Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus. (b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement. (c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. (d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 9 contracts
Samples: Convertible Note Purchase Agreement (Idial Networks Inc), Securities Purchase Agreement (Bestnet Communications Corp), Securities Purchase Agreement (Advanced Optics Electronics Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or “blue sky” laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement Registration Statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and Registration Statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, ; provided that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement Registration Statement or prospectus, ; and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 8(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price Registration Statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such Registration Statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 8 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 8 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, ; provided that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of its counsel that there may be reasonable defenses available to it which that are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.68; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration Registration statement bears to the public offering price of all securities offered by such registration Registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 7 contracts
Samples: Registration Rights Agreement (Protea Biosciences Group, Inc.), Registration Rights Agreement (Protea Biosciences Group, Inc.), Registration Rights Agreement (Medovex Corp.)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each SellerRegistrable Stock thereunder, each underwriter of such Registrable Securities thereunder Stock thereunder, the managers, members, partners, officers, directors, agents, advisors and employees of each of them (collectively, the “Representatives”) and each other person, if any, who controls any or is alleged to control such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, settlement amounts paid, fines, costs (including, without limitation, attorneys’ fees) (individually, a “Loss” and collectively, the “Losses”), joint or several, to which the Sellersuch seller, or such underwriter or underwriter, controlling person or their respective Representatives may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities Losses (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Stock were registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or arises out of or are based upon any violation or alleged violation of any federal, state or other law, rule or regulation relating to any action or inaction in connection therewith, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability Loss or action; , provided, however, that the Company will not be liable in to any such case indemnitee if and to the extent that any such loss, claim, damage or liability Loss arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information with respect to such indemnitee furnished by any such Seller, the underwriter or any such controlling person indemnitee in writing specifically for use in such registration statement or prospectus. The indemnification and contribution obligations of the Company contained in this Section 6 shall remain in full force and effect regardless of any investigation made by or on behalf of such indemnified person and shall survive any transfer of Registrable Stock.
(b) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Seller each seller of such Registrable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilitiesLosses, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities Losses (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Stock was registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or actionLoss, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability Loss arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense Loss which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Stock covered by such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other expenses and damages paid by such seller in connection with the registration in question). Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Company or any such director, officer, underwriter or controlling person and shall survive any transfer of Registrable Stock.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement unless such judgment or settlement includes as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation, includes only money damages (as opposed to equitable relief) and does not include any statement as to the fault or culpability of such indemnified party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the aggregate public offering price of its securities Registrable Stock offered by the registration statement bears to the aggregate public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price net proceeds received by it from the sale of all such securities Registrable Stock offered by it pursuant to such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other damages and expenses paid by such seller in connection with the registration in question); and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 7 contracts
Samples: Registration Rights Agreement (Communication Intelligence Corp), Registration Rights Agreement (Phoenix Venture Fund LLC), Registration Rights Agreement (Phoenix Venture Fund LLC)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Sellerthe seller of such Registrable Securities, each officer of each Seller, each director of each Sellerand its directors and officers, each underwriter of such Registrable Securities thereunder Securities, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar in so far as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, and any document incorporated therein by reference or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Securities, severally and not jointly, will indemnify and hold harmless the Company, each of its directors, and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriters or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by or on behalf of such Seller seller, specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller such seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the net proceeds to such seller from Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementas contemplated herein.
(c) Promptly Each party entitled to Indemnification under this Section 5 (the “Indemnified Party”) shall give notice to the party required to provide indemnification (the “Indemnifying Party”) promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; providing, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and Agreement, except to the extent the indemnifying party Indemnifying Party is actually prejudiced by such omissionthe failure to give notice. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding. No Indemnifying Party, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to be reimbursed by claim or litigation without the indemnifying party as incurredprior written consent of the Indemnifying Party.
(d) In order If the indemnification provided for herein is unavailable to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Selleror insufficient to hold harmless an Indemnified Party hereunder, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in then each such case, the Company and the Seller will Indemnifying Party shall contribute to the aggregate amount paid or payable by such Indemnified Party as a result of the losses, claims, damages or liabilities (or actions or proceedings in respect thereof) referred to which they may be subject (after contribution from others) herein in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Indemnifying Party on the one hand and the Indemnified Party on the other in connection with the statements, omissions, actions, or inactions which resulted in such losses, claims, damages or liabilities. The relative fault of the Indemnifying Party and the Indemnified Party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the percentage that Indemnifying Party or the public offering price of its securities offered Indemnified Party, any action or inaction by any such party, and the registration statement bears parties' relative intent, knowledge, access to the public offering price of all securities offered by information, and opportunity to correct or prevent such registration statement, providedomission, howeveraction, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no or inaction. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Promptly after receipt by an Indemnified Party hereunder of written notice of the commencement of any action, suit, proceeding, investigation, or threat thereof with respect to which a claim for contribution may be made against an Indemnifying Party hereunder, such Indemnified Party shall, if a claim for contribution in respect thereto is to be made against an Indemnifying Party, give written notice to the Indemnifying Party of the commencement thereof (if the notice specified herein has not been given with respect to such action); provided, however, that the failure to so notify the Indemnifying Party shall not relieve it from any obligation to provide contribution which it may have to any Indemnified Party hereunder, except to the extent that the Indemnifying Party is actually prejudiced by the failure to give notice. The parties hereto agree that it would not be just and equitable if contribution pursuant hereto were determined by pro rata allocation or by any other method of allocation which does not take account of equitable considerations referred to herein.
(e) The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 5 were determined by pro rata allocation or by any other method of allocation that does not take into account the equitable considerations referred to in the immediately preceding paragraph. Notwithstanding the provisions of this Section 5, contribution by any seller of Registrable Securities shall be limited in amount to the net amount of proceeds received by such seller from the sale of such Registrable Securities pursuant to such Registration Statement.
(f) If indemnification is available hereunder, the Indemnifying Parties shall indemnify each Indemnified Party to the fullest extent provided herein, without regard to the relative fault of said Indemnifying Party or Indemnified Party or any other equitable consideration provided for herein. The provisions hereof shall be in addition to any other rights to indemnification or contribution which any Indemnified Party may have pursuant to law or contract, shall remain in full force and effect regardless of any investigation made by or on behalf of any Indemnified Party, and shall survive the transfer of securities by any such party.
Appears in 7 contracts
Samples: Registration Rights Agreement (Amacore Group, Inc.), Registration Rights Agreement (Amacore Group, Inc.), Registration Rights Agreement (Amacore Group, Inc.)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the The Company will indemnify and hold harmless each SellerUnderwriter, each officer of each Sellerits affiliates, each director of each Seller, each underwriter of such Registrable Securities thereunder directors and officers and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, from and against any and all losses, claims, damages and liabilities (including, without limitation, reasonable legal fees and other reasonable expenses incurred in connection with any suit, action or liabilitiesproceeding or any claim asserted, as such fees and expenses are incurred), joint or several, to which the Seller, or such underwriter or controlling person may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any an untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Registration Statement, any preliminary prospectus, the Basic Prospectus, the Preliminary Prospectus, any Permitted Free Writing Prospectus, the Pricing Disclosure Package, the Prospectus or any free writing prospectus used by the Company other than a Permitted Free Writing Prospectus (or final prospectus contained thereinany such document, as from time to time amended, or any amendment deemed to be amended, supplemented or supplement thereofmodified), or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will shall not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in the Registration Statement, any preliminary prospectus, the Basic Prospectus, the Preliminary Prospectus, any Permitted Free Writing Prospectus, the Pricing Disclosure Package, the Prospectus or any free writing prospectus used by the Company other than a Permitted Free Writing Prospectus (or any such document, as from time to time amended, or deemed to be amended, supplemented or modified), in reliance upon and in conformity with written information pertaining furnished to the Company by any Underwriter through the Representatives expressly for use therein.
(b) Each Underwriter will, severally and not jointly, indemnify and hold harmless the Company, its directors, its officers and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, to the same extent as the indemnity set forth in paragraph (a) above, but only to the extent that such Selleruntrue statement or alleged untrue statement or omission or alleged omission was made in the Registration Statement, any preliminary prospectus, the Basic Prospectus, the Preliminary Prospectus, any Permitted Free Writing Prospectus, the Pricing Disclosure Package, the Prospectus or any free writing prospectus used by the Company other than a Permitted Free Writing Prospectus (or any such document, as suchfrom time to time amended, or deemed to be amended, supplemented or modified), in reliance upon and in conformity with written information furnished in writing to the Company by such Seller specifically Underwriter through the Representatives expressly for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementtherein.
(c) Promptly after receipt by an indemnified party hereunder under subsection (a) or (b) above of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunderunder such subsection, notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omissionsubsection. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in therein and, to the extent that it shall wish, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof thereof, with counsel 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 the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) such subsection for any legal expenses of other counsel or any other expenses, in each case subsequently incurred by such indemnified party party, in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in investigation. In any such action include both the action, any indemnified party shall have the right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such indemnified party unless (i) the indemnifying party and the indemnified party shall have mutually agreed to the contrary; (ii) the indemnifying party has failed within a reasonable time to retain counsel reasonably satisfactory to the indemnified party; (iii) the indemnified party shall have reasonably concluded that there may be reasonable legal defenses available to it which that are different from or additional in addition to those available to the indemnifying party; or (iv) the named parties in any such action (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 differing interest between them. It is understood and agreed that the indemnifying party shall not, in connection with any action or related action in the same jurisdiction, be liable for the fees and expenses of more than one separate firm (in addition to any local counsel) for all indemnified parties, and that all such fees and expenses shall be reimbursed as they are incurred. Any such separate firm for any Underwriter, its affiliates, directors and officers and any control persons of such Underwriter shall be designated in writing by the Representatives and any such separate firm for the Company, its directors, its officers and any control persons of the Company shall be designated in writing by the Company. The indemnifying party shall not be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent or if there be a final judgment for the interests plaintiff, the indemnifying party agrees to indemnify each indemnified party from and against any loss or liability by reason of such settlement or judgment. No indemnifying party shall, without the written consent of the indemnified party, effect the settlement or compromise of, or consent to the entry of any judgment with respect to, any pending or threatened action or claim in respect of which indemnification or contribution may be sought hereunder (whether or not the indemnified party is an actual or potential party to such action or claim) unless such settlement, compromise or judgment (i) includes an unconditional release of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense from all liability arising out of such actionaction or claim and (ii) does not include a statement as to or an admission of fault, with the reasonable expenses and fees culpability or a failure to act, by or on behalf of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurredany indemnified party.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it 8 is judicially determined unavailable to or insufficient to hold harmless an indemnified party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part above in respect of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate any losses, claims, damages or liabilities (or actions in respect thereof) referred to which they may be subject therein, then each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages or liabilities (after contribution from othersor actions in respect thereof) in such proportion so that as is appropriate to reflect the Seller is responsible only for the portion represented relative benefits received by the percentage that Company on the public one hand and the Underwriters on the other from the offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedNotes. If, however, thatthe allocation provided by the immediately preceding sentence is not permitted by applicable law or if the indemnified party failed to give the notice required under subsection (c) above, then each indemnifying party shall contribute to such amount paid or payable by such indemnified party in such proportion as is appropriate to reflect not only such relative benefits but also the relative fault of the Company on the one hand and the Underwriters on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities (or actions in respect thereof), as well as any other relevant equitable considerations. The relative benefits received by the Company on the one hand and the Underwriters on the other shall be deemed to be in the same proportion as the total net proceeds from the offering (before deducting expenses) received by the Company bear to the total underwriting discounts and commissions received by the Underwriters, in each case as set forth in the table on the cover page of the Prospectus. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company on the one hand or the Underwriters on the other and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Underwriters agree that it would not be just and equitable if contribution pursuant to this subsection (d) were determined by pro rata allocation (even if the Underwriters were treated as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred to above in this subsection (d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages or liabilities (or actions in respect thereof) referred to above in this subsection (d) shall be deemed to include any reasonable legal or other reasonable expenses incurred by such indemnified party in connection with any such caseaction or claim. Notwithstanding the provisions of this subsection (d), (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering amount by which the total price of all such securities offered at which the Notes underwritten by it pursuant and distributed to the public were offered to the public exceeds the amount of any damages which such registration statement; and (B) no Underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. The Underwriters’ obligations in this subsection (d) to contribute are several in proportion to their respective underwriting obligations and not joint.
Appears in 6 contracts
Samples: Underwriting Agreement (Cigna Corp), Underwriting Agreement (Cigna Corp), Underwriting Agreement (Cigna Corp)
Indemnification and Contribution. (a) In the event of a any registration of any Registrable Securities under the Securities Act pursuant to Section 9this Agreement, the Company will shall indemnify and hold harmless the Holder of such Registrable Securities, such Holder’s directors and officers, and each Seller, other person (including each officer of each Seller, each director of each Seller, each underwriter underwriter) who participated in the offering of such Registrable Securities thereunder and each other person, if any, who controls any such Seller Holder or underwriter such participating person within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, such Holder or any such underwriter director or officer or participating person or controlling person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained contained, on the effective date thereof, in any registration statement Registration Statement under which such Registrable Securities was securities were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or (ii) any alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will shall reimburse the Sellersuch Holder or such director, each such underwriter and each such officer or participating person or controlling person for any legal or any other expenses reasonably incurred by them such Holder or such director, officer or participating person or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided. Notwithstanding anything to the contrary set forth in this Section 5(a), however, that the Company will shall not be liable to indemnify any person in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement (1) any actual or alleged untrue statement or omission actual or alleged omission so either (x) made in such Registration Statement, preliminary prospectus, prospectus or amendment or supplement in reliance upon and in conformity with written information furnished to the Company by any such Seller, the underwriter or any such controlling person in writing Holder specifically for use therein or so furnished for such purposes by any underwriter or (y) that had been corrected in a preliminary prospectus, prospectus supplement or amendment which had been furnished to such registration Holder prior to any distribution of the document alleged to contain the untrue statement or prospectusomission to offerees or purchasers, (2) any offer or sale of Registrable Securities after receipt by such Holder of a Standstill Notice under Section 3(g) and prior to the delivery of the prospectus supplement or amendment contemplated by Section 3(g), or (3) the Holder’s failure to comply with the prospectus delivery requirements under the Securities Act or failure to distribute its Registrable Securities in a manner consistent with its intended plan of distribution as provided to the Company and disclosed in the Registration Statement. Notwithstanding the foregoing, the Company shall not be required to indemnify any person for amounts paid in settlement of any claim without the prior written consent of the Company, which consent shall not be unreasonably withheld. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such Holder or such director, officer or participating person or controlling person, and shall survive the transfer of such securities by such Holder.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant Each Holder, by acceptance hereof, agrees to Section 9, the Seller will indemnify and hold harmless the Company, its directors and officers and each person who participated in such offering and each other person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, Act against all any losses, claims, damages or liabilities, joint or several, to which the Company or any such director or officer or director any such person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained (i) information in writing provided to the Company by the Holder specifically for use in the registration statement following documents and contained, on the effective date thereof, in any Registration Statement under which such Registrable Securities securities were registered under the Securities Act pursuant to Section 9at the request of the Holder, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, (ii) Holder’s offer or sale of Registrable Securities after receipt by such Holder of a Standstill Notice under Section 3(g) and prior to the delivery of the prospectus supplement or amendment contemplated by Section 3(g), (iii) Holder’s failure to comply with the prospectus delivery requirements under the Securities Act or failure to distribute its Registrable Securities in a manner consistent with its intended plan of distribution as provided to the Company and disclosed in the Registration Statement, (iv) Holder’s failure to comply with Regulation M under the Exchange Act, or arise out (v) Holder’s failure to comply with any rules and regulations applicable because the Holder is, or is an Affiliate of, a registered broker-dealer. Notwithstanding the provisions of this paragraph (b) or are based upon paragraph (c) below, no Holder shall be required to indemnify any person pursuant to this Section 5 or to contribute pursuant to paragraph (c) below in an amount in excess of the amount of the aggregate net proceeds received by such Holder in connection with any such registration under the Securities Act.
(c) If the indemnification provided for in this Section 5 from the indemnifying party is unavailable to an indemnified party hereunder in respect of any losses, claims, damages, liabilities or expenses referred to therein, then the indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages, liabilities or expenses in such proportion as is appropriate to reflect the relative fault of the indemnifying party and indemnified parties in connection with the actions which resulted in such losses, claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative fault of such indemnifying party and indemnified parties shall be determined by reference to, among other things, whether any action in question, including any untrue or alleged untrue statement of a material fact or omission or alleged omission to state therein a material fact required fact, has been made by, or relates to be stated therein information supplied by, such indemnifying party or necessary to make the statements therein not misleadingindemnified parties, and will reimburse the Company parties’ relative intent, knowledge, access to information and each opportunity to correct or prevent such officer action. The amount paid or director for payable by a party as a result of the losses, claims, damages, liabilities and expenses referred to above shall be deemed to include any legal or other fees or expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of any investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded or proceeding. The parties hereto agree that there may it would not be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable if contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially 5(c) were determined (by the entry pro rata allocation or by any other method of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial allocation which does not take account of the last right of appeal) that such indemnification may not be enforced equitable considerations referred to in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
Appears in 6 contracts
Samples: Securities Purchase Agreement (Cicero Inc), Securities Purchase Agreement (Cicero Inc), Registration Rights Agreement (Cicero Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) as is appropriate to reflect the relative fault of the Company and such holder in connection with the statements or omissions which resulted in such proportion so losses, claims, damages or liabilities, as well as the relative benefit received by the Company and such holder as a result of the offering in question, it being understood that the Seller is responsible only for the portion represented by the percentage parties acknowledge that the public offering price overriding equitable consideration to be given effect in connection with this provision is the ability of its securities offered one party or the other to correct the statement or omission which resulted in such losses, claims, damages or liabilities, and that it would not be just and equitable if contribution pursuant hereto were to be determined by pro rata allocation or by any other method of allocation which does not take into consideration the registration statement bears to the public offering price of all securities offered by such registration statement, foregoing equitable considerations; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Merger Agreement (DSV Partners Iv), Merger Agreement (Strategic Diagnostics Inc/De/), Merger Agreement (Perkin Elmer Corp)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9Sections 3, 4 or 5, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Registrable Shares thereunder, each underwriter of such Registrable Securities Shares thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Shares were registered under the Securities Act pursuant to Section 9Sections 3, 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that (1) any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.prospectus or (2) the prospectus relating to such registration shall have been amended or supplemented and copies, as so amended or supplemented, shall have been furnished to such seller of Registrable Securities prior to the confirmation of any sales of Registrable Securities and such seller did not, at or prior to the confirmation of the sale of Regsitrable Securities deliver such prospectus to the purchaser of such Registrable Securities if such applicable untrue statement or omission of a material fact contained in a prospectus was corrected in the prospectus so amend or supplemented..
