnitee of its election as to assume control of the defense of such action only if whether the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from will assume responsibility for defending such Third-Party Claim; and provided further that , which election shall specify any reservations or exceptions to its defense. Notwithstanding the foregoing, the Indemnifying Party shall not be entitled to assume control the defense of any Third Party Claim to the extent such Third Party Claim (x) is an allegation of a criminal violation, (y) seeks injunctive, equitable or other relief other than monetary damages against the Indemnitee (provided that such Indemnitee shall reasonably cooperate with the Indemnifying Party, at the request of the Indemnifying Party, in seeking to separate any such claims from any related claim for monetary damages if this clause (y) is the sole reason that such Third Party Claim is a Non-Assumable Third Party Claim) or (z) is made by a Governmental Entity (clauses (x), (y) and (z), the “Non-Assumable Third Party Claims”). After notice from an Indemnifying Party to an Indemnitee of the Indemnifying Party’s election to assume the defense of a Third Party Claim, such Indemnitee shall have the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof, at its own expense and, in any event, shall reasonably cooperate with the Indemnifying Party in such defense if and make available to the Indemnifying Party, at the Indemnifying Party’s expense, all witnesses, pertinent and material Information, materials and other information in such Indemnitee’s possession or under such Indemnitee’s control relating thereto as may be reasonably required by the Indemnifying Party; provided, however, that in the event a conflict of interest exists, or is reasonably likely to exist, that would make it inappropriate in the reasonable judgment of counsel to the applicable Indemnitee(s) for the same counsel to represent both the Indemnifying Party and the applicable Indemnitee(s), such Indemnitee(s) shall be entitled to retain, at the Indemnifying Party’s expense, one separate counsel (iand any necessary local counsel) as required by the applicable rules of professional conduct with respect to such matter. In the event that the Indemnifying Party exercises the right to assume and control the defense of a Third Party Claim as provided above, (1) the Indemnifying Party shall keep the Indemnitee(s) reasonably apprised of all material developments in such defense, (2) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of withdraw from the defense of such claim or demand or Third Party Claim without providing advance notice to the Indemnitee(s) reasonably sufficient to allow the Indemnitee(s) to prepare to assume the defense of such Third Party Claim, and (y3) the Indemnified Indemnifying Party has one or more defenses not available to shall conduct the defense of the Third Party Claim actively and diligently. (c) If the Indemnifying PartyParty elects not to assume the defense of such Third Party Claim, (iv) such fails to notify an Indemnitee of its election or if the claim relates to or arises in connection with any criminal proceedinga Non-Assumable Third Party Claim, action, indictment, allegation or investigation, or (v) then the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or applicable Indemnitee may defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, Claim at the cost and expense of the Indemnifying Party, cooperate with Party to the extent indemnification is available hereunder and the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand such Third Party Claim at such Indemnifying Party’s own cost and expense with counsel employed selected by the Indemnifying Party that is reasonably acceptable to the applicable Indemnitees. Other than in the case of a Non-Assumable Third Party Claim, if an Indemnifying Party elects not to assume responsibility for defending a Third Party Claim or fails to notify an Indemnitee of its election as provided in Section 5.4(b), or if the Indemnifying Party fails to actively and diligently defend the Third Party Claim, the applicable Indemnitee(s) may defend such Third Party Claim. If the Indemnitee is conducting the defense of any Third Party Claim, the Indemnifying Party shall reasonably cooperate with the Indemnitee in such defense and make available to the Indemnitee, at its own the Indemnifying Party’s expense, all witnesses, pertinent and material Information, material and information in such Indemnifying Party’s possession or under such Indemnifying Party’s control relating thereto as may be reasonably required by the Indemnitee pursuant to a joint defense agreement to be entered into by Indemnitee and the Indemnifying Party; provided, however, thatthat such access shall not require the Indemnifying Party to disclose any information the disclosure of which would, in the case reasonable judgment of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations , result in the loss of any existing attorney-client privilege with respect to such information or violate any applicable Law or such claim Person’s contractual obligations. (d) No Indemnitee may admit any liability with respect to, consent to entry of any judgment of, or demand which shall be settled by the Indemnified settle, compromise or discharge any Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioneddelayed. The If an Indemnifying Party has failed to assume the defense of a Third Party Claim, it shall not be a defense to any obligation to pay any amount in respect of such Third Party Claim that the Indemnifying Party was not consulted in the defense thereof, that such Indemnifying Party’s views or opinions as to the conduct of such defense were not accepted or adopted or that such Indemnifying Party does not approve of the quality or manner of the defense thereof. (e) In the case of a Third Party Claim, the Indemnifying Party shall not settle admit any such claim liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge, the Third Party Claim without the prior written consent of the Indemnified Party Indemnitee (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if delayed) unless such settlement is accompanied or judgment (A) completely and unconditionally releases the Indemnitee in connection with such matter, (B) provides relief consisting solely of money damages borne by a document releasing the Indemnified Indemnifying Party from and (C) does not involve any admission by the Indemnitee of any wrongdoing or violation of Law. (f) Notwithstanding anything herein or, subject to Section 5.9, in any Ancillary Agreement or any Conveyancing and Assumption Instrument to the contrary, other than (i) the indemnification provisions in Section 1.7 and Section 1.10, (ii) the Spinco Special Cash Payment adjustment mechanism in Section 1.3 and (iii) actions for specific performance or injunctive or other equitable relief pursuant to Section 9.6, the indemnification provisions of this Article V shall be the sole and exclusive remedy of the Parties, the parties to the Conveyancing and Assumption Instruments, RMT Partner and any Indemnitee for any breach of this Agreement or, subject to Section 5.9, any Ancillary Agreement or any Conveyancing and Assumption Instrument and for any failure to perform and comply with any covenant or agreement in this Agreement or in any Conveyancing and Assumption Instrument; (B) each Party, RMT Partner and each Indemnitee expressly waives and relinquishes any and all liability rights, claims or remedies it may have with respect to the matter foregoing other than under this Article V against any Indemnifying Party; (C) none of the Parties, the members of their respective Groups, RMT Partner or any other Person may bring a claim under any Conveyancing and Assumption Instrument; (D) any and all claims arising out of, resulting from, or in controversy connection with the Separation or the other transactions contemplated in this Agreement must be brought under and in accordance with the terms of this Agreement; and (E) no breach of this Agreement or any Conveyancing and Assumption Instrument shall give rise to any right on the part of any party hereto or thereto, after the consummation of the Spinco Distribution, to rescind this Agreement, any Conveyancing and Assumption Instrument or any of the transactions contemplated hereby or thereby (except as expressly provided in Section 1.8); provided, however, that is bindingindemnification for Tax matters shall be governed by the terms, valid provisions and enforceable against all applicable Partiesprocedures of the Tax Matters Agreement and not by this Article V. Each Party shall cause the members of its Group to comply with this Section 5.4(f) and RMT Partner shall cause its Subsidiaries to comply with this Section 5.4(f). (g) The provisions of this Article V shall apply to Third Party Claims that are already pending or asserted as well as Third Party Claims brought or asserted after the date of this Agreement. Notwithstanding the foregoing, if the Indemnified Party fails There shall be no requirement under this Section 5.4 to object give a notice with respect to the settlement within five existence of any Third Party Claim that exists as of the Spinco Distribution. Each Party on behalf of itself and each other member of its Group, and RMT Partner on behalf of itself and its Subsidiaries acknowledges that Liabilities for Proceedings (5regardless of the parties to the Proceedings) Business Days may be partly Liabilities of receipt Spinco and partly Liabilities of a written notice from Remainco. If the Indemnifying Party containing Parties cannot agree on the terms and condition allocation of any such Liabilities for Proceedings, they shall resolve the matter of such settlementallocation pursuant to the procedures set forth in Article VII. No Party shall, nor shall any Party permit the Indemnified other members of its Group (or their respective then-Affiliates) to, file Third Party Claims or cross-claims against any other Party or any members of another Group in a Proceeding in which a Third Party Claim is being resolved. RMT Partner shall not, and shall not permit any of its Subsidiaries to, file Third Party Claims or cross-claims against Remainco or any members of the Remainco Group in a Proceeding in which a Third Party Claim is being resolved. (h) This Section 5.4, Section 5.5, Section 5.6 and Section 5.7 shall not apply to Tax Contests, which shall be deemed to have consented to governed exclusively by the settlementTax Matters Agreement.

Appears in 2 contracts

Sources: Separation and Distribution Agreement (Discovery, Inc.), Separation and Distribution Agreement (At&t Inc.)

Procedures for Third Party Claims. In If any Indemnitee receives written notice of the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) assertion of any claim or demand of which the commencement of any action or proceeding by any Governmental Authority or any person or entity who is not a party to this Agreement (a "Third Party Claim") against or affecting such Indemnified Indemnitee, and if such assertion were presumed to be true (regardless of the actual outcome) then a party could be obligated to provide indemnification under this Agreement as a result of or in connection with such claim, action or proceeding, such Indemnitee will give such Indemnifying Party has knowledge and as to which it may request indemnification hereunderreasonably prompt written notice thereof, but in any event no later than thirty (30) calendar days after receipt of such written notice of such Third Party Claim; provided, provided however, that failure to give such notice will as provided in this paragraph (a) shall not affect such Indemnified Party’s rights hereunder unless, and then solely relieve the Indemnifying Party of its indemnification obligations under this Article XI except to the extent that, that such Indemnifying Party is actually prejudiced by such failure. Said written notice to the rights Indemnifying Party shall set forth the basis of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Third Party Claim in reasonable detail and include copies of all pertinent correspondence relating to such failureThird Party Claim. The Indemnifying Party (which, in the case of any matter for which the Stockholders are severally liable and for purposes of this Section 11.3 shall act as a single group) will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume and control of the defense of any Third Party Claim at such action only if Indemnifying Party's sole expense and by such Indemnifying Party's own counsel (which counsel must be reasonably satisfactory to the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds Indemnitee), by giving written notice to the Indemnified Party harmless from and against all Losses resulting from such ThirdIndemnitee (the "Notice to Defend") no later than thirty (30) calendar days after receipt of the above-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control described notice of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Third Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall Indemnitee also will have the right to participate in the defense of any claim or demand with Third Party Claim assisted by counsel employed at of its own expense; providedchoosing, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable but all fees and disbursements expenses of such counsel shall be at paid by the expense of the Indemnifying PartyIndemnitee. The Indemnifying Party shall have no indemnification obligations and the Indemnitee will reasonably cooperate with each other in good faith in such defense and make available all employees and books and records in its control as reasonably deemed necessary with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall defense (but not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy extent that is binding, valid and enforceable against all applicable Partieswould require waiver of any privilege). Notwithstanding If the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice Indemnitee does not receive from the Indemnifying Party containing a Notice to Defend with respect to a Third Party Claim or a written notice of objection to the terms and condition of such settlementclaim for indemnification specifying in reasonable detail the basis for the objection within the thirty (30) day period described above, the Indemnified Indemnitee may, at its option, elect to solely defend the Third Party shall Claim assisted by counsel of its own choosing, and the Indemnifying Party will be deemed liable for all reasonable costs and expenses, and all settlement amounts (subject to have consented and in accordance with paragraph (c) below of this Section 11.3) or other liabilities, losses, damages and injuries paid or incurred in connection therewith to the settlementextent such claim is or would have been indemnifiable under this Agreement if such claim is or had been proved.

Appears in 2 contracts

Sources: Stock Purchase Agreement (Communications Systems International Inc), Stock Purchase Agreement (Communications Systems International Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (i) If a claim by a third party is made against a Purchaser Indemnitee or a Seller Indemnitee (each, an “Indemnitee”) arising out of a third-party other than an Infringement Claim subject matter for which the Indemnitee is entitled to Section 13.3 above be indemnified pursuant to this Article VIII (a “Third-Party Claim”), the Indemnitee shall promptly, but in any event no later than 30 days after it has knowledge of a written assertion of liability with respect to such Third-Party Claim, notify the indemnifying party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt in writing of such claim or demand, Third-Party Claim (the “Third-Party Claim Notice”). The failure of the Indemnitee to promptly notify the indemnifying party hereunder shall not relieve the indemnifying party of its obligations hereunder except to the extent that the indemnifying party from is actually or reasonably likely to be prejudiced by such failure (and except that the indemnifying party shall not be liable for any expenses incurred during the period in which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure the Indemnitee failed to give such notice will not affect notice). The Indemnitee shall supply the indemnifying party and at such Indemnified Partyindemnifying party’s rights hereunder unlesselection, its representatives, agents or assigns, with such information and documents as it has in its possession regarding such Third-Party Claim, and then solely will allow reasonable access to relevant personnel, auditors and other representatives of the Indemnitee (subject to customary exceptions for legal privilege) together with all pertinent information in its possession regarding the amount of the Loss that it asserts it has sustained or incurred (or reasonably expects to sustain or incur), and will permit the indemnifying party (as well as such indemnifying party’s representatives, agents or assigns) to inspect such other records and books in the possession of the Indemnitee and relating to the extent thatThird-Party Claim and asserted Loss as the indemnifying party shall reasonably request, and the Indemnitee shall cooperate with the indemnifying party with respect to matters relating to any Third-Party Claims. (ii) If a Third-Party Claim is made against an Indemnitee, the rights of indemnifying party shall be entitled to participate in the Indemnifying Parties from whom indemnity is sought are prejudiced as a result defense thereof and, subject to the limitations contained in this Section 8.04(a), to assume and control the defense thereof of such failure. The Indemnifying Third-Party shall have the right (and Claim if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and chooses with counsel selected by the Indemnifying Party; provided, that indemnifying party by delivering notice of assumption and control of such defense to the Indemnifying Indemnitee within 15 business days of receipt of the Third-Party shall be entitled Claim Notice. Should the indemnifying party so elect to assume and control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such a Third-Party Claim; and provided further that , the Indemnifying Party indemnifying party shall not be entitled liable to assume the Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with the defense thereof, unless (A) the employment of such counsel has been specifically authorized in writing by the indemnifying party, (B) the Indemnitee shall have been advised by counsel that the assumption and control of such defense if (i) by the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right indemnifying party would be inappropriate due to defend such Third-Party claim within such twenty (20) day period; (ii) such claim an actual or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a potential conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (yC) the Indemnified Party has Indemnitee shall have been advised by counsel that one or more defenses are available to the Indemnitee that are not available to the Indemnifying Party, indemnifying party (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules provided that the Indemnifying Party failed or is failing to vigorously prosecute or defend indemnifying party shall not be liable for the fees and expenses of more than one firm of counsel for all Indemnitees, other than one local counsel in each relevant jurisdiction). If the indemnifying party assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ at its own expense; providedexpense counsel not reasonably objected to by the indemnifying party, howeverseparate from the counsel employed by the indemnifying party, thatit being understood that the indemnifying party shall control such defense and shall be empowered to make any settlement with respect to such Third-Party Claim, in subject to the case remaining terms of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party this Section 8.04(a). The indemnifying party shall not in fact have employed counsel to assume the defense of such claim or demand, be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the indemnifying party has not assumed the defense thereof. If the indemnifying party chooses to defend or prosecute any Third-Party Claim, all the parties shall be at cooperate and shall cause their affiliates to cooperate in the expense defense or prosecution thereof. Whether or not the indemnifying party assumes the defense of a Third-Party Claim, the Indemnifying Party. The Indemnifying Party Indemnitee shall have no indemnification obligations not admit any liability with respect to any to, or settle, compromise or discharge, such claim or demand which shall be settled by the Indemnified Third-Party Claim without the indemnifying party’s prior written consent (such consent not to be unreasonably withheld or delayed), except if (x) the Indemnitee is reasonably expected to be liable for Losses in an amount materially in excess of amounts reasonably expected to be received from the indemnifying party or (y) such settlement or compromise is in respect of a proceeding that seeks an injunction or equitable relief against the Indemnitee. If the indemnifying party assumes the defense of a Third-Party Claim, the Indemnitee shall agree to any settlement, compromise or discharge of such Third-Party Claim that the indemnifying party may recommend and that by its terms obligates the indemnifying party to pay the full amount of the Indemnifying Partyliability in connection with such Third-Party Claim and which releases the Indemnitee completely in connection with such Third-Party Claim, which consent shall does not be unreasonably withheld, delayed contain any admission of wrongdoing or conditioned. The Indemnifying Party shall misconduct by the Indemnitee and which does not settle involve any such claim without the prior written consent of the Indemnified Party non-monetary relief (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Partiesother than customary confidentiality terms). Notwithstanding the foregoing, the indemnifying party shall not be entitled to assume and control the defense of any Third-Party Claim (and shall be liable for the reasonable fees and expenses of counsel incurred by the Indemnitee in defending such Third-Party Claim) if (x) the Indemnified Third-Party fails Claim seeks an order, injunction or other equitable relief or relief for other than money damages against the Indemnitee that the Indemnitee reasonably determines, after conferring with its outside counsel, cannot be separated from any related claim for money damages or (y) in the event the Third-Party Claim were to object be unfavorably decided, the Indemnitee would be reasonably likely to be liable for Losses in an amount materially in excess of amounts reasonably expected to be received from the indemnifying party. If such equitable relief or other relief portion of the Third-Party Claim can be so separated from that for money damages, the indemnifying party shall be entitled to assume and control the defense of the portion relating to money damages. (iii) Notwithstanding anything to the settlement within five (5contrary contained in this Section 8.04 or elsewhere in this Agreement, in the event of the assertion or commencement by any Taxing Authority of any claim or proceeding with respect to which any Seller may become obligated to hold harmless, indemnify, compensate or reimburse any Purchaser Indemnitee pursuant to Section 8.02(a)(iii) Business Days of receipt of a written notice from and Section 8.02(a)(i)(C), the Indemnifying Party containing the terms and condition defense of such settlement, the Indemnified Party claim shall be deemed to have consented to the settlementconducted in accordance with Schedule 10.

Appears in 2 contracts

Sources: Share Purchase Agreement (Ctrip Com International LTD), Share Purchase Agreement (Naspers LTD)

Procedures for Third Party Claims. (i) In the case of event that any claim Third Party asserts a Claim with respect to any matter for indemnification arising from which a claim of a third-party other than an Infringement Claim subject Party (the "Indemnified Party") is entitled to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “a "Third Party Claim"), then the Indemnified Party”) Party shall give prompt written notice, following such promptly notify the Party obligated to indemnify the Indemnified Party’s receipt of such claim or demand, to Party (the party from which indemnity is sought (each an “"Indemnifying Party") of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderthereof in writing; provided, however, that failure to give such notice will not affect such no delay on the part of the Indemnified Party’s rights Party in notifying the Indemnifying Party shall relieve the Indemnifying Party from any obligation hereunder unless, unless (and then solely only to the extent that, the rights of ) the Indemnifying Parties from whom indemnity Party is sought are prejudiced as a result of such failure. thereby. (ii) The Indemnifying Party shall have the right right, exercisable by written notice to the Indemnified Party within ten (10) days of receipt of notice from the Indemnified Party of the commencement of or assertion of any Third Party Claim, to assume the defense of such Third Party Claim; provided, however, that (A) the Third Party Claim seeks (and if it elects continues to exercise seek) solely monetary damages and the Indemnifying Party expressly agrees in such rightnotice that, as between the Indemnifying Party and the Indemnified Party, the Indemnifying Party shall do so be solely obligated to satisfy and discharge the Third Party Claim (or, in the case of matters which are the subject of Article 12.4, such amounts as required in accordance with Article 12.4), (B) the defense of such Third Party Claim by the counsel representing the Indemnifying Party does not, in the reasonable judgment of the Indemnified Party, constitute a conflict of interest under the applicable cannons or rules of legal professional ethics, (C) in such case as Pfizer or another of the Pfizer Parties is the Indemnified Party, such Third Party Claim does not relate, directly or indirectly, to Geodon, Xanax, or any other product under development by Pfizer, its Affiliates or licensees, and (D) the Indemnifying Party makes reasonably adequate provision to ensure the Indemnified Party of the ability of the Indemnifying Party to satisfy the full amount of any adverse monetary judgment that would reasonably be expected to result therefrom (the conditions set forth in clauses (A), (B), (C) and (D) are collectively referred to as the "Litigation Conditions"). In no event shall Organon have the right to control any Third Party Claim to the extent such Third Party Claim relates, directly or indirectly, to Geodon, Xanax, or any other product (other than the Product) being developed or commercialized by Pfizer, its Affiliates or licensees. If both Parties are Indemnifying Parties pursuant to co- indemnification obligations under Article 12.4 with respect to the same Third Party Claim, the Parties shall determine by mutual agreement, within twenty (20) days following their receipt of notice of commencement or assertion of such Third Party Claim (or such lesser period of time as may be required to properly respond to such claim), which Party shall assume the lead role in the defense thereof. Should the Parties be unable to mutually agree on which Party shall assume the lead role in the defense of such Third Party Claim, both Parties shall be entitled to participate in such defense through counsel of their respective choosing; provided that in the case of any Third Party Claim with respect to which (i) both Parties are Indemnifying Parties pursuant to co-indemnification obligations under Article 12.4 and (ii) the Parties are unable to agree upon which Party shall assume the lead role in the defense of such claim, then the Parties agree to discuss strategies for defending such claim and will, to the extent reasonably practicable, coordinate such defense through their respective counsel. (iii) Within ten (10) days after receiving the Indemnifying Party has given notice to the Indemnified Party of its intended exercise of its right to defend a Third Party Claim, the Indemnified Party shall give notice to the Indemnifying Party of any objection thereto based upon the Litigation Conditions. If the Indemnified Party reasonably so objects, the Indemnified Party shall continue to defend the Third Party Claim, at the expense of the Indemnifying Party, until such time as such objection is withdrawn. If no such notice from is given, or if any such objection is withdrawn, the Indemnifying Party shall be entitled, at its sole cost and expense, to assume and conduct such defense, with counsel selected by the Indemnifying Party and reasonably acceptable to the Indemnified Party) to defend and to direct , until such time as the defense against Indemnified Party shall give notice that any such claim or demandof the Litigation Conditions, in its name or reasonable judgment, are no longer satisfied. (iv) During such time as the Indemnifying Party is controlling the defense of such Third Party Claim, the Indemnified Party shall cooperate, and cause its Affiliates and agents to cooperate, to the extent commercially reasonable, upon request of the Indemnifying Party in the name defense or prosecution of the Third Party Claim, including by furnishing such records, information and testimony and attending such conferences, discovery proceedings, hearings, trials or appeals as may reasonably be requested by the Indemnifying Party. (v) In the event that the Indemnifying Party fails to satisfy the Litigation Conditions or does not notify the Indemnified Party in writing of the Indemnifying Party's intent to defend any Third Party Claim within ten (10) days after notice thereof, the Indemnified Party may (without further notice to the Indemnifying Party) undertake the defense thereof with counsel of its choice and at the Indemnifying Party's expense (including attorneys' fees and costs and expenses of enforcement or defense). (vi) The Indemnifying Party or the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to join in (including the right to conduct discovery, interview and examine witnesses and participate in all settlement conferences), but not control, at its own expense, the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to Third Party Claim which the other Party is defending as provided in this Agreement. (vii) The Indemnifying Party Party, if it shall not in fact have employed counsel to assume assumed the defense of such claim any Third Party Claim as provided in this Agreement, shall not consent to a settlement of, or demandthe entry of any judgment arising from, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Third Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim Claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheldwithheld or delayed). The Indemnifying Party shall not, delayed without the prior written consent of the Indemnified Party, enter into any compromise or conditioned if such settlement is accompanied by a document releasing which commits the Indemnified Party from all liability with respect to take, or to forbear to take, any action. The Indemnified Party shall have the sole and exclusive right to settle any Third Party Claim, on such terms and conditions as it deems reasonably appropriate, to the matter in controversy that is bindingextent such Third Party Claim involves equitable or other non-monetary relief, valid and enforceable against all applicable Parties). Notwithstanding shall not have the foregoing, if the Indemnified right to settle such Third Party fails to object Claim to the settlement within five (5) Business Days extent such Third Party Claim involves monetary damages without the prior written consent of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Party. (viii) The Indemnified Party shall be deemed entitled to have consented to reimbursement for all costs and expenses, including attorneys' fees and costs and expenses of enforcement or defense, on an "as incurred" basis. The Indemnifying Party will reimburse the settlementIndemnified Party for such amounts within fifteen (15) days after receiving an invoice from the Indemnified Party therefor.

Appears in 2 contracts

Sources: License and Collaboration Agreement, License and Collaboration Agreement (Akzo Nobel Nv)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought notice (each an “Indemnifying Party”but in no event later than 30 days after becoming aware) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderthereof; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that, extent) the rights of the Indemnifying Parties from whom indemnity Indemnitor is sought are actually prejudiced as a result of by such failure. The Indemnifying Party shall delay. (b) Any Indemnitor will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense Indemnitee against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that Claim with counsel of its choice reasonably satisfactory to the Indemnifying Party shall not be entitled to assume control of such defense if Indemnitee so long as (i) the Indemnifying Party shall not have notified Indemnitor notifies the Indemnified Party Indemnitee in writing within thirty (30) days after the Indemnitee has given notice of its exercise of its right to defend such the Third-Party claim within Claim that the Indemnitor will indemnify the Indemnitee from and against any such twenty (20) day period; Indemnifiable Losses, (ii) such claim or demand seeks an injunction or other equitable relief the Indemnitor provides the Indemnitee with evidence reasonably acceptable to the Indemnitee that the Indemnitor will have the financial resources to defend against the Indemnified PartyThird-Party Claim and, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of Indemnitor conducts the defense of such claim or demand or (y) the Indemnified Third-Party has one or more defenses not available to Claim actively and diligently; provided, that, in the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigationevent settlement of, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such an adverse judgment in respect of, a Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informedis likely, in the defense good faith judgment of a Purchaser who is an Indemnitee hereunder, to adversely affect the reputation or business of such claim Purchaser or demand. The Indemnified Party its Affiliates, such Purchaser shall have the right to defend, at its expense, against such Third-Party Claim with the counsel of its choice. The Purchasers may also participate in defense of any other Third-Party Claim at their expense. (c) So long as the Indemnitor is conducting the defense of the Third-Party Claim in accordance with Section 8.5(b), (i) the Indemnitee may retain separate co-counsel at its sole cost and expense and participate in the defense of the Third-Party Claim, (ii) the Indemnitee will not consent to the entry of any claim judgment or demand with counsel employed at its own expenseenter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitor (which consent will not be unreasonably conditioned, delayed, or withheld), and (iii) the Indemnitor will not consent to the entry of any judgment or enter into any compromise or settlement in respect of the Third-Party Claim without the prior written consent of the Indemnitee (which consent will not be unreasonably conditioned, delayed, or withheld); provided, however, that, in respect of clause (iii) above, the case Indemnitee may condition such consent upon the delivery by the claimant or plaintiff to the Indemnitee of a duly executed unconditional release of the Indemnitee from all liability in respect of such Third-Party Claim. (d) In the event any claim condition set forth in Section 8.5(b) is or demand described in clause becomes unsatisfied, however, (i) the Indemnitee may defend against, and consent to the entry of any judgment or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not enter into any settlement in fact have employed counsel to assume the defense of such claim or demandrespect of, the reasonable fees Third-Party Claim in any manner it reasonably may deem appropriate, provided that the Indemnitee will consult with and disbursements of such counsel shall be at obtain the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, Indemnitor in connection therewith which consent shall not be unreasonably conditioned, delayed, or withheld, delayed (ii) the Indemnitor will reimburse the Indemnitee promptly and periodically for the costs of defending against the Third-Party Claim (including reasonable attorneys' fees and expenses), and (iii) the Indemnitor will remain responsible for any Indemnifiable Losses the Indemnitee may suffer resulting from, arising out of, relating to, in the nature of, or conditioned. The Indemnifying caused by, the Third-Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect Claim to the matter fullest extent provided in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthis Section 8.5.

Appears in 2 contracts

Sources: Stock Purchase Agreement (Fidelity National Financial Inc /De/), Stock Purchase Agreement (Fidelity National Financial Inc /De/)

Procedures for Third Party Claims. In the case If any Third Party Claim shall be brought or alleged against an indemnified party in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is to be sought (each against an “Indemnifying Party”) indemnifying party pursuant to Section 6.1 or Section 6.2, the indemnified party shall, promptly after receipt of any claim or demand notice of which the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that failure the omission to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 6.1 or Section 6.2 unless, and then solely only to the extent that, the rights indemnifying party is actually prejudiced or harmed by such omission. In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 6.3, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party, and, after notice from whom indemnity is sought are prejudiced as a result the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such failureindemnified party under this Article VI for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. The Indemnifying In any such Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual conflicts of interests between them based on the advice of counsel to the indemnifying party. It is agreed that the indemnifying party shall not, in connection with any Third Party Claim or related proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate law firm (in addition to local counsel where necessary) for all such indemnified parties. The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its written consent, but, if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party (which consent will not be unreasonably withheld, conditioned or delayed), effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is or could have been a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional written release of such indemnified party, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense subject matter of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or does not include any statement as to which the Indemnifying Party shall an admission of fault, culpability or failure to act by or on behalf of any indemnified party and (iii) does not in fact have employed counsel to assume the defense of such claim impose any continuing material obligation or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to restrictions on any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementindemnified party.

Appears in 2 contracts

Sources: Revenue Interest Assignment and Termination Agreement, Revenue Interest Assignment and Termination Agreement (Agenus Inc)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following notice (but in no event later than 30 calendar days after becoming aware) thereof and such Indemnified Party’s receipt notice shall include a reasonable description of the claim and any documents relating to the claim and an estimate of the Indemnifiable Loss and shall reference the specific sections of this Agreement that form the basis of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderclaim; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent thatextent) the Indemnitor is actually prejudiced by such delay (except that the Indemnitor shall not be liable for any expenses incurred during the period in which the Indemnitee failed to give such notice). Thereafter, the rights Indemnitee shall deliver to the Indemnitor, within five calendar days after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Indemnitee relating to the Third Party Claim. (b) The Indemnitor shall be entitled to participate in the defense of such failure. The Indemnifying any Third Party shall have the right (and Claim and, if it elects so chooses, to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying Party; provided, that Indemnitor. Should the Indemnifying Party shall be entitled Indemnitor so elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-a Third Party Claim; and provided further that , the Indemnifying Party Indemnitor shall not (as long as it conducts such defense) be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available liable to the Indemnifying Party, (iv) such claim relates to or arises Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend Indemnitor assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, howeverseparate from the counsel employed by the Indemnitor, that, in it being understood that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party Indemnitor shall not in fact have employed counsel to assume the defense of control such claim or demand, defense. The Indemnitor shall be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof (other than during any period in which the Indemnitee shall be at the expense have not yet given notice of the Indemnifying PartyThird Party Claim as provided above). The Indemnifying If the Indemnitor chooses to defend any Third Party Claim, all of the parties hereto shall, and shall cause their respective Affiliates to, cooperate in the defense thereof. Such cooperation shall include the retention and (upon the Indemnitor’s request) the provision to the Indemnitor of records and information that are relevant to such Third Party Claim, and making employees and directors available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnitor shall have no indemnification obligations assumed the defense of a Third Party Claim, the Indemnitee shall not admit any liability with respect to any to, or pay, settle, compromise or discharge, such claim or demand which shall be settled by the Indemnified Third Party Claim without the Indemnitor’s prior written consent. If the Indemnitor has assumed the defense of a Third Party Claim, the Indemnitor may only pay, settle, compromise or discharge a Third Party Claim with the Indemnitee’s prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned or conditioned delayed); provided, that the Indemnitor may pay, settle, compromise or discharge such a Third Party Claim without the written consent of the Indemnitee if such settlement is accompanied by (i) includes a document releasing release of the Indemnified Party Indemnitee from all liability in respect of such Third Party Claim, (ii) does not subject the Indemnitee to any injunctive relief or other equitable remedy and (iii) does not include a statement or admission of fault, culpability or failure to act by or on behalf of the Indemnitee. If the Indemnitor submits to the Indemnitee a bona fide settlement offer that satisfies the requirements set forth in the proviso of the immediately preceding sentence and the Indemnitee refuses to consent to such settlement, then thereafter the Indemnitor’s liability to the Indemnitee with respect to such Third Party Claim shall not exceed the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to Indemnitor’s portion of the settlement within five (5) Business Days of receipt of a written notice from amount included in such settlement offer, and the Indemnifying Party containing Indemnitee shall either assume the terms and condition defense of such settlement, Third Party Claim or pay the Indemnified Indemnitor’s attorney’s fees and other out-of-pocket costs incurred thereafter in continuing the defense of such Third Party shall be deemed to have consented to the settlementClaim.

Appears in 2 contracts

Sources: Stock Purchase Agreement (Assured Guaranty LTD), Stock Purchase Agreement (Radian Group Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than third party, an Infringement Claim subject to Section 13.3 above (a “Third-Indemnified Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights furnished hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties parties from whom indemnity is sought are materially prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, Party provided that the Indemnifying Party shall be entitled have provided the Indemnified Party with the prior written assumption, in form and substance reasonably acceptable to assume control of the defense of such action only if Indemnified Party, by the Indemnifying Party acknowledges of any and all liability with respect to the matter in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if controversy, unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioneddelayed. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheldParty, delayed or conditioned if unless such claim solely involves a claim for monetary Damages and such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementcontroversy.

Appears in 2 contracts

Sources: Merger Agreement (NeoStem, Inc.), Merger Agreement (NeoStem, Inc.)

Procedures for Third Party Claims. (a) In the case of event that any claim or demand, or other circumstance or state of facts that could give rise to any claim or demand, for indemnification arising from a claim of which an Indemnitor may be liable to an Indemnified Party hereunder is asserted or sought to be collected, in each case, in writing, by a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder the Indemnified Party shall promptly, but in no event more than ten (each an “Indemnified Party”10) shall give prompt written notice, days following such Indemnified Party’s receipt of a Third-Party Claim, notify the Indemnitor in writing of such claim or demand, to the party from which indemnity is sought Third-Party Claim (each an Indemnifying PartyNotice of Claim) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder); provided, however, that a failure by an Indemnified Party to give such provide timely notice will shall not affect the rights or obligations of such Indemnified Party’s rights hereunder unless, and then solely to Party other than if the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Indemnitor shall have been actually prejudiced as a result of such failure. The Indemnifying Notice of Claim shall (i) state that the Indemnified Party has paid or properly accrued Losses or anticipates that it will incur liability for Losses for which such Indemnified Party is entitled to indemnification pursuant to this Agreement, and (ii) specify in reasonable detail each individual item of Loss included in the amount so stated, the date such item was paid or properly accrued, the basis for any anticipated Loss and the nature of the misrepresentation, breach of warranty, breach of covenant or claim to which each such item is related and the computation of the amount to which such Indemnified Party claims to be entitled hereunder. The Indemnified Party shall enclose with the Notice of Claim a copy of all papers served with respect to such Third-Party Claim, if any, and any other documents evidencing such Third-Party Claim. (b) The Indemnitor shall have the right (and if it elects to exercise such right, shall do so within twenty but not the obligation, to assume the defense or prosecution of such Third-Party Claim and any litigation resulting therefrom with counsel of its choice and at its sole cost and expense (20a “Third-Party Defense”). If the Indemnitor assumes the Third-Party Defense in accordance herewith, (i) days after receiving such notice from the Indemnified Party) to defend Party may retain separate co-counsel at its sole cost and to direct expense and participate in the defense against of the Third-Party Claim, but the Indemnitor shall control the investigation, defense and settlement thereof, (ii) the Indemnified Party shall not file any papers or consent to the entry of any judgment or enter into any settlement with respect to the Third-Party Claim without the prior written consent of the Indemnitor and (iii) the Indemnitor shall not consent to the entry of any judgment or enter into any settlement with respect to the Third-Party Claim to the extent such claim judgment or demand, in its name settlement provides for equitable relief or in includes an admission of liability or fault without the name prior written consent of the Indemnified Party, as such consent not to be unreasonably withheld, conditioned or delayed. The Parties shall act in good faith in responding to, defending against, settling or otherwise dealing with such claims. The Parties shall also cooperate in any such defense and give each other reasonable access to all information relevant thereto. Whether or not the case may beIndemnitor has assumed the Third-Party Defense, such Indemnitor shall not be obligated to indemnify the Indemnified Party hereunder for any settlement entered into or any judgment that was consented to without the Indemnitor’s prior written consent. (c) If the Indemnitor does not assume the Third-Party Defense, the Indemnified Party shall be entitled to assume the Third-Party Defense, at the expense of the Indemnifying PartyIndemnitor, and with counsel selected by upon delivery of notice to such effect to the Indemnifying PartyIndemnitor; provided, provided that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitor shall have the right to participate in the defense of any claim or demand with counsel employed Third-Party Defense at its own sole cost and expense; provided, howeverbut the Indemnified Party shall control the investigation, thatdefense and settlement thereof, in the case of any claim or demand described in clause (i) or (ii) the Indemnitor may at any time thereafter assume the Third-Party Defense, in which event the Indemnitor shall bear the reasonable fees, costs and expenses of the second preceding sentence or as Indemnified Party’s counsel incurred prior to which the Indemnifying assumption by the Indemnitor of the Third-Party Defense and (iii) the Indemnitor shall not in fact have employed counsel be obligated to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by indemnify the Indemnified Party hereunder for any settlement entered into or any judgment that was consented to without the Indemnitor’s prior written consent, such consent of the Indemnifying Party, which consent shall not to be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Transition Services Agreement (Brighthouse Financial, Inc.), Transition Services Agreement (Brighthouse Financial, Inc.)

