Common use of Dispute over Return of ACH Debit Entry Clause in Contracts

Dispute over Return of ACH Debit Entry. The Customer acknowledges that the return of a Debit Entry may be subject to dispute on the part of the sender. In the event of such a dispute the Bank must act according to applicable laws, regulations, and the rules, including any attachments or appendices thereto now in effect, or as may be amended from time to time, of the ACH Rules. The Customer (i) agrees to indemnify and hold the Bank harmless from any losses or liabilities (including damages, judgments, levies, executions, expenses, costs, interest, attorneys’ fees and legal expenses the Bank may suffer or incur as a result of or arising from its payment of an ACH debit transaction or other ACH debit transaction at the Customer's instruction or from its rejection and return of an Exception Item), and (ii) releases and forever discharges the Bank, and its parent, subsidiaries, affiliates, successors, officers, directors, employees and agents, from any and all manner of action or actions, suits, claims, damages, judgments, levies, executions, expenses, costs, interest, attorneys' fees and legal expenses, whether known or unknown, liquidated or not liquidated, fixed, contingent, direct or indirect, which the Customer has, or ever can, may or shall have or claim to have against the Bank regarding or relating to the return or payment of any check pursuant to provisions of this Agreement.