(b) In the event of a registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9Sections 3, the Seller 4 or 5, each seller of such Registrable Shares thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Sections 3, 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Shares covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 8 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 8 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.68; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Shares offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Shares offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Registration Rights Agreement (Oncure Medical Corp), Registration Rights Agreement (Oncure Medical Corp), Registration Rights Agreement (Oncure Medical Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Registration Rights Agreement (SALARY.COM, Inc), Registration Rights Agreement (Color Kinetics Inc), Registration Rights Agreement (Allaire Corp)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or blue sky laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company's reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement Registration Statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto each seller of such Registrable Securities thereunder, the Seller severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and Registration Statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement Registration Statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement Registration Statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 6(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price Registration Statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such Registration Statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advise of its counsel that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration Statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Registration Rights Agreement (Agfeed Industries, Inc), Registration Rights Agreement (Agfeed Industries, Inc), Registration Rights Agreement (Agfeed Industries, Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9this Agreement, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9this Agreement, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9this Agreement, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c7(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c7(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c7(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 7 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 7 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.67; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Subscription Agreement (Extreme Home Staging Inc), Subscription Agreement (Ivt Software Inc), Subscription Agreement (VGTel, Inc.)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities, or “blue sky” laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act, the Exchange Act, any state securities or “blue sky” laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act Act, the Exchange Act, state securities, “blue sky” laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, ; provided that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, ; and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion net proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 8(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price registration statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such registration statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 8 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, ; provided that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of its counsel that there may be reasonable defenses available to it which that are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.68; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration Registration statement bears to the public offering price of all securities offered by such registration Registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Registration Rights Agreement (Hochman David P), Registration Rights Agreement (Hochman David P), Registration Rights Agreement (Hochman Carole S)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c10.4(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c10.4(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c10.4(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 10.4 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 10.4 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.610.4; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 4 contracts
Samples: Subscription Agreement (Telepad Corp), Subscription Agreement (Integrated Spatial Information Systems Inc), Subscription Agreement (Frederick Brewing Co)
Indemnification and Contribution. (a) In The Company and the event of a registration of any Registrable Securities under the Securities Act pursuant Guarantor, jointly and severally, agree to Section 9, the Company will indemnify and hold harmless each SellerUnderwriter, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of either Section 15 of the Securities Act or Section 20 of the Exchange Act, each affiliate of any Underwriter within the meaning of Rule 405 under the Securities Act, each broker dealer affiliate of any Underwriter and each of their respective officers and directors from and against any and all losses, claims, damages or and liabilities, joint or several, to which the Seller, or such underwriter or controlling person Underwriter may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any an untrue statement or alleged untrue statement of any a material fact contained in the Registration Statement or any registration statement under which such Registrable Securities was registered amendment thereof, any preliminary prospectus, the Time of Sale Prospectus, any issuer free writing prospectus as defined in Rule 433(h) under the Act Securities Act, any Company information that the Company has filed, or is required to file, pursuant to Rule 433(d) under the Securities Act, including the final term sheet prepared and filed pursuant to Section 96(i), any preliminary prospectus or final prospectus contained therein, the Prospectus or any amendment or supplement thereofthereto, or arise out of or are based upon the caused by any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein therein, in the light of the circumstances under which they were made, not misleading, and will reimburse the Seller, each such underwriter and each such controlling person Underwriter for any legal or other expenses reasonably incurred by them such Underwriter in connection with investigating or defending any such loss, claim, damage, liability action or actionclaim as such expenses are incurred; provided, however, that the Company will and the Guarantor shall not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in the Registration Statement or any amendment thereof, any preliminary prospectus, the Time of Sale Prospectus, any issuer free writing prospectus as defined in Rule 433(h) under the Securities Act, any Company information that the Company has filed, or is required to file, pursuant to Rule 433(d) under the Securities Act, including the final term sheet prepared and filed pursuant to Section 5(i), or the Prospectus or any amendment or supplement thereto, in reliance upon and in conformity with written information pertaining to such Seller, as such, furnished in writing to the Company or the Guarantor by any Underwriter through the Representatives expressly for use therein.
(b) Each Underwriter, severally and not jointly, agrees to indemnify and hold harmless the Company, the Guarantor, their respective directors and officers and each person, if any, who controls the Company or the Guarantor within the meaning of either Section 15 of the Securities Act or Section 20 of the Exchange Act from and against any and all losses, claims, damages and liabilities, to which the Company or the Guarantor may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in the Registration Statement or any amendment thereof, any preliminary prospectus, the Time of Sale Prospectus, any issuer free writing prospectus as defined in Rule 433(h) under the Securities Act, any Company information that the Company has filed, or is required to file, pursuant to Rule 433(d) under the Securities Act, including the final term sheet prepared and filed pursuant to Section 5(i), or the Prospectus or any amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in the Registration Statement or any amendment thereof, any preliminary prospectus, the Time of Sale Prospectus, any issuer free writing prospectus as defined in Rule 433(h) under the Securities Act, any Company information that the Company has filed, or is required to file, pursuant to Rule 433(d) under the Securities Act or the Prospectus or any amendment or supplement thereto, in reliance upon and in conformity with written information furnished to the Company or the Guarantor by such Seller specifically Underwriter through the Representatives expressly for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementtherein.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action proceeding (including any governmental investigation) shall be brought against instituted involving any person in respect of which indemnity may be sought pursuant to subsections (a) or (b) above, such person (the “indemnified party and it party”) shall promptly notify the person against whom such indemnity may be sought (the “indemnifying party party”) in writing and the indemnifying party, upon request of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from shall retain counsel reasonably satisfactory to the indemnifying indemnified party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both represent the indemnified party and any others the indemnifying party may designate in such proceeding and shall pay the reasonable fees and disbursements of such counsel related to such proceeding. In any such proceeding, any indemnified party shall have the right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such indemnified party unless (i) the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available mutually agreed to it which are different from the retention of such counsel or additional (ii) the named parties to those available to any such proceeding (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 differing interests between them. It is understood that the indemnifying party shall not, in respect of the legal expenses of any indemnified party in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate firm (in addition to any local counsel) for all such indemnified parties and that all such fees and expenses shall be reimbursed as they are incurred. Such firm shall be designated in writing by (i) the Representatives, in the case of the parties indemnified pursuant to Section 9(a) and (ii) by the Guarantor, in the case of parties indemnified pursuant to Section 9(b). The indemnifying party shall not be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent or if there be a final judgment for the interests plaintiff, the indemnifying party agrees to indemnify the indemnified party from and against any loss or liability by reason of such settlement or judgment. No indemnifying party shall, without the prior written consent of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the effect any settlement of any pending or threatened proceeding in respect of which any indemnified parties shall party is or could have the right to select one separate counsel been a party and to assume indemnity could have been sought hereunder by such legal defenses and otherwise to participate in the defense indemnified party, unless such settlement (x) includes an unconditional release of such action, with indemnified party from all liability on claims that are the reasonable expenses and fees subject matter of such separate counsel proceeding and other expenses related (y) does not include any statement as to such participation any admission of fault, culpability or failure to be reimbursed act by the indemnifying party as incurredor on behalf of any indemnified person.
(d) In order To the extent the indemnification provided for in Section 9(a) or 9(b) is unavailable to provide for just and equitable contribution an indemnified party or insufficient in the event respect of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities referred to which they may be subject therein, then each indemnifying party under such paragraph, in lieu of indemnifying such indemnified party thereunder, shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages or liabilities (after contribution from othersi) in such proportion so that as is appropriate to reflect the Seller is responsible only for the portion represented relative benefits received by the percentage Company and the Guarantor on the one hand and the Underwriters on the other hand from the offering of the Securities or (ii) if the allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the relative fault of the Company and the Guarantor on the one hand and of the Underwriters on the other hand in connection with the statements or omissions that resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative benefits received by the public Company and the Guarantor on the one hand and the Underwriters on the other hand in connection with the offering of the Securities shall be deemed to be in the same respective proportions as the net proceeds from the offering of the Securities (before deducting expenses) received by the Company and the Guarantor and the total discounts and commissions received by the Underwriters, in each case as set forth herein, bear to the aggregate offering price of its securities offered the Securities. The relative fault of the Company and the Guarantor on the one hand and of the Underwriters on the other hand shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the registration Company and the Guarantor on the one hand or by the Underwriters on the other and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement bears or omission. The Underwriters’ respective obligations to contribute pursuant to this Section are several in proportion to the public offering price respective principal amount of all securities offered Securities they have purchased hereunder, and not joint.
(e) The Company, the Guarantor and the Underwriters agree that it would not be just and equitable if contribution pursuant to subsection (d) were determined by pro rata allocation (even if the Underwriters were treated as one entity for such purpose) or by any other method of allocation that does not take account of the equitable considerations referred to above in subsection (d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages or liabilities referred to above in subsection (d) shall be deemed to include, subject to the limitations set forth above, any legal or other expenses reasonably incurred by such registration statement, provided, however, that, indemnified party in connection with investigating or defending any such caseaction or claim. Notwithstanding the provisions of subsection (d), (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering amount by which the total price of all such securities offered at which the Securities purchased by it pursuant and distributed to investors were offered to investors exceeds the amount of any damages that such registration statement; and (B) no Underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. The remedies provided for in this Section 9 are not exclusive and shall not limit any rights or remedies which may otherwise be available to any indemnified party at law or in equity.
Appears in 3 contracts
Samples: Underwriting Agreement (Tyco International LTD), Underwriting Agreement (Tyco International LTD /Ber/), Underwriting Agreement (Tyco International LTD /Ber/)
Indemnification and Contribution. (a) a. In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 2, 3 or 4, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus. It is agreed that the indemnity agreement contained in this Section 7(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld or delayed).
(b) b. In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 2, the Seller 3 or 4, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited not in any event to exceed the proportion proceeds received by such seller from the sale of Restricted Stock covered by such registration statement. It is agreed that the indemnity agreement contained in this Section 7(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense action if such settlement is effected without the consent of seller hereunder (which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but consent shall not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementbe unreasonably withhold or delayed).
(c) c. Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 7 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 7 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 7 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests interest of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) d. In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 7 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 7 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.67; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning remaining of Section 10(f9(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Registration Rights Agreement (Speedemissions Inc), Registration Rights Agreement (Speedemissions Inc), Registration Rights Agreement (Speedemissions Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities Warrant Stock under the Securities Act pursuant to this Section 9, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each the Seller, each underwriter of such Registrable Securities Warrant Stock thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Warrant Stock was registered under the Securities Act pursuant to this Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are arc based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable to the provider of information giving rise to any claim in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person about itself in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Warrant Stock under the Securities Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Warrant Stock was registered under the Securities Act pursuant to this Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or actionactions, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities Warrant Stock sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities Warrant Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, actions such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c9.4(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c9.4(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c9.4(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests interest of the indemnifying party or if the indemnifying party shall not have assumed or undertaken the defense of such action with counsel reasonably satisfactory to such indemnified party, the indemnified parties party shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 9.4 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9.4 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69.4; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price net proceeds received by such Seller from the sale of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Warrant Agreement (Boundless Corp), Warrant Agreement (Boundless Corp), Common Stock Purchase Warrant (Boundless Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities Shares under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each SellerRegistrable Shares thereunder, each underwriter of such Registrable Securities Shares thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Shares were registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein in light of the circumstances under which they were made not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusprospectus and, provided, further, that with respect to any untrue statement or alleged untrue statement in or omission or alleged omission from any registration statement the indemnity agreement contained in this subsection (a) shall not inure to the benefit of any holder of Registrable Shares, any underwriter or any controlling person of such holder from whom the person asserting any such losses, claims, damages or liabilities purchased the Registrable Shares concerned, to the extent that a registration statement relating to such Registrable Shares was required to be delivered by such holder, underwriter or controlling person under the Securities Act in connection with such purchase and any such loss, claim, damage or liability results from the fact that there was not sent or given to such person, at or prior to the written confirmation of the sale of such Registrable Shares to such person, a copy of the final registration statement or prospectus if the Company had previously furnished copies thereof to such holder, underwriter or controlling person.
(b) In the event of a registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of Registrable Shares thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein in light of the circumstances under which they were made not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Shares covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Shares offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Shares offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Investor Rights Agreement (Helicos Biosciences Corp), Investor Rights Agreement (Helicos Biosciences Corp), Investor Rights Agreement (Versant Ventures II LLC)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Subscription Agreement (China Peregrine Food Corp), Subscription Agreement (Antra Holdings Group Inc), Subscription Agreement (Teltran International Group LTD)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or “blue sky” laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement Registration Statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and Registration Statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement Registration Statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, ; provided that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement Registration Statement or prospectus, ; and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 6(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price Registration Statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such Registration Statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, ; provided that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of its counsel that there may be reasonable defenses available to it which that are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration Statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Registration Rights Agreement (Nova Lifestyle, Inc.), Registration Rights Agreement (Nova Lifestyle, Inc.), Registration Rights Agreement (Nova Lifestyle, Inc.)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Selleras incurred each such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; 9, then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) Notwithstanding the foregoing, to the extent that the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement shall control.
Appears in 3 contracts
Samples: Investor Rights Agreement (Achillion Pharmaceuticals Inc), Investor Rights Agreement (Achillion Pharmaceuticals Inc), Investor Rights Agreement (Achillion Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse each such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in reliance upon and in conformity with information furnished by any such seller, any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus; provided further, that the Company shall not be required to indemnify any person against any liability arising from any untrue or misleading statement or omission contained in any preliminary prospectus if such deficiency is corrected in the final prospectus or for any liability which arises out of the failure of any person to deliver a prospectus as required by the Securities Act regardless of any investigation made by or on behalf of such indemnified party and shall survive transfer of such securities by such seller.
(b) In the event of a registration of any of the Restricted Stock under the Securities Act pursuant to Sections 4, 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless each other seller of Restricted Stock, the Company, each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, to which the Company, each other seller of Restricted Stock or such officer, director, underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Restricted Stock was registered under the Securities Act pursuant to Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the SellerCompany, each such underwriter other seller of Restricted Stock and each such officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Investor Rights Agreement, Investor Rights Agreement (Demandware Inc), Investor Rights Agreement (Demandware Inc)
Indemnification and Contribution. (a) In the event of a the registration of any Registrable Securities under the Securities Act pursuant to Section 93, the Company will indemnify and hold harmless the Holder and each Seller, each officer other seller of each Seller, each director of each Sellersuch Shares and Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 93, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration on behalf of the Holder of any of the Registrable Securities under the Securities Act pursuant to Section 93, the Seller Holder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were was registered under the Securities Act pursuant to Section 93, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller Holder will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, the Holder furnished in writing to the Company by such Seller the Holder specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller Holder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering offering, price of the Registrable Securities shares sold by the Seller Holder under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller Holder from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the the. commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the SellerHolder exercising rights under this Agreement, or any controlling person of the SellerHolder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or to the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of any the Seller Holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller Holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller Holder is responsible only for the portion represented by the percentage that the public offering price price, if any, of its securities Registrable Securities offered by the registration statement bears to the public offering price price, if any, of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller Holder will not be required ruled to contribute any amount in excess of the public offering price price, if any, of all such securities Registrable Securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) No indemnifying party shall, without the prior written consent of the indemnified party, effect any settlement, compromise or consent to the entry of judgment in any pending or threatened action, suit or proceeding in respect to which any indemnified party is or could have been a party and indemnity was or could have been sought hereunder by such indemnified party, unless such settlement, compromise or consent (x) includes an unconditional release of such indemnified party from all liability on claims that are the subject matter of such action, suit or proceeding and (y) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party.
Appears in 3 contracts
Samples: Investor Rights Agreement (GlenRose Instruments Inc.), Investor Rights Agreement (GlenRose Instruments Inc.), Investor Rights Agreement (Blum Strategic GP IV, L.L.C.)
Indemnification and Contribution. (a) In connection with the event of a registration of any Registrable Securities the Shares under the Securities Act pursuant to Section 95, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerStockholder, each underwriter of such Registrable Securities Shares thereunder and each other person, if any, who controls any such Seller Stockholder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, Exchange Act, state securities laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in any the registration statement under which such Registrable Securities was Shares were registered under the Securities Act pursuant to Section 95, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon (ii) the omission or alleged omission to state therein of a material fact required to be stated therein or necessary to make the statements therein not misleadingmisleading or (iii) any violation by the Company or its agents of any rule or regulation promulgated under the Securities Act, Exchange Act or state securities laws applicable to the Company or its agents and relating to action or inaction required of the Company in connection with such registration, and the Company will reimburse the Sellereach such Stockholder, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , as such expenses are incurred, provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with based upon written information furnished by or for any such SellerStockholder, the any such underwriter or any such controlling person in writing specifically for use in such the applicable registration statement or prospectusstatement.
(b) In connection with the event of a registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 95, the Seller each Stockholder will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the such registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) the failure of such Stockholder to comply with the provisions of Section 12 herein or (ii) any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9statement, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon (iii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, as such expenses are incurred, provided, however, that the Seller such Stockholder will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with written information pertaining to such Seller, as suchStockholder, furnished in writing to the Company by or for such Seller Stockholder specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such applicable registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereofthereof and the approval by the indemnified party of the counsel chosen by the indemnifying party, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party will consent to entry of judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability with respect to such claim or litigation.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, a Stockholder exercises rights under this Agreement and makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller Stockholder in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller Stockholders will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price relative fault of all securities offered by such registration statementthe Company, on the one hand, and the Stockholders, on the other hand; provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) The indemnities provided in this Section 9 shall survive the transfer of any Shares by a Stockholder.
Appears in 3 contracts
Samples: Registration Rights Agreement (Parexel International Corp), Registration Rights Agreement (Parexel International Corp), Registration Rights Agreement (Parexel International Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant The Depositor agrees to Section 9, the Company will indemnify and hold harmless each SellerUnderwriter (including Prudential Securities Incorporated acting in its capacity as Representative and as one of the Underwriters), each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, such Underwriter or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities 1933 Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9Registration Statement, any preliminary prospectus or final prospectus contained thereinProspectus, the Prospectus, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company each Underwriter and each such officer or director controlling person for any legal or other expenses reasonably incurred by them such Underwriter or such controlling person in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that the Seller Depositor will not be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an any untrue statement or alleged untrue statement or omission or alleged omission made in the Registration Statement, any preliminary Prospectus, the Prospectus or any amendment or supplement thereto in reliance upon and in conformity with (1) written information pertaining to such Seller, as such, furnished in writing to the Company Depositor by such Seller any Underwriter through the Representative specifically for use therein or (2) information regarding the Mortgage Loans except to the extent that the Depositor has been indemnified by the Servicer. This indemnity agreement will be in addition to any liability which the Depositor may otherwise have.