Procedures for Third Party Claims. In the case If any Third Party Claim shall be brought or alleged against an indemnified party in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is to be sought (each against an “Indemnifying Party”) indemnifying party pursuant to Section 7.1 or Section 7.2, the indemnified party shall, promptly after receipt of any claim or demand notice of which the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that failure the omission to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 7.1 or Section 7.2 unless, and then solely only to the extent that, the rights indemnifying party is actually prejudiced by such omission. In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 7.3, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel selected by such indemnifying party, but reasonably satisfactory to such indemnified party (which counsel shall not, except with the consent of the indemnified party, be the current counsel to the indemnified party with respect to such Third Party Claim), and, after notice from whom indemnity is sought are prejudiced as a result the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not, subject to the immediately succeeding sentence, be liable to such failureindemnified party under this ARTICLE VII for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. The Indemnifying In any such Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them based on the advice of counsel to the indemnified party. It is agreed that the indemnifying party shall not, in connection with any Third Party Claim or related proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate law firm (in addition to local counsel where necessary) for all such indemnified parties. The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its prior written consent (which shall not be unreasonably withheld, conditioned or delayed), but, if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party, effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is or could have been a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional, full written release of such indemnified party, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense subject matter of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) does not include any statement as to an admission of fault, culpability or failure to act by or on behalf of any indemnified party and (iii) does not impose on such indemnified party any continuing obligations or restrictions other than customary and reasonable confidentiality obligations relating to such claim, settlement or compromise. [*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the second preceding sentence or Securities Exchange Act of 1934, as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementamended.

Appears in 2 contracts

Sources: Purchase and Sale Agreement (Acelrx Pharmaceuticals Inc), Subsequent Purchase and Sale Agreement (Acelrx Pharmaceuticals Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights furnished hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties parties from whom indemnity is sought are materially prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects they elect to exercise such right, shall to do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall only be entitled to assume control of the defense of such action only if to the extent the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses the full amount of any Damages resulting from such Third-therefrom to which the Indemnified Party Claimis entitled to indemnification hereunder; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if if: (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right taken any action to defend such Third-Party third party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, ; (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, ; (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, ; or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claimthird party claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause clauses (i) or through (iiv) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have timely employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such one firm of counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioneddelayed. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheldParty, delayed or conditioned if unless such claim solely involves a claim for monetary Damages and such settlement is accompanied by a document releasing the Indemnified Party from all liability Liability with respect to the matter in controversy that is bindingcontroversy, valid in form and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object substance reasonably satisfactory to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementInvestors.

Appears in 2 contracts

Sources: Investment and Transaction Agreement (Id Systems Inc), Investment and Transaction Agreement (Pointer Telocation LTD)

Procedures for Third Party Claims. In the case of any claim Claim for indemnification arising from a claim of a third-party other than third party, an Infringement Claim subject to Section 13.3 above (a “Third-Indemnified Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights furnished hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties parties from whom indemnity is sought are materially prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, Party provided that the Indemnifying Party shall be entitled have provided the Indemnified Party with the prior written assumption, in form and substance reasonably acceptable to assume control of the defense of such action only if Indemnified Party, by the Indemnifying Party acknowledges of any and all liability with respect to the matter in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if controversy, unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioneddelayed. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheldParty, delayed or conditioned if unless such claim solely involves a claim for monetary Damages and such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementcontroversy.

Appears in 2 contracts

Sources: Merger Agreement (Co-Diagnostics, Inc.), Merger Agreement (Co-Diagnostics, Inc.)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article VIII in respect of any Third-Party Claim shall give the Indemnifying Party from whom indemnification with respect to such claim is sought (i) prompt written notice of such Third-Party Claim and (ii) copies of all documents and information relating to any such Third- Party Claim; provided, that the failure by the Indemnified Party to so notify or provide copies to the Indemnifying Party shall not relieve the Indemnifying Party from any liability to the Indemnified Party for indemnification arising from a claim any liability hereunder except to the extent that such failure shall have materially and actually prejudiced the defense of a third-party other than an Infringement Claim subject to Section 13.3 above (a “such Third-Party Claim”), a party seeking indemnification hereunder . (each an “Indemnified Party”b) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) at its option, and expense, to defend and against, negotiate, settle or otherwise deal with any Third-Party Claim with respect to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that which it is the Indemnifying Party shall and to be entitled to assume control represented by counsel of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations own choice, and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall will not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with admit any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations liability with respect to any such claim thereto or demand which shall be settled by settle, compromise, pay or discharge the Indemnified Party same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The so long as the Indemnifying Party shall is contesting or defending the same with reasonable diligence and in good faith; provided, that the Indemnified Party may participate in any proceeding with counsel of its choice and at its expense; provided further, that the Indemnifying Party may not settle enter into a settlement of any such claim Third-Party Claim without the prior written consent of the Indemnified Party (Party, which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 2 contracts

Sources: Purchase Agreement (Energy & Power Solutions, Inc.), Purchase Agreement (Energy & Power Solutions, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (xiii) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (yiv) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed. Promptly following the final determination of any Third Party Claim, delayed or conditioned. The after exhausting all appeals if the matter was appealed, the Indemnifying Party shall not settle pay any such claim without Losses to the prior written consent Indemnified Party by wire transfer or check made payable to the order of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementParty.

Appears in 2 contracts

Sources: Stock Purchase Agreement, Stock Purchase Agreement (Drone USA Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (iia) such claim or demand Third Party Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiib) the Indemnified Party shall have reasonably concluded that (xi) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (yii) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (ia) or (iib) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Share Exchange Agreement (PV Nano Cell, Ltd.), Share Exchange Agreement (PV Nano Cell, Ltd.)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article 8 in respect of any Third-Party Claim shall give the Indemnifying Party from whom indemnification with respect to such claim for indemnification arising from a claim is sought: (i) prompt written notice (but in no event more than ten (10) Business Days after the Indemnified Party acquires knowledge thereof and in no event after the expiration of a third-party other than an Infringement Claim subject to Section 13.3 above (a “the applicable Survival Period) of such Third-Party Claim”), a party seeking indemnification hereunder ; and (each an “ii) copies of all material documents and information (including court papers) relating to any such Third-Party Claim within ten (10) Business Days of their being obtained by the Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that the failure by the Indemnified Party to give so notify or provide copies within either such notice will ten (10) Business Day period to the Indemnifying Party shall not affect such relieve the Indemnifying Party from any liability to the Indemnified Party’s rights Party for any liability hereunder unless, and then solely except to the extent thatthat such failure shall have actually and materially prejudiced the defense of such Third-Party Claim and then only to the extent of such prejudice. (b) In the event of a Third-Party Claim, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such upon written notice from to the Indemnified Party) , to investigate, contest, defend or settle any Third-Party Claim that may result in Losses with respect to which the Indemnified Party is entitled to indemnification pursuant to this Article 8 and select legal counsel of its choosing in connection therewith (provided that such notice shall include an irrevocable acknowledgment of the Indemnifying Party that the Third-Party Claim may result in Losses, and that if such Losses do so result, then the Indemnified Party shall be entitled to direct indemnification by the Indemnifying Party pursuant to this Article 8); provided, however, that the Indemnified Party may, at its option and at its own expense, participate in the investigation, contesting, defense against or settlement of any such Third-Party Claim through Representatives of its own choosing; provided, further, that the Indemnifying Party shall not settle or compromise any Third-Party Claim unless the terms of such settlement or compromise (i) call only for a payment to the Indemnified Party (or of the Third-Party Claim directly), the full amount of which is indemnified hereunder, (ii) does not impose an injunction or other equitable relief upon the Indemnified Party, (iii) does not require an admission or acknowledgment of fault, wrongdoing or violation of Law by the Indemnified Party, (iv) contains an unconditional release of the Indemnified Party in respect of such claim or demandand (v) would not be reasonably expected, in its name or in the name good faith judgment of the Indemnified Party, as to establish a precedent, custom or practice materially adverse to the case may becontinuing business interests or prospects of the Indemnified Party or its Affiliates. If requested in writing by the Indemnifying Party, the Indemnified Party shall reasonably cooperate with the Indemnifying Party and its counsel in contesting any Third-Party Claim or, if appropriate and related to the Third-Party Claim in question, in making any reasonable counterclaim against the Person making such Third-Party Claim, or any cross-complaint against any Person (other than the Indemnified Party or its Affiliates) or similar action. If the Indemnifying Party shall not have elected to assume the defense of such Third-Party Claim within ten (10) Business Days of receipt of the Claim Notice, the Indemnified Party shall have the right, at its option and at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Partyto do so in such manner as it deems appropriate; provided, that however, the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird-Party Claim at any time thereafter if it acknowledges in writing that such Third-Party Claim may result in Losses, and that if such Losses do so result, then the reasonable fees and disbursements of such counsel Indemnified Party shall be at the expense of entitled to indemnification by the Indemnifying PartyParty pursuant to this Article 8. The Indemnifying In the event any Indemnified Party shall have no indemnification obligations settles or compromises or consents to the entry of any judgment with respect to any such claim or demand which shall be settled by Third-Party Claim the Indemnified defense of which, the Indemnifying Party has properly assumed hereunder without the prior written consent of the Indemnifying Party, which consent such Indemnified Party shall not be unreasonably withheld, delayed or conditioneddeemed to have irrevocably waived all rights to make a claim for indemnification pursuant to this Agreement with respect to such Third-Party Claim. The Indemnifying Party shall be entitled to participate in (but not settle to control) the defense of any Third-Party Claim which it has not elected to defend with its own counsel and at its expense. Notwithstanding anything herein to the contrary, in no event shall the Indemnifying Party be entitled to conduct or control the defense, compromise and settlement of any Third-Party Claim if (i) such claim without seeks as the prior written consent sole remedy an injunction, other equitable relief or any other non-monetary relief against the Indemnified Party, (ii) in the event such claim were to be decided adversely to the Indemnified Party, the aggregate amount of Losses associated therewith, together with all other outstanding claims would reasonably be expected to exceed the aggregate liability limitations set forth in this Article 8, (iii) such claim relates to or arises out of any allegedly criminal activity or quasicriminal activity, (iv) the Indemnifying Party is also a party or has an interest in such Third-Party Claim, which interest conflicts with the interests of the Indemnified Party (as determined by outside counsel applying the conflict-of-interest rules restricting attorney conduct in the applicable jurisdiction if counsel for the Indemnifying Party were to act as counsel for the Indemnified Party) or (v) indemnification in respect of such Third-Party Claim is being sought pursuant to the Specific Indemnity in respect of an Excluded Contract of the type described in clause (ii) of the definition thereof (provided, that in the case of this clause (v), the Indemnified Party shall not settle or compromise any such Third-Party Claim without the Indemnifying Party’s prior written consent (which consent shall not be unreasonably withheld, conditioned or delayed (it being agreed and understood that the determination as to whether it is reasonable to withhold, condition or conditioned if delay such consent, shall take into account various factors, including costs associated with such settlement or compromise, expediency in resolving such Third-Party Claim and the totality of the other circumstances related to any such Third-Party Claim), unless (w) such settlement or compromise provides for a cash payment to the applicable third party of greater than $3,000,000, (x) the applicable Excluded Contract has previously been terminated, or the applicable settlement or compromise includes as a term thereof, or otherwise results in, the termination of the applicable Excluded Contract and (y) the Indemnifying Party is accompanied by a document releasing not entitled to reimbursement of its indemnification obligations pursuant to Section 8.11(c) hereof, in which event such consent may be withheld, conditioned or delayed in the Indemnifying Party’s sole discretion)). In the event of any Third-Party Claim for which indemnification is being sought pursuant to the Specific Indemnity in respect of an Excluded Contract of the type described in clause (ii) of the definition thereof, (A) the Indemnifying Party shall at its own expense have the opportunity to participate in (but, for the avoidance of doubt, not control) the defense thereof, (B) the Indemnified Party from all liability will consult in good faith with the Indemnifying Party on a periodic basis with respect to the matter in controversy that is binding, valid litigation strategy and enforceable against all applicable Parties). Notwithstanding the foregoing, if accrual of litigation costs and (C) the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from will consider in good faith any comments or requests reasonably proposed by the Indemnifying Party containing with respect thereto. (c) Notwithstanding anything to the terms and condition contrary herein, the Indemnifying Party may only investigate, contest, defend or settle such Third-Party Claim if the insurer under the R&W Policy is not entitled, or if entitled does not elect, to assume the defense of such settlement, the Indemnified Third-Party shall be deemed to have consented to the settlementClaim.

Appears in 2 contracts

Sources: Membership Interest Purchase Agreement (Hyatt Hotels Corp), Membership Interest Purchase Agreement (Hyatt Hotels Corp)

Procedures for Third Party Claims. In the case of any claim ------------------------------------ for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-"Third Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Securities Purchase Agreement (Lifecell Corp), Securities Purchase Agreement (Lifecell Corp)

Procedures for Third Party Claims. In Subject to the case Access and Support Agreement, the obligations of any claim Indemnifying Party to indemnify any Indemnified Party under this Article VIII with respect to Claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above Damages by third parties (including Governmental Entities) (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, be subject to the party from which indemnity is sought following terms and conditions: (each an “Indemnifying Party”a) of any claim or demand of which such The Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to shall give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control written notice of the defense any such Third-Party Claim promptly after learning of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; , and provided further the Indemnifying Party may, at its option, undertake the defense thereof by representatives of its own choosing and shall provide written notice of any such undertaking to the Indemnified Party. Failure to give prompt written notice of a Third-Party Claim hereunder shall not affect the Indemnifying Party’s obligations under this Article VIII, except to the extent that the Indemnifying Party is actually prejudiced by such failure to give prompt written notice. The Indemnified Party shall, and shall not be entitled to assume control of such defense if (i) cause its employees and representatives to, cooperate with the Indemnifying Party shall not have notified in connection with the Indemnified Party settlement or defense of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party Claim and shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and provide the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not with all available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend information and documents concerning such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, The Indemnifying Party shall provide the Indemnified Party shall, at with copies of all non-privileged communications and other information in respect of the expense of Third-Party Claim. If the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense within thirty (30) days after written notice of any claim or demand with counsel employed at its own expense; providedsuch Third-Party Claim, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel fails to assume the defense of such claim or demandThird-Party Claim or, after assuming defense, negligently fails to defend and fails to call after reasonable written notice of the same, the reasonable fees and disbursements Indemnified Party against whom such Third-Party Claim has been made shall (upon further written notice to the Indemnifying Party) have the right to undertake the defense, compromise or settlement of such counsel shall be Third-Party Claim on behalf of and for the account and risk, and at the expense expense, of the Indemnifying Party. The , subject to the right of the Indemnifying Party shall have no indemnification obligations with respect to assume the defense of such Third-Party Claim at any such claim time prior to settlement, compromise or demand which shall be settled by final determination thereof upon written notice to the Indemnified Party. (b) Anything in this Section 8.4 to the contrary notwithstanding, (i) the Indemnified Party shall not settle a Third-Party Claim for which it is indemnified without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, conditioned or delayed or conditioned. The and (ii) the Indemnifying Party shall not settle enter into any such claim settlement or compromise of any action, suit or proceeding, or consent to the entry of any judgment for relief other than monetary damages to be borne by the Indemnifying Party, without the prior written consent of the Indemnified Party (Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Purchase and Sale Agreement (CMS Energy Corp), Purchase and Sale Agreement (Consumers Energy Co)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (iia) such claim or demand Third Party Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiib) the Indemnified Party shall have reasonably concluded that (xi) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (yii) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (ia) or (iib) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Share Exchange Agreement (Motus GI Holdings, Inc.), Share Exchange Agreement (Motus GI Holdings, Inc.)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Article VII, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written noticenotice thereof and such notice shall include a reasonable description of the claim and any documents relating to the claim and an estimate of the Indemnifiable Loss or the Specific Indemnifiable Loss, following such Indemnified Party’s receipt as applicable, and shall reference the specific sections of this Agreement that form the basis of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderclaim; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent thatextent) the Indemnitor is actually prejudiced by such delay (except that the Indemnitor shall not be liable for any expenses incurred during the period in which the Indemnitee failed to give such notice). Thereafter, the rights Indemnitee shall deliver to the Indemnitor, reasonably promptly after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Indemnitee relating to the Third-Party Claim. (b) The Indemnitor shall be entitled to participate in the defense of such failure. The Indemnifying any Third-Party shall have the right (and Claim and, if it elects so chooses, to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying PartyIndemnitor and reasonably acceptable to the Indemnitee; provided, however, that as a condition to assuming such defense, the Indemnifying Indemnitor shall acknowledge its responsibility for Indemnifiable Losses (subject to the limits set forth herein) resulting from such Third Party shall be entitled Claim. Should the Indemnitor so elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such a Third-Party Claim; and provided further that , the Indemnifying Party Indemnitor shall not not, for as long as it conducts such defense, be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available liable to the Indemnifying Party, (iv) such claim relates to or arises Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend Indemnitor assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, howeverseparate from the counsel employed by the Indemnitor, that, in it being understood that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party Indemnitor shall not in fact have employed counsel to assume the defense of control such claim or demand, defense. The Indemnitor shall be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof (other than during any period in which the Indemnitee shall be at the expense have not yet given notice of the Indemnifying PartyThird-Party Claim as provided above). The Indemnifying If the Indemnitor chooses to defend any Third-Party Claim, all of the parties hereto shall cooperate in the defense thereof. Such cooperation shall include the retention and (upon the Indemnitor’s request) the provision to the Indemnitor of records and information which are relevant to such Third-Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnitor shall have no indemnification obligations assumed the defense of a Third-Party Claim, the Indemnitee shall not admit any liability with respect to any to, or pay, settle, compromise or discharge, such claim or demand which shall be settled by the Indemnified Third-Party Claim without the Indemnitor’s prior written consent of the Indemnifying Party, (which consent shall not be unreasonably withheld, delayed or conditioned). The Indemnifying If the Indemnitor has assumed the defense of a Third-Party shall not settle any such claim without Claim, the Indemnitor may only pay, settle, compromise or discharge a Third-Party Claim with the Indemnitee’s prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned conditioned); provided, however, that the Indemnitor may pay, settle, compromise or discharge such Third-Party Claim without the written consent of the Indemnitee if such settlement is accompanied by (i) includes a document releasing complete and unconditional release of the Indemnified Party Indemnitee from all liability in respect of such Third-Party Claim, (ii) involves a cash payment only and does not subject the Indemnitee to any injunctive relief or other equitable remedy and (iii) does not include a statement or admission of fault, culpability or failure to act by or on behalf of the Indemnitee. If the Indemnitor submits to the Indemnitee a bona fide settlement offer that satisfies the requirements set forth in the proviso of the immediately preceding sentence and the Indemnitee refuses to consent to such settlement, then thereafter the Indemnitor’s liability to the Indemnitee with respect to such Third-Party Claim shall not exceed the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to Indemnitor’s portion of the settlement within five (5) Business Days of receipt of a written notice from amount included in such settlement offer, and the Indemnifying Party containing Indemnitee shall thereafter assume the terms and condition defense of such settlement, Third-Party Claim and pay attorney’s fees and other out-of-pocket costs incurred thereafter in continuing the Indemnified defense of such Third-Party shall be deemed to have consented to the settlementClaim.

Appears in 2 contracts

Sources: Stock Purchase Agreement (Walter Investment Management Corp), Stock Purchase Agreement (Walter Investment Management Corp)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Section 9 in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above Proceeding instituted by any third Person (in each case, a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of the Indemnifying Party from whom indemnification with respect to such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”i) prompt written notice (but in no event more than ten (10) days after the Indemnified Party acquires knowledge thereof) of such Third-Party Claim and (ii) copies of all documents and information relating to any claim or demand such Third-Party Claim within ten (10) days of which such their being obtained by the Indemnified Party has knowledge and as to which it may request indemnification hereunderParty; provided, however, that the failure by the Indemnified Party to give such notice will so notify or provide copies to the Indemnifying Party shall not affect such relieve the Indemnifying Party from any liability to the Indemnified Party’s rights Party for any liability hereunder unless, and then solely except to the extent that, that such failure shall have actually prejudiced the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result defense of such failure. Third-Party Claim. (b) The Indemnifying Party shall have the right (and if it elects to exercise such right, at its option and expense, to defend against, negotiate, settle or otherwise deal with any Third-Party Claim with respect to which it is the Indemnifying Party and to be represented by counsel reasonably acceptable to the Indemnified Party (unless (i) the Indemnifying Party is also party to such Proceeding and the Indemnified Party determines in good faith that joint representation would be inappropriate or (ii) the Indemnifying Party fails to provide reasonable assurance to the Indemnified Party of its financial capacity to defend such Proceeding and provide indemnification with respect to such Proceeding). The Indemnifying Party shall do so notify the Indemnified Party of its election to assume the defense of such Proceeding and thereafter neither the Indemnifying Party nor the Indemnified Party will admit any liability with respect thereto or settle, compromise, pay or discharge the same without the written consent of the other party. The Indemnified Party may participate in any Third-Party Claim with counsel of its choice and at its expense. If notice is given to an Indemnifying Party of the commencement of any Proceeding and the Indemnifying Party does not, within twenty (20) days after receiving such notice from is given, give notice to the Indemnified Party of its election to assume the defense of such Proceeding, the Indemnified party (upon further notice to the Indemnifying Party) will have the right to undertake the defense, compromise or settlement of such Proceeding and the Indemnifying Party will be bound by any determination made in such Proceeding or any compromise or settlement effected by the Indemnified Party) . Notwithstanding the foregoing, if an Indemnified Party determines in good faith that there is a reasonable probability that a Proceeding may adversely affect it or its affiliates other than as a result of monetary damages for which it would be entitled to defend and to direct the defense against any such claim or demandindemnification under this Agreement, in its name or in the name of the Indemnified PartyParty may, as the case may be, at the expense of by written notice to the Indemnifying Party, and with counsel selected by assume the Indemnifying Party; providedexclusive right to defend, that compromise or settle such Proceeding, but the Indemnifying Party shall will not be entitled bound by any determination of a Proceeding so defended or any compromise or settlement effected without its written consent. (c) If a firm good faith written offer is made to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from settle any such Third-Party Claim; Claim and provided further that the Indemnifying Party shall not be entitled proposes to assume control of accept such defense if settlement and the Indemnified Party refuses to consent to such settlement, then: (i) the Indemnifying Party shall not have notified be excused from, and the Indemnified Party shall be solely responsible for, all further defense of its exercise of its right to defend such Third-Party claim within such twenty (20) day periodClaim; (ii) the maximum liability of the Indemnifying Party relating to such claim or demand seeks an injunction or other equitable relief against Third-Party Claim shall be the amount of the proposed settlement if the amount thereafter recovered from the Indemnified Party, Party on such Third-Party Claim is greater; and (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict pay all attorneys’ fees and legal costs and expenses incurred after rejection of interest between such settlement by the Indemnified Party, but if the amount thereafter recovered by such third party from the Indemnified Party and is less than the Indemnifying Party in the conduct amount of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such proposed settlement, the Indemnified Party shall be deemed reimbursed by the Indemnifying Party for such attorneys’ fees and legal costs and expenses up to have consented a maximum amount equal to the difference between the amount recovered by such third party and the amount of the proposed settlement. (d) Purchaser and Sellers shall make available to each other, their counsel and accountants all information and documents reasonably available to them which relate to any claim subject to indemnity hereunder and to render to each other such assistance as may reasonably be required in order to ensure the proper and adequate defense of any such claim. (e) If required for joinder purposes, the Sellers and Purchaser hereby consent to the non-exclusive jurisdiction in which a Proceeding is brought against any Indemnified Party for purposes of any claim that an Indemnified Party may have under this Agreement with respect to such Proceeding or the matters alleged therein and agree that process may be served on the Sellers and Purchaser with respect to such claim anywhere in the world.

Appears in 2 contracts

Sources: Stock Purchase Agreement, Stock Purchase Agreement (Westinghouse Air Brake Technologies Corp)

Procedures for Third Party Claims. (a) In the case of event that any claim or demand, or other circumstance or state of facts that could give rise to any claim or demand, for indemnification arising from which an Indemnitor may be liable to an Indemnified Party hereunder is asserted or sought to be collected, in each case, in writing, by a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder the Indemnified Party shall promptly, but in no event more than ten (each an “Indemnified Party”10) shall give prompt written notice, days following such Indemnified Party’s receipt of a Third-Party Claim, notify the Indemnitor in writing of such claim or demand, to the party from which indemnity is sought Third-Party Claim (each an Indemnifying PartyNotice of Claim) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder); provided, however, that a failure by an Indemnified Party to give such provide timely notice will shall not affect the rights or obligations of such Indemnified Party’s rights hereunder unless, and then solely to Party other than if the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Indemnitor shall have been actually prejudiced as a result of such failure. The Indemnifying Notice of Claim shall (i) state that the Indemnified Party has paid or properly accrued Losses or anticipates that it will incur liability for Losses for which such Indemnified Party is entitled to indemnification pursuant to this Agreement, and (ii) specify in reasonable detail each individual item of Loss included in the amount so stated, the date such item was paid or properly accrued, the basis for any anticipated Loss and the nature of the misrepresentation, breach of warranty, breach of covenant or claim to which each such item is related and the computation of the amount to which such Indemnified Party claims to be entitled hereunder. The Indemnified Party shall enclose with the Notice of Claim a copy of all papers served with respect to such Third-Party Claim, if any, and any other documents evidencing such Third-Party Claim. (b) The Indemnitor shall have the right (and if it elects to exercise such right, shall do so within twenty but not the obligation, to assume the defense or prosecution of such Third-Party Claim and any litigation resulting therefrom with counsel of its choice and at its sole cost and expense (20a “Third-Party Defense”). If the Indemnitor assumes the Third-Party Defense in accordance herewith, (i) days after receiving such notice from the Indemnified Party) to defend Party may retain separate co-counsel at its sole cost and to direct expense and participate in the defense against of the Third-Party Claim, but the Indemnitor shall control the investigation, defense and settlement thereof, (ii) the Indemnified Party shall not file any papers or consent to the entry of any judgment or enter into any settlement with respect to the Third-Party Claim without the prior written consent of the Indemnitor and (iii) the Indemnitor shall not consent to the entry of any judgment or enter into any settlement with respect to the Third-Party Claim to the extent such claim judgment or demand, in its name settlement provides for equitable relief or in includes an admission of liability or fault without the name prior written consent of the Indemnified Party, as such consent not to be unreasonably withheld, conditioned or delayed. The Parties shall act in good faith in responding to, defending against, settling or otherwise dealing with such claims. The Parties shall also cooperate in any such defense and give each other reasonable access to all information relevant thereto. Whether or not the case may beIndemnitor has assumed the Third-Party Defense, such Indemnitor shall not be obligated to indemnify the Indemnified Party hereunder for any settlement entered into or any judgment that was consented to without the Indemnitor’s prior written consent. (c) If the Indemnitor does not assume the Third-Party Defense, the Indemnified Party shall be entitled to assume the Third-Party Defense, at the expense of the Indemnifying PartyIndemnitor, and with counsel selected by upon delivery of notice to such effect to the Indemnifying PartyIndemnitor; provided, provided that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitor shall have the right to participate in the defense of any claim or demand with counsel employed Third-Party Defense at its own sole cost and expense; provided, howeverbut the Indemnified Party shall control the investigation, thatdefense and settlement thereof, in the case of any claim or demand described in clause (i) or (ii) the Indemnitor may at any time thereafter assume the Third-Party Defense, in which event the Indemnitor shall bear the reasonable fees, costs and expenses of the second preceding sentence or as Indemnified Party’s counsel incurred prior to which the Indemnifying assumption by the Indemnitor of the Third-Party Defense and (iii) the Indemnitor shall not in fact have employed counsel be obligated to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by indemnify the Indemnified Party hereunder for any settlement entered into or any judgment that was consented to without the Indemnitor’s prior written consent, such consent of the Indemnifying Party, which consent shall not to be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Transition Services Agreement (American International Group, Inc.), Transition Services Agreement (Corebridge Financial, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”a) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of If any claim or demand made by any Person other than Purchaser or Seller against a Purchaser Indemnified Party or a Seller Indemnified Party, as applicable (a “Third Party Claim”) shall be brought or alleged against an indemnified party in respect of which indemnity is to be sought against an indemnifying party pursuant to Section 7.1 or Section 7.2, the indemnified party shall, promptly after receipt of notice of the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that the failure to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 7.1 or Section 7.2 unless, and then solely only to the extent that, the rights indemnifying party is actually materially prejudiced by such failure. (b) In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 7.3, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party, and, after notice from whom indemnity is sought are prejudiced as a result the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such failure. The Indemnifying indemnified party under this Article VII for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. (c) In any such Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party, or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them based on the advice of counsel to the indemnified party. (d) The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its written consent, but, if settled with such consent or if there is a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss indemnifiable pursuant to Section 7.1 or Section 7.2 by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party, effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is or could have been a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional written release of such indemnified party and its Affiliates, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party subject matter of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; or proceeding, (ii) such claim does not include any statement as to an admission of fault, culpability or demand seeks an injunction failure to act or other equitable relief against the Indemnified Partyviolation of Law or rights of any Person by or on behalf of any indemnified party or its Affiliates, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party does not impose any continuing material obligation or restrictions on any indemnified party, and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to does not involve any injunctive relief binding on the indemnified party or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementAffiliates.

Appears in 2 contracts

Sources: Purchase and Sale Agreement (Macrogenics Inc), Purchase and Sale Agreement (Mannkind Corp)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-"Third Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided. Notwithstanding the provisions of this Section 8.3, however, that failure to give the Indemnifying Party's and its Affiliates' aggregate liability for any such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely Third Party Claim shall in any event be limited to the extent that, the rights amount set forth in Section 8.4 of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failurethis Agreement. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; providedPROVIDED, howeverHOWEVER, that, in the case of any claim or demand Third Party Claim described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Merger Agreement (I Link Inc), Merger Agreement (I Link Inc)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article V in respect of any legal proceeding, action, claim for indemnification arising from or demand instituted by a claim of a third-party other than an Infringement Claim subject to Section 13.3 above third Person (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of the Indemnifying Party from whom indemnification with respect to such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”i) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such prompt written notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty but in no event more than ten (2010) days after receiving such notice from the Indemnified PartyParty acquires knowledge thereof) of such Third Party Claim and (ii) copies of all documents and information in its possession relating to defend and to direct the defense against any such claim or demand, in its name or in the name Third Party Claim within ten (10) days of their being obtained by the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds failure by the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that to so notify or provide copies to the Indemnifying Party shall not be entitled to assume control of such defense if (i) relieve the Indemnifying Party shall not have notified of any liability to the Indemnified Party of its exercise of its right hereunder except to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded extent that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of demonstrates that the defense of such claim or demand or (y) Third Party Claim is prejudiced by the Indemnified Party has one Party’s failure to give such notice or more defenses not available to the Indemnifying Party, provide such copies. (ivb) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations thirty (30) days (or such lesser time as may be necessary to comply with statutory response requirements for litigation claims that are included in any Third Party Claim) from receipt of the notice contemplated in Section 5.3(a) to notify the Indemnified Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against the Third Party Claim in question. If the Indemnifying Party timely gives notice that it intends to defend such Third Party Claim, it shall have the right, except as hereafter provided, to defend against, negotiate, settle or otherwise deal with the Third Party Claim and to be represented by counsel of its own choice; provided, that (i) the Indemnified Party will not admit any liability with respect to any such claim the Third Party Claim in question or demand which shall be settled by settle, compromise, pay or discharge the Indemnified Party same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed, delayed or conditioned. The so long as the Indemnifying Party shall is contesting or defending the same with reasonable diligence and in good faith; (ii) the Indemnifying Party may not settle enter into a settlement of any such claim Third Party Claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed withheld unless such admission or conditioned if such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party from all is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party; (iii) the Indemnified Party may participate in any proceeding with counsel of its choice and at its expense; and (iv) notwithstanding the foregoing, any Indemnifying Party will not be entitled to assume the defense of any Third Party Claim if, in the reasonable opinion of such Indemnified Party, such Third Party Claim, or the litigation or resolution of such Third Party Claim, (x) could result in criminal liability of, or equitable remedies against, the Indemnified Party, (y) the Indemnified Party reasonably believes that the interests of the Indemnifying Party and the Indemnified Party with respect to the matter such claim are in controversy conflict with one another, and as a result, the Indemnifying Party could not adequately represent the interests of the Indemnified Party in such claim or (z) such Third Party Claim involves a dispute with a significant supplier or customer of the Indemnified Party. In the event that is bindingthe Indemnifying Party does not agree in writing to accept the defense of, valid and enforceable against assume all applicable Partiesresponsibility for, such Third Party Claim as provided above in this Section 5.3(b). , then the Indemnified Party shall have the right to defend against, negotiate, settle or otherwise deal with the Third Party Claim in such manner as the Indemnified Party deems appropriate, in its sole discretion, and the Indemnified Party shall be entitled to indemnification therefor from the Indemnifying Party to the extent provided under this Article V. Notwithstanding the foregoing, if in the reasonable opinion of the Indemnified Party fails to object to such Third Party Claim, or the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition litigation or resolution of such settlementThird Party Claim, involves an issue or matter that could have a Material Adverse Effect on the Indemnified Party, including the administration of Tax Returns of the Indemnified Party or a dispute with a significant supplier or customer of the Indemnified Party, the Indemnified Party shall have the right to control the defense or settlement of any such claim or demand and its reasonable costs and expenses shall be deemed included as part of the indemnification obligations of the Indemnifying Party. If the Indemnified Party elects to exercise such right, the Indemnifying Party shall have consented the right to participate in, but not control, the settlementdefense or settlement of such claim at its sole cost and expense.

