Common use of Allocation of Proceeds Clause in Contracts

Allocation of Proceeds. (a) If one or more Parties sustain a single loss for which recovery is received under the Policy, each Party shall receive that portion of the recovery which is sufficient in amount to indemnify that Party in full for the loss sustained by it (other than the portion thereof subject to a deductible), unless the recovery is inadequate to fully indemnify all Parties for such single loss.

Allocation of Proceeds. (a) If one or more Parties parties sustain a single loss for which recovery is received under the PolicyBond, each Party party shall receive that portion of the recovery which is sufficient in amount to indemnify that Party party in full for the loss sustained by it (other than the portion thereof subject to a deductible)it, unless the recovery is inadequate to fully indemnify all Parties for such parties sustaining a single loss.