(b) Each Underwriter will indemnify and hold harmless the Depositor, each of the Depositor's directors, each of the Depositor's officers who signed the Registration Statement and each person, if any, who controls the Depositor, within the meaning of the 1933 Act, against any losses, claims, damages or liabilities to which the Depositor, or any such registration director, officer or controlling person may become subject, under the 1933 Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or prospectusalleged untrue statement of any material fact contained in the Registration Statement, and providedany preliminary Prospectus, furtherthe Prospectus, howeveror any amendment or supplement thereto, or any other prospectus relating to the Offered Securities, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that the liability of the Seller hereunder shall be limited such untrue statements or alleged untrue statements or omission or alleged omission was made in reliance upon and in conformity with written information furnished to the proportion of Depositor by any Underwriter through the Representative specifically for use therein; and each Underwriter will reimburse any legal or other expenses reasonably incurred by the Depositor or any such director, officer or controlling person in connection with investigating or defending any such loss, claim, damage, liability or expense action. This indemnity agreement will be in addition to any liability which is equal such Underwriter may otherwise have. The Depositor acknowledges that the statements set forth under the caption "UNDERWRITING" in the Prospectus Supplement constitute the only information furnished to the proportion that Depositor by or on behalf of any Underwriter for use in the public offering price Registration Statement, any preliminary Prospectus or the Prospectus, and each of the Registrable Securities sold by the Seller under several Underwriters represents and warrants that such registration statement bears statements are correct as to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementit.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person indemnity agreement provided for in the preceding parts of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it 7 is judicially determined for any reason held to be unavailable to or insufficient to hold harmless an indemnified party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part above in respect of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate any losses, claims, damages or liabilities (or actions in respect thereof) referred to which they may be subject (after contribution from others) in such proportion so that therein, then the Seller is responsible only for indemnifying party shall contribute to the portion represented amount paid or payable by the percentage that the public offering price indemnified party as a result of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statementlosses, claims, damages or liabilities (or actions in respect thereof); provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the 1933 Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. In determining the amount of contribution to which the respective parties are entitled, there shall be considered the relative benefits received by the Depositor on the one hand, and the Underwriters on the other, from the offering of the Offered Securities (taking into account the portion of the proceeds of the offering realized by each), the Depositor's and the Underwriters' relative knowledge and access to information concerning the matter with respect to which the claim was asserted, the opportunity to correct and prevent any statement or omission, and any other equitable considerations appropriate in the circumstances. The Depositor and the Underwriters agree that it would not be equitable if the amount of such contribution were determined by pro rata or per capita allocation (even if the Underwriters were treated as one entity for such purpose). No Underwriter or person controlling such Underwriter shall be obligated to make contribution hereunder which in the aggregate exceeds the total underwriting fee of the Offered Securities purchased by such Underwriter under the Underwriting Agreement, less the aggregate amount of any damages which such Underwriter and its controlling persons have otherwise been required to pay in respect of the same or any substantially similar claim. The Underwriters' obligation to contribute hereunder are several in proportion to their respective underwriting obligations and not joint. For purposes of this Section 7, each person, if any, who controls an Underwriter within the meaning of Section 15 of the 1933 Act shall have the same rights to contribution as such Underwriter, and each director of the Depositor, each officer of the Depositor who signed the Registration Statement, and each person, if any, who controls the Depositor within the meaning of Section 15 of the 1933 Act, shall have the same rights to contribution as the Depositor.
(d) The parties hereto agree that the first sentence of Section 5 of the Indemnification Agreement (the "Indemnification Agreement") dated as of the Closing Date among the Note Insurer, the Servicer, the Originators, the Unaffiliated Seller, the Issuer, the Depositor and the Underwriter shall not be construed as limiting the Depositor's right to enforce its rights under Section 7 of these Standard Provisions. The parties further agree that, as between the parties hereto, to the extent that the provisions of Section 5 of the Indemnification Agreement conflict with Section 7 hereof, the provisions of Section 7 hereof shall govern.
Appears in 3 contracts
Samples: Underwriting Agreement (Prudential Securities Secured Financing Corp), Underwriting Agreement (Prudential Securities Secured Financing Corp), Underwriting Agreement (Prudential Securities Secured Financing Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9The Depositor and NMAC shall, the Company will jointly and severally, indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of either Section 15 of the Act or Section 20 of the Securities ActExchange Act of 1934, as amended (each a “Control Person”), harmless against any losses, claims, damages or liabilities, joint or several, to which the Seller, such Underwriter or such underwriter or controlling person Control Person may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under Registration Statement, the Preliminary Prospectus (it being understood that such indemnification with respect to the Preliminary Prospectus does not include the omission of pricing and price-dependent information, which such Registrable Securities were registered under information shall of necessity appear only in the Securities Act pursuant to Section 9Final Prospectus), any preliminary prospectus or final prospectus contained thereinthe Ratings Free Writing Prospectus, or the Final Prospectus, any amendment or supplement thereofthereto, or any materials included in a Road Show authorized or approved by the Depositor and NMAC (when read together with the Preliminary Prospectus), or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company each Underwriter and each such officer or director Control Person for any legal or other expenses reasonably incurred by them such Underwriter or Control Person in connection with investigating or defending any such loss, claim, damage, liability or action, action as such expenses are incurred; provided, however, that neither the Seller Depositor nor NMAC will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement in or omission or alleged omission from any of such documents, in reliance upon and in conformity with the Underwriter Information (as defined below).
(b) Each Underwriter shall, severally and not jointly, indemnify and hold harmless the Depositor and NMAC against any losses, claims, damages or liabilities to which the Depositor or NMAC may become subject, under the Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the Registration Statement, the Preliminary Prospectus, the Ratings Free Writing Prospectus, the Final Prospectus, any amendment or supplement thereto, or any materials included in a Road Show authorized or approved by the Depositor and NMAC (when read together with the Preliminary Prospectus), or arise out of or are based upon the omission or the alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company Depositor or NMAC by such Seller Underwriter through the Representative specifically for use in such registration statement or prospectustherein, and provided, further, however, will reimburse any legal or other expenses reasonably incurred by the Depositor or NMAC in connection with investigating or defending any such action or claim as such expenses are incurred. The Depositor and NMAC acknowledge and agree that the liability only such information furnished to the Depositor or NMAC by any Underwriter through the Representative consists of the Seller hereunder shall be limited to following: the proportion of any such lossstatements in the third paragraph (concerning initial offering prices, claimconcessions and reallowances) and in the fourth, damagefifth, liability or expense which is equal to sixth and seventh paragraphs (concerning stabilizing and other activities) under the proportion that the public offering price heading “Underwriting” in each of the Registrable Securities sold by Preliminary Prospectus Supplement and the Seller under such registration statement bears to Prospectus Supplement (collectively, the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement“Underwriter Information”).
(c) Promptly after receipt by an indemnified party hereunder If any suit, action, proceeding (including any governmental or regulatory investigation), claim or demand shall be brought or asserted against any person in respect of notice which indemnity may be sought pursuant to either of the two preceding paragraphs, such person (the “Indemnified Party”) shall promptly notify the person against whom such indemnity may be sought (the “Indemnifying Party”) in writing of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission to so to notify the indemnifying party shall Indemnifying Party will not relieve it from any liability which it may have to such indemnified party other any Indemnified Party otherwise than under this Section 9.6(c) such preceding paragraphs, and with respect to such preceding paragraphs, any such omission shall only not relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent the indemnifying party is it has been materially prejudiced by such omission. In case any such action shall be is brought against any indemnified party Indemnified Party and it shall notify notifies the indemnifying party Indemnifying Party of the commencement thereof, the indemnifying party shall Indemnifying Party will be entitled to participate in therein and, to the extent that it shall may wish, jointly with any other Indemnifying Party similarly notified, to assume and undertake the defense thereof thereof, with counsel satisfactory to such indemnified party, and, Indemnified Party (who may be counsel to the Indemnifying Party) and after notice from the indemnifying party Indemnifying Party to such indemnified party Indemnified Party of its election so to assume and undertake the defense thereofthereof and after acceptance of counsel by the Indemnified Party, the indemnifying party shall Indemnifying Party will not be liable to such indemnified party Indemnified Party under this Section 9.6(c) for any legal or other expenses subsequently incurred by such indemnified party Indemnified Party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in investigation. In any such action include both proceeding, any Indemnified Party shall have the indemnified party right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party unless (i) the Indemnifying Party and the indemnifying party and the indemnified party Indemnified Party shall have mutually agreed to the contrary, (ii) the Indemnified Party has reasonably concluded (based upon advice of counsel to the Indemnified Party) that there may be reasonable legal defenses available to it which or other Indemnified Parties that are different from or additional in addition to those available to the indemnifying party Indemnifying Party, (iii) a conflict or if potential conflict exists (based upon advice of counsel to the interests of Indemnified Party) between the indemnified party reasonably may be deemed to conflict with Indemnified Party and the interests of Indemnifying Party (in which case the indemnifying party, the indemnified parties shall Indemnifying Party will not have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in direct the defense of such actionaction on behalf of the Indemnified Party) or (iv) the Indemnifying Party has elected to assume the defense of such proceeding but has failed within a reasonable time to retain counsel reasonably satisfactory to the Indemnified Party. The Indemnifying Party shall not, with respect to any action brought against any Indemnified Party, be liable for the fees and expenses of more than one firm (in addition to any local counsel) for all Indemnified Parties, and all such fees and expenses shall be reimbursed within a reasonable expenses period of time as they are incurred. Any separate firm appointed for the Underwriters and fees any Control Person in accordance with this subsection (c) shall be designated in writing by the Representative, and any such separate firm appointed for the Depositor or NMAC, its respective directors, officers who sign the Registration Statement and Control Persons in accordance with this subsection (c) shall be designated in writing by the Depositor or NMAC, as the case may be. The Indemnifying Party shall not be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent, with respect to an action of which the Indemnifying Party was notified and had the opportunity to participate in (whether or not it chose to so participate), the Indemnifying Party agrees to indemnify any Indemnified Party from and against any loss or liability by reason of such separate settlement. Notwithstanding the foregoing sentence, if at any time an Indemnified Party shall have requested an Indemnifying Party to reimburse the Indemnified Party for fees and expenses of counsel and other expenses related to such participation to be reimbursed as contemplated by the indemnifying fourth sentence of this paragraph, the Indemnifying Party agrees that it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement is entered into more than 60 days after receipt by such Indemnifying Party of the aforesaid request, and during such 60 day period the Indemnifying Party has not responded thereto, and (ii) such Indemnifying Party shall not have reimbursed the Indemnified Party in accordance with such request prior to the date of such settlement. No Indemnifying Party shall, without the prior written consent of the Indemnified Party, effect any settlement of any pending or threatened proceeding in respect of which any Indemnified Party is or could have been a party and indemnity could have been sought hereunder by such Indemnified Party, unless such settlement (x) includes an unconditional release of such Indemnified Party from all liability on claims that are the subject matter of such proceeding and (y) does not include a statement as incurredto or admission of fault, culpability or a failure to act by or on behalf of such Indemnified Party.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined unavailable or insufficient to hold harmless an Indemnified Party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; thenabove, and in then each such case, the Company and the Seller will Indemnifying Party shall contribute to the aggregate amount paid or payable by such Indemnified Party as a result of the losses, claims, damages or liabilities referred to which they may be subject in subsection (after contribution from othersa) or (b) above in such proportion so that as is appropriate to reflect the Seller is responsible only for the portion represented relative benefits received by the percentage that Depositor and NMAC on the public one hand and the Underwriters on the other from the offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedNotes. If, however, thatthe allocation provided by the immediately preceding sentence is not permitted by applicable law, then each Indemnifying Party shall contribute to such amount paid or payable by such Indemnified Party in such proportion as is appropriate to reflect not only such relative benefits but also the relative fault of the Depositor and NMAC on the one hand and the Underwriters on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities as well as any other relevant equitable considerations. The relative benefits received by the Depositor and NMAC on the one hand and the Underwriters on the other shall be deemed to be in the same proportion that the total net proceeds from the offering (before deducting expenses) received by the Depositor and NMAC bear to the total discounts and commissions received by the Underwriters. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Depositor or NMAC or by the Underwriters and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such caseuntrue statement or omission. The Depositor, NMAC and the Underwriters agree that it would not be just and equitable if contribution pursuant to this subsection (Ad) were determined by pro rata allocation or by any other method of allocation which does not take into account the Seller will not equitable considerations referred to above in this subsection (d). The amount paid by an Indemnified Party as a result of the losses, claims, damages or liabilities referred to above in this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such Indemnified Party in connection with investigating or defending any action or claim which is the subject of this subsection (d). Notwithstanding the provisions of this subsection (d), no Underwriter shall be required to contribute any amount in excess of the public offering amount by which the total price of all such securities offered at which the Notes underwritten by it pursuant and distributed to the public were offered to the public exceeds the amount of any damages which such registration statement; and (B) no Underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. The Underwriters’ obligations in this subsection (d) to contribute are several in proportion to their respective obligations and not joint.
(e) The obligations of the Depositor and NMAC under this Section shall be in addition to any liability which the Depositor or NMAC may otherwise have and shall extend, upon the same terms and conditions, to each officer and director of each Underwriter and to each person, if any, who controls any Underwriter within the meaning of the Act; and the obligations of the Underwriters under this Section shall be in addition to any liability which the respective Underwriters may otherwise have and shall extend, upon the same terms and conditions, to each officer and director of the Depositor or NMAC, to each officer and director of the Depositor or NMAC who has signed the Registration Statement and to each person, if any, who controls the Depositor or NMAC within the meaning of the Act.
Appears in 3 contracts
Samples: Underwriting Agreement (Nissan Master Owner Trust Receivables), Underwriting Agreement (Nissan Master Owner Trust Receivables), Underwriting Agreement (Nissan Master Owner Trust Receivables)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Registration Rights Agreement (China Broadband Inc), Registration Rights Agreement (China Broadband Inc), Registration Rights Agreement (China Packaging Group Inc.)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c10.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c10.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c10.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Subscription Agreement (Icoa Inc), Subscription Agreement (Icoa Inc), Subscription Agreement (Wealthhound Com Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Securities Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 3 contracts
Samples: Securities Purchase Agreement (Infinite Group Inc), Securities Purchase Agreement (Infinite Group Inc), Securities Purchase Agreement (Gosun Communications LTD Inc)
Indemnification and Contribution. (a1) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Warrant, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b2) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Warrant, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the omission or alleged any omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller such Stockholders hereunder shall be limited to an amount equal to the proportion proceeds to each Stockholder of Registrable Shares sold in connection with such registration.
(3) Each party entitled to indemnification under this Subsection f (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such lossclaim or any litigation resulting therefrom; provided, claimthat counsel for the Indemnifying Party, damagewho shall conduct the defense of such claim or litigation, liability or expense which is equal to shall be approved by the proportion Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement failure of any action, such indemnified party shall, if a claim in respect thereof is Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it Subsection f. The Indemnified Party may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding. No Indemnifying Party, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to be reimbursed by claim or litigation without the indemnifying party as incurredprior written consent of the Indemnifying Party.
(d4) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Warrant, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 Subsection f but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 Subsection f provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Stockholder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6Subsection f; then, and in each such case, the Company and the Seller such Stockholder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion proportions so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable shares offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price proceeds to it of all such securities offered Registrable Shares sold by it pursuant to such registration statement; Registration Statement, and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Common Stock Purchase Warrant (Telos Corp), Warrant Agreement (Telos Corp)
Indemnification and Contribution. (a) In Each of the event of a registration of any Registrable Securities under Seller and the Securities Act pursuant to Section 9, the Company will indemnify Depositor indemnifies and hold holds harmless each SellerUnderwriter, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter’s respective officers and directors and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, as follows:
(i) against any and all losses, claims, expenses, damages or liabilities, joint or several, to which the Sellersuch Underwriter, its officers, directors or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof, including but not limited to any loss, claim, expense, damage or liability related to purchases and sales of the Underwritten Securities) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the Registration Statement, the Prospectus, or any amendment or supplement thereto, or arise out of, or are based upon, the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements made therein not misleading; and will reimburse each Underwriter and each such controlling person for any legal or other expenses reasonably incurred by such Underwriter or such controlling person in connection with investigating or defending any such loss, claim, damage, liability or action as such expenses are incurred; provided, however, that the Seller and the Depositor shall not be liable in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or omission, or alleged untrue statement or omission, made in any of such documents (x) in reliance upon and in conformity with any Underwriters’ Information or (y) in any Derived Information in any Collateral Term Sheet, Structural Term Sheet, Series Term Sheet or Computational Materials, except in the case of clause (y) to the extent that any untrue statement or alleged untrue statement or omission therein results from an error or material omission in the information either in the Prospectus for which the Depositor or the Seller is responsible or concerning the characteristics of the Mortgage Loans furnished by the Seller to the Underwriters for use in the preparation of any Collateral Term Sheet, Structural Term Sheet, Series Term Sheet and/or Computational Materials (any such information, the “Pool Information”); provided, further, that no indemnity shall be provided by either the Depositor or the Seller for any error in the Pool Information that was superseded or corrected by the delivery to the Underwriters of corrected written or electronic information, or for which the Seller or the Depositor provided written notice of such error to the Underwriters, in each case prior to the confirmation of the sale of the applicable Securities and the Underwriters failed to correct such error (any such uncorrected Pool Information, a “Pool Error”);
(ii) against any and all loss, liability, claim, damage and expense whatsoever, to the extent of the aggregate amount paid in settlement of any litigation, or investigation or proceeding by any governmental agency or body, commenced or threatened, or of any claim whatsoever based upon any such untrue statement or omission, or any such alleged untrue statement or omission, if such settlement is effected with the written consent of the Depositor or the Seller; and
(iii) against any and all expense whatsoever (including the fees and disbursements of counsel chosen by any such Underwriter), reasonably incurred in investigating, preparing to defend or defending against any litigation, or investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any such untrue statement or omission, or any such alleged untrue statement or omission, to the extent that any such expense is not paid under clause (i) or clause (ii) above. This indemnity agreement will be in addition to any liability that the Depositor may otherwise have.
(b) Each Underwriter, severally and not jointly, agrees to indemnify and hold harmless each of the Seller and the Depositor, each of their partners or managers, each of their officers and each person, if any, who controls the Seller or the Depositor within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, against any and all losses, claims, expenses, damages or liabilities to which the Seller or the Depositor or any such partner, manager, officer or controlling person may become subject, under the Securities Act or otherwise, insofar as such losses, claims, expenses, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which (i) Derived Information provided by such Registrable Securities was registered under Underwriter and (ii) the Act pursuant to Section 9Registration Statement, any preliminary prospectus or final prospectus contained therein, the Prospectus or any amendment or supplement thereofthereto, or arise out of of, or are based upon upon, the omission or the alleged omission to state therein a material fact required to be stated therein or necessary to make the statements made therein not misleading, and will reimburse the Sellerbut with respect to clause (b)(ii) above, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so was made in reliance upon and in conformity with information furnished by any the Underwriters’ Information of such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, Underwriter; and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them the Seller, the Depositor or any such director, officer or controlling person in connection with investigating investigating, preparing to defend or defending any such loss, claim, expense, damage, liability or action, provided, however, that the Seller . This indemnity agreement will be liable hereunder in addition to any liability that such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementUnderwriter may otherwise have.
(c) Promptly after receipt by an indemnified party hereunder under this Section 8 of notice of any claim or the commencement of any actionaction described therein, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall 8, notify the indemnifying party of the claim or commencement of the action; but the omission to so notify the indemnifying party will not relieve the indemnifying party from any liability that it may have to any indemnified party otherwise than under this Section 8. In case any such claim or action is brought against any indemnified party, and it notifies the indemnifying party thereof, the indemnifying party shall will be entitled to participate in therein, and, to the extent that it shall wishmay wish to do so, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof 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 the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereofof such claim or action and the appointment of counsel as provided under this Section 8, the such indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with investigation. Any indemnified party shall have the right to employ separate counsel so selected, provided, however, that, if the defendants in any such action include both and to participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such indemnified party and unless: (i) the employment thereof has been specifically authorized by the indemnifying party and the in writing; (ii) such indemnified party shall have reasonably concluded been advised by such counsel that there may be reasonable one or more legal defenses available to it which are different from or additional to those available to the indemnifying party and in the reasonable judgment of such counsel it is advisable for such indemnified party to employ separate counsel; (iii) a conflict or if potential conflict exists (based on advice of counsel to the interests indemnified party) between the indemnified party and the indemnifying party (in which case the indemnifying party will not have the right to direct the defense of such action on behalf of the indemnified party); or (iv) the indemnifying party has failed to assume the defense of such action and employ counsel reasonably may be deemed satisfactory to conflict with the interests indemnified party, in which case, if such indemnified party notifies the indemnifying party in writing that it elects to employ separate counsel at the expense of the indemnifying party, the indemnified parties indemnifying party shall not have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees action on behalf of such separate counsel and other expenses related to such participation to be reimbursed by indemnified party, it being understood, however, the indemnifying party shall not, in connection with any one such action or separate but substantially similar or related actions in the same jurisdiction arising out of the same general allegations or circumstances, be liable for the reasonable fees and expenses of more than one separate firm of attorneys (in addition to local counsel) at any time for all such indemnified parties, which firm shall be designated in writing by the related Underwriter, if the indemnified parties under this Section 8 consist of one Underwriter or any of its controlling persons, by the Representative, if the indemnified parties under this Section 8 consist of more than one Underwriter or their controlling persons or the Depositor or the Seller, if the indemnified parties under this Section 8 consist of the Depositor or any of the Depositor’s directors, officers or controlling persons or the Seller or any of the Seller’s directors, officers or controlling persons. No indemnifying party shall be liable for any settlement of any such action effected without its written consent (which consent shall not be unreasonably withheld), but if settled with its written consent or if there be a final judgment for the plaintiff in any such action, the indemnifying party agrees to indemnify and hold harmless any indemnified party from and against any loss or liability (to the extent set forth in Section 8(a) or Section 8(b) as incurredapplicable) by reason of such settlement or judgment. Notwithstanding the foregoing paragraph, if at any time an indemnified party shall have requested an indemnifying party to reimburse the indemnified party for fees and expenses of counsel, the indemnifying party agrees that it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement is entered into more than 30 days after receipt by such indemnifying party of the aforesaid request and (ii) such indemnifying party shall not have reimbursed the indemnified party in accordance with such request prior to the date of such settlement.