Appears in 2 contracts

Sources: Stock Purchase Agreement (Michael Baker Corp), Stock Purchase Agreement (Baker Michael Corp)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Any Party Claim”), a party seeking indemnification hereunder under this Section 7 (each an “Indemnified Party”the "INDEMNIFIED PARTY") shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which Party against whom indemnity is sought (each an “Indemnifying Party”the "INDEMNIFYING PARTY") of the assertion of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderthird party claim; provided, however, that failure to give such notice will not affect such no delay on the part of the Indemnified Party’s rights hereunder unlessParty in notifying the Indemnifying Party shall relieve the Indemnifying Party of any liability or obligation hereunder, and then solely except to the extent that, the rights of that the Indemnifying Parties from whom indemnity is sought are Party has been prejudiced as a result of such failurethereby. The Indemnifying Party shall have may, and at the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name request of the Indemnified PartyParty shall, as participate in and control the case may be, defense of any third party claim at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that its own expense. If the Indemnifying Party shall be entitled to assume assumes control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that any third party claim, the Indemnifying Party shall not be entitled to assume control liable under this Section 7 for any settlement effected by the Indemnified Party without its consent of such defense if (i) any third party claim. Notwithstanding the foregoing, whether or not the Indemnifying Party shall not have notified assumes the defense of a third party claim, if the Indemnified Party of determines in good faith that a third party claim is likely to materially adversely affect it or its exercise of its right business (it being understood that any third party claim related to defend such Third-Party claim within such twenty (20) day period; (ii) such claim taxes or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party Intellectual Property shall be deemed to have reasonably concluded that (x) there is a conflict of interest between material adverse effect on the Indemnified Party and the Indemnifying Party its business) in the conduct of the defense of such claim or demand or (y) a manner that may not be adequately compensated by money damages, then the Indemnified Party has one or more defenses not available may, by written notice to the Indemnifying Party, (iv) such claim relates assume the exclusive right to or arises in connection with any criminal proceedingdefend, action, indictment, allegation or investigationcompromise, or (v) the appropriate court rules settle such third party claim; provided that in such case the Indemnifying Party failed or will not be liable for any money damages related to a settlement that is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandeffected without its consent. The Indemnified Party shall have the right to participate in party controlling the defense of any claim third party suit, action or demand with counsel employed at its own expense; provided, however, that, in proceeding shall keep the case of any claim or demand described in clause (i) or (ii) other party advised of the second preceding sentence status of such action, suit or as to which the Indemnifying Party shall not in fact have employed counsel to assume proceeding and the defense of such claim or demand, thereof and shall consider in good faith recommendations made by the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations other party with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthereto.

Appears in 2 contracts

Sources: Asset Purchase Agreement (Valera Pharmaceuticals Inc), Asset Purchase Agreement (Valera Pharmaceuticals Inc)

Procedures for Third Party Claims. In With respect to a Claim, the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above indemnified Party (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to promptly notify the party from which indemnity is sought indemnifying Party (each an “Indemnifying Party”) of any claim or demand of Claim with respect in which such the Indemnified Party has knowledge and as to which it may request is seeking indemnification hereunder; under this Section (provided, however, that failure to give such notice will not affect such no delay or deficiency on the part of the Indemnified Party’s rights hereunder unless, and then solely Party in so notifying the Indemnifying Party shall relieved the Indemnifying Party of any liability or obligation under this Agreement except to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Party has suffered actual prejudice directly caused by the delay or other deficiency), and the Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume full control over the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; settlement thereof provided, however, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to retain its own counsel and to participate in the defense of any claim or demand thereof, with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of fees and expenses to be paid by the second preceding sentence or as to which Indemnified Party unless the Indemnifying Party does not assume the defense. The Indemnifying Party shall not in fact have employed counsel be liable for the indemnification of any Claim settled (or resolved by consent to assume the defense entry of such claim or demand, judgment) without the reasonable fees and disbursements of such counsel shall be at the expense written consent of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without obtain the prior written consent of the Indemnifying Party, (which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent delayed) of the Indemnified Party before entering into any settlement of (which or resolving by consent shall not be unreasonably withheldto the entry of judgment upon) such Claim unless (i) there is no finding or admission of any violation of law or any violation of the rights of any person by an Indemnified Party, delayed or conditioned if such settlement is accompanied by a document releasing no requirement that the Indemnified Party from all liability with respect to admit negligence, fault or culpability, and no adverse effect on any of the matter claims that may be made by or against the Indemnified Party, and (ii) the sole relief provided is monetary damages that are paid in controversy that is binding, valid full by the Indemnifying Party and enforceable against all applicable Parties). Notwithstanding the foregoing, if such settlement does not require the Indemnified Party fails to object to the settlement within five take (5or refrain from taking) Business Days of receipt of a written notice from any action. The Indemnified Party, and its employees and agents, shall cooperate fully with the Indemnifying Party containing and its legal representatives in the terms and condition investigation of such settlementany Claim. Regardless of who control the defense, each Party hereto shall reasonably cooperate in the Indemnified Party shall defense as may be deemed to have consented to the settlementrequested.

Appears in 2 contracts

Sources: Collaboration and License Agreement (PMGC Holdings Inc.), Collaboration & License Agreement (Elevai Labs Inc.)

Procedures for Third Party Claims. (i) In the case of event that any written claim or demand for indemnification arising which the Transaction Shareholders may have liability to any Parent Indemnified Party hereunder is asserted against or sought to be collected from any Parent Indemnified Party by a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), the Parent Indemnified Party shall deliver a party seeking indemnification hereunder Parent Claim Certificate to the Shareholder Representative, with a copy to the Escrow Agent, specifying (each an “Indemnified Party”A) the amount or the estimated amount of damages sought thereunder to the extent then ascertainable (which estimate shall give prompt written notice, following such Indemnified Party’s receipt not be conclusive of the final amount of such claim or demandThird-Party Claim), (B) to the party from which indemnity is extent known, any other remedy sought thereunder and any relevant time constraints relating thereto and (each an “Indemnifying Party”C) of to the extent practicable, any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderother material details pertaining thereto; provided, however, that the failure to give such notice will not timely deliver a Parent Claim Certificate shall affect such the rights of a Parent Indemnified Party’s rights Party hereunder unless, and then solely only to the extent that, that such failure has a material prejudicial effect on the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction defenses or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not rights available to the Indemnifying Party, (iv) such claim relates Transaction Shareholders with respect to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything The Shareholder Representative shall have the shorter of thirty (30) days or the number of days set forth in this Agreement the Parent Claim Certificate as may be required by court proceeding in the event of a litigated matter (the “Notice Period”) after receipt of the Parent Claim Certificate to notify the contraryParent Indemnified Party that the Shareholder Representative desires to assume the defense of the Parent Indemnified Party against such Third-Party Claim. (ii) In the event that the Shareholder Representative notifies the Parent Indemnified Party within the Notice Period that he desires to defend the Parent Indemnified Party against a Third-Party Claim, the Shareholder Representative, on behalf of the Transaction Shareholders, shall have the right to defend the Parent Indemnified Party shall, by appropriate proceedings and shall have the sole power to direct and control such defense at the expense of the Indemnifying PartyTransaction Shareholders; provided, cooperate with however, that prior to the Indemnifying PartyShareholder Representative assuming control of such defense, the Shareholder Representative shall first confirm to the Parent Indemnified Party in writing that the Transaction Shareholders shall be responsible and keep liable for such Third-Party Claim giving rise to such claim for indemnification hereunder. Once the Indemnifying Party fully informed, in Shareholder Representative has duly assumed the defense of such claim or demand. The a Third-Party Claim, the Parent Indemnified Party shall have the right right, but not the obligation, to participate in the any such defense and to employ separate counsel of its choosing. The Parent Indemnified Party shall participate in any claim or demand with counsel employed such defense at its own expense; provided, however, that, in expense unless one or more Transaction Shareholders and the case of any claim or demand described in clause (i) or (ii) of Parent Indemnified Party are both named parties to the second preceding sentence or as to which proceedings and the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Parent Indemnified Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled reasonably concluded, based on the written advice of counsel, that representation of both parties by the Indemnified Party same counsel would be inappropriate due to actual or potential differing material interests between them. The Shareholder Representative shall not, without the prior written consent of the Indemnifying Parent Indemnified Party, settle, compromise or offer to settle or compromise any Third-Party Claim, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying delayed; provided, however, that the Parent Indemnified Party shall not settle may withhold its consent in its sole discretion if the judgment or settlement includes the imposition of any such claim without criminal or regulatory or equitable remedy upon the prior written consent Parent Indemnified Party or would lead to any liability on the part of the Parent Indemnified Party (for which consent shall it is not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties)indemnified hereunder. Notwithstanding the foregoing, if the Shareholder Representative shall not be entitled to assume the defense of any claim (but the Transaction Shareholders shall be liable for the fees and expenses of counsel incurred by the Parent Indemnified Party fails in defending such claim) if (x) the claim seeks an injunction or other equitable relief or relief other than monetary damages for which the Parent Indemnified Party would be entitled to object indemnification under this Agreement that the Parent Indemnified Party reasonably determines, after conferring with its outside counsel, cannot be separated from any related claim for monetary damages for which it would be entitled to indemnification under this Agreement, (y) the claim is a criminal, civil, regulatory or administrative action brought by a Governmental Authority or (z) settlement of, or an adverse judgment with respect to, the claim is, in the good faith judgment of the Parent Indemnified Party, likely to establish a precedential custom or practice materially adverse to the settlement within five (5) Business Days continuing business interests or the reputation of receipt the Parent Indemnified Party. If such equitable relief or other relief portion of a written notice the claim can be so separated from that for monetary damages for which the Indemnifying Parent Indemnified Party containing the terms and condition of such settlementwould be entitled to indemnification under this Agreement, the Shareholder Representative shall be entitled to assume the defense of the portion relating to monetary damages for which the Parent Indemnified Party would be entitled to indemnification under this Agreement. (iii) If the Shareholder Representative elects not to defend the Parent Indemnified Party against a Third-Party Claim, whether by not giving the Parent Indemnified Party timely notice of its willingness to so defend or otherwise, the Parent Indemnified Party shall have the right, but not the obligation, to assume its own defense, it being understood that the Parent Indemnified Party’s right to indemnification for a Third-Party Claim shall not be deemed adversely affected by assuming the defense of such Third-Party Claim. (iv) The Parent Indemnified Party and the Shareholder Representative shall cooperate in order to have ensure the proper and adequate defense of a Third-Party Claim, including by providing reasonable access to relevant business records and other documents and employees. (v) The Parent Indemnified Party and the Shareholder Representative shall use commercially reasonable efforts to avoid production of confidential information (consistent with applicable Law), and to cause all communications among employees, counsel and others representing any party to a Third-Party Claim to be made so as to preserve any applicable attorney-client or work-product privileges. (vi) In the event that the Shareholder Representative has consented to any settlement pursuant to this Section 10.04(c), the Transaction Shareholders shall have no power or authority to object under any provision of this Article X to the amount of any claim by the Parent Indemnified Party against the Transaction Shares in the Indemnity Escrow Account with respect to such settlement.

Appears in 2 contracts

Sources: Stock Purchase and Affiliate Merger Agreement, Stock Purchase and Affiliate Merger Agreement (First Us Bancshares Inc)

Procedures for Third Party Claims. (a) In order for a Person (the case “Indemnified Party”) to be entitled to any indemnification provided for under Section 10.2 or 10.3 in respect of, arising out of any claim for indemnification arising from or involving a claim of a third-party made by any Person (other than an Infringement Claim subject to Section 13.3 above another Party or its Affiliate) against the Indemnified Party (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundermust notify the indemnifying party in writing of the Third-Party Claim promptly (but in any event not later than the second Business Day in the case of any litigation, arbitration or other adversary proceedings) following receipt by such Indemnified Party of written notice of the Third-Party Claim; provided, however, that failure to give such notice will notification shall not affect such Indemnified Party’s rights the indemnification provided hereunder unless, and then solely except to the extent that, the rights indemnifying party shall have been actually materially prejudiced (including with respect to the defense of the Indemnifying Parties from whom indemnity is sought are prejudiced such Third Party-Claim) as a result of such failure. The Indemnifying Thereafter, the Indemnified Party shall have deliver to the right (and if it elects to exercise such rightindemnifying party, shall do so within twenty (20) days after receiving such notice from as promptly as practicable following the Indemnified Party’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnified Party relating to defend and the Third-Party Claim that are not separately addressed to direct the defense indemnifying party. (b) If a Third-Party Claim is made against any such claim or demand, in its name or in the name of the an Indemnified Party, as the case may beindemnifying party shall be entitled to participate in the defense thereof and, at if it so chooses, to assume the expense of the Indemnifying Party, and defense thereof with counsel selected by the Indemnifying Partyindemnifying party; provided, however, that such counsel is not reasonably objected to by the Indemnifying Party shall be entitled Indemnified Party. Should the indemnifying party so elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such a Third-Party Claim; and provided further that , the Indemnifying Party indemnifying party shall not be entitled liable to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) for any reasonable legal expenses subsequently incurred by the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend indemnifying party assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense, separate from the counsel employed by the indemnifying party, it being understood that the indemnifying party shall control such defense; provided, however, thatthat the indemnifying party shall bear the reasonable fees and expenses of such separate counsel (i) if the Parties to any such action or proceeding (including impleaded parties) include other Parties and representation of both Parties would, in the case reasonable opinion of any claim or demand described in clause (i) counsel for the Indemnified Party, be inappropriate due to a conflict of interest, or (ii) of if the second preceding sentence or as to which the Indemnifying Party indemnifying party shall not in fact have employed counsel (other than counsel that is reasonably objected to assume by the defense Indemnified Party) within a reasonable time after the Indemnified Party has given notice of such claim or demand, the institution of a Third-Party Claim in compliance with Section 10.4(a). The indemnifying party shall be liable for the reasonable fees and disbursements expenses of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled employed by the Indemnified Party for any period during which the indemnifying party has not assumed the defense thereof, provided, however, that such counsel is not reasonably objected to by the indemnifying party. If the indemnifying party chooses to defend or prosecute a Third-Party Claim, all the Indemnified Parties shall cooperate in the defense or prosecution thereof at the indemnifying party’s expense. Such cooperation shall include the retention and (upon the indemnifying party’s request) the provision to the indemnifying party of records and information that are reasonably relevant to such Third-Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. If the indemnifying party assumes the defense of a Third-Party Claim, the Indemnified Party shall not admit any liability with respect to, or settle, compromise or discharge, such Third-Party Claim without the indemnifying party’s prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed withheld or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Partiesdelayed). Notwithstanding If the foregoing, if indemnifying party assumes the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt defense of a written notice from the Indemnifying Third-Party containing the terms and condition of such settlementClaim, the Indemnified Party shall be deemed agree to have consented any settlement, compromise or discharge of a Third-Party Claim that the indemnifying party may recommend and that by its terms obligates the indemnifying party to pay the settlementfull amount of the liability in connection with such Third-Party Claim, which releases the Indemnified Party completely in connection with such Third-Party Claim and that would not otherwise materially adversely affect the Indemnified Party.

Appears in 2 contracts

Sources: Acquisition Agreement (Mexican Railway Transportation Group), Acquisition Agreement (Grupo TMM Sa)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundernotice thereof; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that, extent) the rights of the Indemnifying Parties from whom indemnity Indemnitor is sought are actually prejudiced as a result of by such failure. The Indemnifying Party shall delay. (b) Any Indemnitor will have the right to defend the Indemnitee against the Third-Party Claim with counsel of its choice reasonably satisfactory to the Indemnitee as long as (and if it elects to exercise such right, shall do so i) the Indemnitor notifies the Indemnitee in writing within twenty ten (2010) days after receiving such the Indemnitee has given notice of the Third-Party Claim that the Indemnitor will indemnify the Indemnitee from the Indemnified Party) to defend and to direct the defense against any such claim Losses; (ii) the Indemnitor provides the Indemnitee with evidence reasonably acceptable to the Indemnitee that the Indemnitor will have the financial resources to defend against the Third-Party Claim and fulfill its indemnification obligations hereunder; (iii) the Third-Party Claim involves only monetary damages and does not seek an injunction or demandother equitable relief; (iv) settlement of, or an adverse judgment in respect of, the Third-Party Claim is not, in its name or in the name good faith judgment of the Indemnified PartyIndemnitee, as likely to establish a precedential custom or practice adverse to the case may be, at the expense continuing business interests of the Indemnifying Party, Indemnitee; and with counsel selected by (v) the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of Indemnitor conducts the defense of such action only if the Indemnifying Third-Party acknowledges Claim actively and diligently. (c) As long as the Indemnitor is conducting the defense of the Third-Party Claim in writing accordance with Section 9.3(b), (i) the Indemnitee may retain separate co-counsel at its indemnity obligations sole cost and assumes expense and holds participate in the Indemnified Party harmless from and against all Losses resulting from such defense of the Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (iii) the Indemnifying Party shall Indemnitee will not have notified consent to the Indemnified Party entry of its exercise any judgment or enter into any compromise or settlement in respect of its right to defend such the Third-Party claim within such twenty Claim without the prior written consent of the Indemnitor (20) day periodwhich consent will not be unreasonably conditioned, delayed, or withheld); (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, and (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict Indemnitor will not consent to the entry of interest between the Indemnified Party and the Indemnifying Party any judgment or enter into any compromise or settlement in the conduct respect of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to Claim without the contrary, the Indemnified Party shall, at the expense prior written consent of the Indemnifying PartyIndemnitee (which consent will not be unreasonably conditioned, cooperate with the Indemnifying Partydelayed, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expensewithheld); provided, however, that, in respect of clause (iii) above, the case Indemnitee may condition such consent upon the delivery by the claimant or plaintiff to the Indemnitee of a duly executed unconditional release of the Indemnitee from all liability in respect of such Third-Party Claim. (d) In the event any claim condition set forth in Section 9.3(b) is or demand described in clause becomes unsatisfied, however, (i) the Indemnitee may defend against, and consent to the entry of any judgment or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not enter into any settlement in fact have employed counsel to assume the defense of such claim or demandrespect of, the reasonable fees Third-Party Claim in any manner it reasonably may deem appropriate; provided that the Indemnitee will consult with and disbursements of such counsel shall be at obtain the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, Indemnitor in connection therewith which consent shall not be unreasonably conditioned, delayed, or withheld; (ii) the Indemnitor will reimburse the Indemnitee promptly and periodically for the costs of defending against the Third-Party Claim (including reasonable attorneys’ fees and expenses); and (iii) the Indemnitor will remain responsible for any Losses the Indemnitee may suffer resulting from, delayed arising out of, relating to, in the nature of, or conditioned. The Indemnifying caused by, the Third-Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect Claim to the matter fullest extent provided in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthis Section 9.3.

Appears in 2 contracts

Sources: Securities Purchase Agreement (Landmark Apartment Trust of America, Inc.), Securities Purchase Agreement (Landmark Apartment Trust of America, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (a) If a claim or demand is made against a RemainCo Indemnitee or an ElectronicsCo Indemnitee (each, an “Indemnitee”) by any Person who is not a member of a third-party other than an Infringement Claim subject to Section 13.3 above the ElectronicsCo Group or RemainCo Group (a “Third-Third Party Claim”)) as to which such Indemnitee is or may be entitled to indemnification pursuant to this Agreement, a party seeking such Indemnitee shall notify the Party which is or may be required pursuant to this Article VIII to make such indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) in writing, and in reasonable detail, of the Third Party Claim as promptly as practicable (and in any claim event within ten (10) days) after receipt by such Indemnitee of written notice of the Third Party Claim. If ElectronicsCo shall receive notice or demand otherwise learn of the assertion of a Third Party Claim which may reasonably be determined to be a Legacy Liability, ElectronicsCo shall give RemainCo (in accordance with Article VII) written notice thereof within ten (10) days after such Indemnified Person becomes aware of such Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that the failure to give provide notice of any such notice will Third Party Claim pursuant to this or the preceding sentence shall not affect such Indemnified Party’s rights hereunder unless, release the Indemnifying Party from any of its obligations under this Article VIII except and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Party shall have been actually materially prejudiced as a result of such failure. The Thereafter, the Indemnitee shall deliver to the Indemnifying Party shall have the right (and, as applicable, to RemainCo for a Third Party Claim which may reasonably be determined to be a Legacy Liability), as promptly as practicable (and if it elects in any event within five (5) Business Days) after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to exercise such rightthe Third Party Claim. (b) Other than in the case of (i) Taxes addressed in the Tax Matters Agreement, which shall do so within twenty be addressed as set forth therein, (20ii) days after receiving such notice from the Indemnified Partyindemnification by a beneficiary Party of a guarantor Party pursuant to Section 2.10(c) to defend and to direct (the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected which shall be controlled by the Indemnifying beneficiary Party; provided), that (iii) a Legacy Liability (the defense of which shall be controlled by RemainCo as provided for in Article VII) or (iv) any Liabilities relating to, arising out of or resulting from any Specified Transaction Expenses or the matters related thereto (the defense of which shall be controlled by RemainCo), (A) an Indemnifying Party shall be entitled (but shall not be required) to assume and control the defense of any Third Party Claim, and (B) if it does not assume the defense of such action only Third Party Claim, to participate in the defense of such Third Party Claim, in each case, at such Indemnifying Party’s own cost and expense and by such Indemnifying Party’s own counsel that is reasonably acceptable to the applicable Indemnitees (after consultation in good faith with the applicable Indemnitees), if it gives prior written notice of its intention to do so to the applicable Indemnitees within thirty (30) days of the Indemnifying Party’s receipt of notice of the relevant Third Party acknowledges in writing its indemnity obligations and assumes and holds Claim from the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claimapplicable Indemnitees pursuant to Section 8.4(a); and provided further provided, however, that the Indemnifying Party shall not be entitled to assume control the defense of any Third Party Claim pursuant to this Section 8.4(b) to the extent such Third Party Claim (x) is an allegation of a criminal violation, (y) seeks injunctive, equitable or other relief other than monetary damages against the Indemnitee (provided that such Indemnitee shall reasonably cooperate with the Indemnifying Party, at the request of the Indemnifying Party, in seeking to separate any such claims from any related claim for monetary damages if this clause (y) is the sole reason that such Third Party Claim is a Non-Assumable Third Party Claim) or (z) is made by a Governmental Entity (clauses (x), (y) and (z), the “Non-Assumable Third Party Claims”). After notice from an Indemnifying Party to an Indemnitee of the Indemnifying Party’s election to assume the defense of a Third Party Claim, such Indemnitee shall have the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof, at its own expense and, in any event, shall cooperate with the Indemnifying Party in such defense if and make available to the Indemnifying Party, at the Indemnifying Party’s expense, all witnesses, pertinent Information, materials and other information in such Indemnitee’s possession or under such Indemnitee’s control relating thereto as are reasonably required by the Indemnifying Party; provided, however, that in the event a conflict of interest exists, or is reasonably likely to exist, that would make it inappropriate in the reasonable judgment of the applicable Indemnitee(s) for the same counsel to represent both the Indemnifying Party and the applicable Indemnitee(s), such Indemnitee(s) shall be entitled to retain, at the Indemnifying Party’s expense, separate counsel as required by the applicable rules of professional conduct with respect to such matter. In the event that the Indemnifying Party exercises the right to assume and control the defense of a Third Party Claim as provided above, (iI) the Indemnifying Party shall keep the Indemnitee(s) apprised of all material developments in such defense, (II) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of withdraw from the defense of such claim or demand or Third Party Claim without providing advance notice to the Indemnitee(s) reasonably sufficient to allow the Indemnitee(s) to prepare to assume the defense of such Third Party Claim, and (yIII) the Indemnified Indemnifying Party has one shall conduct the defense of the Third Party Claim actively and diligently, including the posting of any bonds or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises other security required in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend defense of such Third-Third Party Claim. Notwithstanding anything in this Agreement Section 8.4 to the contrary, for the Indemnified Party shallavoidance of doubt, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claims in respect of Legacy Liabilities shall be controlled by RemainCo in accordance with counsel employed at its own expense; provided, however, that, Article VII. (c) Other than in the case of any claim a Legacy Liability or demand described a Non-Assumable Third Party Claim, if an Indemnifying Party elects not to assume responsibility for defending a Third Party Claim or fails to notify an Indemnitee of its election as provided in clause (i) Section 8.4(b), or (ii) of the second preceding sentence or as to which if the Indemnifying Party shall not in fact have employed counsel fails to assume actively and diligently defend the Third Party Claim (including by withdrawing or threatening to withdraw from the defense of such claim or demandthereof), the reasonable fees and disbursements of applicable Indemnitee(s) may defend such counsel shall be Third Party Claim at the cost and expense of the Indemnifying Party. The If the Indemnitee is conducting the defense of any Third Party Claim, the Indemnifying Party shall have no indemnification obligations cooperate with the Indemnitee in such defense and make available to the Indemnitee, at the Indemnifying Party’s expense, all witnesses, pertinent Information, material and information in such Indemnifying Party’s possession or under such Indemnifying Party’s control relating thereto as are reasonably required by the Indemnitee pursuant to a joint defense agreement to be entered into by Indemnitee and the Indemnifying Party; provided, however, that such access shall not require the Indemnifying Party to disclose any information the disclosure of which would, in the reasonable judgment of the Indemnifying Party, result in the loss of any existing attorney-client privilege with respect to such information or violate any such claim or demand applicable Law. (d) Other than any Third Party Claim that is in respect of a Legacy Liability, which shall be settled governed by the Indemnified Article VII, no Indemnitee may admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge any Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioneddelayed. The If an Indemnifying Party has failed to assume the defense of a Third Party Claim, it shall not be a defense to any obligation to pay any amount in respect of such Third Party Claim that the Indemnifying Party was not consulted in the defense thereof, that such Indemnifying Party’s views or opinions as to the conduct of such defense were not accepted or adopted, that such Indemnifying Party does not approve of the quality or manner of the defense thereof or that such Third Party Claim was incurred by reason of a settlement rather than by a judgment or other determination of liability. (e) In the case of a Third Party Claim (except for any Third Party Claim that is in respect of a Legacy Liability, which with respect to the subject matter of this Section 8.4(e), shall be governed by Article VII), the Indemnifying Party shall not settle admit any such claim liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge, the Third Party Claim without the prior written consent of the Indemnified Party Indemnitee (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if delayed) unless such settlement is accompanied or judgment (i) completely and unconditionally releases the Indemnitee in connection with such matter, (ii) provides relief consisting solely of money damages borne by a document releasing the Indemnified Indemnifying Party from and (iii) does not involve any admission by the Indemnitee of any wrongdoing or violation of Law. (f) Notwithstanding anything herein or in any Ancillary Agreement or any Conveyancing and Assumption Instrument to the contrary, other than (x) actions for specific performance or injunctive or other equitable relief pursuant to Section 12.19, and (y) the indemnification provisions in Section 2.2(d), Section 2.5(c), Section 2.10, Section 5.5, Section 6.2 and Section 6.4, (i) the indemnification provisions of this Article VIII shall be the sole and exclusive remedy of the Parties, the parties to the Conveyancing and Assumption Instruments and any Indemnitee for any breach of this Agreement or any Conveyancing and Assumption Instrument and for any failure to perform and comply with any covenant or agreement in this Agreement or in any Conveyancing and Assumption Instrument; (ii) each Party and each Indemnitee expressly waives and relinquishes any and all liability rights, claims or remedies it may have with respect to the matter foregoing other than under this Article VIII against any Indemnifying Party; (iii) none of the Parties, the members of their respective Groups or any other Person may bring a claim under any Conveyancing and Assumption Instrument; (iv) any and all claims arising out of, resulting from, or in controversy connection with the Internal Reorganization or the other transactions contemplated in this Agreement must be brought under and in accordance with the terms of this Agreement; and (v) no breach of this Agreement or any Conveyancing and Assumption Instrument shall give rise to any right on the part of any Party or party thereto, after the consummation of the Distribution, to rescind this Agreement, any Conveyancing and Assumption Instrument or any of the transactions contemplated hereby or thereby, except as expressly provided in Section 2.6(a) and Section 2.6(b); provided, however, that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object with respect to the settlement within five transactions contemplated by this Agreement (5including the Internal Reorganization and Distribution), the Parties may also bring claims arising under the Tax Matters Agreement under and in accordance with the Tax Matters Agreement and claims arising under the Employee Matters Agreement under and in accordance with the Employee Matters Agreement. Each Party shall cause the members of its Group to comply with this Section 8.4(f). (g) Business Days The provisions of receipt this Article VIII shall apply to Third Party Claims that are already pending or asserted as well as Third Party Claims brought or asserted after the date of this Agreement. There shall be no requirement under this Section 8.4 to give a written notice from with respect to the Indemnifying existence of any Third Party containing Claim that exists as of the terms Effective Time. Each Party on behalf of itself and condition each other member of its Group acknowledges that Liabilities for Actions (regardless of the parties to the Actions) may be partly RemainCo Liabilities and partly ElectronicsCo Liabilities. If the Parties cannot agree on the allocation of any such Liabilities for Actions, they shall resolve the matter of such settlementallocation pursuant to the procedures set forth in Article X. No Party shall, nor shall any Party permit the Indemnified other members of its Group (or their respective then-Affiliates) to, file Third Party Claims or cross-claims against the other Party or any members of the other Group in an Action in which a Third Party Claim is being resolved. (h) This Section 8.4, Section 8.5 and Section 8.6 shall not apply to Tax Contests, which shall be deemed to have consented to governed exclusively by the settlementTax Matters Agreement, or Legacy Liabilities, which shall be governed exclusively by Article VII.

Appears in 2 contracts

Sources: Separation and Distribution Agreement (DuPont De Nemours, Inc.), Separation and Distribution Agreement (Qnity Electronics, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, Party or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the . The Indemnifying Party failed or is failing to vigorously prosecute or defend shall not settle any such Third-Third Party ClaimClaim without the prior written consent of the Indemnified Party. Notwithstanding anything in this Agreement to the contrary, (i) the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, Party and keep (ii) the Indemnifying Party shall keep the Indemnified Party fully informed, in informed of the defense of such claim or demandthe Third Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim Third Party Claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations or liability whatsoever with respect to any such claim Third Party Claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 2 contracts

Sources: Transaction Agreement, Transaction Agreement (CytoDyn Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (a) If a claim or demand is made against an IP RemainCo Indemnitee or a Product SpinCo Indemnitee (each, an “Indemnitee”) by any Person who is not a member of a third-party other than an Infringement Claim subject to Section 13.3 above the Product SpinCo Group or IP RemainCo Group (a “Third-Third Party Claim”)) as to which such Indemnitee is or may be entitled to indemnification pursuant to this Agreement, a party seeking such Indemnitee shall notify the Party (and, if applicable, the Contingent Claim Committee) which is or may be required pursuant to this Article VII to make such indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) in writing, and in reasonable detail, of the Third Party Claim as promptly as practicable (and in any claim event within fifteen (15) days) after receipt by such Indemnitee of written notice of the Third Party Claim. If either Party shall receive notice or demand otherwise learn of the assertion of a Third Party Claim which may reasonably be determined to be a Specified Shared Liability, such Indemnified Party, as appropriate, shall give the Contingent Claim Committee (as determined pursuant to Article VI) written notice thereof within fifteen (15) days after such Person becomes aware of such Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that the failure to give provide notice of any such notice will Third Party Claim pursuant to this or the preceding sentence shall not affect such Indemnified Party’s rights hereunder unless, release the Indemnifying Party from any of its obligations under this Article VII except and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Party shall have been actually materially prejudiced as a result of such failure. The Thereafter, the Indemnitee shall deliver to the Indemnifying Party shall have (and, as applicable, to the right Managing Party and the Contingent Claim Committee), as promptly as practicable (and if it elects in any event within five (5) Business Days) after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to exercise such rightthe Third Party Claim. (b) Other than in the case of (i) Taxes addressed in the Tax Matters Agreement, which shall do so within twenty be addressed as set forth therein, (20ii) days after receiving such notice from the Indemnified Partyindemnification by a beneficiary Party of a guarantor Party pursuant to Section 2.3(b)(iii) to defend and to direct (the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected which shall be controlled by the Indemnifying beneficiary Party; provided), that or (iii) a Specified Shared Liability (the defense of which shall be controlled by the Managing Party as provided for in Article VI), an Indemnifying Party shall be entitled (but shall not be required) (A) to assume and control the defense of any Third Party Claim, and (B) if it does not assume the defense of such action only Third Party Claim, to participate in the defense of such Third Party Claim, in each case, at such Indemnifying Party’s own cost and expense and by such Indemnifying Party’s own counsel that is reasonably acceptable to the applicable Indemnitees (after consultation in good faith with the applicable Indemnitees), if it gives notice of its intention to do so to the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds applicable Indemnitees within thirty (30) days of the Indemnified Party harmless from and against all Losses resulting receipt of such notice from such Third-Party ClaimIndemnitees; and provided further provided, however, that the Indemnifying Party shall not be entitled to assume control the defense of any Third Party Claim to the extent such Third Party Claim (x) is an allegation of a criminal violation, (y) seeks injunctive, equitable or other relief other than monetary damages against the Indemnitee (provided that such Indemnitee shall reasonably cooperate with the Indemnifying Party, at the request of the Indemnifying Party, in seeking to separate any such claims from any related claim for monetary damages if this clause (y) is the sole reason that such Third Party Claim is a Non-Assumable Third Party Claim) or (z) is made by a Governmental Entity (clauses (x), (y) and (z), the “Non-Assumable Third Party Claims”). After notice from an Indemnifying Party to an Indemnitee of the Indemnifying Party’s election to assume the defense of a Third Party Claim, such Indemnitee shall have the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof, at its own expense and, in any event, shall cooperate with the Indemnifying Party in such defense if and make available to the Indemnifying Party, at the Indemnifying Party’s expense, all witnesses, pertinent Information, materials and other information in such Indemnitee’s possession or under such Indemnitee’s control relating thereto as are reasonably required by the Indemnifying Party; provided, however, that in the event a conflict of interest exists, or is reasonably likely to exist, that would make it inappropriate in the reasonable judgment of the applicable Indemnitee(s) for the same counsel to represent both the Indemnifying Party and the applicable Indemnitee(s), such Indemnitee(s) shall be entitled to retain, at the Indemnifying Party’s expense, separate counsel as required by the applicable rules of professional conduct with respect to such matter. In the event that the Indemnifying Party exercises the right to assume and control the defense of a Third Party Claim as provided above, (i1) the Indemnifying Party shall keep the Indemnitee(s) apprised of all material developments in such defense, (2) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of withdraw from the defense of such claim or demand or (y) the Indemnified Third Party has one or more defenses not available Claim without providing advance notice to the Indemnifying Party, (ivIndemnitee(s) such claim relates reasonably sufficient to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (vallow the Indemnitee(s) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel prepare to assume the defense of such claim Third Party Claim, and (3) the Indemnifying Party shall conduct the defense of the Third Party Claim actively and diligently, including the posting of bonds or demandother security required in connection with the defense of such Third Party Claim. (c) Other than in the case of a Specified Shared Liability or a Non-Assumable Third Party Claim, if an Indemnifying Party elects not to assume responsibility for defending a Third Party Claim or fails to notify an Indemnitee of its election as provided in Section 7.4(b), or if the Indemnifying Party fails to actively and diligently defend the Third Party Claim (including by withdrawing or threatening to withdraw from the defense thereof), the reasonable fees and disbursements of applicable Indemnitee(s) may defend such counsel shall be Third Party Claim at the cost and expense of the Indemnifying Party. The If the Indemnitee is conducting the defense of any Third Party Claim, the Indemnifying Party shall have no indemnification obligations cooperate with the Indemnitee in such defense and make available to the Indemnitee, at the Indemnifying Party’s expense, all witnesses, pertinent Information, material and other information in such Indemnifying Party’s possession or under such Indemnifying Party’s control relating thereto as are reasonably required by the Indemnitee. (d) Other than any Third Party Claim that is in respect to any such claim or demand of a Specified Shared Liability, which shall be settled governed by the Indemnified Article VI, no Indemnitee may admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge any Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The delayed. (e) In the case of a Third Party Claim (except for any Third Party Claim that is in respect of a Specified Shared Liability which, with respect to the subject matter of this Section 7.4(e), shall be governed by Article VI), the Indemnifying Party shall not settle admit any such claim liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge the Third Party Claim without the prior written consent of the Indemnified Party Indemnitee (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if delayed) unless such settlement is accompanied or judgment (A) completely and unconditionally releases the Indemnitee in connection with such matter, (B) provides relief consisting solely of money damages borne by a document releasing the Indemnified Indemnifying Party from and (C) does not involve any admission by the Indemnitee of any wrongdoing or violation of Law. (f) Notwithstanding anything herein or in any Ancillary Agreement or any Conveyancing and Assumption Instrument to the contrary, other than as provided in Section 11.18 with respect to this Agreement, (i) the indemnification provisions of this Article VII shall be the sole and exclusive remedy of the Parties, the parties to the Conveyancing and Assumption Instruments and any Indemnitee for any breach of this Agreement or any Conveyancing and Assumption Instrument and for any failure to perform and comply with any covenant or agreement in this Agreement or in any Conveyancing and Assumption Instrument; (ii) each party hereto and each Indemnitee expressly waives and relinquishes any and all liability rights, claims or remedies it may have with respect to the matter foregoing other than under this Article VII against any Indemnifying Party; (iii) neither Party, the members of their respective Groups or any other Person may bring a claim under any Conveyancing and Assumption Instrument; (iv) any and all claims arising out of, resulting from, or in controversy connection with the Internal Reorganization, the Business Realignment or the other transactions contemplated in this Agreement must be brought under and in accordance with the terms of this Agreement; and (v) no breach of this Agreement or any Conveyancing and Assumption Instrument shall give rise to any right on the part of either party hereto or thereto, after the consummation of the Distribution, to rescind this Agreement, any Conveyancing and Assumption Instrument or any of the transactions contemplated hereby or thereby, except as expressly provided in Section 2.6(a) and Section 2.6(b); provided, however, that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object with respect to the settlement within five transactions contemplated by this Agreement (5) Business Days of receipt of a written notice from including the Indemnifying Party containing the terms and condition of such settlementInternal Reorganization, the Indemnified Business Realignment and the Distribution), the Parties may also bring claims arising under the Tax Matters Agreement under and in accordance with the Tax Matters Agreement and claims arising under the Employee Matters Agreement under and in accordance with the Employee Matters Agreement. Each Party shall cause the members of its Group to comply with this Section 7.4(f). (g) The provisions of this Article VII shall apply to Third Party Claims that are already pending or asserted as well as Third Party Claims brought or asserted after the date of this Agreement. There shall be deemed no requirement under this Section 7.4 to have consented give a notice with respect to any Third Party Claim that exists as of the Effective Time. Each Party on behalf of itself and each other member of its Group acknowledges that Liabilities for Actions (regardless of the parties to the settlement.Actions) may be partly IP

