Common use of Fraud Detection and Prevention Clause in Contracts

Fraud Detection and Prevention. Positive Pay/ACH Positive Pay – Indemnification. We are very concerned about the risk of loss from counterfeit, fraudulent, altered, or forged checks and unauthorized ACH debits to which we and you may both be exposed if you do not use our Positive Pay Service and ACH Positive Pay Service. Therefore, we are unwilling to permit you to continue to operate your Accounts without our Positive Pay Service and ACH Positive Pay Service, unless you indemnify and hold us harmless against losses or labilities we may suffer or incur as a result of counterfeit, fraudulent or forged checks and/or unauthorized ACH debts on your Accounts. Accordingly, if you continue to operate your Accounts without your Positive Pay Service and ACH Positive Pay Service, you agree that, to the greatest extent permitted by law, we will not be liable to you, and you will defend and hold us harmless from and against any damage, losses, liabilities, actions, claims including third party claims, suits, judgments, obligations, penalties, costs or expenses of any kind including attorneys’ fees and expenses (collectively, “Losses”) paid, suffered or incurred by you which arise directly or indirectly out of or in connection with: (a) the acceptance for deposit, payment, negotiation or other processing of any check drawn or purporting to be drawn on your Account if such check happens to be counterfeit or fraudulent or contains a forged signature or the amount of such check is altered or the payee has been altered; or (b) the acceptance of an ACH debit that is unauthorized or fraudulent, which could have been prevented with the use of the Positive Pay Service or ACH Positive Pay Service. The indemnity provisions set forth in this section shall be in addition to the other indemnity provisions set forth in this Agreement.

Fraud Detection and Prevention. Positive Pay/ACH Positive Pay – Indemnification. We are Bank is very concerned about the risk of loss from counterfeit, fraudulent, altered, or forged checks and unauthorized ACH debits to which we Bank and you Company may both be exposed if you do not use our Positive Pay Service and ACH Positive Pay Service. Therefore, we are unwilling to permit you to continue to operate your Accounts without our Positive Pay Service and ACH Positive Pay Service, unless you indemnify and hold us harmless against losses or labilities we may suffer or incur as a result of counterfeit, fraudulent or forged checks and/or unauthorized ACH debts on your Accounts. Accordingly, if you continue to operate your Accounts without your Positive Pay Service and ACH Positive Pay Service, you agree that, to the greatest extent permitted by law, we will not be liable to you, and you will defend and hold us harmless from and against any damage, losses, liabilities, actions, claims including third party claims, suits, judgments, obligations, penalties, costs or expenses of any kind including attorneys’ fees and expenses (collectively, “Losses”) paid, suffered or incurred by you which arise directly or indirectly out of or in connection with: (a) the acceptance for deposit, payment, negotiation or other processing of any check drawn or purporting to be drawn on your Account if such check happens to be counterfeit or fraudulent or contains a forged signature or the amount of such check is altered or the payee Payee has been altered; or (b) the acceptance of an ACH debit that is unauthorized or fraudulent, which could have been prevented with the use of the Positive Pay Service or ACH Positive Pay Service. The indemnity provisions set forth in this section shall be in addition to the other indemnity provisions set forth in this Agreement.

Fraud Detection and Prevention. Positive Pay/ACH Positive Pay – Indemnification. We are Bank is very concerned about the risk of loss from counterfeit, fraudulent, altered, or forged checks and unauthorized ACH debits to which we Bank and you Third-Party Sender may both be exposed if you do not use our Positive Pay Service and ACH Positive Pay Service. Therefore, we are unwilling to permit you to continue to operate your Accounts without our Positive Pay Service and ACH Positive Pay Service, unless you indemnify and hold us harmless against losses or labilities we may suffer or incur as a result of counterfeit, fraudulent or forged checks and/or unauthorized ACH debts on your Accounts. Accordingly, if you continue to operate your Accounts without your Positive Pay Service and ACH Positive Pay Service, you agree that, to the greatest extent permitted by law, we will not be liable to you, and you will defend and hold us harmless from and against any damage, losses, liabilities, actions, claims including third party claims, suits, judgments, obligations, penalties, costs or expenses of any kind including attorneys’ fees and expenses (collectively, “Losses”) paid, suffered or incurred by you which arise directly or indirectly out of or in connection with: (a) the acceptance for deposit, payment, negotiation or other processing of any check drawn or purporting to be drawn on your Account if such check happens to be counterfeit or fraudulent or contains a forged signature or the amount of such check is altered or the payee Payee has been altered; or (b) the acceptance of an ACH debit that is unauthorized or fraudulent, which could have been prevented with the use of the Positive Pay Service or ACH Positive Pay Service. The indemnity provisions set forth in this section shall be in addition to the other indemnity provisions set forth in this Agreement.