(d) In order If the indemnification provided for in Section 8(a) or 8(b) is unavailable or insufficient to provide for just and equitable contribution in the event of joint liability hold harmless an indemnified party under the Act in any case in which either subsection (ia) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; thenabove, and in then each such case, the Company and the Seller will indemnifying party shall contribute to the aggregate amount paid or payable by such indemnified party as a result of the losses, claims, damages or liabilities referred to which they may be subject in subsection (after contribution from othersa) or (b) above (i) in such proportion so that as is appropriate to reflect the relative benefits received by the Depositor or the Seller on the one hand and the Underwriters on the other from the offering of the Underwritten Securities or (ii) if the allocation provided by clause (i) above is responsible not permitted by applicable law, in such proportion as is appropriate to reflect not only for the portion represented relative benefits referred to in clause (i) above but also the relative fault of the Depositor or the Seller on the one hand and the Underwriters on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities as well as any other relevant equitable considerations. The relative benefits received by the percentage that Depositor or the public Seller on the one hand and the Underwriters on the other shall be deemed to be in the same proportion as the total net proceeds from the offering price of its securities offered (before deducting expenses) received by the registration statement bears Depositor or the Seller bear to the public offering price total underwriting discounts and commissions received by the Underwriters. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of all securities offered a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Depositor or the Seller or by the Representative on behalf of the several Underwriters and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement or omission. The amount paid by an indemnified party as a result of the losses, claims, damages or liabilities referred to above in the first sentence of this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such registration statementindemnified party in connection with investigating or defending any action or claim which is the subject of this subsection (d). Notwithstanding the provisions of this subsection (d), provided, however, that, in any such case, (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering price of all underwriting discounts and commissions received by such securities offered by it pursuant to such registration statement; and (B) no Underwriter. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. The Underwriters’ obligations in this subsection (d) to contribute are several in proportion to their respective underwriting obligations and not joint.
(e) For purposes hereof, as to each Underwriter, the term “Derived Information” means such information, if any, in the Series Term Sheets, Collateral Term Sheets, Structural Term Sheets and/or Computational Materials that is not contained in (i) the Prospectus, the Registration Statement or amendments or supplements to either, taking into account information incorporated therein by reference (other than information incorporated by reference from the Series Term Sheets, Collateral Term Sheets, Structural Term Sheets and/or Computational Materials) or (ii) any Pool Information, except to the extent that any omission or alleged omission in Derived Information results from a Pool Error.
Appears in 2 contracts
Samples: Underwriting Agreement (Bayview Financial Mortage Pass-Through Trust 2005-D), Underwriting Agreement (Bayview Financial Mortgage Pass-Through Trust 2005-C)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each SellerRegistrable Stock thereunder, each underwriter of such Registrable Securities Stock thereunder and each other person, if any, who controls any or is alleged to control such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Stock were registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or arises out of or are based upon any violation or alleged violation of any federal, state or other law, rule or regulation relating to any action or inaction in connection therewith, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in to any such case indemnitee if and to the extent that any such loss, claim, damage or liability arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information with respect to such indemnitee furnished by any such Seller, the underwriter or any such controlling person indemnitee in writing specifically for use in such registration statement or prospectus. The indemnities of the Company contained in this Section 6 shall remain in full force and effect regardless of any investigation made by or on behalf of such indemnified person and shall survive any transfer of Registrable Stock.
(b) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Seller each seller of such Registrable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Stock was registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder (when combined with any liability under Section 6(d) below) shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Stock covered by such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other expenses and damages paid by such seller in connection with the registration in question). Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Company or any such director, officer, underwriter or controlling person and shall survive any transfer of Registrable Stock.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement unless such judgment or settlement includes as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation, includes only money damages (as opposed to equitable relief) and does not include any statement as to the fault or culpability of such indemnified party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the aggregate public offering price of its securities Registrable Stock offered by the registration statement bears to the aggregate public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute (when combined with any liability under Section 6(b) above) any amount in excess of the public offering price net proceeds received by it from the sale of all such securities Registrable Stock offered by it pursuant to such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other damages and expenses paid by such seller in connection with the registration in question); and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement (Edgar Online Inc), Investor Rights Agreement (Draper Fisher Jurvetson Fund VIII L P)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereof, to such Registration Statement or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements statement therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement Registration Statement, prospectuses, amendment or prospectus, and supplement; provided, further, however, that the liability obligations of the Seller such Investor Stockholders hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears proceeds to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale each Investor Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section 9.5 (the “Indemnified Party”) shall give notice to the party required to provide indemnification (the “Indemnifying Party”) promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided that counsel for the Indemnifying Party, if a who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided further that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it 9.5. The Indemnified Party may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ’s expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding. No Indemnifying Party, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to each Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and no Indemnified Party shall consent to entry of any judgment or settle such claim or litigation without the prior written consent of each other expenses related to such participation to be reimbursed by the indemnifying party as incurredIndemnified Party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9.5 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9.5 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Investor Stockholder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69.5; then, and in then each such case, the Company and the Seller will Indemnifying Party shall contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages liabilities, or liabilities to which they may be subject expenses (after contribution from othersor actions in respect thereof) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Indemnifying Party and the Indemnified Party as well as any other relevant equitable considerations. The relative fault of such Indemnifying Party and Indemnified Party shall be determined by reference to, among other things, whether the percentage that the public offering price untrue or alleged untrue statement of its securities offered by the registration statement bears a material fact or omission or alleged omission to the public offering price of all securities offered state a material fact relates to information supplied by such registration statementIndemnifying Party or Indemnified Party, providedand the parties’ relative knowledge, howeveraccess to information and opportunity to correct or prevent such statement or omission. The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 9.5(d) were determined by pro rata allocation (even if the Holders were treated as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred to in this Section 9.5(d). The amount paid or payable by an Indemnified Party as result of the losses, thatclaims, damages, liabilities, or expenses (or actions in respect thereof) referred to above shall be deemed to include any legal or other fees or expenses reasonably incurred by such Indemnified Party in connection with investigating or, except as provided in Section 9.5(c), defending any such caseaction or claim. Notwithstanding the provisions of this Section 9.5(d), (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price proceeds to it of all such securities offered Registrable Shares sold by it pursuant to such registration statement; Registration Statement, and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentationmisrepresentations.
Appears in 2 contracts
Samples: Stockholders Agreement (Zynerba Pharmeceuticals, Inc.), Stockholders Agreement (Zynerba Pharmeceuticals, Inc.)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, Indemnification by the Company will - Registrable Securities. The Company agrees to indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder selling Holder and each other personPerson, if any, who controls any such Seller or underwriter each selling Holder within the meaning of either Section 15 of the Securities Act or Section 20 of the Exchange Act, and the officers, directors, Affiliates, employees and agents of each of the foregoing, from and against any and all losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claimsjudgments, damages or and liabilities (or actions in respect thereofincluding reasonable fees, disbursements and other charges of counsel) arise arising out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was registered under Registration Statement (as amended or supplemented if the Act pursuant to Section 9, Company shall have furnished any amendments or supplements thereto) or any preliminary prospectus or final prospectus Prospectus contained therein, therein or any amendment or supplement thereof, or arise arising out of or are based upon the any omission or alleged omission to state therein in any such Registration Statement or Prospectus a material fact required to be stated therein or necessary to make the statements therein (as to a preliminary or final prospectus), in light of the circumstances under which they were made, not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred failure by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable to fulfill any undertaking in any such case if and to the extent that any such lossRegistration Statement, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, except insofar as such losses, claims, judgments, damages or liabilities (or actions in respect thereof) arise out of or are based upon any such untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining relating to such SellerHolder or the plan of distribution of Registrable Securities to be sold by such Holder, as such, in each case furnished in writing to the Company by such Seller specifically Holder expressly for use in such registration statement or prospectus, and provided, further, however, therein; provided that the foregoing indemnity agreement with respect to any preliminary prospectus shall not inure to the benefit of a selling Holder with respect to any loss, claim, damage or liability relating to a purchaser if a copy of the Seller hereunder shall be limited final prospectus was furnished to such selling Holder and was not provided to such purchaser and such final prospectus would have cured the proportion of any defect giving rise to such loss, claim, damage, liability damage or expense which is equal liability. The Company agrees to reimburse the proportion that the public offering price Purchasers for reasonable fees and expenses incurred investigating claims subject to indemnification under this Section 5(a). The Company also agrees to indemnify any Underwriters of the Registrable Securities sold by Securities, their officers and directors and each person who controls such Underwriters on substantially the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice same basis as that of the commencement indemnification of any action, such indemnified party shall, if a claim the selling Holders provided in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred5(a).
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Emcore Corp), Registration Rights Agreement (Uniroyal Technology Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Registerable Stock under the Securities Act pursuant to Section 9Sections 3 and 4, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Registerable Stock thereunder, each underwriter of such Registrable Securities Registerable Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Registerable Stock was registered under the Securities Act pursuant to Section 9Sections 3 and 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Registerable Stock under the Securities Act pursuant to Section 9Sections 3 and 4, the Seller each seller of such Registerable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Registerable Stock was registered under the Securities Act pursuant to Section 9Sections 3 and 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and ; provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Registerable Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ; provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in defense of any such action, shall, except with the consent of each indemnified party, consent to the entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving, by the claimant or plaintiff, to such indemnified party of a release from all liability in respect to such action.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registerable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and each indemnifying party shall in each lieu of indemnifying such case, the Company and the Seller will indemnified party contribute to the aggregate amount paid or payable by such indemnified party as a result of such losses, claims, damages damages, liabilities or liabilities to which they may be subject (after contribution from others) actions in such proportion so that as appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company, on the one hand, and the holders of such Registerable Stock, as the case may be, on the other, in connection with the statements and omissions which resulted in such losses, claims, damages, liabilities or actions as well as any other relevant equitable considerations, including, without limitation, the failure to give any notice under the third paragraph of this Section 6. The relative fault shall be determined by reference to, among other things, whether the untrue and alleged untrue statement of a material fact relates to information supplied by the percentage that Company, on the public offering price one hand, or the sellers of its securities offered by such Registerable Stock, as the registration statement bears case may be, on the other and to the public offering price parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the sellers of Registerable Stock agree that it would not be just and equitable if contributions pursuant to this paragraph (d) of Section 6 were determined by pro rata allocation (even if all securities offered of the sellers of such Registerable Stock, as the case may be, were treated as one entity for such purpose) or by any other method of allocation which did not take account of the equitable considerations referred to above in this paragraph (d) of Section 6. The amount paid or payable by an indemnified party as a result of the losses, claims, damages, liabilities or action in respect thereof, referred to above in this paragraph (d) of Section 6, shall be deemed to include any legal or other expenses reasonably incurred by such registration statement, indemnified party in connection with investigating or defending any such action or claim; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registerable Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Appliedtheory Corp), Registration Rights Agreement (Appliedtheory Corp)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon (ii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the Registration Statement or the offering contemplated thereby; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the (ii) any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, if and will reimburse to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if extent (and only to the extent extent) that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue the statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each Indemnified Party shall give notice to the Indemnifying Party promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, conditioned or delayed); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and 2.5 except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if the defendants Indemnified Party reasonably concludes that representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in any such action include both proceeding; provided further that in no event shall the indemnified party and Indemnifying Party be required to pay the indemnifying party and expenses of more than one counsel per jurisdiction for the indemnified party Indemnified Party. The Indemnifying Party also shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to responsible for the indemnifying party or expenses of such defense if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation, shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld, conditioned or delayed.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company, on the one hand, and the Selling Stockholders, on the other hand, in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such casethis Section 2.5(d), (Ai) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares or Questar Registrable Shares, as applicable and (Bii) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5(d), notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5(d). No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed.
(e) The rights and obligations of the Company and the Selling Stockholders under this Section 2.5 shall survive the termination of this Agreement.
Appears in 2 contracts
Samples: Series a Convertible Preferred Stock Purchase Agreement (Touchstone Applied Science Associates Inc /Ny/), Investor Rights Agreement (Touchstone Applied Science Associates Inc /Ny/)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in -------- ------- any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligation of the Seller each Stockholder hereunder -------- ------- shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section 2.5 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying -------- Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld or delayed); and, provided further, that the failure of any Indemnified ---------------- Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and 2.5, except to the extent that the indemnifying party Indemnified Party is prejudiced adversely effected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, thatthat -------- -------- the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding. No Indemnifying Party, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation or which includes an admission of liability on behalf of the Indemnified Party, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to be reimbursed by claim or litigation without the indemnifying party as incurredprior written consent of the Indemnifying Party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 2.5 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 2.5 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Stockholder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.62.5; then, and in each such case, the Company and the Seller such Stockholder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price of its securities offered by the registration statement bears equitable considerations referred to the public offering price of all securities offered by such registration statement, provided, above; provided however, that, in any -------- ------- such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price net proceeds to it of all such securities offered Registrable Shares sold by it pursuant to such registration statement; Registration Statement less any amounts paid in indemnity, and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent.
Appears in 2 contracts
Samples: Stockholder Rights Agreement (Storagenetworks Inc), Stockholder Rights Agreement (Goldman Sachs Group Inc)
Indemnification and Contribution. (a) In To the extent permitted by law, in the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 94, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 94, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleadingmisleading in the light of the circumstances in which they were made, or arise out of any violation by the Company of any rule or regulation promulgated under the Securities Act applicable to the Company and relating to action or inaction required of the Company in connection with such registration and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in -------- ------- any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus, and except that the foregoing indemnity agreement is subject to the condition that, insofar as it relates to any such untrue statement or alleged untrue statement or omission or alleged omission made in the preliminary prospectus but eliminated or remedied in the amended prospectus on file with the Commission at the time the registration statement becomes effective or in the amended prospectus filed with the Commission pursuant to Rule 424(b) or in the prospectus subject to completion and term sheet under Rule 434 of the Securities Act, which together meet the requirements of Section 10(a) of the Securities Act (the "Final Prospectus"), such indemnity agreement shall not inure to the benefit of any such seller, any such underwriter or any such controlling person, if a copy of the Final Prospectus was not furnished to the person or entity asserting the loss, liability, claim or damage at or prior to the time such furnishing is required by the Securities Act; provided, further, that this -------- ------- indemnity shall not be deemed to relieve any underwriter of any of its due diligence obligations.
(b) In To the extent permitted by law, in the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 94, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the any registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 94, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleadingmisleading in the light of the circumstances in which they were made, and will reimburse the Company and each such officer officer, director, underwriter or director controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if -------- ------- and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in reliance upon and in conformity with information pertaining to such Seller, as such, seller furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, -------- further, however, that the liability foregoing indemnity agreement is subject to the condition ------- that, insofar as it relates to any such untrue statement or alleged untrue statement or omission or alleged omission made in the preliminary prospectus but eliminated or remedied in the amended prospectus on file with the Commission at the time the registration statement becomes effective or in the Final Prospectus, such indemnity agreement shall not inure to the benefit of the Seller hereunder shall be limited Company, any controlling person or any underwriter, if a copy of the Final Prospectus was not furnished to the proportion person or entity asserting the loss, liability, claim or damage at or prior to the time such furnishing is required by the Securities Act; provided, further, that this indemnity shall not be -------- ------- deemed to relieve any underwriter of any such lossof its due diligence obligations; and provided, claimfurther, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold in no event shall any indemnity by the Seller a seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to this -------- ------- Section 7(b) exceed the net gross proceeds from the offering received by the Seller from the sale of Registrable Securities covered by such registration statementseller.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 7 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 7 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 7 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, -------- however, that, if the defendants in any such action include both the indemnified ------- party and the indemnifying party and counsel to the indemnified party shall have reasonably concluded that there may be are reasonable defenses available to it the indemnified party which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany Holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such Holder, makes a claim for indemnification pursuant to this Section 9.6 7 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 7 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.67; then, and in each such case, the Company and the Seller such Holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such Holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such Holder will not be -------- ------- required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Occupational Health & Rehabilitation Inc), Registration Rights Agreement (Occupational Health & Rehabilitation Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Sellerthe Investor, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any the Investor or such Seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the SellerInvestor, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon (ii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the Registration Statement or the offering or distribution contemplated thereby; and the Company will reimburse the SellerInvestor, each any such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them the Investor or such underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that with respect to each of the foregoing the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any such Seller, or on behalf of the underwriter Investor or any such underwriter or controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller Investor will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the (ii) any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, if and will reimburse to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if extent (and only to the extent extent) that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue the statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, the Investor furnished in writing to the Company by such Seller the Investor specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller Investor hereunder in connection with the sale of Registrable Shares under a Registration Statement shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that net proceeds to the public offering price Investor of the Registrable Securities Shares sold by the Seller under in connection with such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementregistration.
(c) Promptly Each Indemnified Party shall give notice to the Indemnifying Party promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have permit the Indemnifying Party to such indemnified party under this Section 9.6(c) if and to assume the extent the indemnifying party is prejudiced by such omission. In case defense of any such action shall be brought against claim or any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, litigation resulting therefrom; provided, however, thatthat counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, conditioned or delayed); and, provided, further, that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its obligations under this Section 2.4 except to the extent that the Indemnifying Party is materially and adversely prejudiced by such failure. The Indemnified Party may participate in such defense at such party’s expense; provided, however, that the Indemnifying Party shall pay such expense if the defendants Indemnified Party reasonably concludes that representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in any such action include both proceeding; provided further that in no event shall the indemnified party and Indemnifying Party be required to pay the indemnifying party and expenses of more than one law firm per jurisdiction as counsel for the indemnified party Indemnified Party. The Indemnifying Party also shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to responsible for the indemnifying party or expenses of such defense if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld, conditioned or delayed.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.4 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Investor on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Investor shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Investor and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Investor agree that it would not be just and equitable if contribution pursuant to this Section 2.4(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, thatthis Section 2.4(d), in any such caseconnection with the sale of Registrable Shares pursuant to a Registration Statement, (A) in no case shall the Seller will not Investor be required to contribute liable or responsible for any amount in excess of the public net proceeds received by the Investor from the offering price of all such securities offered by it pursuant to such registration statementRegistrable Shares; and (B) provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.4(d), notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.4(d). No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed.
(e) The rights and obligations of the Company and the Investor under this Section 2.4 shall survive the termination of this Agreement.
