Common use of Civil Penalties and Indemnification Clause in Contracts

Civil Penalties and Indemnification. (i) The 2002 Xxx Xxxxx National Defense Authorization Act amended the Atomic Energy Act by adding section 234C “Worker Health and Safety Rules for Department of Energy Nuclear Facilities.” It required DOE to promulgate a worker safety and health rule (the Rule). DOE published the Rule in the Federal Register on February 9, 2006. The Rule is codified at 10 CFR 851. It establishes worker safety and health requirements that govern the conduct of contractor activities at both nuclear and non-nuclear sites. Contractors that fail to comply with the Rule are subject to civil penalties issued by DOE up to $70,000.00 per violation, with each day of violation constituting a separate violation, or contractual penalties. (ii) The Contractor assumes full responsibility and shall indemnify, hold harmless, and defend BSA, its directors, officers, and employees from any civil liability under §234C of the Atomic Energy Act of 1954, as amended, or DOE’s implementing regulations, arising out of the activities or performance of the Contractor, its subcontractors, suppliers, agents, employees, and their officers, or directors. The Contractor’s obligation to indemnify and hold harmless shall expressly include attorney fees and other reasonable costs of defending any action or proceeding instituted under §234C or DOE’s implementing regulations.

Civil Penalties and Indemnification. (i1) The 2002 Xxx Xxxxx National Defense Authorization Act amended the Atomic Energy Act by adding section 234C “Worker Health and Safety Rules for Department of Energy Nuclear Facilities.” It required DOE to promulgate a worker safety and health rule (the Rule)rule. DOE published the Rule in the Federal Register on February 9, 2006. The Rule rule is codified at 10 CFR 851. It establishes worker safety and health requirements that govern the conduct of contractor activities at both nuclear and non-nuclear sites. Contractors that fail to comply with the Rule are subject to civil penalties issued by DOE up to $70,000.00 per violation, with each day of violation constituting a separate violation, or contractual penalties. (ii2) The Contractor assumes full responsibility and shall indemnify, hold harmless, and defend BSA, its directors, officers, and employees from any civil liability under §234C of the Atomic Energy Act of 1954, as amended, or DOE’s implementing regulations, arising out of the activities or performance of the Contractor, its subcontractors, suppliers, agents, employees, and their officers, or directors. The Contractor’s obligation to indemnify and hold harmless shall expressly include attorney fees and other reasonable costs of defending any action or proceeding instituted under §234C or DOE’s implementing regulations.