Appears in 2 contracts

Sources: Separation and Distribution Agreement (Xperi Inc.), Separation and Distribution Agreement (Xperi Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) The party seeking indemnification hereunder under Section 12.2 (each an the “Indemnified Party”) shall agrees to give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice (in accordance with Section 13.11) to the party from which against whom indemnity is sought (each an the “Indemnifying Party”) of the assertion of any third party claim, or the commencement of any suit, action or proceeding in respect of which indemnity may be sought under Section 12.2 (the “Third Party Claims”). Such notice referred to in the preceding sentence shall state the relevant facts and include therewith relevant documents and a statement in reasonable detail as to the basis for the indemnification sought. The failure by any Indemnified Party so to notify the Indemnifying Party shall not relieve any Indemnifying Party from any Liability which it may have to such Indemnified Party with respect to any claim made pursuant to this Section 12.3, except to the extent such failure shall actually prejudice an Indemnifying Party. In the event of the assertion of any claim or demand the commencement of any suit, action or proceeding in respect of which such indemnity would be sought by the Indemnified Party has knowledge and as to which it may request indemnification hereunder; providedbut for the fact that the notice of such claim, howeversuit, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely action or proceeding was sent to the extent thatIndemnifying Party, the rights Indemnifying Party shall give prompt notice to the Indemnified Party of such claim, suit, action or proceeding. (b) Upon receipt of notice from the Indemnified Party pursuant to Section 12.3(a), the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Party will have the right to, subject to the provisions of Section 12.3, assume the defense and control of such failureThird Party Claims. The In the event the Indemnifying Party assumes the defense of a Third Party Claim, the Indemnified Party shall have the right (and if it elects but not the obligation to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct participate in the defense against any of such claim or demand, in Third Party Claim with its name or in the name of the Indemnified Party, as the case may be, own counsel and at the its own expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, (provided that the Indemnifying Party shall be entitled to assume control pay the reasonable attorneys’ fees of the Indemnified Party if (i) the employment of separate counsel shall have been authorized in writing by such Indemnifying Party in connection with the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Third Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if , (iii) the Indemnifying Party shall not have notified employed counsel reasonably satisfactory to the Indemnified Party of its exercise of its right to defend such Third-Third Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified PartyClaim, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict concluded, upon advice of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of Party’s counsel, that there may be material defenses available to such claim or demand or (y) the Indemnified Party has one that are different from or more defenses not additional to those available to the Indemnifying Party, (iv) such claim relates the Indemnifying Party’s counsel shall have advised the Indemnifying Party in writing, with a copy delivered to or arises in connection with any criminal proceedingthe Indemnified Party, action, indictment, allegation or investigationthat there is a conflict of interest that could make it inappropriate under applicable standards of professional conduct to have common counsel, or (v) such Third Party Claim shall seek injunctive or equitable relief that if granted would materially interfere with the appropriate court rules that conduct of the Business) and the Indemnifying Party failed will cooperate with the Indemnified Party. Any election by an Indemnifying Party not to assume the defense of a Third Party Claim must be received by the Indemnified Party reasonably promptly following its receipt of the Indemnified Party’s notice delivered pursuant to Section 12.3(a). If the Indemnifying Party elects to assume the defense of a Third Party Claim, the Indemnifying Party shall select counsel reasonably acceptable to the Indemnified Party; shall take all steps necessary in the defense or is failing to vigorously prosecute or defend settlement of such Third-Third Party Claim; and shall at all times diligently and promptly pursue the resolution of such Third Party Claim. Notwithstanding anything in this Agreement to the contrary, the The Indemnified Party shall, at the expense and shall cause each of the Indemnifying Partyits Affiliates and Representatives to, cooperate fully with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim Third Party Claim defended by the Indemnifying Party. (c) The Indemnifying Party shall be authorized to consent to a settlement of, or demand with counsel employed at its own expense; provided, however, that, in the case entry of any claim or demand described in clause (i) or (ii) of the second preceding sentence or judgment arising from, any Third Party Claim as to which the Indemnifying Party shall not in fact have employed counsel to assume has assumed the defense in accordance with the terms of Section 12.3, without the consent of any Indemnified Party, but only to the extent that such claim settlement or demandentry of judgment (i) provides solely for the payment of money by the Indemnifying Party or imposes an obligation of confidentiality, and (ii) provides a complete release of any Indemnified Party potentially affected by such Third Party Claim from all matters that were or could have been asserted in connection with such claims. Except as provided in the reasonable fees and disbursements foregoing sentence, settlement or consent to entry of such counsel judgment shall be at require the expense prior approval of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall such approval not to be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 2 contracts

Sources: Renewal Rights and Asset Purchase Agreement (Amtrust Financial Services, Inc.), Renewal Rights and Asset Purchase Agreement (Amtrust Financial Services, Inc.)

Procedures for Third Party Claims. In (a) The Sellers acknowledge that they have received notice from the case Company of the Third Party Claims. The Company, as the Indemnified Party with respect to the Third Party Claims, shall give the Sellers, as the Indemnifying Parties with respect to such Third Party Claims, copies of all documents and information (including court papers) relating to any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “such Third-Party Claim”), a party seeking indemnification hereunder Claim within ten (each an “10) days of their being obtained by the Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that the failure by the Indemnified Party to give provide copies within such notice will ten (10)-day period to the Indemnifying Party shall not affect such relieve the Indemnifying Party from any liability to the Indemnified Party’s rights Party for any liability hereunder unless, and then solely except to the extent that, that such failure shall have materially prejudiced the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result defense of such failure. Third-Party Claim. (b) The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such upon written notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as to assume the case defense and control of a Third-Party Claim, to investigate, contest, defend or settle any Third-Party Claim that may beresult in Losses with respect to which the Indemnified Party is entitled to indemnification pursuant to this Article 7 and select legal counsel of its choosing reasonably satisfactory to the Indemnified Party in connection therewith; provided, however, that the Indemnified Party may, at its option and at its own expense, participate in the expense investigation, contesting, defense or settlement of any such Third-Party Claim through representatives of its own choosing. Notwithstanding anything to the contrary herein, the Indemnifying Party may only investigate, contest, defend or settle such Third-Party Claim if (x) it acknowledges in writing to the Indemnified Party that any Losses that may be assessed against the Indemnified Party in connection with such Third-Party Claim shall constitute Losses for which the Indemnified Party shall be indemnified by the Indemnifying Party pursuant to this Article 7 and (y) such Third-Party Claim does not involve criminal or quasi-criminal liability or equitable relief sought against the Indemnified Party. Notwithstanding anything to the contrary herein, the Indemnifying Party shall not settle or compromise, or agree to the entering of any judgment in respect of, any Third-Party Claim without the consent to the terms of such settlement, compromise or judgment by the Indemnified Party, which consent shall not unreasonably be withheld, conditioned or delayed unless (i) the terms of such settlement, compromise or judgment calls only for a monetary payment to the Indemnified Party (or of the Third-Party Claim directly) and (ii) the Indemnifying Party agrees in writing to pay any amounts payable pursuant to such settlement, compromise or judgment and such settlement, compromise or judgment includes a complete release of the Indemnified Party from further liability and has no other adverse effect on the Indemnified Party. If requested in writing by the Indemnifying Party, and with counsel selected by the Indemnified Party shall, at the Indemnifying Party; provided’s expense, that cooperate with the Indemnifying Party shall be entitled and its counsel in contesting any Third-Party Claim or, if appropriate and related to assume control of the defense of such action only if Third-Party Claim in question, in making any reasonable counterclaim against the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from Person making such Third-Party Claim; and provided further that , or any cross complaint against any Person (other than the Indemnified Party or its Affiliates) or similar action. Notwithstanding the foregoing, if the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified directs the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of assume the defense of such claim Third Party Claim or demand or (y) shall not have promptly elected to assume the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend defense of such Third-Party Claim. Notwithstanding anything in , or is not permitted to assume the defense of such Third-Party Claim pursuant to this Agreement to the contrarySection 7.5(b), the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate do so in such manner as it deems appropriate in consultation with the Indemnifying Party; provided, and keep however, the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in assume the defense (including the selection or substitution of legal counsel of its choosing reasonably satisfactory to the Indemnified Party) of such Third-Party Claim at any claim or demand time thereafter in compliance with counsel employed at its own expense; the other provisions of this Section 7.5(b) and provided, howeverfurther, that, in that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Indemnified Party shall not settle or compromise, or agree to the entering of any judgment in fact have employed counsel respect of, any Third-Party Claim for which it seeks to assume the defense of such make a claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no for indemnification obligations with respect pursuant to any such claim or demand which shall be settled by the Indemnified Party this Article 7 without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioneddelayed. The Indemnifying Party shall be entitled to participate in (but not settle to control) the defense of any such claim without Third-Party Claim which it has not elected to defend or has not otherwise subsequently assumed the prior written consent defense of or which it is not entitled to defend, with its own counsel and at its expense. (c) From and after the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability delivery of notice with respect to a Third-Party Claim pursuant to Section 7.5(a), at the matter in controversy reasonable request of the Person that is bindingassumes the control of such Third-Party Claim, valid the Company and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails its representatives shall grant to object such Person and its representatives reasonable access to the settlement within five (5) Business Days personnel, books, records and properties of receipt of a written notice from the Indemnifying Party containing Company and its Subsidiaries and their representatives to the terms and condition of extent reasonably related to the matters to which the claim relates. All such settlement, the Indemnified Party access shall be deemed granted upon reasonable advance notice, during normal business hours and shall be granted under conditions designed to have consented minimize the disruption to the settlementbusinesses of the Company and its representatives, as the case may be. The Person receiving such access shall not, and shall use its commercially reasonable efforts to cause its representatives not to, use or disclose to any third person other than its representatives (except as may be required by Applicable Laws) any confidential information obtained pursuant to this Section 7.5(c).

Appears in 2 contracts

Sources: Securities Purchase Agreement (Learning Tree International, Inc.), Securities Purchase Agreement (Collins David C)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification arising from a claim under this Agreement, the Indemnitee shall give such Indemnitor reasonably prompt written notice (but in no event later than 30 days after becoming aware of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-such Third Party Claim”), ) thereof and such notice shall include a party seeking indemnification hereunder (each reasonable description of the claim based on the facts known at the time and any documents relating to the claim and an “Indemnified Party”) estimate of the Indemnifiable Loss and shall give prompt written notice, following such Indemnified Party’s receipt reference the specific sections of this Agreement that form the basis of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunderextent reasonably ascertainable; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that) the Indemnitor is actually prejudiced by such delay (except that the Indemnitor shall not be liable for any expenses incurred during the period in which the Indemnitee failed to give such notice). Thereafter, the rights Indemnitee shall deliver to the Indemnitor, within five Business Days after the Indemnitee’s receipt thereof, copies of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right all notices and documents (and if it elects to exercise such right, shall do so within twenty (20including court papers) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected received by the Indemnifying Party; provided, that Indemnitee relating to the Indemnifying Third Party Claim. (b) The Indemnitor shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; providedThird Party Claim and, howeverif it so chooses, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such thereof with counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled selected by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.the

Appears in 2 contracts

Sources: Master Transaction Agreement, Master Transaction Agreement (Aetna Inc /Pa/)

Procedures for Third Party Claims. In (a) Promptly after receipt by an Indemnified Party of notice of the case commencement of any claim for indemnification arising from Action by a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”)) with respect to any matter for which indemnification is or may be owing pursuant to Section 9.2 or 9.3 hereof, a party seeking indemnification hereunder (each an “the Indemnified Party”) shall Party will give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice thereof to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; , provided, however, that the failure of the Indemnified Party to notify the Indemnifying Party will not relieve the Indemnifying Party of any of its obligations hereunder, except to the extent that the Indemnifying Party demonstrates that the defense of such Third Party Claim has been actually prejudiced by the Indemnified Party’s failure to give such notice will not affect such notice. _____________________________ (b) If any Action referred to in Section 9.5(a) is brought against an Indemnified Party’s rights hereunder unless, Party and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) Party gives notice to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall of the commencement of such Action, the Indemnifying Party will be entitled to assume control of the defense of participate in such action only if the Indemnifying Party acknowledges in writing its indemnity obligations Action, and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (iunless (x) the Indemnifying Party shall not have notified is also a party to such Action and the Indemnified Party determines in good faith that joint representation would be inappropriate upon the advice of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded outside counsel that (x) there is a conflict of interest exists between the Indemnified Party and the Indemnifying Party in the conduct of the defense of with respect to such claim or demand Action, or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing fails to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement provide reasonable assurance to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate its financial capacity to defend such Action and provide indemnification with the Indemnifying Party, and keep the Indemnifying Party fully informed, in respect to such Action) may assume the defense of such claim or demand. The Action with counsel satisfactory to the Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; providedand, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which after notice from the Indemnifying Party shall not in fact have employed counsel to the Indemnified Party of its election to assume the defense of such claim or demandAction, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations will not, as long as it diligently conducts such defense, be liable to the Indemnified Party under this Section 9.5 for any fees of other counsel with respect to any the defense of such claim or demand which shall be settled Action, in each case subsequently incurred by the Indemnified Party in connection with the defense of such Action. (c) If the Indemnifying Party is entitled to and assumes the defense of an Action, no compromise or settlement of such claims or Action may be effected by the Indemnifying Party without the prior Indemnified Party’s written consent of the Indemnifying Party, (which consent shall not be unreasonably withheld) unless (i) there is no finding or admission of any violation of Law or any violation of the rights of any Person and no effect on or grounds for the basis of any other Claims that may be made against the Indemnified Party, delayed or conditioned. The and (ii) the sole relief provided is monetary damages that are paid in full by the Indemnifying Party shall not settle any such claim without the prior written consent of Party; and the Indemnified Party (which consent shall not be unreasonably withheldwill have no Liability with respect to any compromise or settlement of such claims or Action effected without Indemnified Party’s written consent. Notwithstanding the assumption by the Indemnifying Party of the defense of any Claim or Action, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect will be permitted to join in such defense and to employ counsel at its own expense. If notice pursuant to Section 9.5(a) is given to an Indemnified Party of the commencement of any Action and the Indemnifying Party does not, within ten (10) Business Days after such Indemnified Party’s notice is given, give notice to the matter Indemnified Party of its election to assume the defense of such Action, the Indemnifying Party will be bound by any determination made in controversy that is binding, valid and enforceable against all applicable Parties). such Action or any compromise or settlement effected by the Indemnified Party. (d) Notwithstanding the foregoing, if the Indemnified Party fails determines in good faith that there is a reasonable probability that an Action may adversely affect the Indemnified Party or its Affiliates other than as a result of monetary Losses for which it would be entitled to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlementindemnification under this Agreement, the Indemnified Party shall be deemed to have consented may, by notice to the settlementIndemnifying Party, assume the exclusive right to defend, compromise or settle such Action, but the Indemnifying Party will not be bound by any compromise or settlement effected without its written consent (which may not be unreasonably withheld). (e) The Indemnifying Party and the Indemnified Party agree to provide each other with reasonable access during regular business hours to the properties, books and records and Representatives of the other, as reasonably necessary in connection with the preparation for an existing or anticipated Action involving a Third Party Claim and its obligations with respect thereto pursuant to this Article 9.

Appears in 1 contract

Sources: Asset Purchase Agreement (Otter Tail Corp)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-"Third Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified PartyParty and it is reasonably necessary for the Indemnified Party to utilize its own counsel either due to time demands or the mature of the relief sought, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a an actual conflict of interest between arising from the counsel chosen by the Indemnified Party and representing the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Third Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Asset Purchase Agreement (Cd&l Inc)

Procedures for Third Party Claims. In the case (a) To be entitled under this Agreement to indemnification in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above or demand by another Person, (a Third-Third Party Claim”), an Indemnified Party must deliver to the Indemnifying Party, promptly, but in any event within five (5) Business Days of becoming aware of any facts or circumstances that would reasonably be expected to give rise to a party seeking claim for indemnification hereunder (each an “hereunder, written notice thereof, specifying, to the extent then known by the Indemnified Party”) shall give prompt written notice, following the amount of such Indemnified Party’s receipt claim, the nature and basis of such claim and all relevant facts and circumstances relating thereto, in each case in reasonable detail, including copies of all notices and documents (including court papers) received by or demand, otherwise in the possession of the Indemnified Party or any of its Affiliates or representatives relating to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that the failure to give such notice will shall not affect such Indemnified Party’s rights hereunder unless, and then solely the right to indemnification under this Article IX except to the extent thatof actual material prejudice to the Indemnifying Party. Thereafter, the rights of Indemnified Party shall keep the Indemnifying Parties Party informed on a current basis as to any changes or developments with respect to the foregoing, including providing copies of all notices and documents (including court papers) from whom indemnity time to time received by the Indemnified Party or any of its Affiliates or representatives relating to the Third Party Claim. (b) If a Third Party Claim is sought are prejudiced as a result of such failure. The made against an Indemnified Party, the Indemnifying Party shall have be entitled to participate in the right (and defense thereof and, if it elects elects, to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying Party; provided, that the . Should an Indemnifying Party shall be entitled elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-a Third Party Claim; and provided further that , the Indemnifying Party shall not be entitled liable to assume control of such the Indemnified Party for legal expenses subsequently incurred by the Indemnified Party in connection with the defense if (i) thereof. If the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend assumes such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, separate from the counsel employed by the Indemnifying Party, it being understood, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which that the Indemnifying Party shall not in fact have employed counsel control such defense. If the Indemnifying Party elects to assume the defense of such claim a Third Party Claim, each party shall cooperate in the defense or demand, the reasonable fees and disbursements prosecution of such counsel Third Party Claim. Such cooperation shall be at include the expense of retention and (upon the Indemnifying Party’s request) the provision to the Indemnifying Party of records and information (including those of the Acquired Companies, if applicable) which are reasonably relevant to such Third Party Claim, and making employees (including those of the Acquired Companies, if applicable) available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. No compromise or settlement of any Third Party Claim may be effected by the Indemnifying Party without the Indemnified Party’s consent, which shall not be unreasonably withheld, conditioned or delayed, unless (i) there is no finding or admission of any violation of Law and (ii) each Indemnified Party that is party to such Third Party Claim is released from liability with respect to such claim. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be is settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Interest Purchase Agreement (Commercial Metals Co)

Procedures for Third Party Claims. (a) In the case of event that any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above IAT Party or Delta Party (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written noticereceives notice of the assertion of any claim for Damages or of the commencement of any action or proceeding for Damages, following in any case by any Person who is not a party to this Agreement or an Affiliate of a party to this Agreement (a “Third Party Claim”) against such Indemnified Party’s receipt of such claim , with respect to which a party to this Agreement is or demand, may be required to the party from which indemnity is sought provide indemnification under this Agreement (each an “Indemnifying Party”) of any claim or demand of which such ), the Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to shall give such written notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent thatIndemnifying Party as promptly as practicable after becoming aware of such Third Party Claim. Subject to Section 24.03(e), the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so upon written notice to the Indemnified Party (the “Defense Notice”) within twenty ten (2010) days after receiving such notice receipt from the Indemnified Party) Party of notice of such claim, specifying the counsel the Indemnifying Party shall appoint to defend and such Third Party Claim (“Defense Counsel”), to direct conduct at its expense the defense against any such claim or demand, Third Party Claim in its name own name, or if necessary, in the name of the Indemnified Party, provided, that, the Indemnified Party shall have the right to approve the Defense Counsel, and in the event the Indemnifying Party and the Indemnified Party cannot agree upon such counsel within five (5) days after the Defense Notice is provided, then the Indemnifying Party shall propose an alternate Defense Counsel, which shall be subject again to the Indemnified Party’s approval. The Indemnifying Party shall be liable for the reasonable fees and expenses of counsel employed by the Indemnified Party for any period during which the Indemnifying Party has not assumed the defense of any such Third Party Claim in accordance with this Section 24.03(a) for which it is ultimately found liable for such indemnification obligation. (b) In the event that the Indemnifying Party shall fail to give the Defense Notice, it shall be deemed to have elected not to conduct the defense of the subject claim, and in such event the Indemnified Party shall have the right to conduct such defense and to compromise and settle the Third Party Claim without the prior consent of the Indemnifying Party and the Indemnifying Party shall be liable for all costs, expenses, settlement amounts or other Damages paid or incurred in connection therewith for which it is ultimately found liable for such indemnification obligation. (c) In the event that the Indemnifying Party delivers a Defense Notice and thereby elects to conduct the defense of the subject Third Party Claim, the Indemnifying Party shall have the right to conduct such defense and, except as provided in Section 24.03(d), to settle the Third Party Claim without the prior consent of the Indemnified Party. The Indemnified Party shall cooperate with and make available to the Indemnifying Party such assistance and materials as the case Indemnifying Party may bereasonably request, all at the expense of the Indemnifying Party, and with the Indemnified Party shall have the right at its expense to participate in the defense assisted by counsel selected by of its own choosing (at no cost or expense of the Indemnifying Party; provided), that provided that, the Indemnified Party shall have the right to compromise and settle the Third Party Claim only with the prior written consent of the Indemnifying Party. (d) The foregoing notwithstanding, no Indemnifying Party shall be entitled consent to assume control the entry of any judgment or enter into any settlement without the defense prior written consent of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless (i) if such judgment or settlement does not include as an unconditional term thereof the giving by each claimant or plaintiff to each Indemnified Party which is subject to the applicable claim, or a party to the applicable action or proceeding, of a release from and all liability in respect to such claim; (ii) if such judgment or settlement would result in the finding or admission of any violation of law against all Losses resulting from an Indemnified Party; or (iii) if as a result of such Third-consent or settlement, injunctive or other equitable relief would be imposed against the Indemnified Party Claim; and provided further that or such judgment or settlement would materially interfere with or adversely affect the business, operations or assets of the Indemnified Party. (e) Notwithstanding anything to the contrary contained herein, the Indemnifying Party shall not be entitled to assume control, and the Indemnified Party shall be entitled to have sole control over, the defense or settlement of any Third Party Claim (and the cost of such defense and any Damages with respect to such Third Party Claim shall constitute an amount for which the Indemnified Party is entitled to indemnification hereunder) if (i) the Indemnifying Third Party shall not have notified the Indemnified Party of its exercise of its right Claim is with respect to defend such Third-Party claim within such twenty (20) day perioda criminal proceeding, action, indictment, allegation or investigation; (ii) the Indemnifying Party has failed or is failing to vigorously prosecute or defend such claim Third Party Claim; or demand (ii) the Third Party Claim seeks an injunction or other equitable relief against the Indemnified Party, . (iiif) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party Any judgment entered or settlement agreed upon in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with manner provided herein shall be binding upon the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right conclusively be deemed to participate in the defense of any claim or demand be an obligation with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as respect to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect entitled to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementprompt indemnification hereunder.

Appears in 1 contract

Sources: Anchor Tenant Agreement (Delta Air Lines Inc /De/)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-"Third Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third Party Claim described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Stock Purchase Agreement (Iat Multimedia Inc)

Procedures for Third Party Claims. In the case If any action, suit or proceeding (each, a “Proceeding”) is brought against a person (an “indemnified party”) in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject which indemnity may be sought against CMA CGM pursuant to Section 13.3 above (a “Third-Party Claim”)1 above, a such indemnified party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt promptly notify CMA CGM in writing of the institution of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge Proceeding and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party CMA CGM shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandProceeding. The Indemnified Party indemnified party or parties shall have the right to participate employ its or their own counsel in any such case, but the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements expenses of such counsel shall be at the expense of such indemnified party or parties unless the Indemnifying Party. The Indemnifying Party employment of such counsel shall have no indemnification obligations been authorized in writing by CMA CGM in connection with respect the defense of such Proceeding or CMA CGM shall not have, within a reasonable period of time in light of the circumstances, employed counsel to defend such Proceeding or such indemnified party or parties shall have reasonably concluded that there may be defenses available to it or them which are different from, additional to or in conflict with those available to CMA CGM (in which case CMA CGM shall not have the right to direct the defense of such Proceeding on behalf of the indemnified party or parties), in any of which events such fees and expenses shall be borne by CMA CGM and paid as incurred (it being understood, however, that CMA CGM shall not be liable for the expenses of more than one separate counsel (in addition to any local counsel) in any one Proceeding or series of related Proceedings in the same jurisdiction representing the indemnified parties who are parties to such claim or demand which Proceeding). CMA CGM shall not be liable for any settlement of any Proceeding effected without its written consent. Notwithstanding the foregoing sentence, if at any time an indemnified party shall have requested CMA CGM to reimburse the indemnified party for fees and expenses of counsel as contemplated by the second sentence of this Section 3, then CMA CGM agrees that it shall be settled liable for any settlement of any Proceeding effected without its written consent if (i) such settlement is entered into more than 60 business days after receipt by CMA CGM of the Indemnified Party aforesaid request, (ii) CMA CGM shall not have fully reimbursed the indemnified party in accordance with such request prior to the date of such settlement and (iii) such indemnified party shall have given CMA CGM at least 30 days’ prior notice of its intention to settle. CMA CGM shall not, without the prior written consent of the Indemnifying Partyindemnified party, effect any settlement of any pending or threatened Proceeding in respect of which consent shall not be unreasonably withheldany indemnified party is or could have been a party and indemnity could have been sought hereunder by such indemnified party, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by a document releasing the Indemnified Party includes an unconditional release of such indemnified party from all liability with respect on claims that are the subject matter of such Proceeding and does not include an admission of fault or culpability or a failure to the matter in controversy that is binding, valid and enforceable against all applicable Parties)act by or on behalf of such indemnified party. Notwithstanding the foregoing, CMA CGM shall have the right to settle any Proceeding if the Indemnified Party fails relevant indemnified party has been notified in writing of the proposed terms of such settlement and such indemnified party has not responded to object to the settlement such proposal within five (5) Business Days 30 days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementnotification.

Appears in 1 contract

Sources: Indemnification Agreement (Global Ship Lease, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject which claim results in a payment to Section 13.3 above such third party (a “Third-Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of for which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; hereunder (provided, however, that failure to give such notice will not affect such no delay on the part of the Indemnified Party’s rights Party in notifying any Indemnifying Party shall relieve the Indemnifying Party from any obligation hereunder unless, and then solely to the extent thatextent, the rights of Indemnifying Party is prejudiced thereby). Except as otherwise provided herein, the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird-Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further however, that the Indemnifying Party shall not be entitled to assume the defense or control of such defense a Third-Party Claim and shall pay the fees and expenses of counsel retained by the Indemnified Party if (ia) the Indemnifying Party shall does not have notified acknowledge to the Indemnified Party in writing its obligations to indemnify the Indemnified Party with respect to all elements of its exercise such claim within thirty (30) days of its right to defend receipt of written notice of such indemnity claim from the Indemnified Party, (b) such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, (iiic) such Third-Party Claim involves any criminal proceeding, action, indictment, allegation or investigation against the Indemnified Party, or (d) counsel to the Indemnified Party shall have reasonably concluded that (xi) there is a material conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third-Party Claim, or (yii) the Indemnified Party has one or more defenses not available to the Indemnifying Party; provided further, (iv) such claim relates that in the event any Third-Party Claim is brought or asserted which, if decided against the Indemnified Party, would not entitle the Indemnified Party to or arises full indemnity pursuant to this Section 5, for any reason, the Indemnified Party may elect to participate in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend a joint defense of such Third-Party ClaimClaim for which the expenses of such joint defense will be shared equitably by such Parties and the retention of counsel shall be reasonably satisfactory to both Parties. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird-Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third-Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim or demand Third-Party Claim described in clause (ia), (b) or (iic) of the second preceding sentence above or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird-Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. No compromise or settlement of any Third-Party Claim may be effected by the Indemnifying Party without the Indemnified Party’s consent (which shall not be unreasonably withheld, conditioned or delayed) unless (A) there is no finding or admission of any violation of Law and no effect on any other claims that may be made against such Indemnified Party or its Affiliates, and (B) each Indemnified Party that is party to such Third-Party Claim is fully and unconditionally released from liability with respect to such claim. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third-Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Acquisition Agreement (China Carbon Graphite Group, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”a) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of If any claim or demand made by any Person other than the Purchaser or the Seller or their respective Affiliates against a Purchaser Indemnified Party or a Seller Indemnified Party, as applicable (a “Third Party Claim”) shall be brought or alleged against an indemnified party in respect of which indemnity is to be sought against an indemnifying party pursuant to Section 7.1 or Section 7.2, the indemnified party shall, promptly after receipt of notice of the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that the failure to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 7.1 or Section 7.2 unless, and then solely only to the extent that, the rights indemnifying party is actually prejudiced by such failure. (b) In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 7.3, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel to the indemnifying party), and, after notice from whom indemnity is sought are prejudiced as a result the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such failure. The Indemnifying indemnified party under this Article VII for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. (c) In any such Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them based on the advice of counsel to the indemnifying party. It is agreed that the indemnifying party shall not, in connection with any Third Party Claim or related proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate law firm (in addition to local counsel where necessary) for all such indemnified parties. (d) The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its written consent, but, if settled with such consent or if there is a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party, effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional written release of such indemnified party, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense subject matter of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or does not include any statement as to which the Indemnifying Party shall not in fact have employed counsel an admission of fault, culpability or failure to assume the defense act or violation of such claim Law by or demandon behalf of any indemnified party, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.and

Appears in 1 contract

Sources: Purchase and Sale Agreement (Macrogenics Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) The party seeking indemnification hereunder under Section 13.1 (each an “the "Purchaser's Indemnified Party”Parties" or "Seller's Indemnified Parties", generically the "Indemnified Parties") shall give agrees to deliver prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice (in accordance with Section 14.9) to the party from which against whom indemnity is sought (each an “the "Indemnifying Party") of the assertion of any claim claim, or demand the commencement of any suit, action or proceeding in respect of which such indemnity may be sought under Section 13.1 (the "Third Party Claims"). Such notice referred to in the preceding sentence shall state the relevant facts and include therewith relevant documents and a statement in reasonable detail as to the basis for the indemnification sought. The failure by any Indemnified Party has knowledge and as so to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that notify the Indemnifying Party shall not be entitled relieve any Indemnifying Party from any liability which it may have to such Indemnified Party with respect to any claim made pursuant to this Section 13.2, except to the extent such failure shall actually and materially prejudice an Indemnifying Party. (b) Upon receipt of notice from the Indemnified Party pursuant to Section 13.2(a), the Indemnifying Party will have the right to (and will, if requested by the Indemnified Party), subject to the provisions of Section 13.2(c), assume the defense and control of such Third Party Claims. In the event the Indemnifying Party assumes the defense if of a Third Party Claim, (i) the Indemnifying Party shall not have notified be liable for any legal expenses subsequently incurred by the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; and (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right but not the obligation to participate in the defense of any claim or demand such Third Party Claims with their own counsel employed and at its their own expenseexpense and the Indemnifying Party will cooperate with the Indemnified Party. Any election by an Indemnifying Party not to assume the defense of a Third Party Claim must be received by the Indemnified Party not more than 10 business days after receipt of the Indemnified Party's notice delivered pursuant to Section 13.2(a). If the Indemnifying Party elects to assume the defense of a Third Party Claim, the Indemnifying Party shall select counsel, and consultants of recognized standing and competence after consultation with the Indemnified Party; provided, however, that, shall take all steps necessary in the case defense or settlement of such Third Party Claims; and shall at all times diligently and promptly pursue the resolution of such Third Party Claims. The Indemnified Party shall, and shall cause each of their Affiliates and representatives to, cooperate fully with the Indemnifying Party in the defense of any claim Third Party Claim defended by the Indemnifying Party. (c) The Indemnifying Party shall be authorized to consent to a settlement of, or demand described in clause (i) or (ii) the entry of the second preceding sentence or any judgment arising from, any Third Party Claim as to which the Indemnifying Party shall have assumed the defense in accordance with the terms of Section 13.2(b), without the consent of any Indemnified Party, but only to the extent that such settlement or entry of judgment (i) provides solely for the payment of money by the Indemnifying Party and (ii) provides a complete release of any Indemnified Party potentially affected by such Third Party Claim from all matters that were or could have been asserted in connection with such claims. Except as provided in the foregoing sentence, settlement or consent to entry of judgment shall require the prior approval of the Indemnified Party, such approval not in fact to be unreasonably withheld, conditioned or delayed. If the Indemnifying Party shall not have employed counsel to assume assumed the defense of such claim or demanda Third Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party shall not consent to any settlement of, or the entry of any judgment arising from, such Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioneddelayed. The Indemnifying Party For purposes of this subparagraph, "consent to entry of judgment" shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied read to encompass failure by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing to finally pursue and perfect any rights of appeal, including discretionary appellate review in the terms and condition nature of such settlement, the Indemnified Party shall be deemed to have consented to the settlementcertiorari petition or otherwise.