Appears in 2 contracts
Samples: Registration Rights Agreement (Global Secure Corp.), Registration Rights Agreement (Global Secure Corp.)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in -------- ------- any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller -------- ------- a Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying -------- Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party -------- ------- give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying -------- ------- Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in -------- ------- no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.5, (Aa) the Seller will not in no case shall any one Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within -------- ------- the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Investor Rights Agreement (Engage Technologies Inc), Investor Rights Agreement (Engage Technologies Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9Act, the Company will indemnify and hold harmless each Seller, holder of Registrable Securities included in such registration and each officer of each Seller, each director of each Sellerits directors and officers, each underwriter of such Registrable Securities thereunder and each of its directors and officers, and each other personperson and each of its directors and officers, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act or the Securities Exchange Act of 1934, as amended from time to time (the "Exchange Act"), or otherwise, against any losses, claims, damages or liabilitiesliabilities (or actions in respect thereof), joint or several, to which such seller, underwriter or controlling person (or their respective directors and officers) may become subject under the Securities Act, the Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (and each of its directors and officers or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities were registered under the Securities Act, any preliminary prospectus or final prospectus contained in the registration statement, or any amendment or supplement to such registration statement, or arise out of or are based upon the omission or alleged omission to state a material fact required to be stated therein or necessary to make the statements therein not misleading; and the Company will reimburse such seller, underwriter and each such controlling person (and their respective directors and officers) for any legal or any other expenses reasonably incurred by such seller, underwriter or controlling person (and their respective directors and officers) in connection with investigating or defending any such loss, claim, damage, liability or action; provided that the Company will not have any liability (and shall not be required to provide such indemnity and hold harmless obligation) to the extent that any such loss, claim, damage or liability arises out of or is based upon any untrue statement or omission made in such registration statement, preliminary prospectus or prospectus, or any such amendment or supplement, in reliance upon and in conformity with written information furnished to the Company through an instrument duly executed by or on behalf of such holder of Registrable Securities or underwriter specifically for use in preparation thereof.
(b) In the event of any registration of any of the Registrable Securities under the Securities Act, each holder of Registrable Securities included in such registration, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each of its directors and officers and each person and each of its directors and officers, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, against losses, claims, damages or liabilities (or actions in respect thereof), joint or several, to which the SellerCompany, or such directors and officers, underwriter or controlling person (or their respective directors and officers) may become subject under the Securities Act, Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the registration statement, or any amendment or supplement thereofto the registration statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by or on behalf of such Seller holder, specifically for use in connection with the preparation of such registration statement statement, prospectus, amendment or prospectussupplement; provided the liability of each holder of Registrable Securities pursuant to this Section 8.6(b) shall be limited to the proceeds actually received by such holder from the disposition of the Registrable Securities disposed of by such holder pursuant to such registration.
(c) Each party entitled to indemnification under this Section 8.6 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such claim or any litigation resulting therefrom, provided that counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, delayed or conditioned), and the Indemnified Party may participate in such defense at such party's expense, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion failure of any such loss, claim, damage, liability or expense which is equal Indemnified Party to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of give notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if 8.6 (except and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party rights of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after Indemnifying Party are materially prejudiced thereby). After notice from the indemnifying party Indemnifying Party to such indemnified party the Indemnified Party of its election so to assume and undertake the defense thereofof such claim or litigation, the indemnifying party shall Indemnifying Party will not be liable to such indemnified party under this Section 9.6(c) Indemnified Party for any legal or other expenses subsequently incurred by such indemnified party Indemnified Party in connection with the defense thereof other than reasonable costs of investigation so long as and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if extent the interests of Indemnifying Party continues to defend the indemnified party reasonably may be deemed to conflict with Indemnified Party, unless the interests of the indemnifying partyIndemnifying Party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of such separate counsel and other expenses related each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such participation Indemnified Party of a release from all liability in respect to be reimbursed by the indemnifying party as incurredsuch claim or litigation.
(d) In order To the extent the Company after the date hereof shall agree to provide for just and equitable contribution in any written agreement entered into with the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person stockholders of the SellerCompany if the indemnification obligations are otherwise unavailable, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, then the Company and the Seller will contribute shall provide such similar rights to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) Warrantholders in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentationtheir shares.
Appears in 2 contracts
Samples: Warrant Agreement (Infinity Inc), Warrant Agreement (Gexa Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Subscription Agreement (Fantasy Sports Net Inc), Subscription Agreement (Fantasy Sports Net Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller each Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such Stockholder from the sale of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section 1.6 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it 1.6. The Indemnified Party may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding. No Indemnifying Party, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to be reimbursed by claim or litigation without the indemnifying party as incurredprior written consent of the Indemnifying Party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 1.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 1.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Stockholder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.61.6; then, and in each such case, the Company and the Seller such Stockholder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion proportions so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Shares offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price net proceeds to it of all such securities offered Registrable Shares sold by it pursuant to such registration statement; Registration Statement, and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Curis Inc), Registration Rights Agreement (Curis Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the The Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Seller, such Underwriter or such underwriter or controlling person may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under Registration Statement or any amendment thereof, the Securities Act pursuant to Section 9Basic Prospectus, any preliminary prospectus Preliminary Final Prospectus or final prospectus contained thereinthe Final Prospectus, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company each Underwriter and each such officer or director controlling person for any legal or other expenses reasonably incurred by them such Underwriter or such controlling person in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that 9
(b) Each Underwriter severally agrees to indemnify and hold harmless the Seller will be liable hereunder in Company, each person, if any, who controls the Company either within the meaning of the Securities Act or the Exchange Act, each of its directors and each of its officers who has signed the Registration Statement, against any losses, claims, damages or liabilities to which the Company, any such case if and only controlling person or any such director or officer may become subject, under the Securities Act, the Exchange Act, or otherwise, to the same extent that any such lossas the foregoing indemnity from the Company to each Underwriter, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity but only with reference to written information pertaining relating to such Seller, as such, Underwriter furnished in writing to the Company by or on behalf of such Seller Underwriter through you specifically for use in such registration statement the preparation of the documents referred to in the foregoing indemnity. This indemnity agreement will be in addition to any liability which any Underwriter may otherwise have. The Company acknowledges that the statements set forth in the last paragraph of the cover page of the Final Prospectus and under the heading "Underwriting" or prospectus"Plan of Distribution" and, if Schedule I hereto provides for sale of Securities pursuant to delayed delivery arrangements, in the last sentence under the heading "Delayed Delivery Arrangements" in the Final Prospectus constitute the only information furnished in writing by or on behalf of the several Underwriters for inclusion in the Final Prospectus, and provided, further, however, you confirm that the such statements are correct. This indemnity agreement will be in addition to any liability of the Seller hereunder shall be limited to the proportion of any which each such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementUnderwriter may otherwise have.
(c) Promptly after receipt by an indemnified party hereunder under this Section of notice of the commencement of any action, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunderunder this Section, notify the indemnifying party in writing of the commencement thereof, but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such any indemnified party other otherwise than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omissionSection. In case any such action shall be is brought against any indemnified party party, and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall will be entitled to participate in and, to the extent that it shall wishmay elect by written notice delivered to the indemnified party promptly after receiving the aforesaid notice from such indemnified party, to assume and undertake the defense thereof thereof, with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ; provided, however, that, that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable legal defenses available to it and/or other indemnified parties which are different from or additional in addition to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified party or parties shall have the right to select one separate counsel and to assume such legal defenses and to otherwise to participate in the defense of such action, with the reasonable expenses and fees action on behalf of such separate counsel and other expenses related to indemnified party or parties. Upon receipt by such participation to be reimbursed by indemnified party of notice from the indemnifying party as incurred.of its election so to assume the defense of such action and approval by the indemnified party of counsel, the indemnifying party will not be liable to such indemnified party under this Section 8 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof unless (i) the indemnified party shall have employed such counsel in connection with the assumption of legal defenses in accordance with the proviso to the next preceding sentence (it being understood, however, that the indemnifying party shall not be liable for the 10
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either the indemnification provided for in paragraph (ia) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 8 is due in accordance with its terms but it is judicially determined (by the entry of a final judgment or decree for any reason held by a court to be unavailable from the Company on grounds of competent jurisdiction and the expiration of time to appeal policy or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such caseotherwise, the Company and the Seller will Underwriters shall contribute to the aggregate losses, claims, damages and liabilities (including legal or liabilities other expenses reasonably incurred in connection with investigating or defending same) to which they the Company and one or more of the Underwriters may be subject (after contribution from others) in such proportion so that the Seller is Underwriters are responsible only for the that portion represented by the percentage that the public offering price of its securities offered by the registration statement underwriting discount bears to the public offering sum of such discount and the purchase price of all securities offered by such registration statement, the Securities set forth in Schedule I hereto and the Company is responsible for the balance; provided, however, that, that (i) in no case shall any Underwriter (except as may be provided in any such case, (Aagreement among underwriters relating to the offering of the Securities) the Seller will not be required to contribute responsible for any amount in excess of the public offering price of all underwriting discount applicable to the Securities purchased by such securities offered by it pursuant to such registration statement; Underwriter hereunder and (Bii) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. For purposes of this Section 8, each person who controls an Underwriter within the meaning of the Securities Act shall have the same rights to contribution as such Underwriter, and each person who controls the Company within the meaning of either the Securities Act or the Exchange Act, each officer of the Company who shall have signed the Registration Statement and each director of the Company shall have the same rights to contribution as the Company, subject in each case to clause (i) of this paragraph (d). Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this paragraph (d), notify such party or parties from whom contribution may be sought, but the omission to so notify such party or parties shall not relieve the party or parties from whom contribution may be sought from any other obligation it or they may have hereunder or otherwise than under this paragraph (d).
Appears in 2 contracts
Samples: Underwriting Agreement (McDonalds Corp), Underwriting Agreement (McDonalds Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c10.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c10.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c10.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 10.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 10.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.610.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Subscription Agreement (Commercial Concepts Inc), Subscription Agreement (Kaleidoscope Media Group Inc)
Indemnification and Contribution. (a) In the event of a any registration of any Registrable Securities under the Securities Act pursuant to this Section 9, 5:
(i) the Company will shall indemnify and hold harmless each Sellerthe holder of such Registrable Securities, each officer of each Seller, each director of each Sellersuch holder’s directors and officers, each underwriter who participated in the offering of such Registrable Securities thereunder and each other personPerson, if any, who controls any such Seller holder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch holder, such director or such officer or underwriter or controlling person Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on (a) any untrue statement or alleged untrue statement of any material fact contained contained, on the effective date thereof, in any registration statement under which such Registrable Securities was securities were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or (b) any alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will shall reimburse the Sellersuch holder or such director, each such officer, underwriter and each such or controlling person Person for any legal or any other expenses reasonably incurred by them such holder or such director, officer, underwriter or controlling Person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that but the Company will shall not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an on (i) any alleged untrue statement or alleged untrue statement omission made in such registration statement, preliminary prospectus, prospectus or omission amendment or alleged omission so made supplement in reliance on and in conformity with written information furnished to the Company by any such Sellerholder, the director, officer, underwriter or any such controlling person in writing Person, as the case may be, specifically for use in such therein or (ii) a failure by the indemnified party to deliver a copy of the registration statement or prospectus.prospectus or an amendment or supplement thereto after the Company has furnished the indemnified party with a sufficient number of copies of the same. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such holder or such director, officer, underwriter or controlling Person, and shall survive the transfer of such securities by such holder;
(bii) In the event of a registration Each holder of any of the Registrable Securities under the Act pursuant Securities, by acceptance thereof, agrees to Section 9, the Seller will indemnify and hold harmless the Company, its directors and officers and each personother Person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, Act against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, any such director or such officer or director any such Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on information in writing provided to the Company by such holder of such Registrable Securities contained, on the effective date thereof, in any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities securities were registered under the Securities Act pursuant to Section 9at the request of such holder, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each thereto; but such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder holder’s indemnification obligations under this subsection 5D(ii) shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds actually received by the Seller holder from the sale of Registrable Securities covered by such the applicable registration statement.;
(ciii) Promptly after receipt by If the indemnification provided for in this Section 5 from the indemnifying party is unavailable to an indemnified party hereunder of notice of the commencement in respect of any actionlosses, claims, damages, liabilities or expenses referred to herein, then the indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party shallas a result of such losses, if a claim claims, damages, liabilities or expenses in respect thereof such proportion as is appropriate to be made against reflect the relative fault of the indemnifying party hereunderand indemnified parties in connection with the actions that resulted in such losses, notify the claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative fault of such indemnifying party and indemnified parties shall be determined by reference to, among other things, whether any action in writing thereofquestion, but the including any untrue or alleged untrue statement of a material fact or omission so or alleged omission to notify the state a material fact, has been made by, or relates to information supplied by, such indemnifying party shall not relieve it from any liability which it may have or indemnified parties, and the parties relative intent, knowledge, access to information and opportunity to correct or prevent such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified action. The amount paid or payable by a party under this Section 9.6(c) if 5 as a result of the losses, claims, damages, liabilities and expenses referred to the extent the indemnifying party is prejudiced by such omission. In case any such action above shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled deemed to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for include any legal or other fees or expenses subsequently reasonably incurred by such indemnified party in connection with the defense thereof other than reasonable costs of any investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded or proceeding. The parties hereto agree that there may it would not be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable if contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially subsection 5D(iii) were determined (by the entry pro rata allocation or by any other method of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial allocation that does not take account of the last right of appeal) that such indemnification may not be enforced equitable considerations referred to in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
(iv) If any action or proceeding (including any governmental investigation or inquiry) shall be brought or asserted against any holder or any Person controlling a holder in respect of which indemnity may be sought from the Company, such holder or controlling Person shall promptly notify the Company in writing, and the Company shall assume the defense thereof, including the employment of counsel satisfactory to a majority of the holders to be indemnified and the payment of all reasonable expenses in relation thereto. All such holders or such controlling Persons shall have the right to employ, at their own expense, one counsel plus additional local counsel in any such action and to participate in the defense thereof; provided that if in the reasonable judgment of such holders or such controlling Persons, a conflict of interest exists and it is therefore advisable for such holders or controlling Persons to be jointly represented by separate counsel, then the Company shall pay the reasonable fees and expenses of one such separate counsel, and local counsel, as appropriate, for all such holders and controlling Persons. The Company shall not be liable for any settlement of any such action or proceeding effected without its written consent, but if settled with its written consent, or if there be a final judgment for the plaintiff in any such action or proceeding, the Company agrees to indemnify and hold harmless each holder and any such controlling Person from and against any loss or liability by reason of such settlement or judgment; and
(v) Indemnification similar to that specified in subsections (i) and (ii) of this Section 5D shall be given by the Company and each holder (with such modifications as shall be appropriate) with respect to any required registration, or other qualification of the Registrable Securities under any Federal or state law or regulation of any governmental authority other than the Securities Act.
Appears in 2 contracts
Samples: Stock Purchase Warrant (Majesco), Stock Purchase Warrant (Majesco)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Securities Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Securities Purchase Agreement (Implant Sciences Corp), Securities Purchase Agreement (Implant Sciences Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9hereto, the Company will and hereby does indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9hereto, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Restricted Stock thereunder severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each other seller of Restricted Stock, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, other seller, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9hereto, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not no misleading, and will reimburse the Company and each such officer or director officer, director, other seller, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, providedPROVIDED, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, PROVIDED FURTHER that the liability of the Seller each seller hereunder shall be limited not apply to the proportion of any amounts paid in settlement without such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementseller's prior written consent.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 10 and shall only relieve relive it from any liability which it may have to such indemnified party under this Section 9.6(c) 10 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 10 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany Holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such Holder, makes a claim for indemnification pursuant to this Section 9.6 10 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 10 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.610; then, and in each such case, the Company and the Seller such Holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such Holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedand the Company is responsible for the remaining portion; PROVIDED, howeverHOWEVER, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) Notwithstanding the foregoing, to the extent that the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement shall control.
(f) The obligations of the Company and Holders under this Section 10 shall survive the completion of any offering of Restricted Stock in a registration statement under Section 4, 5 or 13 of this Agreement, and otherwise.
Appears in 2 contracts
Samples: Stock Purchase Agreement (Biomar International Inc), Registration Rights Agreement (Paracelsian Inc /De/)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or any free writing prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person seller in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; 9 then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so as is appropriate to reflect the relative fault of each of the parties in connection with the statements, omissions, or other actions that resulted in such loss, claim, damage, liability, or expense, as well as to reflect any other relevant equitable considerations. The relative fault of the Seller is responsible only for indemnifying party and of the portion represented indemnified party shall be determined by reference to, among other things, whether the untrue or allegedly untrue statement of a material fact, or the omission or alleged omission of a material fact, relates to information supplied by the percentage that the public offering price of its securities offered indemnifying party or by the registration indemnified party and the parties’ relative intent, knowledge, access to information, and opportunity to correct or prevent such statement bears to the public offering price of all securities offered by such registration statement, or omission; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the net proceeds from the public offering price of all such securities offered Restricted Stock sold by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement, Investor Rights Agreement (Mevion Medical Systems, Inc.)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided, further, that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.5, (Aa) the Seller will not in no case shall any one Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Investor Rights Agreement (Elastic Networks Inc), Investor Rights Agreement (Elastic Networks Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon (ii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the Registration Statement or the offering contemplated thereby; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the (ii) any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, if and will reimburse to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if extent (and only to the extent extent), in the case of both clauses (i) and (ii), that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue the statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each Indemnified Party shall give notice to the Indemnifying Party promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, conditioned or delayed); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and 2.5 except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ’s expense; provided, however, that, that the Indemnifying Party shall pay such expense if the defendants Indemnified Party reasonably concludes that representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in any such action include both proceeding; provided further that in no event shall the indemnified party and Indemnifying Party be required to pay the indemnifying party and expenses of more than one law firm per jurisdiction as counsel for the indemnified party Indemnified Party. The Indemnifying Party also shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to responsible for the indemnifying party or expenses of such defense if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld, conditioned or delayed.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and each Selling Stockholder on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and each Selling Stockholder shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or a Selling Stockholder and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such casethis Section 2.5(d), (Ai) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bii) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5(d), notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5(d). No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed.
(e) The rights and obligations of the Company and the Selling Stockholders under this Section 2.5 shall survive the termination of this Agreement.
Appears in 2 contracts
Samples: Investor Rights Agreement, Investor Rights Agreement (Agios Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement (Voxware Inc), Investor Rights Agreement (Voxware Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon (ii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleadingmisleading (in the case of any preliminary prospectus or final prospectus contained in any Registration Statement under which Registerable Shares were registered under the Securities Act, in the light of the circumstances under which they were made) or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the Registration Statement or the offering contemplated thereby; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages damages, or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereof, to the Registration Statement or arise out of or are based upon the (ii) any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse misleading (in the Company and each such officer case of any preliminary prospectus or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder final prospectus contained in any such case Registration Statement under which Registerable Shares were registered under the Securities Act, in the light of the circumstances under which they were made), if and to the extent (and only to the extent extent) that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue the statement or omission or alleged omission was made solely in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller each such Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by such Selling Stockholder in respect of the Seller from the sale of Registrable Securities covered by Shares sold pursuant to such registration statementregistration.
(c) Promptly Each Indemnified Party shall give notice to the Indemnifying Party promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided that counsel for the Indemnifying Party, if a who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, conditioned or delayed); and provided further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and 2.5 except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ’s expense; provided, however, thatthat the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further, that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party shall also be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld, conditioned or delayed.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable as a result of losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that proportions as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements, omissions or violations which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, thatthis Section 2.5(d), in no case shall any such case, (A) the Seller will not one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statementRegistrable Shares; and (B) provided, however that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5(d), notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5(d). No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed.