Appears in 1 contract

Sources: Renewal Rights Purchase Agreement (Endurance Specialty Holdings LTD)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification arising from a claim of a third-party other under this Agreement, the Indemnitee shall give such Indemnitor reasonably prompt written notice (but in no event later than an Infringement Claim subject to Section 13.3 above thirty (30) days after becoming aware) thereof (a “Third-Claim Notice”) and such Claim Notice shall include a reasonable description of the claim and any documents relating to the claim and an estimate of the Indemnifiable Loss to the extent known and shall reference the specific sections of this Agreement that form the basis of such claim; provided that no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation or otherwise affect the rights of any Indemnitee hereunder unless (and then solely to the extent) the Indemnitor is actually prejudiced by such delay. Thereafter, the Indemnitee shall deliver to the Indemnitor, within five (5) calendar days after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to the Third Party Claim”). (b) The Indemnitor shall be entitled to participate in the defense of any Third Party Claim and, a party seeking indemnification hereunder if it so chooses by giving written notice to the Indemnitee within thirty (each an “Indemnified Party”30) shall give prompt written notice, following such Indemnified Party’s days after its receipt of the Claim Notice with respect to such claim or demandThird Party Claim, to assume the party from which indemnity is sought (each an “Indemnifying Party”) defense thereof with counsel selected by the Indemnitor and reasonably acceptable to the Indemnitee and at the Indemnitor’s expense. Should the Indemnitor so elect to assume the defense of any claim or demand a Third Party Claim, the Indemnitor shall not as long as it conducts such defense be liable to the Indemnitee for legal expenses incurred by the Indemnitee in connection with the defense thereof subsequent to the Indemnitor notifying the Indemnitee in writing of which its election to assume such Indemnified Party has knowledge and as to which it may request indemnification hereunderdefense; provided, however, that, if the Indemnitee concludes based on the advice of outside counsel that failure a conflict in interest between the Indemnitor and the Indemnitee exists with respect to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely Third Party Claim or there may be defenses or counterclaims available to the extent thatIndemnitee that are inconsistent with those available to the Indemnitor, the rights Indemnitor shall be liable for the reasonable out-of-pocket legal expenses of one counsel that are incurred by the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of Indemnitee in connection with the defense thereof. If the Indemnitor assumes such failure. The Indemnifying Party defense in accordance with this Section 9.3(b), the Indemnitee shall have the right (to participate in the defense thereof and if it elects to exercise such rightemploy counsel, shall do so within twenty (20) days after receiving such notice at its own expense, separate from the Indemnified Party) counsel employed by the Indemnitor, it being understood that the Indemnitor shall control such defense. The Indemnitor shall be liable for the reasonable fees and expenses of counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof (other than during any period in which the Indemnitee shall have not yet given notice of the Third Party Claim as provided above). If the Indemnitor chooses to defend and to direct any Third Party Claim, the parties hereto shall cooperate in the defense against any such claim or demand, in its name or in thereof. Such cooperation shall include the name of retention and (upon the Indemnified Party, as the case may be, Indemnitor’s request and at the expense Indemnitor’s expense) the provision to the Indemnitor of the Indemnifying Partyrecords and information that are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnitor shall have assumed the defense of a Third Party Claim, the Indemnitee shall not admit any liability with counsel selected by respect to, or pay, settle, compromise or discharge, such Third Party Claim without the Indemnifying PartyIndemnitor’s prior written consent (which consent shall not be unreasonably withheld, conditioned or delayed). If the Indemnitor has assumed the defense of a Third Party Claim, the Indemnitor may only pay, settle, compromise or discharge a Third Party Claim with the Indemnitee’s prior written consent (which consent shall not be unreasonably withheld, conditioned or delayed); provided, that the Indemnifying Indemnitor may pay, settle, compromise or discharge such a Third Party Claim without the written consent of the Indemnitee if such settlement (A) includes a complete and unconditional release of the Indemnitee from all liability in respect of such Third Party Claim, (B) does not subject the Indemnitee to any injunctive relief or other equitable remedy and (C) does not include a statement or admission of fault, culpability or failure to act by or on behalf of the Indemnitee. Notwithstanding anything to the contrary in this Section 9.3, the Indemnitee (and not the Indemnitor) shall have the exclusive right to assume the defense and control of any Third Party Claim, if (I) the Indemnitee in good faith determines that the nature of the Third Party Claim is such that it would reasonably be expected to involve criminal liability being imposed on the Indemnitee or its Affiliates or (II) such Third Party Claim seeks an injunction or other equitable relief against the Indemnitee that the Indemnitee reasonably determines, after consultation with its outside counsel, cannot be separated from any related claim for money damages; provided that if such Third Party Claim seeks an injunction or equitable relief against the Indemnitee that can be separated from a related claim for money damages, the Indemnitor may only be entitled to assume control of the defense of such action only if the Indemnifying Third Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementClaim for money damages.

Appears in 1 contract

Sources: Reinsurance Agreement (VARIABLE ANNUITY ACCOUNT B OF VOYA RETIREMENT INSURANCE & ANNUITY Co)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, the Indemnitee shall give such Indemnitor prompt written notice (but in no event later than thirty (30) days calendar days after becoming aware) thereof and such notice shall include a reasonable description of the claim for indemnification arising from a and any documents relating to the claim of a third-party other than an Infringement Claim that are not subject to Section 13.3 above (a “Third-any legal privilege and were provided by the claimant in such Third Party Claim”), a party seeking indemnification hereunder (each Claim and an “Indemnified Party”) estimate of the Indemnifiable Loss and shall give prompt written notice, following such Indemnified Party’s receipt reference specific sections of this Agreement that form the basis of such claim or demand, (based on information then available to the party Indemnitee); provided that no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from which indemnity is sought any obligation hereunder unless (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent thatextent) the Indemnitor is actually and materially prejudiced by such delay. Thereafter, the rights of Indemnitee shall keep the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Indemnitor reasonably informed of such failure. Third Party Claim, including providing copies of material notices and documents (including court papers) that are not subject to any legal privilege and were provided by the claimant in such Third Party Claim received by the Indemnitee relating to such Third Party Claim. (b) The Indemnifying Indemnitor shall be entitled to participate in the defense of any Third Party Claim and the Indemnitor shall have be entitled to assume the right defense thereof with counsel selected by the Indemnitor and reasonably satisfactory to the Indemnitee so long as (and if it elects to exercise such righti) the Indemnitor notifies the Indemnitee, shall do so within twenty (20) days after receiving the Indemnitee has given notice of such notice from Third Party Claim to the Indemnified PartyIndemnitor (or by such earlier date as may be necessary under applicable procedural rules in order to file a timely appearance and response or other required pleading) to defend and to direct that the Indemnitor is assuming the defense against any of such claim or demand, Third Party Claim as provided in this Agreement and (ii) confirms in its name notice that it is obligated to indemnify the Indemnitee for any and all Indemnifiable Losses arising from such Third Party Claim as provided in this Agreement; provided, however, that the Indemnitor shall not have the right to assume the defense of a Third Party Claim if such Third Party Claim (A) seeks injunctive, equitable, or other non-monetary relief against the Indemnitee; (B) is not one in which the name Indemnitee reasonably determines, after consultation with its counsel, that use of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying PartyIndemnitor to represent the Indemnitee would be reasonably likely to present such counsel with a conflict of interest; providedand (C) is not one in which an adverse judgment would, that in the Indemnifying Party shall good faith judgment of the Indemnitee, likely be entitled materially adverse to assume control of the Indemnitee’s business. If the Indemnitor is assuming the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Third Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense, separate from counsel employed by the Indemnitor, it being understood that the Indemnitor shall control such defense; provided, however, that, in that if the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense Indemnitor assumes control of such claim or demand, defense the Indemnitor must first acknowledge that it would have an indemnity obligation for Losses resulting from such Third Party Claim as provided under this ARTICLE IX. The Indemnitor shall be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof. If the Indemnitor chooses to defend any Third Party Claim, all of the Parties shall, and shall instruct their respective Affiliates to, reasonably cooperate in the defense thereof (subject to any applicable legal privilege or the attorney work-product doctrine). Such cooperation shall be at the Indemnitor’s sole cost and expense and shall include the retention and (upon the Indemnitor’s request) the provision to the Indemnitor of the Indemnifying Party. The Indemnifying records and information that are relevant to such Third Party shall have no indemnification obligations with respect Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder (in each case, subject to any applicable legal privilege or the attorney work-product doctrine). If the Indemnitor has assumed the defense of a Third Party Claim in accordance with this Section 9.7(b), then so long as the Indemnitor is defending in good faith any such claim Third Party Claim (and is otherwise in compliance with this Section 9.7(b)), the Indemnitee shall not pay, settle, compromise, or demand which shall be settled by the Indemnified discharge such Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party Indemnitor (which consent shall not be unreasonably withheld, delayed conditioned, or conditioned delayed). If the Indemnitor has assumed the defense of a Third Party Claim in accordance with this Section 9.7(b), the Indemnitor may only pay, settle, compromise, or discharge such Third Party Claim with the Indemnitee’s prior written consent (which consent shall not be unreasonably withheld, conditioned, or delayed); provided, that the Indemnitor may pay, settle, compromise, or discharge such Third Party Claim without the written consent of the Indemnitee if such settlement is accompanied by (1) includes, as a document releasing condition to any such settlement or compromise, a general release of the Indemnified Party Indemnitee and its Affiliates from all liability Liability in respect of such Third Party Claim, (2) does not subject the Indemnitee to any injunctive relief or other non-monetary remedy, (3) does not include a statement or admission of fault, culpability, Liability, violation of Law or the rights of any Person by Indemnitee or any of its Affiliates or failure to act by or on behalf of the Indemnitee or any of its Affiliates, and (4) provides for the payment by the Indemnitor of monetary damages as the sole relief for the claimant(s) in such Third Party Claim. In the event that the Indemnitor fails to assume the defense of a Third Party Claim in accordance with this Section 9.7(b) or following the Indemnitor’s assumption of the defense of a Third Party Claim in accordance with this Section 9.7(b) any of the conditions set forth in this Section 9.7(b) becomes unsatisfied with respect to such Third Party Claim, then the Indemnitee may assume control of the defense of such Third Party Claim to the entire exclusion (including with respect to the matter in controversy that is bindingsettlement or compromise of, valid or entry of judgment in, such Third Party Claim) and enforceable against all applicable Parties). Notwithstanding at the foregoing, if entire expense of the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementIndemnitor.

Appears in 1 contract

Sources: Asset Purchase Agreement (Doma Holdings, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a "Third-Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird-Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided. Notwithstanding anything in this Agreement to the contrary, that the Indemnified Party, at the expense of the Indemnifying Party, shall cooperate with the Indemnifying Party, and keep the Indemnifying Party shall be entitled to assume control of fully informed, in the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying . The Indemnified Party shall not be entitled have the right to assume control participate in the defense of such defense if any Third-Party Claim with counsel employed at its own expense; provided, however, that, in the case (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third-Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, Party or (viii) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandclaim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Asset Purchase Agreement (Consolidated Delivery & Logistics Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) Any party seeking indemnification hereunder pursuant to this Section 12 (each an the “Indemnified Party”) in respect of any legal proceeding, action, claim or demand (in each case, a “Claim”) instituted by any third person or governmental entity shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity whom indemnification with respect to such claim is sought (each an the “Indemnifying Party”) of any claim or demand of which such (i) prompt written notice (but in no event more than twenty (20) days after the Indemnified Party has acquires knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result thereof) of such failure. The Indemnifying Party shall have the right Claim and (ii) copies of all documents and if it elects information relating to exercise any such right, shall do so Claim within twenty (20) days after receiving such notice from of their being obtained by the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds failure by the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that to so notify or provide copies to the Indemnifying Party shall not be entitled relieve the Indemnifying Party from any liability to assume control the Indemnified Party for any liability hereunder except to the extent that such failure shall have actually and materially prejudiced the defense of such defense if the Claim. (ib) Subject to Section 12.5(c) of this Agreement, the Indemnifying Party shall not have notified the right, at its option and expense, to defend against, negotiate, settle or otherwise deal with any Claim with respect to which it is the Indemnifying Party and to be represented by counsel of its own choice, and the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses will not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with admit any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations liability with respect to any such claim thereto or demand which shall be settled by settle, compromise, pay or discharge the Indemnified Party same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed so long as the Indemnifying Party is contesting or conditioneddefending the same with reasonable diligence and in good faith. The Indemnified Party may participate in any proceeding with counsel of its choice and at its expense. The Indemnifying Party shall may not settle enter into a settlement of any such claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party. In the event the Indemnifying Party does not, within fifteen (15) days after it receives written notice of the Claim from the Indemnified Party, agree in writing to accept the defense of, and assume all liability with respect to the matter responsibility for, such Claim as provided above in controversy that is bindingthis Section 12.5(b), valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if then the Indemnified Party fails shall have the right to object to defend against, negotiate, settle or otherwise deal with the settlement within five (5) Business Days of receipt of a written notice from Claim in such manner as the Indemnifying Indemnified Party containing the terms deems appropriate, in its sole discretion, and condition of such settlement, the Indemnified Party shall be deemed entitled to indemnification therefor from the Indemnifying Party under this Section 12.5. (c) In the event the Claim subject to this Section 12.5(b) is an Environmental Claim, the parties agree that the following provisions shall apply: (i) Buyer shall have consented control of all actions that may be necessary in order (A) to resolve the Environmental Claim and (B) to address, correct, remediate and repair conditions giving rise to such Environmental Claim (the “Conditions”) so that such Conditions are in full compliance with Environmental Laws; (ii) Buyer shall retain a qualified environmental consulting/services company (“Consultant”) to review such Environmental Claim and associated Conditions and to determine the extent to which correction, remediation or repair of the Conditions is necessary to be in full compliance with Environmental Laws, and the Consultant shall prepare a written report for Buyer, IHLLC and Pardos setting forth such review and determination and the specific actions to be taken so to correct, remediate and repair the Conditions without unreasonably interrupting the business operations of TDI. To the extent practicable under the circumstances, Buyer shall consult with IHLLC and Pardos as to the settlement.matters described in this Section 12.5(c)(ii), but IHLLC and Pardos shall not have a right of approval or disapproval as to such matters; (iii) Subject to Buyer complying with this Section 12.5(c), IHLLC and Pardos shall be solely responsible for and shall pay and, if applicable, shall reimburse Buyer or TDI for (A) all Remediation Costs and Expenses (as defined below) and (B) any damages, fines, penalties and other reasonable costs and expenses resulting from or attributable to resolution of the Environmental Claim or relating to the Conditions not being in full compliance as of the Closing with applicable Environmental Laws, to the extent indemnification is provided therefor under this Section 12.5; (iv) For purposes of this Section 12.5(c), “

Appears in 1 contract

Sources: Stock Purchase Agreement (EWaste Systems, Inc.)

Procedures for Third Party Claims. In the case of any event that an Indemnified Party determines that it has a claim for indemnification Losses against an Indemnifying Party arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “the Indemnified Party”) Party shall give prompt written noticenotify the Indemnifying Party in writing, following such Indemnified Party’s and in reasonable detail, of the Third-Party Claim as promptly as reasonably practicable after receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which by such Indemnified Party has knowledge and as to which it may request indemnification hereunderof notice of the Third-Party Claim; provided, however, provided that failure to give such notice will notification on a timely basis shall not affect such Indemnified Party’s rights the indemnification provided hereunder unless, and then solely except (i) to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are Party shall have been prejudiced as a result of such failurefailure and (ii) no indemnification shall be available under this Article 9 with respect to a claim made after the applicable Expiration Date. Thereafter, the Indemnified Party shall deliver to the Indemnifying Party from time to time, promptly, upon becoming aware of any facts or circumstances that would reasonably be expected to give rise to, or be in furtherance of, a claim for indemnification hereunder, written notice thereof to the Indemnifying Party, specifying the amount of such claim and the nature and basis of such claim, and provide copies of all notices and documents (including court papers) received by the Indemnified Party relating to the Third-Party Claim. The Indemnifying Party shall have be entitled to participate in the right (and defense of the Third-Party Claim and, if it elects and acknowledges in writing to exercise satisfy its indemnification obligations hereunder with respect to such rightclaim, shall do so within twenty (20) days after receiving such notice from subject to the Indemnified Party) limitations in this Article 9, to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying Party; provided, that the . Should an Indemnifying Party shall be entitled elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such a Third-Party Claim; and provided further that , the Indemnifying Party shall not be entitled to assume control of such liable for legal expenses subsequently incurred by the Indemnified Party in connection with the defense if (i) thereof. If the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend assumes such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, separate from the counsel employed by the Indemnifying Party, it being understood, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which that the Indemnifying Party shall not control such defense. If the Indemnifying Party elects to defend a Third-Party Claim, each party shall cooperate in fact have employed counsel to assume the defense or prosecution of such claim or demand, Third-Party Claim. Such cooperation shall include the reasonable fees retention and disbursements of such counsel shall be at the expense of (upon the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled ’s request) the provision by the Indemnified Party to the Indemnifying Party of records and information which are reasonably relevant to such Third-Party Claim, and making personnel available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. No compromise or settlement of any Third-Party Claim may be effected by the Indemnifying Party without the Indemnified Party’s consent, which shall not be unreasonably withheld, conditioned or delayed; provided that no such consent shall be required if (i) there is no finding or admission of any violation of Law by the Indemnified Party and no effect on any other claims that may be made against such Indemnified Party or its Affiliates and (ii) each Indemnified Party that is party to such Third-Party Claim is fully and unconditionally released from liability with respect to such claim. No Indemnified Party shall settle or compromise any Third Party Claim without the express prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Asset Purchase Agreement (Aquabounty Technologies Inc)

Procedures for Third Party Claims. In the case The obligations of any claim Indemnifying Party to indemnify any Indemnified Party under this Article VI with respect to Claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above Damages by third parties (including Governmental Entities) (a “Third-Party Claim”), a party seeking indemnification hereunder shall be subject to the following terms and conditions: (each an “a) The Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control written notice of the defense any such Third-Party Claim reasonably promptly after learning of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; , and provided further the Indemnifying Party may, at its option, undertake the defense thereof by Representatives of its own choosing and reasonably acceptable to the Indemnified Party, and shall provide written notice of any such undertaking to the Indemnified Party. Failure to give prompt written notice of a Third-Party Claim hereunder shall not affect the Indemnifying Party’s obligations under this Article VI, except to the extent that the Indemnifying Party is actually prejudiced by such failure to give prompt written notice. The Indemnified Party shall, and shall not be entitled to assume control of such defense if (i) cause its employees and Representatives to, cooperate reasonably with the Indemnifying Party shall not have notified in connection with the Indemnified Party settlement or defense of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party Claim and shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and provide the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not with all available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend information and documents concerning such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, The Indemnifying Party shall provide the Indemnified Party shall, at with copies of all non-privileged communications and other information in respect of the expense of Third-Party Claim. If the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense within thirty (30) days after written notice of any claim or demand with counsel employed at its own expense; providedsuch Third-Party Claim, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel fails to assume the defense of such claim or demandThird-Party Claim, or, after assuming defense, negligently fails to defend and fails to call after reasonable written notice of the same, the reasonable fees and disbursements Indemnified Party against whom such Third-Party Claim has been made shall (upon further written notice to the Indemnifying Party) have the right to undertake the defense, compromise or settlement of such counsel shall be Third-Party Claim on behalf of and for the account and risk, and at the expense expense, of the Indemnifying Party. The , subject to the right of the Indemnifying Party shall have no indemnification obligations with respect to assume the defense of such Third-Party Claim at any such claim time prior to settlement, compromise or demand which shall be settled by final determination thereof upon written notice to the Indemnified Party. (b) Anything in this Section 6.4 to the contrary notwithstanding, (i) the Indemnified Party shall not settle a Third-Party Claim for which it is indemnified without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, conditioned or delayed or conditioned. The and (ii) the Indemnifying Party shall not settle enter into any such claim settlement or compromise of any action, suit or proceeding, or consent to the entry of any judgment for relief other than monetary damages to be borne by the Indemnifying Party, without the prior written consent of the Indemnified Party (Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Purchase and Sale Agreement (CMS Energy Corp)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party a) The parties seeking indemnification hereunder under Section 9.02 (each an “Indemnified Party”the "INDEMNIFIED PARTIES") shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which parties against whom indemnity is sought (each an “Indemnifying Party”the "INDEMNIFYING PARTIES") of the assertion of any claim claim, or demand the commencement of any suit, action or proceeding in respect of which indemnity may be sought under Section 9.02 (the "THIRD PARTY CLAIMS"). The failure by any Indemnified Party so to notify the Indemnifying Parties shall not relieve any Indemnifying Party from any liability which it may have to such Indemnified Party has knowledge with respect to any claim made pursuant to this Section 9.03, except to the extent such failure shall actually prejudice an Indemnifying Party. (b) Upon receipt of notice from the Indemnified Parties pursuant to Section 9.03(a), the Indemnifying Parties will, subject to the provisions of Section 9.03(c), assume the defense and control of such Third Party Claims but shall allow the Indemnified Parties a reasonable opportunity to participate in the defense of such Third Party Claims with their own counsel and at their own expense (except as provided in Section 9.03(d)). The Indemnifying Parties shall select counsel, contractors and consultants of recognized standing and competence who shall be reasonably acceptable to which it may request indemnification hereunderthe Indemnified Parties; shall take all steps necessary in the defense or settlement of such Third Party Claims; and shall at all times diligently and promptly pursue the resolution of such Third Party Claims. The Indemnified Parties shall, and shall cause each of their Subsidiaries and Affiliates and their Representatives to, cooperate fully with the Indemnifying Parties in the defense of any Third Party Claim defended by the Indemnifying Parties. (c) The Indemnifying Parties shall not be authorized to consent to a settlement of, or the entry of any judgment arising from, any Third Party Claim, without the consent of the Indemnified Parties; provided, however, that failure upon ten (10) days notice and the opportunity to give such notice will not affect such object by the Indemnified Party’s rights hereunder unlessParties, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled authorized to assume control of the defense of consent to such action only a settlement or judgment if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party Parties shall not be entitled to assume control of such defense if (i) pay or cause to be paid all amounts arising out of such settlement or judgment concurrently with the Indemnifying Party shall not have notified the Indemnified Party effectiveness of its exercise of its right to defend such Third-Party claim within such twenty (20) day periodsettlement; (ii) not encumber any of the assets of any Indemnified Party or agree to any restriction or condition that would apply to or adversely affect any Indemnified Party or the conduct of any Indemnified Party's business; and (iii) obtain, as a condition of any settlement or other resolution, a complete release of any Indemnified Party potentially affected by such claim Third Party Claim. (d) The Indemnifying Parties shall also be liable for the reasonable fees and expenses of counsel incurred by each Indemnified Party in defending any Third Party Claim if such Third Party Claim, if successful, is likely to result in a judgment, decree or demand seeks an order of injunction or other equitable relief or relief for other than money Damages against the such Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Subscription Agreement (Cast Alloys Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) The party seeking indemnification hereunder under Section 9.2 (each an “the "Indemnified Party") shall give agrees to deliver prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice (in accordance with Section 10.7) to the party from which against whom indemnity is sought (each an “the "Indemnifying Party") of the assertion of any claim claim, or demand the commencement of any suit, action or proceeding in respect of which such indemnity may be sought under Section 9.2 (the "Third Party Claims"). Such notice referred to in the preceding sentence shall state the relevant facts and include therewith relevant documents and a statement in reasonable detail as to the basis for the indemnification sought. The failure by any Indemnified Party has knowledge and as so to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that notify the Indemnifying Party shall not be entitled relieve any Indemnifying Party from any liability which it may have to such Indemnified Party with respect to any claim made pursuant to this Section 9.3, except to the extent such failure shall actually and materially prejudice an Indemnifying Party. (a) Upon receipt of notice from the Indemnified Party pursuant to Section 9.3(a), the Indemnifying Party will have the right to (and will, if requested by the Indemnified Party), subject to the provisions of Section 9.3(c), assume the defense and control of such Third Party Claims. In the event the Indemnifying Party assumes the defense if of a Third Party Claim, (i) the Indemnifying Party shall not have notified be liable for any legal expenses subsequently incurred by the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; and (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right but not the obligation to participate in the defense of any claim or demand such Third Party Claims with their own counsel employed and at its their own expenseexpense and the Indemnifying Party will cooperate with the Indemnified Party. Any election by an Indemnifying Party not to assume the defense of a Third Party Claim must be received by the Indemnified Party not more than 10 Business Days after receipt of the Indemnified Party's notice delivered pursuant to Section 9.3(a). If the Indemnifying Party elects to assume the defense of a Third Party Claim, the Indemnifying Party shall select counsel, and consultants of recognized standing and competence after consultation with the Indemnified Party; provided, however, that, shall take all steps necessary in the case defense or settlement of such Third Party Claims; and shall at all times diligently and promptly pursue the resolution of such Third Party Claims. The Indemnified Party shall, and shall cause each of their Affiliates and representatives to, cooperate fully with the Indemnifying Party in the defense of any claim Third Party Claim defended by the Indemnifying Party. (b) The Indemnifying Party shall be authorized to consent to a settlement of, or demand described in clause (i) or (ii) the entry of the second preceding sentence or any judgment arising from, any Third Party Claim as to which the Indemnifying Party shall have assumed the defense in accordance with the terms of Section 9.3(b), without the consent of any Indemnified Party, but only to the extent that such settlement or entry of judgment (i) provides solely for the payment of money by the Indemnifying Party and (ii) provides a complete release of any Indemnified Party potentially affected by such Third Party Claim from all matters that were or could have been asserted in connection with such claims. Except as provided in the foregoing sentence, settlement or consent to entry of judgment shall require the prior approval of the Indemnified Party, such approval not in fact to be unreasonably withheld, conditioned or delayed. If the Indemnifying Party shall not have employed counsel to assume assumed the defense of such claim or demanda Third Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party shall not consent to any settlement of, or the entry of any judgment arising from, such Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioneddelayed. The Indemnifying Party For purposes of this subparagraph, "consent to entry of judgment" shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied read to encompass failure by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing to finally pursue and perfect any rights of appeal, including discretionary appellate review in the terms and condition nature of such settlement, the Indemnified Party shall be deemed to have consented to the settlementcertiorari petition or otherwise.

Appears in 1 contract

Sources: Purchase Agreement (Endurance Specialty Holdings LTD)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from (i) If a claim of by a third-party other than is made against an Infringement Claim subject Indemnitee arising out of a matter for which the Indemnitee is entitled to be indemnified pursuant to Section 13.3 above 9.02 or 9.03 (a “Third-Party Claim”), a the Indemnitee shall promptly notify the indemnifying party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement The failure of the Indemnitee to promptly notify the indemnifying party hereunder shall not relieve the indemnifying party of its obligations hereunder except to the contraryextent that the indemnifying party is actually prejudiced by such failure. (ii) If a Third-Party Claim is made against an Indemnitee, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, indemnifying party shall be entitled to participate in the defense thereof and, subject to the limitations contained in this Section 9.04(a), to assume and control the defense thereof of such claim Third-Party Claim if it so chooses with counsel selected by the indemnifying party and not reasonably objected to by the Indemnitee. Should the indemnifying party so elect to assume and control the defense of a Third-Party Claim, the indemnifying party shall not be liable to the Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with the defense thereof, unless (A) the employment of such counsel has been specifically authorized in writing by the indemnifying party, (B) the Indemnitee shall have been advised by counsel that the assumption and control of such defense by the indemnifying party would be inappropriate due to an actual or demandpotential conflict of interest or (C) the Indemnitee shall have been advised by counsel that one or more defenses are available to the Indemnitee that are not available to the indemnifying party (provided that the indemnifying party shall not be liable for the fees and expenses of more than one firm of counsel for all Indemnitees, other than one local counsel in each relevant jurisdiction). The Indemnified Party If the indemnifying party assumes such defense, the Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ at its own expense; providedexpense counsel not reasonably objected to by the indemnifying party, howeverseparate from the counsel employed by the indemnifying party, thatit being understood that the indemnifying party shall control such defense and shall be empowered to make any settlement with respect to such Third-Party Claim, in subject to the case remaining terms of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party this Section 9.04(a). The indemnifying party shall not in fact have employed counsel to assume the defense of such claim or demand, be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the indemnifying party has not assumed the defense thereof. If the indemnifying party chooses to defend or prosecute any Third-Party Claim, all the parties shall be at cooperate and shall cause their affiliates to cooperate in the expense defense or prosecution thereof. Whether or not the indemnifying party assumes the defense of a Third-Party Claim, the Indemnifying Party. The Indemnifying Party Indemnitee shall have no indemnification obligations not admit any liability with respect to any to, or settle, compromise or discharge, such claim or demand which shall be settled by the Indemnified Third-Party Claim without the indemnifying party’s prior written consent (such consent not to be unreasonably withheld or delayed), except if (x) the Indemnitee is reasonably expected to be liable for Losses in excess of amounts reasonably expected to be received from the indemnifying party or (y) such settlement or compromise is in respect of a proceeding that seeks an injunction or equitable relief against the Indemnitee. If the indemnifying party assumes the defense of a Third-Party Claim, the Indemnitee shall agree to any settlement, compromise or discharge of such Third-Party Claim that the indemnifying party may recommend and that by its terms obligates the indemnifying party to pay the full amount of the Indemnifying Partyliability in connection with such Third-Party Claim and which releases the Indemnitee completely in connection with such Third-Party Claim, which consent shall does not be unreasonably withheld, delayed contain any admission of wrongdoing or conditioned. The Indemnifying Party shall misconduct by the Indemnitee and which does not settle involve any such claim without the prior written consent of the Indemnified Party non-monetary relief (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Partiesother than customary confidentiality terms). Notwithstanding the foregoing, the indemnifying party shall not be entitled to assume and control the defense of any Third-Party Claim (and shall be liable for the reasonable fees and expenses of counsel incurred by the Indemnitee in defending such Third-Party Claim) if (w) the Indemnified Third-Party fails Claim seeks an order, injunction or other equitable relief or relief for other than money damages against the Indemnitee that the Indemnitee reasonably determines, after conferring with its outside counsel, cannot be separated from any related claim for money damages, (x) in the event the Third-Party Claim were to object be unfavorably decided, the Indemnitee would be reasonably likely to be liable for Losses in excess of amounts reasonably expected to be received from the indemnifying party, (y) the Third-Party Claim relates to the settlement within five titling, ownership or enforceability of any Company Property or (5z) Business Days the Third-Party Claim relates to any Governmental Approval or is otherwise brought by a Governmental Entity or relates to any Third-Party Consent. If such equitable relief or other relief portion of receipt of a written notice the Third-Party Claim can be so separated from the Indemnifying Party containing the terms and condition of such settlementthat for money damages, the Indemnified Party indemnifying party shall be deemed entitled to have consented assume and control the defense of the portion relating to the settlementmoney damages.

Appears in 1 contract

Sources: Membership Interest Purchase Agreement (Virgin Trains USA LLC)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article VIII in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) Claim shall give prompt written notice, following such Indemnified Party’s receipt of the Indemnifying Party from whom indemnification with respect to such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”i) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such prompt written notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty but in no event more than ten (2010) days after receiving such notice from the Indemnified PartyParty acquires knowledge thereof) of such Third-Party Claim and (ii) copies of all documents and information relating to defend and to direct the defense against any such claim or demand, in its name or in the name Third-Party Claim within ten (10) days of their being obtained by the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the failure by the Indemnified Party to so notify or provide copies to the Indemnifying Party shall be entitled not relieve the Indemnifying Party from any liability to assume control of the Indemnified Party for any liability hereunder except to the extent that such failure shall have prejudiced the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if . (ib) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations thirty (30) days (or such lesser time as may be necessary to comply with respect statutory response requirements for litigation claims that are included in any Third-Party Claim) from receipt of the notice contemplated in Section 8.5(a) to any such claim or demand which shall be settled by notify the Indemnified Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against such claim. If the Indemnifying Party timely gives notice that it intends to defend the Third-Party Claim, it shall have the right, except as hereafter provided, to defend against, negotiate, settle or otherwise deal with the Third-Party Claim and to be represented by counsel of its own choice, and the Indemnified Party will not admit any liability with respect thereto or settle, compromise, pay or discharge the same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed, delayed or conditioned. The so long as the Indemnifying Party shall is contesting or defending the same with reasonable diligence and in good faith; provided, that the Indemnified Party may participate in any proceeding with counsel of its choice and at its expense; provided further, that the Indemnifying Party may not settle enter into a settlement of any such claim Third-Party Claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party; and provided further that, in the event the Indemnifying Party does not agree in writing to accept the defense of, and assume all responsibility for, such Third-Party Claim as provided above in this Section 8.5(b), then the Indemnified Party shall have the right to defend against, negotiate, settle or otherwise deal with the Third-Party Claim in such manner as the Indemnified Party deems appropriate, in its sole discretion, and the Indemnified Party shall be entitled to indemnification therefor from all liability with respect the Indemnifying Party to the matter in controversy that is binding, valid and enforceable against all applicable Parties)extent provided under this Article VIII. Notwithstanding the foregoing, if in the reasonable opinion of the Indemnified Party fails to object to such Third-Party Claim, or the settlement within five (5) Business Days litigation or resolution of receipt such Third-Party Claim, involves an issue or matter that could have a Material Adverse Effect on the Indemnified Party, including the administration of Tax Returns of the Indemnified Party or a written notice from dispute with a significant supplier or customer of the Indemnified Party, there is a conflict of interest in the defense of such action between the Indemnified Party and the Indemnifying Party containing the terms and condition of such settlementParty, the Indemnified Party shall have the right to control the defense or settlement of any such claim or demand and its reasonable costs and expenses shall be deemed included as part of the indemnification obligations of the Indemnifying Party. If the Indemnified Party elects to exercise such right, the Indemnifying Party shall have consented the right to participate in, but not control, the settlementdefense or settlement of such claim at its sole cost and expense.

Appears in 1 contract

Sources: Merger Agreement (Gibraltar Industries, Inc.)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article 7 in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) Claim shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled from whom indemnification with respect to assume control such claim is sought: (i) prompt written notice of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further (ii) copies of all documents and information relating to any such Third-Party Claim within ten (10) days of their being obtained by the Indemnified Party; provided, that the failure by the Indemnified Party to so notify or provide copies to the Indemnifying Party shall not be entitled to assume control of such defense if (i) relieve the Indemnifying Party shall not have notified from any liability to the Indemnified Party of its exercise of its right for any liability hereunder except to defend the extent that such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party failure shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of prejudiced the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause . (ib) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations twenty (20) days (or such lesser time as may be necessary to comply with respect statutory response requirements for litigation claims that are included in any Third-Party Claim) from receipt of the notice contemplated in Section 7.06(a) to any such claim or demand which shall be settled by notify the Indemnified Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against such claim. If the Indemnifying Party timely gives notice that it intends to defend the Third-Party Claim, it shall have the right, except as hereafter provided, but not the obligation, to defend against, negotiate, settle or otherwise deal with the Third-Party Claim and to be represented by counsel of its own choice, and the Indemnified Party will not admit any liability with respect thereto or settle, compromise, pay or discharge the same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed; provided, delayed or conditioned. The that the Indemnified Party may participate in, but not control, any proceeding with counsel of the Indemnified Party’s choice and at the Indemnified Party’s expense; provided further, that the Indemnifying Party shall may not settle enter into a settlement of any such claim Third-Party Claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheldParty, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party is indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party; and provided further that, in the event the Indemnifying Party does not agree in writing to accept the defense of such Third-Party Claim as provided above in this Section 7.06, then the Indemnified Party shall have the right to defend against, negotiate, settle or otherwise deal with the Third-Party Claim in such manner as the Indemnified Party deems appropriate, in its sole discretion, and the Indemnified Party shall be entitled to indemnification therefor from all liability with respect the Indemnifying Party to the matter in controversy that is binding, valid and enforceable against all applicable Parties)extent provided under this Article 7. Notwithstanding the foregoing, if there is a conflict of interest in the defense of such action between the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from and the Indemnifying Party containing the terms and condition of such settlementParty, the Indemnified Party shall have the right to retain its own counsel for the defense or settlement of any such claim or demand and its reasonable costs and expenses shall be deemed included as part of the indemnification obligations of the Indemnifying Party. If the Indemnified Party elects to exercise such right, the Indemnifying Party shall have consented the right to participate in the settlementdefense or settlement of such claim at its sole cost and expense. In any event, no Indemnified Party may compromise or settle any Third-Party Claim for which it is seeking indemnification hereunder without the consent of the Indemnifying party, which shall not be unreasonably withheld or delayed. This Section 7.06 shall not apply with respect to Tax Contests governed by Section 9.05(b) hereof.

Appears in 1 contract

Sources: Stock Purchase Agreement (Powell Industries Inc)

Procedures for Third Party Claims. In the case of any claim The following procedures shall be applicable with respect to indemnification pursuant to paragraphs (b) and (c) above for indemnification Liabilities arising from a claim claim, action or cause of action asserted by a third-party Person other than an Infringement Claim subject a party to Section 13.3 above this Agreement (a “Third-Party Claim”), a ): (i) Promptly after receipt by the party seeking indemnification hereunder (each an “Indemnified PartyPerson”) of written notice of any Third-Party Claim with respect to any matter within the scope of paragraphs (b) or (c) above, the Indemnified Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice thereof to the party from which indemnity whom indemnification is sought hereunder (each an the “Indemnifying Party”) and shall thereafter keep the Indemnifying Party reasonably informed with respect thereto; provided that the failure of any claim or demand the Indemnified Person to give the Indemnifying Party prompt notice as provided herein shall not relieve the Indemnifying Party of which its obligations hereunder except to the extent that such failure results in material prejudice to the defense of such Third-Party Claim. (ii) Promptly after notification of a Third-Party Claim as contemplated by subparagraph (i) above, the Indemnifying Party may assume the defense of such Third-Party Claim with counsel reasonably acceptable to the Indemnified Party has knowledge and as to which it may request indemnification hereunderPerson; provided, however, that failure (A) if the Indemnifying Party fails, within a reasonable time after receipt of written notice of such Third-Party Claim, to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to assume the extent thatdefense thereof, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party Indemnified Person shall have the right (to undertake the defense, compromise and if it elects to exercise settlement of such right, shall do so within twenty (20) days after receiving such notice from Third-Party Claim on behalf of and for the Indemnified Party) to defend account and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense risk of the Indemnifying Party, to the extent of and with counsel selected subject to the limitations applicable to the indemnity provided by the Indemnifying Party; providedParty herein, that (B) if in the Indemnifying Party shall be entitled to assume control reasonable judgment of the Indemnified Person, the assumption of the defense of such action only if Third-Party Claim could adversely affect in any material respect the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds conduct of the Indemnified Party harmless from and against all Losses resulting from defense of such Third-Party Claim; , the Indemnified Person shall (upon notifying the Indemnifying Party of its election to do so) have the right to undertake the defense, compromise and settlement of such Third-Party Claim on behalf of and for the account and risk of the Indemnifying Party, to the extent of and subject to the limitations applicable to the indemnity provided further by the Indemnifying Party herein (it being understood and agreed that the Indemnifying Party shall not be entitled to assume control the defense of such Third-Party Claim), (C) if the Indemnified Person in its sole discretion so elects, it shall (upon notifying the Indemnifying Party of its election to do so) be entitled to employ separate counsel and to participate in the defense if of such Third-Party Claim, but the fees and expenses of counsel so employed shall (iexcept as contemplated by clauses (A) and (B) above) be borne solely by the Indemnified Person and (D) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such settle or compromise any Third-Party claim within such twenty (20) day period; (ii) such claim Claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available consent to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense entry of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim judgment without the prior written consent of the Indemnified Party (which consent shall that does not be unreasonably withheld, delayed include as an unconditional term thereof the grant by the claimant or conditioned if such settlement is accompanied by plaintiff to each Indemnified Person of a document releasing release from any and all liability in respect thereof or that requires an admission of fault or wrongdoing on the part of the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementParty.

Appears in 1 contract

Sources: Stock Purchase Agreement (Ultimate Electronics Inc)

Procedures for Third Party Claims. In the case of If any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), claim is asserted against a party seeking entitled to indemnification hereunder (each an “the "Indemnified Party"), then the Indemnified Party shall promptly (in any event within 30 days) shall give prompt written notice, following such Indemnified notice thereof to the party that is obligated to provide indemnification (the "Indemnifying Party’s "). Upon receipt of such claim or demandnotice, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right elects to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Partythird party claim, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and cooperate in all reasonable respects with the Indemnifying Party and its attorneys in the conduct of the investigation and defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Partyand any appeal arising therefrom, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that and so long as the Indemnifying Party failed or is failing to vigorously prosecute or defend defending such Third-Party Claim. Notwithstanding anything third party claim in this Agreement to the contrarygood faith, the Indemnified Party shallshall not pay, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep settle or compromise such third party claim. If the Indemnifying Party fully informedelects to defend such third party claim, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed such third party claim, at its own the Indemnified Party's sole cost and expense; provided. In the event, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as that representation by counsel to which the Indemnifying Party shall not in fact have employed of both the Indemnifying Party and the Indemnified Party creates a conflict of interest for such counsel, then such Indemnified Party may employ separate counsel to assume represent or defend it in any such action or proceeding and the defense Indemnifying Party will, subject to the provisions of such claim or demandthis Article 6, pay the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Partycounsel. The Indemnifying Party shall have no indemnification obligations with respect to not, without the written consent of the Indemnified Party, (i) settle or compromise any such third party claim or demand consent to the entry of any judgment which shall be settled does not include as an unconditional term thereof the delivery by the claimant or plaintiff to the Indemnified Party of a written release from all liability in respect of such third party claim or (ii) settle or compromise any third party claim in any manner other than by payment of money damages or other money payments (and in such case only so long as the Indemnifying Party has acknowledged in writing its obligation to indemnify). If the Indemnifying Party does not elect to defend such third party claim or does not defend such third party claim in good faith, the Indemnified Party shall have the right, in addition to any other right or remedy it may have hereunder, at the Indemnifying Party's expense, to defend such third party claim; provided, however, that (i) such Indemnified Party shall not have any obligation to participate in the defense of, or defend, any such third party claim; (ii) such Indemnified Party's defense of or its participation in the defense of any such third party claim shall not in any way diminish or lessen the indemnification obligations of the Indemnifying Party under this Article 6; and (iii) such Indemnified Party may not settle any claim without the prior written consent of the Indemnifying Party, which consent shall will not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Agreement for Services (Valuevision International Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, Party or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, (i) the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, Party and keep (ii) the Indemnifying Party shall keep the Indemnified Party fully informed, in informed of the defense of such claim or demandthe Third Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim Third Party Claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim Third Party Claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Stock Purchase Agreement (Photonic Products Group Inc)

Procedures for Third Party Claims. In (a) An Indemnified Party seeking indemnification under this Article 9 with respect to any Third Party Claim shall promptly provide a Notice of Claim to the case Indemnifying Party after receiving notice of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-such Third Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that any failure to give such notice will so notify or any delay in notifying the Indemnifying Party shall not affect such Indemnified Party’s rights relieve the Indemnifying Party of its obligations hereunder unless, and then solely except to the extent that, that the rights Indemnifying Party is materially prejudiced by such failure or delay. (b) If the Indemnifying Party gives notice (the “Notice of Assumption”) to the Indemnified Party within 20 days after receipt of the applicable Notice of Claim that the Indemnifying Parties from whom indemnity Party elects to assume the defense of the Third Party Claim and will indemnify the Indemnified Party against such Third Party Claim, then the Indemnifying Party shall have the right to defend such Third Party Claim with counsel selected by such Indemnifying Party and who is sought are prejudiced as reasonably acceptable to the Indemnified Party, by all appropriate proceedings, which proceedings shall be defended by the Indemnifying Party to a result of such failurefinal conclusion or settled in accordance with this Section 9.5(b). The Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; provided that the right (and if it elects Indemnifying Party shall not consent to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct entry of a judgment or enter into any settlement without the defense against any such claim or demand, in its name or in the name written consent of the Indemnified Party. The Indemnified Party may participate in, as but not control, any defense or settlement of any Third Party Claim controlled by the case may beIndemnifying Party pursuant to this Section 9.5(b), and the Indemnified Party shall bear its own costs and expenses with respect to such participation; provided that if the Indemnified Party has reasonably concluded that there is a conflict of interest between the Indemnifying Party and the Indemnified Party, the Indemnifying Party shall bear the reasonable costs and expenses of counsel to the Indemnified Party in connection with such defense. (c) Notwithstanding anything to the contrary herein, a Purchaser Indemnitee shall have the full right to control the defense, compromise and settlement of any Third Party Claim at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if if: (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against a Purchaser Indemnitee; (ii) the Indemnified Partyclaim involves a claim by any Governmental Entity, a criminal claim or a claim involving a significant dealer, distributor, sales representative, supplier or other business partner of the Business; (iii) the claim involves claims for Losses in excess of the remaining portion of the Cap after reduction of all Losses previously recovered by (or then being claimed pursuant to unresolved claims) by the Purchaser Indemnitees that count (or would count) towards the Cap (if the Cap is applicable to such claim); or (iv) the Indemnifying Party fails to give the Notice of Assumption within 20 days after receipt of the applicable Notice of Claim or the Indemnifying Party timely gives the Notice of Assumption but fails to promptly defend the Third Party Claim. Assumption by the Indemnified Party of control of any such defense, compromise or settlement shall not be deemed a waiver by it of its right to indemnification hereunder. The Indemnifying Party may participate in, but not control, any defense or settlement controlled by the Indemnified Party pursuant to this Section 9.5(c), and the Indemnifying Party shall bear its own costs and expenses with respect to such participation. If the Indemnifying Party elects not to (or is deemed to have reasonably concluded that elected not to) assume the defense of a Third Party Claim, the determination of whether the Indemnified Party is entitled to indemnification hereunder shall be resolved in accordance with Section 10.11. (xd) there is a conflict of interest between the The Indemnified Party and the Indemnifying Party shall reasonably cooperate with each other in the conduct of the defense of such claim or demand or contesting any Third Party Claim. (ye) the Indemnified Party has one or more defenses not available Notwithstanding anything to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarycontrary set forth herein, the Indemnified provisions hereof dealing with Third Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel Claims shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect subject to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition conditions of such settlement, the Indemnified Party shall be deemed to have consented to the settlementRWI Policy.

Appears in 1 contract

Sources: Asset Purchase Agreement (Malibu Boats, Inc.)

Procedures for Third Party Claims. (a) In the case of any claim for indemnification for Losses arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (each, a “Third-Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt notice to the Indemnifying Party of any such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of for which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, provided that failure to give such notice will not affect such no delay on the part of the Indemnified Party’s rights Party in notifying any Indemnifying Party shall relieve the Indemnifying Party from any obligation hereunder unless, and then solely to the extent thatextent, the rights Indemnifying Party can demonstrate that the Indemnifying Party is actually prejudiced thereby. Such notice by the Indemnified Party shall specify the amount of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Third-Party Claim (to the extent then reasonably determinable by the Indemnified Party), the basis of such failure. the Third-Party Claim in reasonable detail, and include copies of all material written evidence thereof. (b) The Indemnifying Party shall have the right (and if it elects to exercise such rightparticipate in, shall do so within twenty (20) days after receiving such or by giving written notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as to assume the case may be, defense of any Third-Party Claim at the expense of the Indemnifying Party, 's expense and with counsel selected by the Indemnifying Party; provided's own counsel, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from shall cooperate in good faith in such Third-Party Claimdefense; and provided further that the Indemnifying Party shall not be entitled to assume the defense or control of such defense a Third-Party Claim and shall pay the reasonable and actual fees and expenses of counsel retained by the Indemnified Party if (ia) the Indemnifying Party shall does not have notified acknowledge to the Indemnified Party in writing its obligation to indemnify the Indemnified Party with respect to all elements of its exercise of its right such claim subject to defend the limitations on indemnification set forth in this Article VIII, (b) such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified PartyParty or the Business, (iiic) such Third-Party Claim involves any criminal Action or Action by any Governmental Authority with regulatory authority over such Indemnified Party or its Affiliates, (d) such Third-Party Claim is by or on behalf of any material customer or supplier of any member of the Business, (e) counsel to the Indemnified Party shall have has reasonably concluded that (xi) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third-Party Claim or (yii) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (vf) the appropriate court rules Third-Party Claim would be reasonably expected to result in material Losses to the Indemnified Party in excess of any Indemnifying Party’s maximum indemnification obligations under this Agreement; provided, further, that without limiting the foregoing, in the event any Third-Party Claim is brought or asserted which, if adversely determined, would not entitle the Indemnified Party to full indemnity pursuant to this Article VIII, for any reason, the Indemnified Party may elect to participate in a joint defense of such Third-Party Claim for which the reasonable and actual fees and expenses of counsel of such joint defense will be paid by the Indemnifying Party and the retention of counsel shall be reasonably satisfactory to Seller and Buyer. In the event that the Indemnifying Party failed assumes the defense of any Third-Party Claim, subject to Section 8.06(c), it shall have the right to take such action as it deems necessary to avoid, dispute, defend, appeal or is failing make counterclaims pertaining to vigorously prosecute or defend any such Third-Party Claim. Notwithstanding anything Claim in this Agreement to the contrary, name and on behalf of the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right right, at its own cost and expense, to participate in the defense of any claim or demand Third-Party Claim with counsel employed at selected by it subject to the Indemnifying Party's right to control the defense thereof. If the Indemnifying Party elects not to compromise or defend such Third-Party Claim or fails to promptly notify the Indemnified Party in writing of its own expense; providedelection to defend as provided in this Agreement, howeverthe Indemnified Party may, thatsubject to Section 8.06(c), pay, compromise, defend such Third-Party Claim and seek indemnification for any and all Losses based upon, arising from or relating to such Third-Party Claim. The Seller Parties and Buyer shall cooperate with each other in all reasonable respects in connection with the case defense of any claim or demand described in clause Third-Party Claim, including making available records relating to such Third-Party Claim and furnishing, without expense (iother than reimbursement of actual out-of-pocket expenses) or (ii) to the defending party, management employees of the second preceding sentence or non-defending party as to which may be reasonably necessary for the preparation of the defense of such Third-Party Claim. (c) Notwithstanding any other provision of this Agreement, the Indemnifying Party shall not in fact have employed counsel to assume the defense enter into settlement of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying any Third-Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim Claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if such settlement delayed), except as provided in this Section 8.06(c). If a firm offer is accompanied by made to settle a document releasing Third-Party Claim without leading to liability or the creation of a financial or other obligation on the part of the Indemnified Party and provides, in customary form, for the unconditional release of each Indemnified Party from all liability liabilities and obligations in connection with respect such Third-Party Claim and the Indemnifying Party desires to accept and agree to such offer, the Indemnifying Party shall give written notice to that effect to the matter in controversy that is binding, valid and enforceable against all applicable Parties)Indemnified Party. Notwithstanding the foregoing, if If the Indemnified Party fails to object consent to the settlement such firm offer within five ten (510) Business Days of days after its receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlementnotice, the Indemnified Party may continue to contest or defend such Third-Party Claim and, in such event, the maximum liability of the Indemnifying Party as to such Third-Party Claim shall not exceed the amount of such settlement offer. If the Indemnified Party fails to consent to such firm offer and also fails to assume defense of such Third-Party Claim, the Indemnifying Party may settle the Third-Party Claim upon the terms set forth in such firm offer to settle such Third-Party Claim. If the Indemnified Party has assumed the defense pursuant to Section 8.06(b), it shall not agree to any settlement without the written consent of the Indemnifying Party (which consent shall not be deemed to have consented to the settlementunreasonably withheld, conditioned or delayed).

Appears in 1 contract

Sources: Asset Purchase Agreement (Janus International Group, Inc.)

Procedures for Third Party Claims. In Promptly after receipt by an Indemnified Party of notice by a third party of a threatened or filed complaint or the case threatened or actual commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject audit, investigation, action or proceeding with respect to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has may be entitled to receive payment from the other Party for any Loss, such Indemnified Party shall provide a Claim Notice to BUYER, on the one hand, or SELLER, on the other hand, whoever is the appropriate indemnifying Party hereunder (the "Indemnifying Party"), within ten (10) days after the Indemnified Party's knowledge and as to which it may request indemnification hereunderof threatening or filing of such complaint or knowledge of the threatened or actual commencement of such audit, investigation, action or proceeding; provided, however, that the failure to give provide a Claim Notice to the Indemnifying Party shall relieve the Indemnifying Party from liability under this Agreement with respect to such notice will not affect such Indemnified Party’s rights hereunder unlessclaim only if, and then solely only to the extent that, the rights of such failure to provide a Claim Notice to the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Party results in (i) the forfeiture by the Indemnifying Party of rights and defenses otherwise available to the Indemnifying Party with respect to such failureclaim or (ii) material prejudice to the Indemnifying Party with respect to such claim. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so upon written notice delivered to the Indemnified Party within twenty thirty (2030) days after receiving thereafter, to assume the defense of such notice complaint, audit, investigation, action or proceeding, including the employment of counsel reasonably satisfactory to the Indemnified Party and the payment of the reasonable fees and disbursements of such counsel. If the Indemnifying Party declines or fails to assume the defense of the audit, investigation, action or proceeding on the terms provided above within such thirty (30) day period, the Indemnified Party may employ counsel to represent or defend it in any such audit, investigation, action or proceeding and, if the Indemnifying Party agrees that such audit, investigation, action or proceeding is a matter with respect to which the Indemnified Party is entitled to receive payment from the Indemnifying Party for the Loss in question, the Indemnifying Party will pay the reasonable fees and disbursements of such counsel as incurred; provided, however, that the Indemnifying Party will not be required to pay the fees and disbursements of more than one (1) counsel for all Indemnified Parties in any jurisdiction in any single audit, investigation, action or proceeding. In any audit, investigation, action or proceeding with respect to which indemnification is being sought hereunder, the Indemnified Party or the Indemnifying Party) , whichever is not assuming the defense of such action, shall have the right to defend participate in such matter and to direct the defense against any retain its own counsel at such claim Party's own expense. The Indemnifying Party or demand, in its name or in the name of the Indemnified Party, as the case may be, shall at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that all times use Commercially Reasonable Efforts to keep the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) as the Indemnified Party shall have case may be, reasonably concluded that (x) there is a conflict apprised of interest between the Indemnified Party and the Indemnifying Party in the conduct status of any matter the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available which they are maintaining and to the Indemnifying Party, (iv) such claim relates cooperate in good faith with each other with respect to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim such matter. No Indemnified Party may settle or demand with counsel employed at its own expense; provided, however, that, in the case of compromise any claim or demand described in clause (i) or (ii) consent to the entry of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations any judgment with respect to any such claim or demand which shall be settled by the Indemnified Party indemnification is being sought hereunder without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Membership Interest Purchase Agreement (Uranium Resources Inc /De/)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for Third Party Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) the Indemnitee shall give such Indemnitor prompt written notice, following notice (but in no event later than thirty (30) calendar days after becoming aware) thereof and such Indemnified Party’s receipt notice shall include a reasonable description of the claim and any documents relating to the claim and an estimate of the Indemnifiable Loss and shall reference the specific sections of this Agreement that form the basis of such claim or demand, to claim; provided that no delay on the party part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from which indemnity is sought any obligation hereunder unless (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent thatextent) the Indemnitor is actually prejudiced by such delay (except that the Indemnitor shall not be liable for any expenses incurred during the period in which the Indemnitee failed to give such notice). Thereafter, the rights Indemnitee shall deliver to the Indemnitor, within five (5) Business Days after the Indemnitee’s receipt thereof, copies of all notices and documents (including court papers) received by the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Indemnitee relating to the Third Party Claim. (b) The Indemnitor shall be entitled to participate in the defense of such failure. The Indemnifying any Third Party shall have the right (and Claim and, if it elects so chooses, to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and thereof with counsel selected by the Indemnifying Party; provided, that Indemnitor. Such assumption of defense shall not be deemed to be an admission or assumption of liability by the Indemnifying Party shall be entitled Indemnitor. Should the Indemnitor so elect to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-a Third Party Claim; and provided further that , the Indemnifying Party Indemnitor shall not be entitled to assume control of as long as it conducts such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available be liable to the Indemnifying Party, (iv) such claim relates to or arises Indemnitee for legal expenses subsequently incurred by the Indemnitee in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that defense thereof. If the Indemnifying Party failed or is failing to vigorously prosecute or defend Indemnitor assumes such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarydefense, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to participate in the defense of any claim or demand with counsel employed thereof and to employ counsel, at its own expense; provided, howeverseparate from the counsel employed by the Indemnitor, that, in it being understood that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party Indemnitor shall not in fact have employed counsel to assume the defense of control such claim or demand, defense. The Indemnitor shall be liable for the reasonable fees and disbursements expenses of such counsel employed by the Indemnitee for any period during which the Indemnitor has not assumed the defense thereof (other than during any period in which the Indemnitee shall be at the expense have not yet given notice of the Indemnifying PartyThird Party Claim as provided above). The Indemnifying If the Indemnitor chooses to defend any Third Party Claim, all of the Parties shall, and shall cause their respective Affiliates to, cooperate in the defense thereof. Such cooperation shall include the retention and (upon the Indemnitor’s request) the provision to the Indemnitor of records and information that are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnitor shall have no indemnification obligations assumed the defense of a Third Party Claim, the Indemnitee shall not admit any liability with respect to any to, or pay, settle, compromise, or discharge, such claim or demand which shall be settled by the Indemnified Third Party Claim without the Indemnitor’s prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned, or conditioned if delayed), and any such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is bindingadmission, valid and enforceable against all applicable Parties). Notwithstanding the foregoingpayment, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, compromise, or discharge without the Indemnified Party Indemnitor’s prior written consent shall be deemed to have consented be a waiver by the Indemnitee of any right to indemnity for all Indemnifiable Losses related to such Third Party Claim. If the Indemnitor has assumed the defense of a Third Party Claim, the Indemnitor may only pay, settle, compromise, or discharge a Third Party Claim with the Indemnitee’s prior written consent (which consent shall not be unreasonably withheld, conditioned, or delayed); provided that the Indemnitor may pay, settle, compromise, or discharge such a Third Party Claim without the written consent of the Indemnitee if such settlement (i) includes a release of the Indemnitee from all liability in respect of such Third Party Claim, (ii) does not subject the Indemnitee to any injunctive relief or other equitable remedy, and (iii) does not include a statement or admission of fault, culpability, or failure to act by or on behalf of the Indemnitee. If the Indemnitor submits to the Indemnitee a bona fide settlement offer that satisfies the requirements set forth in the proviso of the immediately preceding sentence and the Indemnitee refuses to consent to such settlement, then thereafter the Indemnitor’s liability to the Indemnitee with respect to such Third Party Claim shall not exceed the Indemnitor’s portion of the settlement amount included in such settlement offer, and the Indemnitee shall either assume the defense of such Third Party Claim or pay the Indemnitor’s attorney’s fees and other out-of-pocket costs incurred thereafter in continuing the defense of such Third Party Claim.

Appears in 1 contract

Sources: Master Agreement (SiriusPoint LTD)

Procedures for Third Party Claims. In (a) If any Indemnitee receives written notice of the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) assertion of any claim or demand of which the commencement of any action or proceeding by any entity who is not a party to this Agreement (a "Third Party Claim") against or affecting such Indemnified Indemnitee, and if such assertion were presumed to be true (regardless of the actual outcome) then a party could be obligated to provide indemnification under this Agreement as a result of or in connection with such claim, action or proceeding, such Indemnitee will give such Indemnifying Party has knowledge and as to which it may request indemnification hereunderreasonably prompt written notice thereof, but in any event no later than thirty (30) calendar days after receipt of such written notice of such Third Party Claim; provided, however, that failure to give such notice will as provided in this paragraph (a) shall not affect such Indemnified Party’s rights hereunder unless, and then solely relieve the Indemnifying Party of its indemnification obligations under this Article X except to the extent that, that such Indemnifying Party is actually prejudiced by such failure. Said written notice to the rights Indemnifying Party shall set forth the basis of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Third Party Claim in reasonable detail and include copies of all pertinent correspondence relating to such failureThird Party Claim. The Indemnifying Party shall will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume and control of the defense of any Third Party Claim at such action only if Indemnifying Party's sole expense and by such Indemnifying Party's own counsel (which counsel must be reasonably satisfactory to the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds Indemnitee), by giving written notice to the Indemnified Party harmless from and against all Losses resulting from such ThirdIndemnitee (the "Notice to Defend") no later than thirty (30) calendar days after receipt of the above-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control described notice of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Third Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall Indemnitee also will have the right to participate in the defense of any Third Party Claim assisted by counsel of its own choosing, but all fees and expenses of such counsel shall be paid by the Indemnitee. The Indemnifying Party and the Indemnitee will cooperate with each other in good faith in such defense and make available all employees and books and records in its control as reasonably deemed necessary with respect to such defense (but not to the extent that would require waiver of any privilege). The Indemnifying Party and the Indemnitee agree to keep each other apprised of any material developments with respect to any Third Party Claim as such developments become known. If the Indemnitee does not receive from the Indemnifying Party a Notice to Defend with respect to a Third Party Claim or a written notice of objection to the claim or demand with counsel employed for indemnification specifying in reasonable detail the basis for the objection within the thirty (30) day period described above, the Indemnitee may, at its option, elect to solely defend the Third Party Claim assisted by counsel of its own expensechoosing, and the Indemnifying Party will be liable for all reasonable costs and expenses, and all settlement amounts (subject to and in accordance with paragraph (c) below of this Section 10.3) or other liabilities, losses, damages and injuries paid or incurred in connection therewith to the extent such claim is or would have been indemnifiable under this Agreement if such claim is or had been proved. (b) If, within the thirty (30) day period set forth in paragraph (a) above of this Section 10.3, an Indemnitee receives a Notice to Defend from an Indemnifying Party with respect to any Third Party Claim, the Indemnifying Party will not be liable for any legal expenses of the Indemnitee incurred after receipt by the Indemnitee of such Notice to Defend. (c) In the event there is a dispute between the Indemnifying Party and Indemnitee concerning whether a Third Party Claim should be contested, settled or compromised, it shall be settled, compromised or contested, in accordance with the next succeeding sentences; provided, however, thatthat the Indemnitee, or its respective successors or assigns, shall neither be required to refrain from paying or satisfying any claim which has matured by court judgment or decree, unless appeal is taken thereafter and proper appeal bond posted by the Indemnifying Party, nor shall the Indemnitee be required to refrain from paying or satisfying any Third Party Claim after and to the extent that such Third Party Claim has resulted in an unstayed injunction. The Indemnifying Party shall not, without the Indemnitee's prior written consent, not to be unreasonably withheld, settle or compromise any action or claim or consent to the entry of any judgment with respect to any action, claim or proceeding for anything other than money damages paid by the Indemnifying Party unless the settlement does not involve the imposition of any liability or obligation on the Indemnitee or any restriction on its activities. The Indemnifying Party may, without the Indemnitee's written consent, settle or compromise any such action or claim or consent to entry of any judgment with respect to any such action or claim which requires solely the payment of money damages by the Indemnifying Party. Subject to the foregoing, in the case event that the Indemnifying Party, on the one hand, or the Indemnitee, on the other hand, has reached a good faith, bona fide settlement, agreement or compromise, subject only to approval hereunder, with any claimant regarding a matter which may be the subject of any indemnification hereunder and desires to settle on the basis of such agreement or compromise, such party who desires to so settle or compromise shall notify the other party in writing of its desire setting forth the terms of such settlement or compromise (the "Notice of Settlement"). The Third Party Claim may be settled or compromised on such basis unless within twenty (20) calendar days of the receipt of the Notice of Settlement the party who issued the Notice of Settlement receives a notice from the other party of its desire to continue to contest the matter (the "Notice to Contest") and, in such case: (i) Should the Indemnitee deliver a Notice to Contest, the claim or demand described shall be so contested and the liability of the Indemnifying Party shall be limited as provided in clause (iii) below; (ii) If the settlement or compromise could result in a further claim for indemnification being made against the Indemnifying Party and if the Indemnifying Party delivers the Notice to Contest, the claim shall be so contested and the liability of the Indemnitee shall be limited as provided in clause (iii) below; and (iii) If a matter is contested as provided in clauses (i) or (ii) above and is later adjudicated, settled, compromised or otherwise disposed of and such adjudication, compromise, settlement or disposition results in a liability, loss, damage or injury in excess of the second preceding sentence or as amount for which one party desired previously to which settle the Indemnifying Party shall not in fact have employed counsel to assume matter, then the defense liability of such claim or demand, the party shall be limited to such lesser proposed settlement amount (plus reasonable attorneys' fees and disbursements expenses to the date of such counsel the proposed but unapproved settlement to the extent provided for in paragraphs (a) and (b) above) and the party contesting the matter shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to solely responsible for any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementadditional amount.

Appears in 1 contract

Sources: Merger Agreement (Petroleum Place Inc)

Procedures for Third Party Claims. (a) In the case of event that subsequent to the Closing any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above Purchaser Indemnified Party or Seller Indemnified Party (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following receives notice of the assertion of any Claim or of the commencement of any action or proceeding (other than a Tax Claim) by any Person who is not a party to this Agreement or an Affiliate of a Party to this Agreement (including to any Governmental Entity) (a “Third Party Claim”) against such Indemnified Party’s receipt of such claim , with respect to which a Party to this Agreement is or demand, may be required to the party from which indemnity is sought provide indemnification under this Agreement (each an “Indemnifying Party”) of any claim or demand of which such ), the Indemnified Party has knowledge shall give written notice specifying the nature of such Claim in reasonable detail and the amount or estimated amount thereof if known (which amount or estimated amount shall not be conclusive of the final amount, if any, of such Claim) (a “Claim Notice”) to the Indemnifying Party as to which it may request indemnification hereunderpromptly as practicable, and in no event later than ten (10) days, after learning of such Claim; provided, however, that the failure of a Party to give such provide timely notice will hereunder shall not affect such Indemnified Party’s rights hereunder unless, and then solely preclude its Claim for indemnification under this Agreement except to the extent thatthe Indemnifying Party is prejudiced by such failure to provide timely notice. Subject to Section 11.4(e), the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so upon written notice to the Indemnified Party (the “Defense Notice”) within twenty ten (2010) days after receiving such notice receipt from the Indemnified Party) Party of notice of such Claim, which notice by the Indemnifying Party shall specify the counsel it will appoint to defend and such Claim (“Defense Counsel”), to direct conduct at its expense the defense against any such claim or demand, Claim in its name own name, or if necessary, in the name of the Indemnified Party; provided, that the Indemnified Party shall have the right to approve the Defense Counsel, which approval shall not be unreasonably withheld, conditioned or delayed, and in the event the Indemnifying Party and the Indemnified Party cannot agree upon such counsel within five (5) Business Days after the Defense Notice is provided, then the Indemnifying Party shall propose an alternate Defense Counsel, which shall be subject again to the Indemnified Party’s approval as provided in this Section 11.4(a). Provided that the Indemnifying Party has received a Claim Notice with respect to such Third Party Claim, the Indemnifying Party shall be liable for the reasonable fees and expenses of counsel employed by the Indemnified Party for any period during which the Indemnifying Party has not assumed the defense of any Third Party Claim in accordance with this Section 11.4(a). (b) In the event that the Indemnifying Party shall fail to assume the defense pursuant to Section 11.4(a), it shall be deemed to have elected not to conduct the defense of the subject Claim, and in such event the Indemnified Party shall have the right to conduct such defense and to compromise and settle the Claim without prior consent of the Indemnifying Party and the Indemnifying Party will be liable for all costs, expenses, settlement amounts or other Damages paid or incurred in connection therewith to the extent the Indemnifying Party is required to provide indemnification under this Agreement. (c) In the event that the Indemnifying Party does assume the defense pursuant to Section 11.4(a), the Indemnifying Party shall have the right to conduct such defense and, except as provided in Section 11.4(d), to settle the Claim without the prior consent of the Indemnified Party. The Indemnified Party shall cooperate with and make available to the Indemnifying Party such assistance and materials as the case Indemnifying Party may bereasonably request, all at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shallright, at the expense of the Indemnifying Indemnified Party’s expense, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, to participate in the defense assisted by counsel of such claim or demand. The its own choosing, provided that the Indemnified Party shall have the right to participate in compromise and settle the defense of any claim or demand Claim only with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The delayed. (d) No Indemnifying Party shall not settle consent to the entry of any such claim judgment or enter into any settlement related to an Indemnified Party without the prior written consent of the such Indemnified Party (which consent shall will not be unreasonably withheld, delayed conditioned or conditioned delayed) (i) if such judgment or settlement is accompanied by does not include as an unconditional term thereof the giving of a document releasing the release of such Indemnified Party from all liability in respect to such Claim; (ii) if such judgment or settlement would result in the finding or admission of any violation of applicable Law against such Indemnified Party; or (iii) if as a result of such judgment or settlement, injunctive or other equitable relief would be imposed against such Indemnified Party or such judgment or settlement would materially interfere with or adversely affect the business, operations or assets of such Indemnified Party. (e) Notwithstanding anything to the contrary contained herein, the Indemnifying Party shall not be entitled to control the defense or settlement of any Claim (and the cost of such defense and any Damages with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if such Claim shall constitute an amount for which the Indemnified Party fails is entitled to object indemnification hereunder) if (i) the Claim for indemnification is with respect to the settlement within five a criminal proceeding, action, indictment, allegation or investigation; (5ii) Business Days of receipt of a written notice from the Indemnifying Party containing has failed or is failing to vigorously prosecute or defend such Claim; or (iii) the terms and condition of such settlement, Claim seeks an injunction or other extraordinary relief against the Indemnified Party shall be deemed to have consented to the settlementParty.

Appears in 1 contract

Sources: Purchase and Sale Agreement (Just Energy Group Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) Any party seeking indemnification hereunder pursuant to this Article X (each an the “Indemnified Party”) in respect of any legal proceeding, action, claim or demand (in each case, a “Claim”) instituted by any third person or governmental entity shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity whom indemnification with respect to such claim is sought (each an the “Indemnifying Party”) of any claim or demand of which such (i) prompt written notice (but in no event more than twenty (20) days after the Indemnified Party has acquires knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result thereof) of such failure. The Indemnifying Party shall have the right Claim and (ii) copies of all documents and if it elects information relating to exercise any such right, shall do so Claim within twenty (20) days after receiving such notice from of their being obtained by the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds failure by the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that to so notify or provide copies to the Indemnifying Party shall not be entitled relieve the Indemnifying Party from any liability to assume control the Indemnified Party for any liability hereunder except to the extent that such failure shall have actually and materially prejudiced the defense of such defense if the Claim. (ib) Subject to Section 13.6(c) of this Agreement, the Indemnifying Party shall not have notified the right, at its option and expense, to defend against, negotiate, settle or otherwise deal with any Claim with respect to which it is the Indemnifying Party and to be represented by counsel of its own choice, and the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses will not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with admit any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations liability with respect to any such claim thereto or demand which shall be settled by settle, compromise, pay or discharge the Indemnified Party same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed so long as the Indemnifying Party is contesting or conditioneddefending the same with reasonable diligence and in good faith. The Indemnified Party may participate in any proceeding with counsel of its choice and at its expense. The Indemnifying Party shall may not settle enter into a settlement of any such claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party. In the event the Indemnifying Party does not, within fifteen (15) days after it receives written notice of the Claim from the Indemnified Party, agree in writing to accept the defense of, and assume all liability with respect to the matter responsibility for, such Claim as provided above in controversy that is bindingthis Section 13.6(b), valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if then the Indemnified Party fails shall have the right to object to defend against, negotiate, settle or otherwise deal with the settlement within five (5) Business Days of receipt of a written notice from Claim in such manner as the Indemnifying Indemnified Party containing the terms deems appropriate, in its sole discretion, and condition of such settlement, the Indemnified Party shall be deemed entitled to indemnification therefor from the Indemnifying Party under this Article X. (c) In the event the Claim subject to this Section 13.6 is an Environmental Claim, the parties agree that the following provisions shall apply: (i) Buyer shall have consented control of all actions that may be necessary in order (A) to resolve the Environmental Claim and (B) to address, correct, remediate and repair conditions giving rise to such Environmental Claim (the “Conditions”) so that such Conditions are in full compliance with Environmental Laws; (ii) Buyer shall retain a qualified environmental consulting/services company (“Consultant”) to review such Environmental Claim and associated Conditions and to determine the extent to which correction, remediation or repair of the Conditions is necessary to be in full compliance with Environmental Laws, and the Consultant shall prepare a written report for Buyer and the Sellers setting forth such review and determination and the specific actions to be taken so to correct, remediate and repair the Conditions without unreasonably interrupting the business operations of either Group Company. To the extent practicable under the circumstances, Buyer shall consult with the Sellers as to the settlement.matters described in this Section 13.6(c)(ii), but the Sellers shall not have a right of approval or disapproval as to such matters; (iii) Subject to Buyer complying with this Section 13.6(c), the Sellers shall be solely responsible for and shall pay and, if applicable, shall reimburse Buyer or the Group Companies for (A) all Remediation Costs and Expenses (as defined below) and (B) any damages, fines, penalties and other reasonable costs and expenses resulting from or attributable to resolution of the Environmental Claim or relating to the Conditions not being in full compliance as of the Closing with applicable Environmental Laws, to the extent indemnification is provided therefor under this Article X; (iv) For purposes of this Section 13.6(c), “Remediation Costs and Expenses” shall mean the fees, costs and expenses reasonably incurred by Buyer or the Group Companies in undertaking and completing the actions recommended by the Consultant to so correct, remediate and repair the Conditions including, without limitation, environmental consultants’ and contractors’ fees, attorneys’ fees, laboratory and analytical costs and expenses, equipment charges, industrial or hazardous waste disposal costs, and all other fees, costs or expenses reasonably incurred in connection with sampling, monitoring, investigation and remediation activities; and

Appears in 1 contract

Sources: Stock and Membership Interest Purchase Agreement (E-Waste Systems, Inc.)