(e) The rights and obligations of the Company and the Selling Stockholders under this Section 2.5 shall survive the termination of this Agreement.
Appears in 2 contracts
Samples: Investor Rights Agreement (TransMedics Group, Inc.), Investor Rights Agreement (TransMedics Group, Inc.)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer the seller of each Seller, each director of each Sellersuch Registrable Shares, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch seller, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such seller, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the -------- ------- extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such Sellerseller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each seller of Registrable Shares, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending if any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or omission or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, seller furnished in writing to the Company by or on behalf of such Seller seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, amendment or supplement; provided, -------- however, that the obligations of such Stockholders hereunder shall be limited to ------- an amount equal to the proceeds to each Stockholder of Registrable Shares sold in connection with such registration.
(c) Each party entitled to indemnification under this Section 6 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such claim or any litigation resulting therefrom; provided, that counsel for the Indemnifying -------- Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to -------- ------- give notice as provided herein shall not relieve the Indemnifying Party of its obligations under this Section 6. The Indemnified Party may participate in such defense at such party's expense; provided, however, that the liability Indemnifying Party -------- ------- shall pay such expense if representation of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold Indemnified Party by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received counsel retained by the Seller from Indemnifying Party would be inappropriate due to actual or potential differing interests between the sale of Registrable Securities covered Indemnified Party and any other party represented by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any actioncounsel in such proceeding. No Indemnifying Party, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to be reimbursed by claim or litigation without the indemnifying party as incurredprior written consent of the Indemnifying Party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Shares exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling Stockholder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such Stockholder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion proportions so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Shares offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be -------- ------- required to contribute any amount in excess of the public offering price proceeds to it of all such securities offered Registrable Shares sold by it pursuant to such registration statement; Registration Statement, and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Switchboard Inc), Registration Rights Agreement (Switchboard Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer of each Seller, each director of each SellerInvestor thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act or the Exchange Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Investor, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or “blue sky” laws and will reimburse the Sellereach such Investor, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement Registration Statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and Registration Statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, ; provided that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement Registration Statement or prospectus, ; and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 8(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price Registration Statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such Registration Statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 8 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 8 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, ; provided that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of its counsel that there may be reasonable defenses available to it which that are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.68; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration Registration statement bears to the public offering price of all securities offered by such registration Registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Pershing Gold Corp.), Registration Rights Agreement (Pershing Gold Corp.)
Indemnification and Contribution. (a) In the event Each of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company will and SLC jointly and severally agrees to indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder the Underwriters and each other person, if any, who controls any such Seller or underwriter an Underwriter within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, from and against any and all losses, claims, damages or liabilitiesdamages, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities and expenses (or actions in respect thereof) arise arising out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Registration Statement, any preliminary prospectus the Prospectus, the Disclosure Package, the Road Show Material or final prospectus contained therein, or in any amendment or supplement thereofthereto or any Issuer Information contained in a Free Writing Prospectus permitted under this Agreement, or arise in each case, arising out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person Underwriter for any legal or other expenses reasonably incurred by them such Underwriter in connection with investigating or defending any such loss, claim, damage, liability, or action as such expenses are incurred, except insofar as such losses, claims, damages, liabilities or expenses arise out of or are based upon any untrue statement or omission or alleged untrue statement or omission which has been made therein or omitted therefrom in reliance upon and in conformity with the information relating to an Underwriter furnished in writing to the Company or SLC by or on behalf of such Underwriter through the Representative expressly for use therein, it being understood that the only such information furnished by any Underwriter consists of the information described as such in Section 12 of this Agreement. The foregoing indemnity agreement shall be in addition to any liability which the Company or SLC may otherwise have.
(b) Each of the Company and SLC jointly and severally agrees to indemnify and hold harmless each of the Underwriters and each person, if any, who controls an Underwriter within the meaning of Section 15 of the Act or Section 20 of the Exchange Act, from and against any losses, claims, damages, liabilities and expenses (or actions in respect thereof) arising out of or based upon failure of the Depositor, in its capacity as the depositor of the Company, to maintain its status as an eligible issuer within the meaning of Rule 405 under the Act as of the date hereof or as of the time set forth in Rule 164(h)(2) of the Act or its failure to timely file, pursuant to Rule 433 under the Act, any “issuer free writing prospectus” or Assumed Free Writing Prospectus with the Commission and will reimburse each Underwriter for any legal or other expenses reasonably incurred by such Underwriter in connection with investigating or defending any such loss, claim, damage, liability or action; providedaction as such expenses are incurred.
(c) Each Underwriter, howeverseverally and not jointly, agrees to indemnify and hold harmless the Company and SLC and its respective trustees, directors and officers, and any person who controls the Company or SLC within the meaning of Section 15 of the Act or Section 20 of the Exchange Act, to the same extent as the indemnity from the Company and SLC to the Underwriters set forth in paragraph (a) hereof, but only (i) with respect to information relating to such Underwriter furnished in writing by or on behalf of such Underwriter through the Representative expressly for use in the Registration Statement, the Prospectus, the Disclosure Package, the Road Show Material or any amendment or supplement thereto, it being understood that the Company will not be liable only such information furnished by any Underwriter consists of the information described as such in any such case if Section 12 of this Agreement and to the extent that any such loss, claim, damage or liability arises (ii) arising out of or is based upon an any untrue statement or alleged untrue statement of a material fact contained in any Free Writing Prospectus (as defined in Rule 405 under the Act) not constituting an “issuer free writing prospectus” (as defined in Rule 433(h)(1) under the Act) and used by such indemnifying Underwriter, or arising out of or based upon any omission or alleged omission to state therein a material fact necessary in order to make the statements therein not misleading (except to the extent such untrue statement or omission or alleged untrue statement or omission in such Free Writing Prospectus (x) is based upon or results from errors, mistakes or omissions in information provided by the Company or SLC to the Underwriters or (y) is contained in the Registration Statement, the Disclosure Package, the Road Show Material (except as supplemented or corrected in the Disclosure Package, if such supplemented or corrected Disclosure Package was provided to the Underwriters prior to the time the Underwriter used such Free Writing Prospectus not constituting an “issuer free writing prospectus”) or the Prospectus). The foregoing indemnity agreement shall be in addition to any liability which the Underwriters may otherwise have.
(d) If any action, suit or proceeding shall be brought against any person in respect of which indemnity may be sought pursuant to Section 7(a), 7(b) or 7(c), such person (the “indemnified party”) shall promptly notify the parties against whom indemnification is being sought (the “indemnifying parties”), but the omission so made in conformity with information furnished to notify the indemnifying party will not relieve it from any liability which it may have to any indemnified party except to the extent that the indemnifying party is materially prejudiced by such omission. In case any such Selleraction is brought against any indemnified party and it notifies the indemnifying party of the commencement thereof, the underwriter indemnifying party will be entitled to participate therein and, to the extent that it may wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof, with counsel satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel to the indemnifying party). The applicable Underwriter or any such controlling person shall have the right to employ separate counsel in any such action, suit or proceeding and to participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Underwriter or such controlling person unless (i) the indemnifying parties have agreed in writing specifically to pay such fees and expenses, (ii) the indemnifying parties have failed to assume the defense and employ counsel, or (iii) the named parties to any such action, suit or proceeding (including any impleaded parties) include both the Underwriter or such controlling person and the indemnifying parties and the Underwriter or such controlling person shall have been advised by its counsel that there may be one or more legal defenses available to it which are different from or additional to or in conflict with those available to the indemnifying parties and in the reasonable judgment of such counsel it is advisable for use the Underwriter or such controlling person to employ separate counsel (in which case the indemnifying party shall not have the right to assume the defense of such registration action, suit or proceeding on behalf of the Underwriter or such controlling person). It is understood, however, that the indemnifying parties shall, in connection with any one such action, suit or proceeding or separate but substantially similar or related actions, suits or proceedings in the same jurisdiction arising out of the same general allegations or circumstances, be liable for the reasonable fees and expenses of only one separate firm of attorneys (in addition to any local counsel) at any time for each Underwriter and controlling persons not having actual or potential differing interests with such Underwriter or among themselves, which firm shall be designated in writing by such Underwriter, and that all such fees and expenses shall be reimbursed on a monthly basis as provided in paragraph (a) hereof. An indemnifying party will not, without the prior written consent of the indemnified party, settle or compromise or consent to the entry of any judgment with respect to any pending or threatened claim, action, suit or proceeding in respect of which indemnification or contribution may be sought hereunder (whether or not the indemnified parties are actual or potential parties to such claim or action) unless such settlement, compromise or consent (i) includes an unconditional release of each indemnified party from all liability arising out of such claim, action, suit or proceeding and (ii) does not include a statement as to, or prospectusan admission of fault, culpability or a failure to act by or on behalf of an indemnified party.
(e) If the indemnification provided for in this Section 7 is unavailable or insufficient to hold harmless an indemnified party under paragraphs (a), (b) In the event of a registration or (c) hereof in respect of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out referred to therein, then an indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or are based upon payable by such indemnified party as a result of such losses, claims, damages, liabilities or expenses (i) in such proportion as is appropriate to reflect the relative benefits received by the Company and SLC on the one hand and the applicable Underwriter on the other hand from the offering of the Notes , or (ii) if the allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the relative fault of the Company and SLC on the one hand and the applicable Underwriter on the other in connection with the statements or omissions that resulted in such losses, claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative benefits received by the Company and SLC on the one hand and an Underwriter on the other shall be deemed to be in the same proportion as the total net proceeds from the offering of the Notes (before deducting expenses) received by the Company and SLC bear to the total underwriting discounts and commissions received by such Underwriter. The relative fault of the Company and SLC on the one hand and the Underwriters on the other hand shall be determined by reference to, among other things, whether the untrue statement or alleged untrue statement of any a material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required relates to be stated therein or necessary to make the statements therein not misleading, and will reimburse information supplied by the Company and each SLC on the one hand or by an Underwriter on the other hand and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such officer statement or director omission.
(f) The Company, SLC and the Underwriters agree that it would not be just and equitable if contribution pursuant to this Section 7 were determined by a pro rata allocation (even if the Underwriters were treated as one entity for such purposes) or by any other method of allocation that does not take account of the equitable considerations referred to in paragraph (e) above. The amount paid or payable by an indemnified party as a result of the losses, claims, damages and liabilities (or actions in respect thereof) referred to in paragraph (e) above shall be deemed to include any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in investigating any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from claim or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of defending any such action, with suit or proceeding. Notwithstanding the reasonable expenses and fees provisions of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case7, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering price of all amount by which the total Underwriting discounts and commissions received by such securities offered Underwriter with respect to the Notes underwritten by it pursuant exceed the amount of any damages which such Underwriter has otherwise been required to pay by reason of such registration statement; and (B) no untrue or alleged untrue statement or omission or alleged omission. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. The Underwriters’ obligations in this paragraph (f) to contribute are several in proportion to their respective underwriting obligations and not joint.
(g) Any losses, claims, damages, liabilities or expenses for which an indemnified party is entitled to indemnification or contribution under this Section 7 shall be paid by the indemnifying party to the indemnified party as such losses, claims, damages, liabilities or expenses are incurred. The indemnity and contribution agreements contained in this Section 7 and the representations and warranties of the Company and the Underwriters set forth in this Agreement shall remain operative and in full force and effect, regardless of (i) any investigation made by or on behalf of the Underwriters, the Company, SLC or any person controlling any of them or their respective directors or officers, (ii) acceptance of any Notes and payment therefor hereunder, and (iii) any termination of this Agreement. A successor to the Underwriters, the Company, SLC or any person controlling any of them or their respective directors or officers, shall be entitled to the benefits of the indemnity, contribution and reimbursement agreements contained in this Section 7.
Appears in 2 contracts
Samples: Underwriting Agreement (SLC Student Loan Trust 2008-2), Underwriting Agreement (SLC Student Loan Trust 2007-2)
Indemnification and Contribution. (a) a. In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 92 or Section 3, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 92 or Section 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus. It is agreed that the indemnity agreement contained in this Section 6(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld or delayed).
(b) b. In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 92 or Section 3, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 92 or Section 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited not in any event exceed the proceeds received by such seller from the sale of Restricted Stock covered by such registration statement. It is agreed that the indemnity agreement contained in this Section 6(b) shall not apply to the proportion amounts paid in settlement of any such loss, claim, damage, liability or expense action if such settlement is effected without the consent of seller hereunder (which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but consent shall not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementbe unreasonably withhold or delayed).
(c) c. Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests interest of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) d. In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; 6, then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Axtive Corp), Registration Rights Agreement (Axtive Corp)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or “blue sky” laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement Registration Statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto, the Seller each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and Registration Statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement Registration Statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9hereto or, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter, and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement Registration Statement or prospectus, and providedprovided that, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such Registration Statement. Notwithstanding the foregoing, the indemnity provided in this Section 6(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such Registration Statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price Registration Statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such Registration Statement as so amended or supplemented prior to or concurrently with the sale of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, provided that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of its counsel that there may be reasonable defenses available to it which that are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; Registration Statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12 (f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (FusionTech, Inc.), Registration Rights Agreement (CleanTech Innovations, Inc.)
Indemnification and Contribution. (a) In the event of a any registration of any Registrable Securities of the Registerable Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting there from; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.4 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.4 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.4, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Registration Rights Agreement (Critical Home Care Inc), Registration Rights Agreement (Critical Home Care Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company Transferor will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter and each other person, if any, Person who controls any such Seller or underwriter Underwriter within the meaning of the Securities Act, Act against any losses, claims, damages or liabilities, joint or several, to which the Seller, Underwriters or such underwriter or controlling person any of them may become subject under the Securities Act or otherwisesubject, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under Registration Statement, the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, Prospectus or any amendment or supplement thereofthereto, or any related preliminary prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company each Underwriter and each such officer or director Person who controls any Underwriter within the meaning of the Securities Act for any actual legal or other expenses reasonably incurred by them the Underwriter in connection with investigating or defending any such loss, claim, damage, liability or action, action as such expenses are incurred; provided, however, that the Seller Transferor will not be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement in or omission or alleged omission from any of such documents in reliance upon and in conformity with written information furnished to Transferor by any Underwriter specifically for use therein.
(b) Each Underwriter, severally, agrees to indemnify and hold harmless Transferor against any losses, claims, damages or liabilities to which Transferor may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the Registration Statement, the Prospectus or any amendment or supplement thereto, or any related preliminary prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with written information pertaining furnished to such Seller, as such, furnished in writing to the Company Transferor by such Seller Underwriter specifically for use in such registration statement or prospectustherein, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of will reimburse any actual legal or other expenses reasonably incurred by Transferor in connection with investigating or defending any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under action as such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementexpenses are incurred.
(c) Promptly after receipt by an indemnified party hereunder under this Section of notice of the commencement of any actionaction or the assertion by a third party of a claim, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunderunder subsection (a) or (b) above, notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such any indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if except and to the extent the of any prejudice to such indemnifying party is prejudiced by arising from such omissionfailure to provide such notice. In case any such action shall be is brought against any indemnified party and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall will be entitled to participate in therein and, to the extent that it shall may wish, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, andbe counsel to the indemnifying party), and after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall will not be liable to such indemnified party under this Section 9.6(c) for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the investigation. No indemnifying party and shall, without the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests prior written consent of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, effect any settlement of any pending or threatened action in respect of which any indemnified party is or could have been a party and indemnity could have been sought hereunder by such indemnified party unless such settlement includes an unconditional release of such indemnified party from all liability on any claims that are the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense subject matter of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined unavailable or insufficient to hold harmless an indemnified party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; thenabove, and in then each such case, the Company and the Seller will indemnifying party shall contribute to the aggregate amount paid or payable by such indemnified party as a result of the losses, claims, damages or liabilities referred to which they may be subject in subsection (after contribution from othersa) or (b) above (i) in such proportion so that as is appropriate to reflect the Seller relative benefits received by Transferor on the one hand and the Underwriters on the other from the offering of the Class A Certificates or (ii) if the allocation provided by clause (i) above is responsible not permitted by applicable law, in such proportion as is appropriate to reflect not only for the portion represented relative benefits referred to in clause (i) above but also the relative fault of Transferor on the one hand and the Underwriters on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities as well as any other relevant equitable considerations. The relative benefits received by Transferor on the one hand and the Underwriters on the other shall be deemed to be in the same proportion as the total net proceeds from the offering of the Class A Certificates (before deducting expenses) received by Transferor bear to the total underwriting discounts and commissions received by the percentage that Underwriters. The relative fault shall be determined by reference to, among other things, whether the public offering price untrue or alleged untrue statement of its securities offered a material fact or the omission or alleged omission to state a material fact relates to information supplied by Transferor or the registration Underwriters and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement bears or omission. The amount paid by an indemnified party as a result of the losses, claims, damages or liabilities referred to in the public offering price first sentence of all securities offered this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such registration statementindemnified party in connection with investigating or defending any action or claim which is the subject of this subsection (d). Notwithstanding the provisions of this subsection (d), provided, however, that, in any such case, (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering price of all underwriting discount applicable to the Class A Certificates purchased by such securities offered by it pursuant to such registration statement; and (B) no person or entity Underwriter hereunder. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
(e) The obligations of Transferor under this Section shall be in addition to any liability that Transferor may otherwise have and shall extend, upon the same terms and conditions, to each Person, if any, who controls any Underwriter within the meaning of the Securities Act; and the obligations of any Underwriter under this Section shall be in addition to any liability that such Underwriter may otherwise have and shall extend, upon the same terms and conditions, to each director of Transferor, to each officer of Transferor who signed the Registration Statement and to each Person, if any, who controls Transferor within the meaning of the Securities Act.
Appears in 2 contracts
Samples: Underwriting Agreement (Mellon Bank Premium Finance Master Trust), Underwriting Agreement (Mellon Bank Premium Finance Loan Master Trust)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.4 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.4 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.4, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Securities Purchase Agreement (Essex Corporation), Securities Purchase Agreement (Essex Corporation)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, but only insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus Prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price net proceeds to such Selling Stockholder of the Registrable Securities Shares sold by the Seller under in connection with such registration statement bears to the total public offering price (except in case of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered fraud by such registration statementSelling Stockholder).
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 5 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 5, (Aa) the Seller will not in no case shall any one Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Stockholder from the offering price of all Registrable Shares except in case of fraud by such securities offered by it pursuant to such registration statement; Stockholder and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Placement Agent Registration Rights Agreement (Marc Pharmaceuticals Inc), Placement Agent Registration Rights Agreement (Searchhelp Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the Company Transferor will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter and each other person, if any, Person who controls any such Seller or underwriter Underwriter within the meaning of the Securities Act, Act against any losses, claims, damages or liabilities, joint or several, to which the Seller, Underwriters or such underwriter or controlling person any of them may become subject under the Securities Act or otherwisesubject, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under Registration Statement, the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, Prospectus or any amendment or supplement thereofthereto, or any related preliminary prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company each Underwriter and each such officer or director Person who controls any Underwriter within the meaning of the Securities Act for any actual legal or other expenses reasonably incurred by them the Underwriter in connection with investigating or defending any such loss, claim, damage, liability or action, action as such expenses are incurred; provided, however, that the Seller Transferor will not be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement in or omission or alleged omission from any of such documents in reliance upon and in conformity with written information furnished to Transferor by any Underwriter specifically for use therein.