Procedures for Third Party Claims. In Promptly after the receipt by any Indemnified Party of a notice of any claim, action, suit or proceeding by any third party that may be subject to indemnification hereunder, such Indemnified Party shall give prompt written notice of such claim to the Indemnifying Party, stating the nature and basis of the claim and the amount thereof, to the extent known, along with copies of the relevant documents evidencing the claim and the basis for indemnification sought. Failure of the Indemnified Party to give prompt written notice in accordance with the foregoing requirements shall not relieve the Indemnifying Party from liability on account of this indemnification, except (a) if and to the extent that the Indemnifying Party is actually prejudiced thereby or (b) a claims notice is not given within the survival period for the applicable representation, warranty, covenant or agreement under Section 9.6, in which case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge expire and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failureterminate. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) 45 days after receiving from receipt of any such notice from the Indemnified Partyof claim (x) to defend and give written notice to direct assume the defense against any such thereof and thereby admit to its liability for indemnification hereunder (except that where a notified claim relates to a Seller Specific Warranty or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of a UPC Specific Warranty the Indemnifying Party, and with counsel selected ’s right to assume the defense thereof shall be automatic unless the Indemnifying Party does not respond following such 45 day period to a second notice of claim by the Indemnifying Party; provided, that Indemnified Party within five Business Days in which event the Indemnifying Indemnified Party shall be entitled to assume control of the defense thereof) or to otherwise admit to its liability for indemnification hereunder or (y) to dispute the claim of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control indemnification of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) in which case the Indemnified Party shall have reasonably concluded that may defend the claim and any dispute between the Parties will be resolved pursuant to Section 11.2. If written notice to the effect set forth in clause (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to immediately preceding sentence is given by the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that then the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to assume the defense of the Indemnified Party against the third party claim with counsel of its choice reasonably satisfactory to the Indemnified Party. So long as the Indemnifying Party has assumed the defense of the third party claim in accordance herewith, (a) the Indemnified Party may retain separate co-counsel at its sole cost and expense and participate in the defense of the third party claim, (b) the Indemnified Party will not file any claim papers or demand with counsel employed at its own expense; provided, however, that, in consent to the case entry of any claim judgment or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations enter into any settlement with respect to any such the third party claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying PartyParty (not to be withheld or delayed unreasonably), which consent shall not be unreasonably withheld, delayed or conditioned. The and (c) the Indemnifying Party shall will not settle consent to the entry of any such judgment or enter into any settlement with respect to the third party claim without the prior written consent of the Indemnified Party (not to be withheld or delayed unreasonably). The Parties agree that the consent of the Indemnified Party under (c) above will not be required if money damages only are to be paid by the Indemnifying Party under any such judgment or settlement of a third party claim and there is no future impact as a result on the Indemnified Party’s business. The Indemnified Party shall use commercially reasonable efforts to minimize Losses from claims by third parties and the Parties shall act in good faith in responding to, defending against, settling or otherwise dealing with such claims. The Parties shall also reasonably cooperate in any such defense and give each other reasonable access to all information relevant thereto. Whether or not the Indemnifying Party shall have assumed the defense, the Indemnifying Party shall not be obligated to indemnify the Indemnified Party hereunder for any settlement entered into without the Indemnifying Party’s prior written consent, which consent shall not be unreasonably withheld, delayed withheld or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Purchase Agreement (Unitedglobalcom Inc)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article 10 in respect of any claim for Third-Party Claim shall give the Indemnifying Party from whom indemnification arising from a claim with respect to such Indemnification Claim is sought: (i) prompt written notice (but in no event more than fifteen (15) days after the Indemnified Party acquires knowledge thereof) of a third-party other than an Infringement Claim subject to Section 13.3 above (a “such Third-Party Claim”), a party seeking indemnification hereunder ; and (each an “ii) copies of all documents and information relating to any such Third-Party Claim within ten (10) days of their being obtained by the Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that the failure by the Indemnified Party to give such notice will so notify or provide copies to the Indemnifying Party shall not affect such relieve the Indemnifying Party from any liability to the Indemnified Party’s rights Party for any liability hereunder unless, and then solely except to the extent that, that such failure shall have materially and irreparably prejudiced the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result defense of such failure. Third-Party Claim. (b) The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving (or such lesser time as may be necessary to comply with statutory response requirements for litigated Claims that are included in any Third-Party Claim) from receipt of the notice from contemplated in this Section 10.05 to notify the Indemnified Party) Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against such Third-Party Claim. If the Indemnifying Party timely gives notice that it intends to defend the Third-Party Claim, it shall have the right, except as hereafter provided, to defend against, negotiate, settle or otherwise deal with the Third-Party Claim and to direct the defense against any such claim or demandbe represented by counsel of its own choice, in its name or in the name of and the Indemnified PartyParty will not admit any liability with respect thereto or settle, as compromise, pay or discharge the case may be, at same without the expense consent of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Indemnified Party shall be entitled to assume control may participate in any proceeding with counsel of the defense of such action only if its choice and at its expense; and provided further, that the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from may not enter into a settlement of any such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if Claim without (i) obtaining the Indemnifying Party shall not have notified the Indemnified Party consent of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) which consent shall be not unreasonably withheld, unless such settlement requires no more than a monetary payment for which the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party and the Indemnifying Party in the conduct (ii) obtaining a full release of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to from the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to In the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep event the Indemnifying Party fully informed, does not agree in writing to accept the defense of of, and assume all responsibility for, such claim or demand. The Third-Party Claim as provided above in this Section 10.05, then the Indemnified Party shall have the right to participate defend against, negotiate or otherwise deal with the Third-Party Claim in such manner as the defense of Indemnified Party deems appropriate, and the Indemnified Party shall be entitled to indemnification for all Losses arising from any claim or demand with counsel employed at its own expensesuch Third-Party Claim; provided, however, that, in provided that the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Indemnified Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying settle a Third-Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheldwithheld or delayed. (c) Notwithstanding the foregoing, delayed if in the reasonable opinion of the Indemnified Party such Third-Party Claim, or conditioned. The the litigation or resolution of such Third-Party Claim, involves: (i) an issue or matter that could have a material adverse effect on the Indemnified Party, including a dispute with a significant supplier or customer of the Indemnified Party; (ii) an action the object of which is to obtain an injunction, restraining order, declaratory relief or any other non-monetary relief against the Indemnified Party; or (iii) an issue or matter in which there is a conflict of interest in the defense of such action between the Indemnified Party and the Indemnifying Party, the Indemnified Party shall have the right to control the defense or settlement of any such claim or demand and its reasonable costs and expenses shall be included as part of the indemnification obligations of the Indemnifying Party; provided that the Indemnified Party shall not settle any such claim without the prior written consent of the Indemnified Party (Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned if such settlement is accompanied by a document releasing delayed. If the Indemnified Party from all liability with respect elects to the matter in controversy that is bindingexercise such right, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing shall have the terms and condition right to participate in, but not control, the defense or settlement of such settlement, the Indemnified Party shall be deemed to have consented to the settlementclaim at its sole cost and expense.

Appears in 1 contract

Sources: Asset Purchase Agreement (Regional Brands Inc.)

Procedures for Third Party Claims. In Promptly after receipt by an Indemnified Party of notice by a third party of a threatened or filed complaint or the case threatened or actual commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject audit, investigation, action or proceeding with respect to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has is covered hereunder, such Indemnified Party shall provide written notification to Buyer, on the one hand, or Seller Parties, on the other hand, whoever is the appropriate indemnifying Party hereunder (the "Indemnifying Party"), but in any event within five (5) days after the Indemnified Party's knowledge and as to which it may request indemnification hereunderof threatening or filing of such complaint or knowledge of the threatened or actual commencement of such audits, investigation, action or proceeding; provided, however, that the failure to give so notify the Indemnifying Party shall relieve the Indemnifying Party from liability under this Agreement with respect to such notice will not affect such Indemnified Party’s rights hereunder unlessclaim only if, and then solely only to the extent that, the rights of such failure to notify the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of Party results in material prejudice to the Indemnifying Party with respect to such failureclaim. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so upon written notice delivered to the Indemnified Party within twenty thirty (2030) days after receiving thereafter, to assume the defense of such notice from complaint, audit, investigation, action or proceeding, including the employment of counsel reasonably satisfactory to the Indemnified Party and the payment of the reasonable fees and disbursements of such counsel. If the Indemnifying Party declines or fails to assume and continue to diligently prosecute the defense of the audit, investigation, action or proceeding (with respect to which the Indemnified Party is covered hereunder) on the terms provided above within such thirty (30) day period, however, the Indemnified Party may employ counsel to represent or defend it in any such audit, investigation, action or proceeding and, the Indemnifying Party will pay the reasonable fees and disbursements of such counsel as incurred; provided, however, that the Indemnifying Party will not be required to pay the fees and disbursements of more than one (1) counsel for all Indemnified Parties in any jurisdiction in any single audit, investigation, action or proceeding. In any audit, investigation, action or proceeding with respect to which indemnification is being sought hereunder, the Indemnified Party or the Indemnifying Party) , whichever is not assuming the defense of such action, shall have the right to defend participate in such matter and to direct the defense against any retain its own counsel at such claim Party's own expense. The Indemnifying Party or demand, in its name or in the name of the Indemnified Party, as the case may be, shall at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that all times use Commercially Reasonable Efforts to keep the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) as the Indemnified Party shall have reasonably concluded that (x) there is a conflict case may be, apprised of interest between the Indemnified Party and the Indemnifying Party in the conduct status of any matter the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available which they are maintaining and to the Indemnifying Party, (iv) such claim relates cooperate in good faith with each other with respect to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim such matter. No Indemnified Party may settle or demand with counsel employed at its own expense; provided, however, that, in the case of compromise any claim or demand described in clause (i) or (ii) consent to the entry of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations any judgment with respect to any such claim or demand which shall be settled by the Indemnified Party indemnification is being sought hereunder without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Asset Purchase Agreement (Seaboard Corp /De/)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party Each Person seeking indemnification hereunder under this Article IV (each an the “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party Person from which indemnity whom indemnification is sought (each an the “Indemnifying Party”) of the assertion of any claim or demand the commencement of which any Action by any third party (“Third Party Claim”), provided, however, that the failure to give such notification will not affect the indemnification provided hereunder unless the Indemnifying Party is materially prejudiced by such failure, and then only to the extent of such prejudice. Upon receipt of such notice of a Third Party Claim, the Indemnifying Party will have the right to assume the defense of such Third Party Claim using counsel of its choice reasonably satisfactory to the Indemnified Party has knowledge and as to which it may request indemnification hereunderParty; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have will obtain the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name prior written consent of the Indemnified PartyParty (which may not be unreasonably withheld, as delayed or conditioned) before entering into any settlement or compromise of such Third Party Claim or permit a default or consent to entry of any judgment. Notwithstanding the case may beforegoing, at the expense consent of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of required for any such defense settlement if (i) the sole relief provided is monetary damages that are paid in full by any Indemnifying Party, and (ii) the settlement includes an unconditional release of such Indemnified Party shall and its Affiliates from all Liability relating to claims that are the subject matter of the Third Party Claim and does not have notified include any statement as to or any admission of fault, culpability or failure to act by or on behalf of any Indemnified Party or its Affiliates. In the event the Indemnified Party of its exercise of its right reasonably concludes that there may be legal defenses available to defend such Third-Party claim within such twenty (20) day period; (ii) such claim it that are different from or demand seeks an injunction or other equitable relief against in addition to those available to the Indemnified Indemnifying Party, (iii) the Indemnified Party shall have reasonably concluded that (x) or there is a otherwise an actual or potential conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shallwill have the right, at the expense of the Indemnifying Party’s reasonable expense, cooperate with to select separate counsel and to otherwise separately defend itself but will not consent to the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense entry of such claim a judgment or demand. The Indemnified Party shall have the right to participate in the defense of enter into any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations settlement with respect to any such claim or demand which shall be settled by the Indemnified Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall will not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with With respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified any Third Party fails Claim subject to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlementindemnification under this Agreement, the Indemnified Party shall be deemed agrees to have consented cooperate and cause its Affiliates to cooperate in good faith with the settlementIndemnifying Party in connection with the defense of such Third Party Claim.

Appears in 1 contract

Sources: Jv Interests Purchase Agreement (PHH Corp)

Procedures for Third Party Claims. (a) In the case of any claim Claim for indemnification arising from a claim Claim of a third-third party other than against an Infringement Claim subject to Section 13.3 above Indemnified Party arising under paragraph 8.2(a) or 8.2(b) as the case may be (a “Third"THIRD-Party Claim”PARTY CLAIM"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim Claim or demand of which such Indemnified Party has knowledge knowledge, and as to which it may request indemnification hereunder, specifying (to the extent known) the amount of such Claim and any relevant facts and circumstances relating thereto; providedPROVIDED, howeverHOWEVER, that any failure to give such prompt notice or to provide any such facts and circumstances will not affect such waive any rights of the Indemnified Party’s rights hereunder unless, and then solely except to the extent that, that the rights of the Indemnifying Parties from whom indemnity is sought Party are actually materially prejudiced as a result of such failurethereby. The Indemnifying Party shall have the right (and and, if it elects to exercise such right, shall to do so by written notice within twenty thirty (2030) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird-Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled and reasonably satisfactory to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if Party, unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right taken any action to defend such Third-Party claim Claim within such twenty thirty (2030) day period; , or (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarycontrary (other than the last sentence of this Section 8.4(a)), the Indemnified Party shallParty, at the expense of the Indemnifying PartyParty (which shall include only reasonable out-of-pocket expenses actually incurred), shall cooperate with the Indemnifying Party, Party and keep the Indemnifying Party fully informed, informed in the defense of such claim or demandThird-Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third-Party Claim with counsel employed at its own expense; providedPROVIDED, howeverHOWEVER, that, that in the case of any claim or demand Third-Party Claim (A) described in clause (iii) above, or (iiB) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have 72 employed counsel to assume the defense of such claim Third-Party Claim within such thirty-day (30-day) period, or demand(C) that involves assertion of criminal liability on the Indemnified Party, or (D) seeks to force the Indemnified Party to take (or prevent the Indemnified Party from taking) any action, then in each such case the Indemnified Party shall have the right, but not the obligation, to conduct and control the defense thereof for the account of, and at the risk of, the Indemnifying Party, and the reasonable fees and disbursements of such Indemnified Party's counsel shall be at the expense of the Indemnifying Party. The Except as provided in the last sentence of Section 8.4(b), the Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third-Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. . (b) The Indemnifying Party, if it has assumed the defense of any Third Party Claim as provided in this Agreement, shall not settle consent to a settlement of, or the entry of any judgment arising from, any such claim Third-Party Claim without the Indemnified Party's prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if conditioned) unless (i) such settlement is accompanied by a document releasing or judgment relates solely to monetary damages, and (ii) prior to consenting to such settlement or such entry of judgment, the Indemnifying Party delivers to the Indemnified Party from all liability with respect a writing (in form reasonably acceptable to the matter Indemnified Party) which unconditionally provides that, subject to the provisions of Section 8.2(d) or Section 8.2(e), as appropriate, relating to the Minimum Claim Amount, the Threshold Amount and the Cap Amount, the Damages represented thereby are the responsibility of the Indemnifying Party pursuant to the terms of this Agreement and that, subject to the provisions of the Threshold Amount, the Indemnifying Party shall pay all Damages associated therewith in controversy accordance with the terms of this Agreement. The Indemnifying Party shall not, without the Indemnified Party's prior written consent, enter into any compromise or settlement that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if (x) commits the Indemnified Party fails to object take, or to forbear to take, any action or (y) involves a reasonable likelihood of an imposition of criminal liability on the settlement within five Indemnified Party, or (5z) Business Days does not provide for a complete release by such third party of receipt the Indemnified Party. With the written consent of a written notice from the Indemnifying Party containing the terms and condition of such settlementParty, which consent shall not be unreasonably withheld, conditioned or delayed, the Indemnified Party shall be deemed have the sole and exclusive right to have consented settle any Third-Party Claim, on such terms and conditions as it deems reasonably appropriate, to the settlementextent such Third-Party Claim involves equitable or other nonmonetary relief against the Indemnified Party or involves a reasonable likelihood of an imposition of criminal liability on the Indemnified Party, and shall have the right to settle any Third-Party Claim involving money damages for which the Indemnifying Party has not assumed the defense pursuant to this Section 8.4.

Appears in 1 contract

Sources: Stock Purchase Agreement (Panhandle Eastern Pipe Line Co)

Procedures for Third Party Claims. In the case If any Third Party Claim shall be brought or alleged against an indemnified party in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is to be sought (each against an “Indemnifying Party”) indemnifying party pursuant to Section 8.1 or Section 8.2, the indemnified party shall, promptly after receipt of any claim or demand notice of which the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that failure the omission to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 8.1 or Section 8.2 unless, and then solely only to the extent that, the rights indemnifying party is actually prejudiced by such omission. In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 8.3, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel to the indemnifying party), and, after notice from whom indemnity is sought are prejudiced as a result the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such failureindemnified party under this ARTICLE VII for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. The Indemnifying In any such Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them based on the advice of counsel to the indemnified party. It is agreed that the indemnifying party shall not, in connection with any Third Party Claim or related proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate law firm (in addition to local counsel where necessary) for all such indemnified parties. The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its written consent, but, if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party, effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is or could have been a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional, full written release of such indemnified party, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense subject matter of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or does not include any statement as to which the Indemnifying Party shall an admission of fault, culpability or failure to act by or on behalf of any indemnified party and (iii) does not in fact have employed counsel impose any continuing obligations or restrictions other than customary and reasonable confidentiality obligations relating to assume the defense of such claim claim, settlement or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementcompromise.

Appears in 1 contract

Sources: Purchase and Sale Agreement (Nektar Therapeutics)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a a) Any party seeking indemnification hereunder pursuant to this Section 12 (each an the “Indemnified Party”) in respect of any legal proceeding, action, claim or demand (in each case, a “Claim”) instituted by any third person or governmental entity shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity whom indemnification with respect to such claim is sought (each an the “Indemnifying Party”) of any claim or demand of which such (i) prompt written notice (but in no event more than twenty (20) days after the Indemnified Party has acquires knowledge thereof) of such Claim and as (ii) copies of all documents and information relating to which it may request indemnification hereunderany such Claim within twenty (20) days of their being obtained by the Indemnified Party; provided, however, that the failure by the Indemnified Party to give such notice will so notify or provide copies to the Indemnifying Party shall not affect such relieve the Indemnifying Party from any liability to the Indemnified Party’s rights Party for any liability hereunder unless, and then solely except to the extent that, that such failure shall have actually prejudiced the rights defense of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. Claim. (b) The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) at its option and expense, to defend and against, negotiate, settle or otherwise deal with any Claim with respect to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that which it is the Indemnifying Party shall and to be entitled to assume control represented by counsel of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations own choice, and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall will not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with admit any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations liability with respect to any such claim thereto or demand which shall be settled by settle, compromise, pay or discharge the Indemnified Party same without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed so long as the Indemnifying Party is contesting or conditioneddefending the same with reasonable diligence and in good faith. The Indemnified Party may participate in any proceeding with counsel of its choice and at its expense. The Indemnifying Party shall may not settle enter into a settlement of any such claim without the prior written consent of the Indemnified Party (Party, which consent shall be not be unreasonably withheld, delayed or conditioned if unless such settlement is accompanied by requires no more than a document releasing monetary payment for which the Indemnified Party is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party. In the event the Indemnifying Party does not, within fifteen (15) days after it receives written notice of the Claim from the Indemnified Party, agree in writing to accept the defense of, and assume all liability with respect to the matter responsibility for, such Claim as provided above in controversy that is bindingthis Section 12.5(b), valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if then the Indemnified Party fails shall have the right to object to defend against, negotiate, settle or otherwise deal with the settlement within five (5) Business Days of receipt of a written notice from Claim in such manner as the Indemnifying Indemnified Party containing the terms deems appropriate, in its sole discretion, and condition of such settlement, the Indemnified Party shall be deemed entitled to have consented to indemnification therefor from the settlementIndemnifying Party under this Section 12.

Appears in 1 contract

Sources: Stock Purchase Agreement (Isonics Corp)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-"Third Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if unless (i) the Indemnifying such Third Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand Claim seeks an order, injunction or other equitable relief against the Indemnified Party, or (iiiii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand Third Party Claim or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, Party and keep the Indemnifying Party fully informed, in the defense of such claim or demandThird Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; provided, however, that, in the case of any claim Third Party Claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demandThird Party Claim, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim Third Party Claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Asset Purchase Agreement (Geo Specialty Chemicals Inc)

Procedures for Third Party Claims. In the case (a) Any Indemnified Party seeking indemnification pursuant to this Article 10 in respect of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) Claim shall give the Indemnifying Party from whom indemnification with respect to such Indemnification Claim is sought: (i) prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought notice (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within but in no event more than twenty (20) days after receiving the Indemnified Party acquires knowledge thereof) of such notice from Third-Party Claim; and (ii) copies of all documents and information relating to any such Third-Party Claim within ten (10) days of their being obtained by the Indemnified Party; provided, that the failure by the Indemnified Party to so notify or provide copies to the Indemnifying Party shall not relieve the Indemnifying Party from any liability to the Indemnified Party for any liability hereunder except to the extent that such failure shall have materially and irreparably prejudiced the defense of such Third-Party Claim. (a) The Indemnifying Party shall have twenty (20) days (or such lesser time as may be necessary to comply with statutory response requirements for litigated Claims that are included in any Third-Party Claim) from receipt of the notice contemplated in this Section 10.05 to notify the Indemnified Party whether or not the Indemnifying Party will, at its sole cost and expense, defend the Indemnified Party against such Third Party Claim. If the Indemnifying Party timely gives notice that it intends to defend the Third-Party Claim, it shall have the right, except as hereafter provided, to defend against, negotiate, settle or otherwise deal with the Third-Party Claim and to direct the defense against any such claim or demandbe represented by counsel of its own choice, in its name or in the name of and the Indemnified PartyParty will not admit any liability with respect thereto or settle, as compromise, pay or discharge the case may be, at same without the expense consent of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnified Party may participate in any proceeding with counsel of its choice and at its expense; and provided further, that the Indemnifying Party may not enter into a settlement of any such Third-Party Claim without the consent of the Indemnified Party, which consent shall be not unreasonably withheld, unless such settlement requires no more than a monetary payment for which the Indemnified Party is fully indemnified by the Indemnifying Party or involves other matters not binding upon the Indemnified Party. In the event the Indemnifying Party does not agree in writing to accept the defense of, and assume all responsibility for, such Third-Party Claim as provided above in this Section 10.05, then the Indemnified Party shall have the right to defend against, negotiate, settle or otherwise deal with the Third-Party Claim in such manner as the Indemnified Party deems appropriate, in its sole discretion, and the Indemnified Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against indemnification for all Losses resulting arising from any such Third-Party Claim; and provided further that . (b) Notwithstanding the Indemnifying Party shall not be entitled to assume control foregoing, if in the reasonable opinion of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within Claim, or the litigation or resolution of such twenty Third-Party Claim, involves: (20i) day periodan issue or matter that could have a Material Adverse Effect on the Indemnified Party, including a dispute with a significant supplier or customer of the Indemnified Party; (ii) such claim an action the object of which is to obtain an injunction, restraining order, declaratory relief or demand seeks an injunction or any other equitable non-monetary relief against the Indemnified Party, ; or (iii) the Indemnified Party shall have reasonably concluded that (x) an issue or matter in which there is a conflict of interest in the defense of such action between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in control the defense or settlement of any such claim or demand with counsel employed at and its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) reasonable costs and expenses shall be included as part of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense indemnification obligations of the Indemnifying Party. The If the Indemnified Party elects to exercise such right, the Indemnifying Party shall have no indemnification obligations with respect the right to any participate in, but not control, the defense or settlement of such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid at its sole cost and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementexpense.

Appears in 1 contract

Sources: Asset Purchase Agreement (Gibraltar Industries, Inc.)

Procedures for Third Party Claims. In the case (a) If any Indemnitee receives notice of assertion or commencement of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”)Claim against such Indemnitee in respect of which an Indemnitor may be obligated to provide indemnification under this Agreement, a party seeking indemnification hereunder (each an “Indemnified Party”) then the Indemnitee shall give such Indemnitor reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereundernotice thereof; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights no delay on the part of the Indemnitee in notifying any Indemnitor shall relieve the Indemnitor from any obligation hereunder unless, unless (and then solely to the extent that, extent) the rights of the Indemnifying Parties from whom indemnity Indemnitor is sought are actually prejudiced as a result of by such failure. The Indemnifying Party shall delay. (b) Any Indemnitor will have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense Indemnitee against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that Claim with counsel of its choice reasonably satisfactory to the Indemnifying Party shall not be entitled to assume control of such defense if Indemnitee so long as (i) the Indemnifying Party shall not have notified Indemnitor notifies the Indemnified Party Indemnitee in writing within ten days after the Indemnitee has given notice of its exercise of its right to defend such the Third-Party claim within Claim that the Indemnitor will indemnify the Indemnitee from and against any such twenty (20) day period; Indemnifiable Losses, (ii) such claim or demand seeks the Indemnitor provides the Indemnitee with evidence reasonably acceptable to the Indemnitee that the Indemnitor will have the financial resources to defend against the Third-Party Claim and fulfill its indemnification obligations hereunder, (iii) the Third-Party Claim involves only monetary damages and does not seek an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Partyrelief, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigationsettlement of, or an adverse judgment in respect of, the Third-Party Claim is not, in the good faith judgment of the Indemnitee, likely to establish a precedential custom or practice adverse to the continuing business interests of the Indemnitee, and (v) the appropriate court rules that Indemnitor conducts the Indemnifying Party failed or is failing to vigorously prosecute or defend such defense of the Third-Party Claim. Notwithstanding anything in this Agreement to Claim actively and diligently. (c) So long as the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in Indemnitor is conducting the defense of such claim or demand. The Indemnified the Third-Party shall have Claim in accordance with Section 9.4(b), (i) the right to Indemnitee may retain separate co-counsel at its sole cost and expense and participate in the defense of any claim or demand with counsel employed at its own expense; providedthe Third-Party Claim, however, that, in the case of any claim or demand described in clause (i) or (ii) the Indemnitee will not consent to the entry of any judgment or enter into any compromise or settlement in respect of the second preceding sentence or as to which the Indemnifying Third-Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party Claim without the prior written consent of the Indemnifying Party, Indemnitor (which consent shall will not be unreasonably withheldconditioned, delayed or conditioned. The Indemnifying withheld), and (iii) the Indemnitor will not consent to the entry of any judgment or enter into any compromise or settlement in respect of the Third-Party shall not settle any such claim Claim without the prior written consent of the Indemnified Indemnitee (which consent will not be unreasonably conditioned, delayed or withheld); provided, however, that in respect of clause (iii) above, the Indemnitee may condition such consent upon the delivery by the claimant or plaintiff to the Indemnitee of a duly executed unconditional release of the Indemnitee from all liability in respect of such Third-Party Claim. (d) If any condition set forth in Section 9.4(b) is or becomes unsatisfied, however, (i) the Indemnitee may defend against, and consent to the entry of any judgment or enter into any settlement in respect of, the Third-Party Claim in any manner it reasonably may deem appropriate; provided, however, that the Indemnitee will consult with and obtain the consent of the Indemnitor in connection therewith which consent shall not be unreasonably withheldconditioned, delayed or conditioned if such settlement is accompanied by a document releasing withheld, (ii) the Indemnified Indemnitor will reimburse the Indemnitee promptly and periodically for the costs of defending against the Third-Party from all liability with respect Claim (including reasonable attorneys’ fees and expenses), and (iii) the Indemnitor will remain responsible for any Indemnifiable Losses the Indemnitee may suffer resulting from, arising out of, relating to, in the nature of or caused by, the Third-Party Claim to the matter fullest extent provided in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementthis Section 9.4.

Appears in 1 contract

Sources: Membership Interests Purchase Agreement (Behringer Harvard Multifamily Reit I Inc)

Procedures for Third Party Claims. In the case of any event that an Indemnified Party determines that it has a claim for indemnification Damages against an Indemnifying Party arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder the Indemnified Party shall notify the Indemnifying Party in writing, and in reasonable detail (each an “Indemnified Party”) shall give prompt written noticeincluding, following to the extent reasonably ascertainable, the amount of such Indemnified Party’s receipt claim, the nature and basis of such claim or demandand the relevant facts and circumstances relating thereto), to of the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which Third-Party Claim as promptly as reasonably practicable after receipt by such Indemnified Party of notice of the Third-Party Claim; provided that failure or delay in notifying the Indemnifying Party shall not relieve the Indemnifying Party of its indemnification obligations, except and only to the extent that the Indemnifying Party demonstrates that such failure has knowledge adversely affected the Indemnifying Party with respect to such claim. The Indemnifying Party shall be entitled to participate in the defense of the Third-Party Claim and, subject to the limitations set forth in this Section 10.06, to assume the defense thereof with counsel selected by the Indemnifying Party, in each case at its expense, so long as (i) the Third-Party Claim does not seek an injunction or similar equitable relief that is reasonably likely to be awarded and as that, if awarded, would materially and adversely affect the conduct of the business of the Target Companies, and (ii) the Third-Party Claim for indemnification does not relate to which it may request indemnification hereunderor arise in connection with any criminal proceeding, action, indictment or investigation. If the Indemnifying Party shall assume the control of the defense of any Third-Party Claim in accordance with the provisions of this Section 10.06, the Indemnified Party shall be entitled to participate in the defense of such Third-Party Claim and to employ separate counsel of its choice for such purpose. The fees and expenses of such separate counsel shall be paid by the Indemnified Party; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, if there exists a conflict of interest for which the rights grant of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or waiver would be inappropriate in the name reasonable, good faith judgment of the Indemnified Party (upon and in conformity with advice of counsel) for the same counsel to represent both the Indemnified Party and the Indemnifying Party, as then the case may beIndemnified Party will be entitled to retain one counsel (plus one local counsel in each jurisdiction for which the Indemnified Party determines counsel is necessary), reasonably acceptable to the Indemnifying Party, at the expense of the Indemnifying Party, provided that the Indemnified Party and with such counsel selected by will contest such Third-Party Claims in good faith. Subject to the Indemnifying Party; providedlimitations set forth in this ARTICLE X, that the Indemnifying Party shall also be entitled to assume control liable for the reasonable fees and expenses of counsel engaged by the defense of such action only if Indemnified Party for any period during which the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds has elected not to assume the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying defense thereof. Each Party shall not be entitled cooperate, and shall cause their respective Affiliates to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Partycooperate, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct defense or prosecution of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to Such cooperation shall include the contrary, the Indemnified Party shall, at the expense of retention and (upon the Indemnifying Party, cooperate with ’s request) the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled provision by the Indemnified Party to the Indemnifying Party of records and information which are reasonably relevant to such Third-Party Claim, and making personnel available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. No compromise or settlement of any Third-Party Claim may be effected by the Indemnifying Party without the Indemnified Party’s consent, which shall not be unreasonably withheld, conditioned or delayed; provided that no such consent shall be required if (i) there is no finding or admission of any violation of Law by the Indemnified Party and no effect on any other claims that may be made against such Indemnified Party or its Affiliates; (ii) each Indemnified Party that is party to such Third-Party Claim is fully and unconditionally released from liability with respect to such claim; and (iii) no damages other than monetary damages (or customary confidentiality and similar restrictions) are paid with regard to such Third-Party Claim. No Indemnified Party shall settle or compromise any Third-Party Claim without the express prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of delayed, unless the Indemnified Party (which waives its rights to indemnification hereunder with respect to such Third-Party Claim; provided that it shall be reasonable for the Indemnifying Party to withhold any such consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing or compromise creates any liability or obligation on the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days part of receipt of a written notice from the such Indemnifying Party containing (excluding customary confidentiality and similar restrictions) or otherwise affects any claims that are then pending or threatened, or may be made, against such Indemnifying Party. Where the terms and condition provisions of such settlementthis Section 10.06 conflict with the provisions of Section 7.09(h) (Tax Proceedings), the Indemnified Party provisions of Section 7.09(h) (Tax Proceedings) shall be deemed to have consented to the settlementcontrol.

Appears in 1 contract

Sources: Stock and Membership Interest Purchase Agreement (Snyder's-Lance, Inc.)