(b) Each Underwriter, severally, agrees to indemnify and hold harmless Transferor against any losses, claims, damages or liabilities to which Transferor may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the Registration Statement, the Prospectus or any amendment or supplement thereto, or any related preliminary prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with written information pertaining furnished to such Seller, as such, furnished in writing to the Company Transferor by such Seller Underwriter specifically for use in such registration statement or prospectustherein, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of will reimburse any actual legal or other expenses reasonably incurred by Transferor in connection with investigating or defending any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under action as such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementexpenses are incurred.
(c) Promptly after receipt by an indemnified party hereunder under this Section of notice of the commencement of any actionaction or the assertion by a third party of a claim, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunderunder subsection (a) or (b) above, notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such any indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if except and to the extent the of any prejudice to such indemnifying party is prejudiced by arising from such omissionfailure to provide such notice. In case any such action shall be is brought against any indemnified party and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall will be entitled to participate in therein and, to the extent that it shall may wish, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, andbe counsel to the indemnifying party), and after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall will not be liable to such indemnified party under this Section 9.6(c) for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the investigation. No indemnifying party and shall, without the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests prior written consent of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, effect any settlement of any pending or threatened action in respect of which any indemnified party is or could have been a party and indemnity could have been sought hereunder by such indemnified party unless such settlement includes an unconditional release of such indemnified party from all liability on any claims that are the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense subject matter of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined unavailable or insufficient to hold harmless an indemnified party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; thenabove, and in then each such case, the Company and the Seller will indemnifying party shall contribute to the aggregate amount paid or payable by such indemnified party as a result of the losses, claims, damages or liabilities referred to which they may be subject in subsection (after contribution from othersa) or (b) above (i) in such proportion so that as is appropriate to reflect the Seller relative benefits received by Transferor on the one hand and the Underwriters on the other from the offering of the Class B Certificates or (ii) if the allocation provided by clause (i) above is responsible not permitted by applicable law, in such proportion as is appropriate to reflect not only for the portion represented relative benefits referred to in clause (i) above but also the relative fault of Transferor on the one hand and the Underwriters on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities as well as any other relevant equitable considerations. The relative benefits received by Transferor on the one hand and the Underwriters on the other shall be deemed to be in the same proportion as the total net proceeds from the offering of the Class B Certificates (before deducting expenses) received by Transferor bear to the total underwriting discounts and commissions received by the percentage that Underwriters. The relative fault shall be determined by reference to, among other things, whether the public offering price untrue or alleged untrue statement of its securities offered a material fact or the omission or alleged omission to state a material fact relates to information supplied by Transferor or the registration Underwriters and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement bears or omission. The amount paid by an indemnified party as a result of the losses, claims, damages or liabilities referred to in the public offering price first sentence of all securities offered this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such registration statementindemnified party in connection with investigating or defending any action or claim which is the subject of this subsection (d). Notwithstanding the provisions of this subsection (d), provided, however, that, in any such case, (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering price of all underwriting discount applicable to the Class B Certificates purchased by such securities offered by it pursuant to such registration statement; and (B) no person or entity Underwriter hereunder. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
(e) The obligations of Transferor under this Section shall be in addition to any liability that Transferor may otherwise have and shall extend, upon the same terms and conditions, to each Person, if any, who controls any Underwriter within the meaning of the Securities Act; and the obligations of any Underwriter under this Section shall be in addition to any liability that such Underwriter may otherwise have and shall extend, upon the same terms and conditions, to each director of Transferor, to each officer of Transferor who signed the Registration Statement and to each Person, if any, who controls Transferor within the meaning of the Securities Act.
Appears in 2 contracts
Samples: Underwriting Agreement (Mellon Bank Premium Finance Master Trust), Underwriting Agreement (Mellon Premium Finance Loan Owner Trust)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 2, 3 or 4, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Restricted Stock is registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that but the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon (i) an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished in writing by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus, or (ii) any failure by an underwriter, or a person controlling such underwriter, to give a final prospectus to the person claiming an untrue statement or omission, if such statement or omission appeared in or was omitted from a preliminary prospectus and was corrected in the final prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 2, the Seller 3 or 4, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock is registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or arise out of the failure of such holder of Restricted Stock to deliver a prospectus to any purchaser of Restricted Stock from such holder, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case but only if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the or from such holder's failure to deliver a prospectus. The liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) only if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or but if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party. The indemnifying party shall not, in connection with any proceeding or related proceeding, be liable for the fees and expenses of more than one separate firm (plus one firm of local counsel in each jurisdiction in which an action is brought). The indemnified party shall cooperate fully with the indemnifying party in connection with any negotiation or defense of any such action or claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably available to the indemnified party that relates to such action or claim. The indemnifying party shall keep the indemnified party fully apprised at all times as incurredto the status of the defense or any settlement negotiations with respect thereto. If the indemnifying party elects to defend any such action or claim, then the indemnified party shall be entitled to participate in such defense with counsel of its choice at its sole cost and expense. If the indemnifying party does not assume such defense, the indemnified party shall keep the indemnifying party apprised at all times as is reasonably practicable as to the status of the defense; provided, however, that the failure to keep the indemnifying party so informed shall not affect the obligations of the indemnifying party hereunder. No indemnifying party shall be liable for any settlement of any action, claim or proceeding effected without its written consent; provided, however, that the indemnifying party shall not unreasonably withhold, delay or condition its consent. No indemnifying party shall, without the consent of the indemnified party (not to be unreasonably withheld), consent to entry of any judgment or enter into any settlement that does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation or that requires the indemnified party to take any future action (other than the payment of money that the indemnifying party pays under this section) or refrain from taking any future action.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6Section; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, and the Company is responsible for the remaining portion; but in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Securities Purchase Agreement (Medical Technology Systems Inc /De/), Registration Rights Agreement (Medical Technology Systems Inc /De/)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting there from; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.4 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.4 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.4, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Registration Rights Agreement (Critical Home Care Inc), Registration Rights Agreement (Critical Home Care Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or blue sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon (ii) the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the Registration Statement or the offering contemplated thereby; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors, officers, employees and agents and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors, officers, employees and agents, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or blue sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the (ii) any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, if and will reimburse to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if extent (and only to the extent extent) that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue the statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each Indemnified Party shall give notice to the Indemnifying Party promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have permit the Indemnifying Party to such indemnified party under this Section 9.6(c) if and to assume the extent the indemnifying party is prejudiced by such omission. In case defense of any such action shall be brought against claim or any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, litigation resulting therefrom; provided, however, thatthat counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, conditioned or delayed); and, provided, further, that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its obligations under this Section 2.5 except to the extent that the Indemnifying Party is adversely affected by such failure. The Indemnified Party may participate in such defense at such party’s expense; provided, however, that the Indemnifying Party shall pay such expense if the defendants Indemnified Party reasonably concludes that representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in any such action include both proceeding; provided further that in no event shall the indemnified party and Indemnifying Party be required to pay the indemnifying party and expenses of more than one law firm per jurisdiction as counsel for the indemnified party Indemnified Party. The Indemnifying Party also shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to responsible for the indemnifying party or expenses of such defense if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld, conditioned or delayed.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5(d) were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such casethis Section 2.5(d), (Ai) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bii) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5(d), notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5(d). No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed.
(e) The rights and obligations of the Company and the Selling Stockholders under this Section 2.5 shall survive the termination of this Agreement.
Appears in 2 contracts
Samples: Investor Rights Agreement (Tangoe Inc), Investor Rights Agreement (Tangoe Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained or incorporated by reference in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus; provided further, however, that the Company shall not be liable under this Section 9(a) to any indemnified party with respect to any preliminary prospectus to the extent that any such loss, claim, damage, liability or judgment resulted from the fact that such indemnified party, in contravention of a requirement of applicable law, sold Restricted Stock to a person to whom such indemnified party failed to send or give, on or prior to the closing date of such sale, a copy of the final prospectus, as then amended or supplemented, if (i) the Company has previously furnished copies thereof (sufficiently in advance of such closing date to allow for distribution by the closing date) to such indemnified party, and the loss, claim, damage, liability or judgment of such indemnified party resulted from an untrue statement or omission of a material fact contained in or omitted from the preliminary prospectus that was corrected in the final prospectus as, if applicable, amended or supplemented prior to such closing date, and such final prospectus was required by law to be delivered at or prior to the written confirmation of sale to such person and (ii) the giving or sending of such final prospectus by such closing date to the party or parties asserting such loss, claim, damage, liability or judgment would have constituted a defense to the claim asserted by such person.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and 9 to the extent that the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the SellerCompany or any holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller Company or any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the statements or omissions that resulted in such loss, claim, damage or liability as well as any other equitable considerations. The relative fault of the Seller is responsible only for indemnifying party and of the portion represented indemnified party shall be determined by referring to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the percentage that the public offering price of its securities offered indemnifying party or by the registration indemnified party and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement bears to the public offering price of all securities offered by such registration statement, or omission; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public net proceeds from the offering price of all such securities offered Restricted Stock received by it pursuant to such registration statementit; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement, Investor Rights Agreement (Boingo Wireless Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 5 or 6, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, providedPROVIDED, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and providedPROVIDED, furtherFURTHER, howeverHOWEVER, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedand the Company is responsible for the remaining portion; PROVIDED, howeverHOWEVER, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement (Voxware Inc), Investor Rights Agreement (Voxware Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant The Company agrees to Section 9, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Underwriter and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of the Securities Act, Act against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter Underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based in whole or in part
(b) The Selling Shareholder agrees to indemnify and hold harmless each Underwriter and each person, if any, who controls any Underwriter within the meaning of the Securities Act against any losses, claims, damages or liabilities, joint or several, to which such Underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based in whole or in part upon (i) any inaccuracy in the representations and warranties of such Selling Shareholder contained herein, (ii) any failure of such Selling Shareholder to perform his obligations hereunder or under law or (iii) any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Registration Statement, any preliminary prospectus Preliminary Prospectus, the Effective Prospectus or final prospectus contained thereinFinal Prospectus, or any amendment or supplement thereofthereto, or in any Blue Sky Application or arise out of or are based upon the omission or alleged omission to state therein in the Registration Statement, any Preliminary Prospectus, the Effective Prospectus or Final Prospectus or any amendment or supplement thereto or any Blue Sky Application a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter Underwriter and each such controlling person of each Underwriter for any legal or other expenses reasonably incurred by them such Underwriter or such controlling person of each Underwriter in connection with investigating or defending any such loss, claim, damage, liability or actionaction as such expenses are incurred, provided, however, that the Selling -25- Shareholder shall only be liable in his capacity as a Selling Shareholder pursuant to clause (iii) to the extent that any statements in or omissions or alleged omissions to state in the Registration Statement, any Preliminary Prospectus, the Effective Prospectus, the Final Prospectus or any amendment or supplement thereto are based upon written information furnished to the Company by such Selling Shareholder specifically for use therein or to the extent such Selling Shareholder has failed to bring to the attention of the Underwriters anything that has come to the attention of such Selling Shareholder to cause such Selling Shareholder to believe that there is any untrue statement relating to the Company of any material fact contained in the Registration Statement, the Preliminary Prospectus, the Effective Prospectus, the Final Prospectus, or any amendment or supplement thereto, or any omission to state therein a material fact relating to the Company required to be stated therein or necessary to make the statements therein not misleading; provided, however, that the Company will Selling Shareholder shall not be liable in any such case if and pursuant to clause (iii) to the extent that any such loss, claim, damage damage, or liability arises out of or is based upon an (a) any untrue statement or alleged untrue statement or omission or alleged omission so made in the Registration Statement, the Preliminary Prospectus, the Effective Prospectus or Final Prospectus or such amendment or such supplement in reliance upon and in conformity with written information furnished to the Company by any such Seller, the underwriter or any such controlling person in writing Underwriter specifically for use therein (it being understood that the only information so provided is the information included in the last paragraph on the cover page, the paragraph relating to stabilization practices on the inside front cover and the first five paragraphs and the last paragraph under the caption "Underwriting" in any Preliminary Prospectus and the Final Prospectus and the Effective Prospectus), (b) the fourth sentence under the heading "Legal Matters" or (c) the failure of the Underwriters to deliver the Final Prospectus after the effective date, as required under Section 4(3) of the Securities Act and Rule 174 thereunder (provided, that if such registration statement failure to deliver was the result of the failure of the Company to timely supply sufficient quantities of the Final Prospectus to the Underwriters upon the Underwriter's reasonable request, then the Company shall indemnify the Underwriters and other persons set forth in this Section 8(b) with respect to any associated losses, claims, damages or prospectusliabilities pursuant to Section 8(a) above).
(bc) In Notwithstanding Section 8(b) above, in no event shall the event liability of a registration the Selling Shareholder under Section 8(b) exceed the net proceeds received by such Selling Shareholder from the Underwriters with respect to the sale of the Selling Shareholder Shares.
(d) Neither the Company nor the Selling Shareholder will, without prior written consent of the Representatives, settle or compromise or consent to the entry of any judgment in any pending or threatened claim, action, suit or proceeding (or related cause of the Registrable Securities under the Act pursuant action or portion thereof) in respect of which indemnification may be sought hereunder (whether or not such Representative is a party to Section 9such claim, the Seller action, suit or proceeding) unless such settlement, compromise or consent includes an unconditional release of such Representative from all liability arising out of such claim, action, suit or proceeding (or related cause of action or portion thereof).
(e) Each Underwriter will indemnify and hold harmless the Company, each of its directors, each of its officers who signed the Registration Statement, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of Act and the Company who signs the registration statement and each director of the Company, Selling Shareholder against all any losses, claims, damages or liabilities, joint or several, liabilities to which the Company or any such director, officer or director controlling person or the Selling Shareholder may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9Registration Statement, any preliminary prospectus Preliminary Prospectus, the Effective Prospectus or final prospectus contained thereinFinal Prospectus, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or the alleged omission to state therein in the Registration Statement, any Preliminary Prospectus, the Effective Prospectus or Final Prospectus or any amendment or supplement thereto a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse in each case to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such lossextent, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and but only to the extent extent, that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with written information pertaining to such Seller, as such, furnished in writing to the Company by such Seller any Underwriter specifically for use in such registration statement or prospectus, and provided, further, however, therein (it being understood that the liability of only information so provided is the Seller hereunder shall be limited information included in the last paragraph on the cover page, the paragraph relating to stabilization practices on the proportion of any such loss, claim, damage, liability or expense which is equal to inside front cover and the proportion that first five paragraphs and the public offering price of last paragraph under the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not caption "Underwriting" in any event to exceed Preliminary Prospectus and in the net proceeds received by Effective Prospectus and the Seller from the sale of Registrable Securities covered by such registration statement.Final Prospectus);
(cf) Promptly after receipt by an indemnified party hereunder under this Section 8 of notice of the commencement of any action, including governmental proceedings, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunderunder this Section 8, notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such any indemnified party other otherwise than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission8. In case any such action shall be is brought against any indemnified party and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall will be entitled to participate in andtherein, and to the extent that it shall may wish, to assume and undertake the defense thereof jointly with any other counsel satisfactory to such indemnified party, and, ; and after notice from the indemnifying party to such indemnified party of its election to so to assume and undertake the defense thereof, the indemnifying party shall will not be liable to such indemnified party under this Section 9.6(c) 8 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selectedinvestigation, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and except that the indemnified party shall have reasonably concluded that there may be the right to employ separate counsel if, in its reasonable defenses available to judgment, it which are different from or additional to those available to the indemnifying party or if the interests of is advisable for the indemnified party reasonably may and any other similarly situated indemnified party to be deemed to conflict with represented by separate counsel, and in that event the interests fees and expenses of separate counsel shall be paid by the indemnifying party. However, in no event, shall the indemnifying parties be liable for fees and expenses of more than one counsel (in addition to local counsel, if any) separate from their own counsel for all indemnified parties shall have in connection with any action or separate, but similar or related, actions arising out of the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurredsame general allegations or circumstances.
(dg) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person indemnity agreement provided for in the preceding part of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it 8 is judicially determined (by for any reason held to be unavailable to the entry of a final judgment or decree by a court of competent jurisdiction and Underwriters, the expiration of time to appeal Company or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseSelling Shareholder or is insufficient to hold harmless an indemnified party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, then the Company and the Seller will Selling Shareholder shall contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented paid by the percentage that Underwriters, and the public offering price of its securities offered Underwriters shall contribute to the damages paid by the registration statement bears to Company and the public offering price of all securities offered by such registration statement, Selling Shareholder; provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. In determining the amount of contribution to which the respective parties are entitled, there shall be considered the relative benefits received by each party from the offering of the Shares (taking into account the portion of the proceeds of the offering realized by each), the parties' relative knowledge and access to information concerning the matter with respect to which the claim was asserted, the opportunity to correct and prevent any statement or omission, and any other equitable considerations appropriate under the circumstances. The Company and the Selling Shareholder and the Underwriters agree that it would not be equitable if the amount of such contribution were determined by pro rata or per capita allocation (even if the Underwriters were treated as one entity for such purpose). No Underwriter or person controlling such Underwriter shall be obligated to make contribution hereunder which in the aggregate exceeds the underwriting discount applicable to the Shares purchased by such Underwriter under this Agreement, less the aggregate amount of any damages which such Underwriter and its controlling persons have otherwise been required to pay in respect of the same or any similar claim. The Underwriters' obligations to contribute hereunder are several in proportion to their respective underwriting obligations and not joint. For purposes of this Section, each person, if any, who controls an Underwriter within the meaning of Section 15 of the Securities Act shall have the same rights to contribution as such Underwriter, and each director of the Company, each officer of the Company who signed the Registration Statement, and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act, and the Selling Shareholder shall have the same rights to contribution as the Company.
(h) The obligations of the Company and the Selling Shareholder under this Section 8 shall be in addition to any liability which the Company and the Selling Shareholder may otherwise have and shall extend, upon the same terms and conditions, to each person, if any, who controls any Underwriter within the meaning of the Securities Act; and the obligations of the Underwriters under this Section 8 shall be in addition to any liability which the respective Underwriters may otherwise have and shall extend, upon the same terms and conditions, to each officer and director of the Company and to each person, if any, who controls the Company within the meaning of the Securities Act and to the Selling Shareholder.
Appears in 2 contracts
Samples: Underwriting Agreement (Intercept Group Inc), Underwriting Agreement (Intercept Group Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act are included pursuant to a registration statement under this Section 97:
(i) To the extent permitted by law, the Company will indemnify and hold harmless each SellerHolder, each officer of each Seller, each director of each Seller, each any underwriter of such Registrable (as defined in the Securities thereunder Act) and each other person, person if any, who controls any such Seller Holder or underwriter within the meaning of the Securities Act or the Securities Exchange Act of 1934, as amended (the "Exchange Act, ") against any losses, claims, damages or liabilities, liabilities (joint or several, ) to which the Seller, they or such underwriter or controlling person any of them may become subject under the Securities Act, the Exchange Act or otherwiseany other federal or state law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any of the following statements, omissions or violations (collectively a "Violation"): (A) any untrue statement or alleged untrue statement of any a material fact contained in any such registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9statement, including any preliminary prospectus or (but only if such is not corrected in the final prospectus prospectus) contained therein, therein or any amendment amendments or supplement thereofsupplements thereto, or arise out of or are based upon (B) the omission or alleged omission to state therein a material fact required to be stated therein therein, or necessary to make the statements therein not misleadingmisleading (but only if such is not corrected in the final prospectus), or (C) any violation or alleged violation by the Company in connection with the registration of Registrable Securities under the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law; and the Company will reimburse the Seller, pay to each such Holder, underwriter and each such or controlling person for person, as incurred, any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the indemnity agreement contained in this Section 7(j)(i) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company will (which consent shall not be unreasonably withheld), nor shall the Company be liable in any such case if and to the extent that for any such loss, claim, damage damage, liability or liability action to the extent that it arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made a violation which occurs in reliance upon and in conformity with written information furnished expressly for use in connection with such registration by any such SellerHolder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusperson.