Procedures for Third Party Claims. In (a) The Indemnified Party seeking indemnification under Section 7.01 or Section 7.02 hereof, as applicable, agrees to give prompt notice (in accordance with Section 9.05 hereof) upon becoming aware of the case of any facts indicating that a claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, may be warranted to the party from which Party against whom indemnity is sought (each an the “Indemnifying Party”) of the assertion of any claim third party claim, or demand the commencement of any suit, action or proceeding in respect of which such Indemnified indemnity may be sought under Section 7.01 or Section 7.02 hereof, as applicable (the “Third Party has knowledge Claims”). Such notice referred to in the preceding sentence shall state the relevant facts and as include reasonable, available support for the basis of the indemnification being sought and the amount of Damages subject to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity such information is sought are prejudiced as a result of such failurereadily available. The Indemnifying failure by any Indemnified Party shall have the right (and if it elects so to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that notify the Indemnifying Party shall be entitled not relieve any Indemnifying Party from any liability which it may have to assume control of such Indemnified Party with respect to any claim made pursuant to this Section 7.03, except to the defense of extent that such action only if failure has an actual prejudicial effect on the defenses or other rights available to the Indemnifying Party acknowledges in writing its indemnity obligations with respect to such claim and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further except that the Indemnifying Party shall not be entitled liable for any liability incurred during the period in which the Indemnified Party failed to give such notice. In the event of the assertion of any claim or the commencement of any suit, action or proceeding in respect of which indemnity would be sought by the Indemnified Party but for the fact that the notice of such claim, suit, action or proceeding was sent to the Indemnifying Party, the Indemnifying Party shall give prompt notice to the Indemnified Party of such claim, suit, action or proceeding. The Indemnified Party may take any actions reasonably necessary to defend such Third Party Claim prior to the time it receives a notice from the Indemnifying Party advising that the Indemnifying Party will be assuming the defense of such, and the Indemnifying Party shall be liable for the reasonable fees and expenses of counsel employed by the Indemnified Party for any period during which the Indemnifying Party has not assumed the defense thereof (other than during any period in which the Indemnified Party shall have not yet given a claim notice as provided above), which reasonable fees and expenses of counsel the Indemnifying Party shall reimburse the Indemnified Party promptly upon written request therefor. (b) Upon receipt of notice from the Indemnified Party pursuant to Section 7.03(a) hereof, the Indemnifying Party will have the right to, subject to the provisions of this Section 7.03 hereof, assume the defense and control of such Third Party Claims. If the Indemnifying Party elects to assume the defense and investigation of such Third Party Claim, it shall, no later than fifteen (15) calendar days following its receipt of the claim notice, notify the Indemnified Party in writing of its assumption of the defense and investigation of such Third Party Claim. In the event the Indemnifying Party assumes the defense of a Third Party Claim, the Indemnified Party shall have the right but not the obligation to participate in the defense of such Third Party Claim with its own counsel and at its own expense (provided that the Indemnifying Party shall pay the reasonable attorneys’ fees of the Indemnified Party if (i) the such fees shall have been authorized in writing by such Indemnifying Party shall not have notified in connection with the defense of such Third Party Claim, (ii) the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against shall have reasonably concluded, after consultation with the Indemnified Party’s counsel, that there may be material defenses available to such Indemnified Party that are different from or additional to those available to the Indemnifying Party, (iii) the Indemnified Party shall have reasonably concluded concluded, after consultation with the Indemnified Party’s counsel, that (x) there is a an actual or potential conflict of interest between that could make it inappropriate under applicable standards of professional conduct to have common counsel, or (iv) such Third Party Claim shall seek injunctive or equitable relief that if granted would reasonably be expected to interfere in any material respect with the conduct of the business of the Indemnified Party) and the Indemnifying Party will cooperate with the Indemnified Party. If the Indemnifying Party elects to assume the defense of a Third Party Claim, the Indemnifying Party shall select counsel reasonably acceptable to the Indemnified Party and shall at all times diligently and promptly pursue the resolution of such Third Party Claim. If the Indemnifying Party chooses to defend or prosecute a Third Party Claim, the Indemnified Party shall cooperate in the defense or prosecution thereof. Such cooperation shall include the retention and (upon the Indemnifying Party’s request) the provision to the Indemnifying Party of records and information that are reasonably relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. Whether or not the Indemnifying Party assumes the defense of a Third Party Claim, the Indemnified Party shall not admit any liability with respect to, or settle, compromise or discharge, such Third Party Claim without the prior written approval of the Indemnifying Party (which approval shall not be unreasonably withheld), and no Indemnifying Party shall be obligated to indemnify the Indemnified Party hereunder for any settlement of such Third Party Claim entered into without such approval. (c) The Indemnifying Party shall be authorized to consent to a settlement of, or the entry of any judgment arising from, any Third Party Claim as to which the Indemnifying Party has assumed the defense in accordance with the terms of this Section 7.03, without the consent of any Indemnified Party, but only to the extent that such settlement or entry of judgment (i) provides solely for the payment of money solely by the Indemnifying Party, (ii) provides a complete written release of and for the benefit of any Indemnified Party potentially affected by such Third Party Claim from all matters that were asserted in connection with such claims, (iii) does not involve any injunctive relief or other equitable remedy against the Indemnified Party with respect to such Third Party Claim and (iv) which does not include a statement of admission of fault, culpability or failure to act by or on behalf of the Indemnified Party. Except as provided in the foregoing sentence, settlement or consent to entry of judgment shall require the prior written approval of the Indemnified Party. The Indemnified Party and the Indemnifying Party in the conduct shall use reasonable best efforts to avoid production of the defense of such claim or demand or confidential information (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection consistent with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying PartyApplicable Law), and keep the Indemnifying to cause all communications among employees, counsel and others representing any party to a Third Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right Claim to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or be made so as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim preserve any applicable attorney-client or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementwork-product privileges.

Appears in 1 contract

Sources: Stock Purchase Agreement (Montpelier Re Holdings LTD)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-third party other than an Infringement Claim subject to Section 13.3 above (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are materially prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects they elect to exercise such right, shall to do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if to the extent the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses the full amount of any Damages resulting from such Third-Third Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right taken any action to defend such Third-Party third party claim within such twenty (20) day period; (ii) such claim or demand seeks an Order, injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Third Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed withheld or conditioneddelayed. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if ) and such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties)parties. Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days 48 hours of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlement.

Appears in 1 contract

Sources: Merger Agreement (SFX Entertainment, INC)

Procedures for Third Party Claims. In Promptly after the case assertion by any third party of any claim for indemnification arising from a claim of a third-against any party other than an Infringement Claim subject entitled to Section 13.3 above be indemnified under this Article VIII (a “Third-Party Claim”)the "Indemnitee") that, a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt in the judgment of such claim or demandIndemnitee, to may result in the party from which indemnity is sought (each an “Indemnifying Party”) incurrence by such Indemnitee of any claim or demand of Losses for which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely to the extent that, the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall Indemnitee would be entitled to indemnification pursuant to this Agreement, such Indemnitee shall deliver to the other party or parties who has indemnified such Losses hereunder ("Indemnitor") a written notice describing such claim. Such Indemnitor may participate in and, at its option upon acknowledgment of Indemnitee's right to indemnification for such matter, assume control of the defense of the Indemnitee against such action only if claim, including the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from employment of counsel, who shall be reasonably satisfactory to such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of Indemnitee. In such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Partycase, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party Indemnitee shall have the right to employ separate counsel in any such action or claim and to participate in the defense of any claim or demand with counsel employed at its own expense; providedthereof, however, that, in but the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements expenses of such counsel shall not be at the expense of the Indemnifying Party. The Indemnifying Party Indemnitor unless (i) the Indemnitor shall have no indemnification obligations with respect failed, within a reasonable time after having been notified by the Indemnitee of the existence of such claim as provided in the preceding sentence, to assume the defense of the such claim, (ii) the employment of such counsel has been specifically authorized in writing by the Indemnitor or (iii) the named parties to any such claim or demand which action (including impleaded parties) include both such Indemnitee and the Indemnitor and such Indemnitee shall have been advised in writing by such counsel that there may be conflicting interests between Indemnitee and the Indemnitor in the legal defense thereof. No Indemnitor shall be settled by the Indemnified Party liable to indemnify any Indemnitee for any compromise or settlement of any such action or claim effected without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementIndemnitor.

Appears in 1 contract

Sources: Stock Purchase Agreement (GTS Duratek Inc)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party a) The parties seeking indemnification hereunder under Section 8.02 (each an “Indemnified Party”the "INDEMNIFIED PARTIES") shall agree to give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which parties against whom indemnity is sought (each an “Indemnifying Party”the "INDEMNIFYING PARTIES") of the assertion of any claim claim, or demand the commencement of any suit, action or proceeding in respect of which indemnity may be sought under Section 8.02 (the "THIRD PARTY CLAIMS"). The failure by any Indemnified Party so to notify the Indemnifying Parties shall not relieve any Indemnifying Party from any liability which it may have to such Indemnified Party has knowledge and as with respect to which it may request indemnification hereunder; providedany claim made pursuant to this Section 8.03, however, that failure to give such notice will not affect such Indemnified Party’s rights hereunder unless, and then solely except to the extent that, the rights such failure shall actually prejudice an Indemnifying Party. (b) Upon receipt of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) Parties pursuant to defend and to direct Section 8.03(a), the Indemnifying Parties will assume the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Third Party Claims but shall not have notified allow the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is Parties a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right reasonable opportunity to participate in the defense of any claim or demand such Third Party Claims with their own counsel employed and at its their own expense; provided. The Indemnified Parties shall, howeverand shall cause each of their Affiliates and Representatives to, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which cooperate fully with the Indemnifying Party shall not Parties in fact have employed counsel to assume the defense of such claim any Third Party Claim defended by the Indemnifying Parties. (c) The Indemnifying Parties shall be authorized to consent to a settlement of, or demandthe entry of any judgment arising from, any Third Party Claim, without the reasonable fees and disbursements consent of any Indemnified Party, but only if the Indemnifying Parties shall pay or cause to be paid all amounts arising out of such counsel shall be at settlement or judgment concurrently with the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition effectiveness of such settlement, ; not encumber any of the assets of any Indemnified Party shall be deemed or agree to have consented any restriction or condition that would apply or adversely affect any Indemnified Party or to the settlementconduct of any Indemnified Party's business; and obtain, as a condition of any settlement or other resolution, a complete release of any Indemnified Party potentially affected by such Third Party Claim.

Appears in 1 contract

Sources: Purchase Agreement (East Coast Power LLC)

Procedures for Third Party Claims. (a) In the case of any claim Claim for indemnification arising from a claim Claim of a third-third party other than against an Infringement Claim subject to Section 13.3 above Indemnified Party arising under paragraph 8.2(a) or 8.2(b) as the case may be (a "Third-Party Claim"), a party seeking indemnification hereunder (each an Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, notice to the party from which indemnity is sought (each an “Indemnifying Party”) Party of any claim Claim or demand of which such Indemnified Party has knowledge knowledge, and as to which it may request indemnification hereunder, specifying (to the extent known) the amount of such Claim and any relevant facts and circumstances relating thereto; provided, however, that any failure to give such prompt notice or to provide any such facts and circumstances will not affect such waive any rights of the Indemnified Party’s rights hereunder unless, and then solely except to the extent that, that the rights of the Indemnifying Parties from whom indemnity is sought Party are actually materially prejudiced as a result of such failurethereby. The Indemnifying Party shall have the right (and and, if it elects to exercise such right, shall to do so by written notice within twenty thirty (2030) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demandThird-Party Claim, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled and reasonably satisfactory to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if Party, unless (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right taken any action to defend such Third-Party claim Claim within such twenty thirty-day (2030-day) day period; , or (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrarycontrary (other than the last sentence of this Section 8.4 (a)), the Indemnified Party shallParty, at the expense of the Indemnifying PartyParty (which shall include only reasonable out-of-pocket expenses actually incurred), shall cooperate with the Indemnifying Party, Party and keep the Indemnifying Party fully informed, informed in the defense of such claim or demandThird-Party Claim. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third-Party Claim with counsel employed at its own expense; provided, however, that, that in the case of any claim or demand Third-Party Claim (A) described in clause (iii) above, or (iiB) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim Third-Party Claim within such thirty-day (30-day) period, or demand(C) that involves assertion of criminal liability on the Indemnified Party, or (D) seeks to force the Indemnified Party to take (or prevent the Indemnified Party from taking) any action, then in each such case the Indemnified Party shall have the right, but not the obligation, to conduct and control the defense thereof for the account of, and at the risk of, the Indemnifying Party, and the reasonable fees and disbursements of such Indemnified Party's counsel shall be at the expense of the Indemnifying Party. The Except as provided in the last sentence of Section 8.4 (b), the Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand Third-Party Claim which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. . (b) The Indemnifying Party, if it has assumed the defense of any Third Party Claim as provided in this Agreement, shall not settle consent to a settlement of, or the entry of any judgment arising from, any such claim Third-Party Claim without the Indemnified Party's prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if conditioned) unless (i) such settlement is accompanied by a document releasing or judgment relates solely to monetary damages, and (ii) prior to consenting to such settlement or such entry of judgment, the Indemnifying Party delivers to the Indemnified Party from all liability with respect a writing (in form reasonably acceptable to the matter Indemnified Party) which unconditionally provides that, subject to the provisions of Section 8.2 (d) or Section 8.2 (e), as appropriate, relating to the Minimum Claim Amount, the Threshold Amount and the Cap Amount, the Damages represented thereby are the responsibility of the Indemnifying Party pursuant to the terms of this Agreement and that, subject to the provisions of the Threshold Amount, the Indemnifying Party shall pay all Damages associated therewith in controversy accordance with the terms of this Agreement. The Indemnifying Party shall not, without the Indemnified Party's prior written consent, enter into any compromise or settlement that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if (x) commits the Indemnified Party fails to object take, or to forbear to take, any action or (y) involves a reasonable likelihood of an imposition of criminal liability on the settlement within five Indemnified Party, or (5z) Business Days does not provide for a complete release by such third party of receipt the Indemnified Party. With the written consent of a written notice from the Indemnifying Party containing the terms and condition of such settlementParty, which consent shall not be unreasonably withheld, conditioned or delayed, the Indemnified Party shall be deemed have the sole and exclusive right to have consented settle any Third-Party Claim, on such terms and conditions as it deems reasonably appropriate, to the settlementextent such Third-Party Claim involves equitable or other nonmonetary relief against the Indemnified Party or involves a reasonable likelihood of an imposition of criminal liability on the Indemnified Party, and shall have the right to settle any Third-Party Claim involving money damages for which the Indemnifying Party has not assumed the defense pursuant to this Section 8.4.

Appears in 1 contract

Sources: Stock Purchase Agreement (Panhandle Eastern Pipe Line Co)

Procedures for Third Party Claims. In the case (a) If an Indemnified Party receives notice of any actual, asserted or threatened claim for indemnification arising from made or brought by any Person who is not a claim Party to this Agreement, or an Affiliate of a third-party other than an Infringement Claim subject Party to Section 13.3 above this Agreement, or a Representative of the foregoing, against such Indemnified Party with respect to which the Indemnifying Party is or may be obligated to provide indemnification under this Agreement (a “Third-Third Party Claim”), a party seeking indemnification hereunder (each an “the Indemnified Party”) Party shall give the Indemnifying Party reasonably prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to notice thereof (a “Claim Notice”); provided that the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will Claim Notice shall not affect such Indemnified Party’s rights hereunder unlessrelieve the Indemnifying Party of its indemnification obligations, except and then solely only to the extent thatthat the Indemnifying Party has been materially prejudiced thereby of limitations for the claim. Such Claim Notice shall describe the Third Party Claim in reasonable detail, shall include copies of all material written evidence thereof and shall indicate the estimated amount of the Loss that has been or may be sustained by the Indemnified Party. (b) Subject to the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result Insurer under the R&W Insurance Policy to conduct the defense of such failure. The Third Party Claims covered by the R&W Insurance Policy, the Indemnifying Party shall have the right to participate in, or by giving written notice to the Indemnified Party within fifteen (and if it elects to exercise such right, shall do so within twenty (2015) days after receiving such of receipt of notice from of the Third Party Claim and subject to the limitations below, to assume the defense of any Third Party Claim at the Indemnifying Party’s expense and by the Indemnifying Party’s own reputable counsel reasonably acceptable to the Indemnified Party) to defend , and to direct the Indemnified Party shall cooperate in good faith in such defense. In the event that the Indemnifying Party assumes the defense against of any Third Party Claim, subject to Section 7.5(d), it shall have the right to take such claim action as it deems necessary to avoid, dispute, defend, appeal or demand, in its name or make counterclaims pertaining to any Third Party Claim in the name and on behalf of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand Third Party Claim with counsel employed at its own expense; providedselected by it, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as subject to which the Indemnifying Party shall not in fact have employed counsel Party’s right to assume control the defense of such claim or demand, the reasonable thereof. The fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnified Party (other than any fees and expenses of such separate counsel that are incurred prior to the date the Indemnifying Party shall have no indemnification obligations with respect to any effectively assumes control of such claim or demand which defense which, notwithstanding the foregoing, shall be settled borne by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent and except that the Indemnifying Party shall not be unreasonably withheld, delayed or conditionedpay all of the fees and expenses of such separate counsel if the Indemnified Party has been advised by counsel that a reasonable likelihood exists of a conflict of interest between the Indemnifying Party and the Indemnified Party). The Indemnifying Party shall not settle be entitled to assume control of such defense (unless otherwise agreed to in writing by the Indemnified Party) and shall pay the fees and expenses of counsel retained by the Indemnified Party if: (i) the claim for indemnification relates to or arises in connection with any criminal or quasi-criminal proceeding, action, indictment, allegation or investigation; (ii) the claim seeks an injunction or equitable relief or any other non-monetary relief against the Indemnified Party; (iii) the Third Party Claim is brought, commenced or joined by or involves a dispute with any Governmental Entity, or any party to a current business relationship with the Purchaser, Company or their Affiliates, including any customer or supplier or other business relationship and such Third Party Claim may result in material harm to the Company’s business as conducted, (iv) the Indemnifying Party failed or is failing to vigorously prosecute or defend such claim; (v) the Indemnified Party has been advised by counsel that a reasonable likelihood exists of a conflict of interest between the Indemnifying Party and the Indemnified Party; or (vi) the Indemnified Party reasonably believes that the Loss relating to the claim could (A) exceed the maximum amount that such Indemnified Party could then be entitled to recover under the applicable provisions of Article VII or (B) be recoverable under the R&W Insurance Policy. If the Indemnifying Party elects not to compromise or defend such Third Party Claim, fails to promptly notify the Indemnified Party in writing of its election to defend as provided in this Agreement, or fails to diligently prosecute the defense of such Third Party Claim, the Indemnified Party, subject to Section 7.5(d), shall control such defense and settlement thereof and have the right to take such action as it deems necessary to avoid, dispute, defend, appeal or make counterclaims pertaining to any Third Party Claim without waiving any right that the Indemnified Party may have against the Indemnifying Party for indemnification pursuant to this Section 7.5. Except as set forth herein, no Indemnifying Party shall, in connection with any one action or Legal Proceeding or separate but substantially similar or related actions or Legal Proceedings arising out of the same general allegation or circumstances, be responsible hereunder for the fees and expenses of more than one firm of counsel designated by the Indemnified Party. (c) The Parties shall cooperate with each other in all reasonable respects in connection with the defense of any Third Party Claim, including making available records relating to such Third Party Claim and furnishing, without expense (other than reimbursement of actual out-of-pocket expenses) to the defending party, management employees of the non-defending party as may be reasonably necessary for the preparation of the defense of such Third Party Claim. (d) Notwithstanding any other provision of this Agreement to the contrary, if the Indemnifying Party shall control the defense of such claim, the Indemnifying Party shall not enter into settlement of any Third Party Claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed conditioned or conditioned if such settlement delayed), except as provided in this Section 7.5(d). If a firm offer is accompanied by made to settle a document releasing Third Party Claim without leading to any Liability or the creation of a financial or other obligations or restrictions (including injunctive or other equitable or non-monetary relief) on the part of the Indemnified Party, provides for the unconditional release of each Indemnified Party from all liability Liabilities and obligations in connection with respect such Third Party Claim, without prejudice and involves no admission of wrongdoing by the Indemnified Party, and the Indemnifying Party desires to accept and agree to such offer, the Indemnifying Party shall give written notice to that effect to the matter in controversy that is binding, valid and enforceable against all applicable Parties)Indemnified Party. Notwithstanding the foregoing, if If the Indemnified Party fails has assumed the defense pursuant to object Section 7.5(b), it shall not agree to any settlement without the settlement within five (5) Business Days written consent of receipt of a written notice from the Indemnifying Party containing (which consent shall not be unreasonably withheld, conditioned or delayed); provided that the Indemnified Party may elect to settle, adjust or compromise such matter if it irrevocably agrees not to seek indemnification for such matter. (e) For the avoidance of doubt, the Parties hereby acknowledge and agree that the provisions hereof dealing with Third Party Claims shall furthermore be subject to the terms and condition conditions of such settlementthe R&W Insurance Policy and the rights of the Insurer thereunder to, the Indemnified Party shall be deemed among other things, consent to have consented to the settlementany settlement thereof.

Appears in 1 contract

Sources: Asset Purchase Agreement (Ascent Industries Co.)

Procedures for Third Party Claims. In (a) Promptly after the case receipt by any Indemnified Party of a notice of any claim for indemnification arising from a claim of a third-claim, action, suit or proceeding by any third party other than an Infringement Claim that may be subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “other than under Section 9.1(c)), including for purposes of this Section 9.3 any Tax Claim (as defined below) with respect to which notice must be provided within five Business Days following receipt thereof, such Indemnified Party”) Party shall give prompt written notice, following such Indemnified Party’s receipt notice of such claim or demandto the indemnifying party hereunder (the "Indemnifying Party"), stating the nature and basis of the claim and the amount thereof, to the party from which indemnity is sought (each an “Indemnifying Party”) extent known, along with copies of any the relevant documents evidencing the claim or demand and the basis for indemnification sought. Failure of which such the Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will shall not affect such Indemnified Party’s rights hereunder unlessrelieve the Indemnifying Party from liability on account of this indemnification, except if and then solely to the extent thatthat the Indemnifying Party is actually prejudiced thereby. Except as otherwise provided in Section 9.1(c), the rights of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct assume the defense against any such claim or demand, in its name or in the name of the Indemnified PartyParty against the third party claim. Except as otherwise provided in Section 9.1(c), so long as the case may be, at Indemnifying Party has assumed the expense defense of the Indemnifying Partythird party claim in accordance herewith and notified the Indemnified Party in writing thereof, (i) the Indemnified Party may retain separate co-counsel at its sole cost and with counsel selected by expense and participate in the Indemnifying Party; provideddefense of the third party claim, that it being understood the Indemnifying Party shall be entitled pay all costs and expenses of counsel for the Indemnified Party for all periods prior to assume control of such time as the Indemnifying Party has notified the Indemnified Party that it has assumed the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; third party claim, (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim not file any papers or demand or (y) the Indemnified Party has one or more defenses not available consent to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense entry of any claim judgment or demand with counsel employed at its own expense; provided, however, that, in the case of 126 enter into any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations settlement with respect to any such the third party claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall Party (not to be unreasonably withheld, delayed withheld or conditioned. The delayed) and (iii) the Indemnifying Party shall will not settle consent to the entry of any such judgment or enter into any settlement with respect to the third party claim without the prior written consent of the Indemnified Party (not to be unreasonably withheld or delayed). The parties shall use commercially reasonable efforts to minimize Losses from claims by third parties and shall act in good faith in responding to, defending against, settling or otherwise dealing with such claims. The parties shall also cooperate in any such defense and give each other reasonable access to all information relevant thereto. Whether or not the Indemnifying Party shall have assumed the defense, such party shall not be obligated to indemnify the Indemnified Party hereunder for any settlement entered into without the Indemnifying Party's prior written consent, which consent shall not be unreasonably withheld, delayed withheld or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Quarterly Report

Procedures for Third Party Claims. In Promptly after the case receipt by a Purchaser Indemnitee, a Seller Indemnitee, a ▇▇▇▇▇ Arena Indemnitee or an LDA Indemnitee (any such entity, an "Indemnified Party") of a notice of any claim for indemnification arising from a claim of a third-claim, action, suit or proceeding by any third party other than an Infringement Claim that may be subject to Section 13.3 above (a “Third-indemnification hereunder, such Indemnified Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt notice of such claim or demandto the indemnifying party (the "Indemnifying Party"), stating the nature and basis of the claim and the amount thereof, to the party from which indemnity is sought (each an “Indemnifying Party”) extent known. Failure of any claim or demand of which such the Indemnified Party has knowledge and as to which it may request indemnification hereunder; provided, however, that failure to give such notice will shall not affect such Indemnified Party’s rights hereunder unlessrelieve the Indemnifying Party from liability on account of this indemnification, and then solely except to the extent that, the rights of that the Indemnifying Parties from whom indemnity Party is sought are prejudiced as a result of such failurethereby. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) 30 days after receiving from receipt of any such notice from of claim to give written notice of dispute of the claim to the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds . If the Indemnified Party harmless from and against all Losses resulting from does not receive written notice of the dispute within such Third-Party Claim; and provided further that 30- day period, the Indemnifying Party shall not be entitled to assume control amount of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel Loss shall be at the expense conclusively deemed a liability of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations the right to assume the defense of the Indemnified Party against the third party claim with counsel of its choice reasonably satisfactory to the Indemnified Party so long as (a) the Indemnifying Party notifies the Indemnified Party in writing within 30 days after the Indemnified Party has given notice of the third party claim that the Indemnifying Party will indemnify the Indemnified Party from the Losses the Indemnified Party may suffer relating to the third party claim, and (b) the third party claim involves only money damages and does not seek an injunction or other equitable relief. So long as the Indemnifying Party is conducting the defense of the third party claim, (a) the Indemnified Party may retain separate co-counsel at its sole cost and expense and participate in the defense of the third party claim, (b) the Indemnified Party will not consent to the entry of any judgment or enter into any settlement with respect to any such the third party claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying PartyParty (not to be withheld unreasonably), which consent shall not be unreasonably withheld, delayed or conditioned. The and (c) the Indemnifying Party shall will not settle consent to the entry of any such judgment or enter into any settlement with respect to the third party claim without the prior written consent of the Indemnified Party (not to be withheld unreasonably). The parties shall use commercially reasonable efforts to minimize Losses from claims by third parties and shall act in good faith in responding to, defending against, settling or otherwise dealing with such claims. The parties shall also cooperate in any such defense and give each other reasonable access to all information relevant thereto. Whether or not the Indemnifying Party shall have assumed the defense, such party shall not be obligated to indemnify the Indemnified Party hereunder for any settlement entered into without the Indemnifying Party's prior written consent, which consent shall not be unreasonably withheld, delayed withheld or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementdelayed.

Appears in 1 contract

Sources: Purchase and Sale Agreement (Ascent Entertainment Group Inc)

Procedures for Third Party Claims. (a) In the case event Tilray becomes aware of a Claim or demand by another Person (other than the Stockholder Representative) (a “Third Party Claim”) that Tilray in good faith believes will result in an indemnification claim pursuant to this Section 11, the Tilray Indemnified Party shall deliver to the Stockholder Representative, as soon as practicable, but in any event within 30 Business Days of becoming aware of any facts or circumstances that would reasonably be expected to give rise to a claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject hereunder, written notice thereof, specifying, to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “the extent then known by the Tilray Indemnified Party”) shall give prompt written notice, following such Indemnified Party’s receipt the amount of such claim or demandand the nature and basis of such claim, including copies of all notices and documents received by the Tilray Indemnified Party relating to the party from which indemnity is sought (each an “Indemnifying Party”) of any claim or demand of which such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim; provided, however, that no delay on the part of the Tilray Indemnified Party in notifying the Stockholder Representative shall relieve the Indemnifying Parties of any Liability hereunder, except to the extent that the defense of any third party Legal Proceeding has been prejudiced by the Tilray Indemnified Party’s failure to give such notice will not affect such notice. Thereafter, the Tilray Indemnified Party shall keep the Indemnifying Party informed on a current basis as to any changes or developments with respect to the foregoing, including by providing copies of all material notices and material documents (including court papers) from time to time received by the Tilray Indemnified Party from a third party relating to the Third Party Claim. (b) If a Third Party Claim is made against an Tilray Indemnified Party’s rights hereunder unless, Tilray shall, on behalf of the Tilray Indemnified Parties, have the right in its sole discretion to conduct the defense of, and then solely to settle or otherwise resolve, any such Third Party Claim, and for clarity, to be indemnified, reimbursed, and compensated for its costs and expenses in connection with any such Third Party Claim, pursuant to and as set forth in Section 11.2, and the extent that, the rights Securityholders’ Representative shall be entitled on behalf of the Indemnifying Parties from whom indemnity is sought are prejudiced as a result of such failure. The Indemnifying Party shall have the right (and if it elects to exercise such right, shall do so within twenty (20) days after receiving such notice from the Indemnified Party) to defend and to direct the defense against any such claim or demand, in its name or in the name of the Indemnified Party, as the case may beParties, at the expense of the Indemnifying Partytheir expense, and with counsel selected by the Indemnifying Party; providedto participate in, that the Indemnifying Party shall be entitled but not to assume control of determine or conduct, the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Third Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) the Indemnifying Party shall not have notified the Indemnified Party of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; (ii) such claim or demand seeks an injunction or other equitable relief against the Indemnified Party, (iii) the . The Tilray Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without seek the prior written consent of the Stockholder Representative on behalf of the Indemnifying PartyParties with respect to any settlement of a Third Party Claim, which consent shall not be unreasonably withheld, delayed conditioned or conditioned. The Indemnifying delayed; provided, however, that with respect to any Pending Claim, the Stockholder Representative may withhold its prior written consent to any settlement in its sole discretion and the Tilray Indemnified Party shall not be permitted to settle any such claim Pending Claim without the prior written consent of the Stockholder Representative. The written consent of the Indemnifying Parties with respect to any settlement or other resolution of any Third Party Claim (other than with respect to any Pending Claim) shall be deemed to have been given unless the Stockholder Representative shall have objected within 10 Business Days after a written request for such consent by the Tilray Indemnified Party. In the event that the Indemnifying Parties have consented to any such settlement or other resolution of a Third Party Claim (or in the event such consent has been unreasonably withheld, conditioned or delayed with respect to a Third Party Claim other than a Pending Claim), the amount of any such settlement shall be dispositive of the existence of an indemnifiable claim hereunder and the amount of Losses attributable to such claim (plus (i) any reasonable out of pocket fees, costs and expenses of counsel and other professionals and reasonable out of pocket expenses of investigation incurred by the Tilray Indemnified Parties that are not addressed by any such settlement or resolution and (ii) any Losses incurred by the Tilray Indemnified Parties with respect to equitable remedies or non-monetary obligations attributable to such Third Party Claim that are not addressed by any such settlement or resolution). If such written consent is not given (unless such consent was unreasonably withheld, conditioned or delayed with respect to a Third Party Claim other than a Pending Claim, in which case the preceding sentence shall apply), the Tilray Indemnified Party may agree to any such settlement or compromise, and may make an indemnity claim therefor (including whether and to what extent the Tilray Indemnified Party is entitled to indemnification, reimbursement, and compensation under this Agreement for such claim) subject to this Section 11; provided, however, that any such settlement or compromise effected without the written consent of the Stockholder Representative shall not be dispositive of the existence of an indemnifiable claim hereunder or the amount of Losses attributable to any such claim; provided further, however, that in no event shall a Tilray Indemnified Party be permitted to agree to any settlement or compromise of a Pending Claim without the prior written consent of the Stockholder Representative, which may be withheld in the Stockholder Representative’s sole discretion. Notwithstanding the foregoing, the Tilray Indemnified Party shall not, without the Stockholder Representative’s consent on behalf of the Indemnifying Parties (which consent shall not be unreasonably withheld, conditioned or delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is bindinga Third Party Claim other than a Pending Claim), valid and enforceable against all applicable Parties). Notwithstanding the foregoingsettle, if the Indemnified discharge or compromise any Third Party fails to object Claim or consent to the settlement within five (5) Business Days entry of receipt of a written notice from the Indemnifying Party containing the terms and condition of any judgment if such settlement, discharge or compromise that (A) involves any finding or admission of any violation of applicable Law on behalf of the Indemnified Indemnifying Parties or any of its Affiliates or any of their respective Representatives, (B) does not cause each Indemnifying Party shall that is party to such Third Party Claim to be deemed fully and unconditionally released from all Liability with respect to have consented such claim, or (C) imposes equitable remedies or material non-monetary obligations on the Indemnifying Party. (c) With respect to the settlementPending Claims, after the Effective Time, the Tilray Indemnified Parties may engage any counsel of their choosing, subject to their sole discretion, provided that the Tilray Indemnified Parties shall reasonably consult with the existing litigation counsel previously engaged by Privateer.

Appears in 1 contract

Sources: Merger Agreement (Tilray, Inc.)

Procedures for Third Party Claims. In the case of any claim for indemnification arising from a claim of a third-party other than an Infringement Claim subject to Section 13.3 above (a “Third-Party Claim”), a party seeking indemnification hereunder (each an “Indemnified Party”a) shall give prompt written notice, following such Indemnified Party’s receipt of such claim or demand, to the party from which indemnity is sought (each an “Indemnifying Party”) of If any claim or demand made by any Person other than the Purchaser or the Seller against a Purchaser Indemnified Party or a Seller Indemnified Party, as applicable (a “Third Party Claim”) shall be brought or alleged against an indemnified party in respect of which indemnity is to be sought against an indemnifying party pursuant to Section 7.1 or Section 7.2, the indemnified party shall, promptly after receipt of notice of the commencement of such Indemnified Third Party has knowledge and as to which it may request indemnification hereunderClaim, notify the indemnifying party in writing of the commencement thereof, enclosing a copy of all papers served, if any; provided, however, that the failure to give so notify such notice indemnifying party will not affect such Indemnified Party’s rights hereunder relieve the indemnifying party from any liability that it may have to any indemnified party under Section 7.1 or Section 7.2 unless, and then solely only to the extent that, the rights indemnifying party is actually materially prejudiced by such failure. (b) In the event that any Third Party Claim is brought against an indemnified party and it notifies the indemnifying party of the Indemnifying Parties commencement thereof in accordance with this Section 7.4, the indemnifying party will be entitled, at the indemnifying party’s sole cost and expense, to participate therein and, to the extent that it may wish, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party, and, after notice from whom indemnity the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such indemnified party under this Article VII for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. Notwithstanding the foregoing, the indemnifying party may not assume the defense to a Third Party Claim (i) involving criminal liability of any indemnified party or in which equitable relief other than monetary damages is sought are prejudiced as against any indemnified party, (ii) involving a result of purported class action or (iii) if the Third Party Claim relates to taxes. (c) In any such failure. The Indemnifying Third Party Claim, an indemnified party shall have the right to retain its own counsel, but the reasonable fees and expenses of such counsel shall be at the sole cost and expense of such indemnified party unless (a) the indemnifying party and if it elects the indemnified party shall have mutually agreed to exercise the retention of such rightcounsel, shall do so within twenty (20b) days after receiving such notice from the Indemnified Party) to defend and to direct indemnifying party has assumed the defense of such proceeding and has failed within a reasonable time to retain counsel reasonably satisfactory to such indemnified party or (c) the named parties to any such Third Party Claim (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them based on the advice of counsel to the indemnifying party. (d) The indemnifying party shall not be liable for any settlement of any Third Party Claim effected without its written consent, but, if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any Loss by reason of such claim settlement or demandjudgment. No indemnifying party shall, in its name or in without the name prior written consent of the Indemnified Partyindemnified party, effect any settlement, compromise or discharge of any pending or threatened Third Party Claim in respect of which any indemnified party is or could have been a party and indemnity could be sought hereunder by such indemnified party, unless such settlement, compromise or discharge, as the case may be, at the expense of the Indemnifying Party, and with counsel selected by the Indemnifying Party; provided, that the Indemnifying Party shall be entitled to assume control of the defense of such action only if the Indemnifying Party acknowledges in writing its indemnity obligations and assumes and holds the Indemnified Party harmless from and against all Losses resulting from such Third-Party Claim; and provided further that the Indemnifying Party shall not be entitled to assume control of such defense if (i) includes an unconditional written release of such indemnified party, in form and substance reasonably satisfactory to the Indemnifying Party shall not have notified indemnified party, from all liability on claims that are the Indemnified Party subject matter of its exercise of its right to defend such Third-Party claim within such twenty (20) day period; or proceeding, (ii) such claim does not include any statement as to an admission of fault, culpability or demand seeks an injunction failure to act by or other equitable relief against the Indemnified Partyon behalf of any indemnified party, (iii) the Indemnified Party shall have reasonably concluded that (x) there is a conflict of interest between the Indemnified Party does not impose any continuing material obligation or restrictions on any indemnified party, and the Indemnifying Party in the conduct of the defense of such claim or demand or (y) the Indemnified Party has one or more defenses not available to the Indemnifying Party, (iv) such claim relates to does not involve any injunctive relief binding on the indemnified party or arises in connection with any criminal proceeding, action, indictment, allegation or investigation, or (v) the appropriate court rules that the Indemnifying Party failed or is failing to vigorously prosecute or defend such Third-Party Claim. Notwithstanding anything in this Agreement to the contrary, the Indemnified Party shall, at the expense of the Indemnifying Party, cooperate with the Indemnifying Party, and keep the Indemnifying Party fully informed, in the defense of such claim or demand. The Indemnified Party shall have the right to participate in the defense of any claim or demand with counsel employed at its own expense; provided, however, that, in the case of any claim or demand described in clause (i) or (ii) of the second preceding sentence or as to which the Indemnifying Party shall not in fact have employed counsel to assume the defense of such claim or demand, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. The Indemnifying Party shall have no indemnification obligations with respect to any such claim or demand which shall be settled by the Indemnified Party without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, delayed or conditioned. The Indemnifying Party shall not settle any such claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld, delayed or conditioned if such settlement is accompanied by a document releasing the Indemnified Party from all liability with respect to the matter in controversy that is binding, valid and enforceable against all applicable Parties). Notwithstanding the foregoing, if the Indemnified Party fails to object to the settlement within five (5) Business Days of receipt of a written notice from the Indemnifying Party containing the terms and condition of such settlement, the Indemnified Party shall be deemed to have consented to the settlementAffiliates.

Appears in 1 contract

Sources: Purchase and Sale Agreement (Alnylam Pharmaceuticals, Inc.)