(bii) In To the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9extent permitted by law, the Seller each selling Holder will indemnify and hold harmless the Company, and each of its directors, each of its officers who has signed the registration statement, each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the any underwriter, any other Holder selling securities in such registration statement and each director any controlling person of the Companyany such underwriter or other Holder, against all any losses, claims, damages or liabilities, liabilities (joint or several, ) to which any of the Company or such officer or director foregoing persons may become subject subject, under the Securities Act, the Exchange Act or otherwiseother federal or state law, insofar as such losses, claims, damages or liabilities (or actions in respect thereofthereto) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained Violation, in each case to the registration statement under which extent (and only to the extent) that such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based Violation occurs in reliance upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company in conformity with written information furnished by such Holder expressly for use in connection with such registration; and each such officer or director for Holder will pay, as incurred, any legal or other expenses reasonably incurred by them any person intended to be indemnified pursuant to this Section 7(j)(ii), in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that the Seller will be liable hereunder indemnity agreement contained in any such case if and only this Section 7(j)(ii) shall not apply to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made amounts paid in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion settlement of any such loss, claim, damage, liability or expense which action if such settlement is equal to effected without the proportion that the public offering price consent of the Registrable Securities sold by the Seller Holder, which consent shall not be unreasonably withheld; provided that in no event shall any indemnity under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to this Section 7(j)(ii) exceed the net proceeds from the offering received by the Seller from the sale of Registrable Securities covered by such registration statementHolder.
(ciii) Promptly after receipt by an indemnified party hereunder under this Section 7(j) of notice of the commencement of any action (including any governmental action), such indemnified party shallwill, if a claim in respect thereof is to be made against any indemnifying party under this Section 7(j), deliver to the indemnifying party hereunder, notify a written notice of the commencement thereof and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that an indemnified party shall have the right to retain its own counsel, with the fees and expenses to be paid by the indemnifying party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between such indemnified party and any other party represented by such counsel in writing thereofsuch proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action, if prejudicial to its ability to defend such action, shall relieve such indemnifying party of any liability to the indemnified party under this Section 7(j), but the omission so to notify deliver written notice to the indemnifying party shall will not relieve it from of any liability which that it may have to such any indemnified party other otherwise than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred7(j).
(div) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (ithe indemnification provided for in Section 7(j)(i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under is applicable but for any reason is held to be unavailable from the Securities Act may be required on the part of the Seller Company with respect to all Holders or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such caseany Holder, the Company and the Seller will Holder or Holders, as the case may be, shall contribute to the aggregate losses, claims, damages and liabilities (including any investigation, legal and other expenses incurred in connection with, and any amount paid in settlement of, any action, suit or liabilities proceeding or any claims asserted) to which they the Company and one or more of the Holders may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented by Company on the percentage that one hand, and the public offering price of its securities offered by Holder or Holders on the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, thatother, in any connection with statements or omissions which resulted in such caselosses, (A) claims, damages or liabilities. Notwithstanding the Seller will not foregoing, no Holder shall be required to contribute any amount in excess of the public offering price of all net proceeds received by such securities offered Holder from the Registrable Securities as the case may be, sold by it such Holder pursuant to such the registration statement; and (B) no . No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Each person, if any, who controls a Holder within the meaning of the Securities Act shall have the same rights to contribution as such Holder.
(v) The obligations of the Company and Holders under this Section 7(j) shall survive the completion of any offering of Registrable Securities in a registration statement under this Section 7 or otherwise.
Appears in 2 contracts
Samples: Warrant Agreement (National Media Corp), Warrant Agreement (National Media Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9, the The Company will shall indemnify and hold harmless each SellerUnderwriter, each officer of each Sellerits affiliates, each director of each Sellertheir respective officers, each underwriter of such Registrable Securities thereunder directors, employees, agents and each other person, if any, who controls any such Seller or underwriter Underwriter within the meaning of Section 15 of the Securities Act, Act against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person Underwriter may become subject subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any an untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Registration Statement, any preliminary prospectus Preliminary Prospectus, the Time of Sale Prospectus or final prospectus contained thereinthe Prospectus, or any amendment or supplement thereto, or any Issuer Free Writing Prospectus or any “issuer information” filed or required to be filed pursuant to Rule 433(d) under the Securities Act Regulations, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading and will reimburse each Underwriter for any legal or other expenses reasonably incurred by such Underwriter in connection with investigating or defending against any such loss, claim, damage, liability or action as such expenses are incurred; provided, however, that the Company shall not be liable in any such case to the extent that any such loss, claim, damage, action or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in the Registration Statement, any Preliminary Prospectus, the Time of Sale Prospectus or the Prospectus, or any amendment or supplement thereto, or any Issuer Free Writing Prospectus, in reliance upon and in conformity with written information furnished to the Company by an Underwriter expressly for inclusion therein, which information consists solely of the information set forth in the letter referred to in Section 7(e).
(b) Each Underwriter, severally and not jointly, shall indemnify and hold harmless the Company, its affiliates, their respective officers, directors, employees, agents and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act against any losses, claims, damages or liabilities to which the Company may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in the Registration Statement, any Preliminary Prospectus, the Time of Sale Prospectus or the Prospectus, or any amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse in each case to the Sellerextent, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverbut only to the extent, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so was made in conformity with information furnished by the Registration Statement, any such SellerPreliminary Prospectus, the underwriter Time of Sale Prospectus or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained thereinProspectus, or any amendment or supplement thereofthereto, or arise out in reliance upon and in conformity with written information furnished to the Company by such Underwriter expressly for inclusion therein, which information consists solely of or are based upon the omission or alleged omission information set forth in the letter referred to state therein a material fact required to be stated therein or necessary to make the statements therein not misleadingin Section 7(e), and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them the Company in connection with investigating or defending against any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any action as such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementexpenses are incurred.
(c) Promptly after receipt by an indemnified party hereunder under this Section 7 of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunderunder subsection (a) or (b) above, notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such any indemnified party other otherwise than under this Section 9.6(csubsection (a) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(cor (b) if and to the extent the indemnifying party is prejudiced by such omissionabove. In case any such action shall be is brought against any indemnified party and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in therein and, to the extent that it shall may wish, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof thereof, with counsel satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel to the indemnifying party), and, except as provided in the following sentence, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall will not be liable to such indemnified party under this Section 9.6(c) 7 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation investigation. After notice from the indemnifying party to the indemnified party of the indemnifying party’s election to assume the defense of such action, the indemnified party shall have the right to employ its own counsel in any such action, but the fees and expenses of liaison with such counsel so selectedshall be at the expense of such indemnified party unless (i) the indemnifying party and the indemnified party shall have mutually agreed to the retention of such counsel, provided, however, that, (ii) if the defendants named parties in any such action include both the indemnified indemnifying party and the indemnifying indemnified party and the indemnified party shall have reasonably concluded that there is an actual or potential conflict between the positions of the indemnifying party and the indemnified party in conducting the defense of any such action or that there may be reasonable legal defenses available to it which or other indemnified parties that are different from or additional to those available to the indemnifying party or if (iii) the interests indemnifying party shall not have employed counsel to assume the defense of such action within a reasonable time after notice of commencement thereof, in each of which cases the fees and expenses of such counsel shall be at the expense of the indemnifying party (it being understood, however, that the indemnifying party shall not be liable for the fees and expenses of more than one separate counsel in addition to any counsel). No indemnifying party shall, without the prior written consent of the indemnified party, effect any settlement or compromise of, or consent to the entry of any judgment with respect to, any pending or threatened action or claim in respect of which indemnification or contribution may be sought hereunder (whether or not the indemnified party is an actual or potential party to such action or claim) unless such settlement, compromise or judgment (1) includes an unconditional release of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense from all liability arising out of such actionaction or claim and (2) does not include a statement as to or an admission of fault, with the reasonable expenses and fees culpability or failure to act by or on behalf of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurredany indemnified party.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it 7 is judicially determined unavailable to or insufficient to hold harmless an indemnified party under subsection (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeala) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (iib) contribution under the Securities Act may be required on the part above in respect of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate any losses, claims, damages or liabilities (or actions in respect thereof) referred to which they may be subject therein, then each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages or liabilities (after contribution from othersor actions in respect thereof) in such proportion so that as is appropriate to reflect the Seller is responsible only for the portion represented relative benefits received by the percentage that Company and the public Underwriters, respectively, from the offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedSecurities. If, however, thatthe allocation provided by the immediately preceding sentence is not permitted by applicable law, then each indemnifying party shall contribute to such amount paid or payable by such indemnified party in such proportion as is appropriate to reflect not only the relative benefits but also the relative fault of the Company and the Underwriters, respectively, in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities (or actions in respect thereof), as well as any other relevant equitable considerations. The relative benefits received by the Company and the Underwriters, respectively, shall be deemed to be in the same proportion as the total net proceeds from the offering (net of underwriting discounts and commissions but before deducting expenses) received by the Company, bear to the total underwriting discounts and commissions received by the Underwriters, in each case as set forth in the table on the cover page of the Prospectus. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company or the Underwriters and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement or omission. The Company and the Underwriters agree that it would not be just and equitable if contributions pursuant to this subsection (d) were determined by pro rata allocation or by any other method of allocation which does not take account of the equitable considerations referred to above in this subsection (d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages or liabilities (or actions in respect thereof) referred to above in this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any such caseaction or claim based upon any such untrue or alleged untrue statement or omission or alleged omission. Notwithstanding the provisions of this subsection (d), (A) the Seller will not no Underwriter shall be required to contribute any amount in excess of the public offering price amount by which the underwriting discounts and commissions applicable to the Securities purchased by such Underwriter exceeds the amount of all any damages that such securities offered Underwriter has otherwise been required to pay by it pursuant to reason of any such registration statement; and (B) no untrue or alleged untrue statement or omission or alleged omission. No person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) Prior to the First Delivery Date, the Underwriters shall deliver a letter to the Company identifying the statements furnished by them in writing expressly for inclusion in the Registration Statement, any Preliminary Prospectus, the Time of Sale Prospectus and the Prospectus, or any Issuer Free Writing Prospectus. The Company hereby acknowledges that the only information that the Underwriters have furnished to the Company expressly for inclusion the Registration Statement, any Preliminary Prospectus, the Time of Sale Prospectus and the Prospectus, or any Issuer Free Writing Prospectus are the statements to be contained in such letter.
Appears in 2 contracts
Samples: Underwriting Agreement (Kodiak Oil & Gas Corp), Underwriting Agreement (Kodiak Oil & Gas Corp)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting therefrom; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.5, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Securities Purchase Agreement (Essex Corporation), Investor Rights Agreement (Microstrategy Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each SellerRegistrable Stock thereunder, each underwriter of such Registrable Securities Stock thereunder and each other person, if any, who controls any or is alleged to control such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Stock were registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or arises out of or are based upon any violation or alleged violation of any federal, state or other law, rule or regulation relating to any action or inaction in connection therewith, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in to any such case indemnitee if and to the extent that any such loss, claim, damage or liability arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information with respect to such indemnitee furnished by any such Seller, the underwriter or any such controlling person indemnitee in writing specifically for use in such registration statement or prospectus. The indemnities of the Company contained in this Section 6 shall remain in full force and effect regardless of any investigation made by or on behalf of such indemnified person and shall survive any transfer of Registrable Stock.
(b) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Seller each seller of such Registrable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Stock was registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Stock covered by such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other expenses and damages paid by such seller in connection with the registration in question). Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Company or any such director, officer, underwriter or controlling person and shall survive any transfer of Registrable Stock.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement unless such judgment or settlement includes as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation, includes only money damages (as opposed to equitable relief) and does not include any statement as to the fault or culpability of such indemnified party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the aggregate public offering price of its securities Registrable Stock offered by the registration statement bears to the aggregate public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price net proceeds received by it from the sale of all such securities Registrable Stock offered by it pursuant to such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other damages and expenses paid by such seller in connection with the registration in question); and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Investor Rights Agreement (Bain Capital Venture Integral Investors, LLC), Investor Rights Agreement (Edgar Online Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to an amount equal to the proportion net proceeds to such Selling Stockholder of Registrable Shares sold in connection with such registration.
(i) Each party entitled to indemnification under this Section 2.5 (the “Indemnified Party”) shall give notice to the party required to provide indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such lossclaim or any litigation resulting therefrom; provided that counsel for the Indemnifying Party, claimwho shall conduct the defense of such claim or litigation, damageshall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, liability or expense which is equal provided further that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of such Indemnifying Party’s obligations under this Section 2.5 except to the proportion extent that the public offering price Indemnifying Party is adversely affected by such failure. The Indemnified Party may participate in such defense at such party’s expense; provided, however, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the Indemnifying Party does not elect to assume such defense. No Indemnifying Party, in the defense of any such claim or litigation shall, except with the consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such claim or litigation, and no Indemnified Party shall consent to entry of any judgment or settle such claim or litigation without the prior written consent of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunderIndemnifying Party, but which consent shall not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementbe unreasonably withheld.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.5 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.5, were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.5, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section 2.5, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section 2.5. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without such party’s prior written consent, which consent shall not be unreasonably withheld.
(d) Unless otherwise expressly agreed to in writing by a holder of Registrable Shares, or otherwise required by applicable law or the rules of any national exchange on which the Company’s Common Stock is listed, the only information furnished or to be furnished to the Company for use in any registration statement or prospectus relating to the Registrable Shares or in any amendment, supplement or preliminary materials associated therewith are statements specifically relating to (i) the beneficial ownership of shares of Common Stock by such holder and its Affiliates, (ii) the name and address of such holder and (iii) any additional information about such holder or the plan of distribution required by law or regulation to be disclosed in any such document.
Appears in 2 contracts
Samples: Stockholders Agreement, Stockholders Agreement (Intercept Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities 1933 Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or the Seller's failure to comply with prospectus delivery requirements, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c10.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c10.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c10.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide . The indemnifying party shall not be liable for just and equitable contribution amounts paid in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (settlement by the entry of a final judgment or decree by a court of competent jurisdiction and indemnified party unless the expiration of time indemnifying party has consented to appeal or the denial of the last right of appeal) that such indemnification may settlement, which consent shall not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentationunreasonably withheld.
Appears in 2 contracts
Samples: Subscription Agreement (Endovasc LTD Inc), Subscription Agreement (Advanced Aerodynamics & Structures Inc/)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Apropos Technology Inc), Registration Rights Agreement (Apropos Technology Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, thereof or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.or
Appears in 2 contracts
Samples: Series a Convertible Preferred Stock Purchase Agreement, Series a Convertible Preferred Stock Purchase Agreement (Seachange International Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9Act, the Company will indemnify and hold harmless each Seller, holder of Registrable Securities included in such registration and each officer of each Seller, each director of each Sellerits directors and officers, each underwriter of such Registrable Securities thereunder and each of its directors and officers, and each other personperson and each of its directors and officers, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act or the Securities Exchange Act of 1934, as amended from time to time (the "Exchange Act"), or otherwise, against any losses, claims, damages or liabilitiesliabilities (or actions in respect thereof), joint or several, to which such seller, underwriter or controlling person (or their respective directors and officers) may become subject under the Securities Act, the Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (and each of its directors and officers or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities were registered under the Securities Act, any preliminary prospectus or final prospectus contained in the registration statement, or any amendment or supplement to such registration statement, or arise out of or are based upon the omission or alleged omission to state a material fact required to be stated therein or necessary to make the statements therein not misleading; and the Company will reimburse such seller, underwriter and each such controlling person (and their respective directors and officers) for any legal or any other expenses reasonably incurred by such seller, underwriter or controlling person (and their respective directors and officers) in connection with investigating or defending any such loss, claim, damage, liability or action; provided that the Company will not have any liability (and shall not be required to provide such indemnity and hold harmless obligation) to the extent that any such loss, claim, damage or liability arises out of or is based upon any untrue statement or omission made in such registration statement, preliminary prospectus or prospectus, or any such amendment or supplement, in reliance upon and in conformity with written information furnished to the Company through an instrument duly executed by or on behalf of such holder of Registrable Securities or underwriter specifically for use in preparation thereof.
(b) In the event of any registration of any of the Registrable Securities under the Securities Act, each holder of Registrable Securities included in such registration, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each of its directors and officers and each person and each of its directors and officers, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, against losses, claims, damages or liabilities (or actions in respect thereof), joint or several, to which the SellerCompany, or such directors and officers, underwriter or controlling person (or their respective directors and officers) may become subject under the Securities Act, Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in any registration statement under which such Registrable Securities was were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the registration statement, or any amendment or supplement thereofto the registration statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by or on behalf of such Seller holder, specifically for use in connection with the preparation of such registration statement statement, prospectus, amendment or prospectussupplement; provided the liability of each holder of Registrable Securities pursuant to this Section 8.5(b) shall be limited to the proceeds actually received by such holder from the disposition of the Registrable Securities disposed of by such holder pursuant to such registration.
(c) Each party entitled to indemnification under this Section 8.5 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such claim or any litigation resulting therefrom, provided that counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld, delayed or conditioned), and the Indemnified Party may participate in such defense at such party's expense, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion failure of any such loss, claim, damage, liability or expense which is equal Indemnified Party to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of give notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if 8.5 (except and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party rights of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after Indemnifying Party are materially prejudiced thereby). After notice from the indemnifying party Indemnifying Party to such indemnified party the Indemnified Party of its election so to assume and undertake the defense thereofof such claim or litigation, the indemnifying party shall Indemnifying Party will not be liable to such indemnified party under this Section 9.6(c) Indemnified Party for any legal or other expenses subsequently incurred by such indemnified party Indemnified Party in connection with the defense thereof other than reasonable costs of investigation so long as and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if extent the interests of Indemnifying Party continues to defend the indemnified party reasonably may be deemed to conflict with Indemnified Party, unless the interests of the indemnifying partyIndemnifying Party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of such separate counsel and other expenses related each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such participation Indemnified Party of a release from all liability in respect to be reimbursed by the indemnifying party as incurredsuch claim or litigation.
(d) In order To the extent the Company after the date hereof shall agree to provide for just and equitable contribution in any written agreement entered into with the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person stockholders of the SellerCompany if the indemnification obligations are otherwise unavailable, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, then the Company and the Seller will contribute shall provide such similar rights to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) Warrantholders in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentationtheir shares.
Appears in 2 contracts
Samples: Warrant Agreement (Florida Power & Light Co), Warrant Agreement (Florida Power & Light Co)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, providedPROVIDED, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and providedPROVIDED, furtherFURTHER, howeverHOWEVER, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedand the Company is responsible for the remaining portion; PROVIDED, howeverHOWEVER, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Concord Communications Inc), Registration Rights Agreement (Versatility Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable of the Registerable Securities under the Securities Act pursuant to Section 92 above, the Company will indemnify and hold harmless each SellerPurchasers, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter a Purchaser within the meaning of the Securities Act, against any losses, claims, damages damages, liabilities or liabilitiesexpenses, joint or several, to which the Seller, Purchasers or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages damages, liabilities or liabilities (expenses, or actions in respect thereof) , arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Registerable Securities was registered under the Securities Act pursuant to Section 92 above, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleadingmisleading or any violation by the Company of the Securities Act or any rule or regulation promulgated thereunder, and will reimburse the SellerPurchasers, each such underwriter and each such controlling person person, for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability liability, action or actionexpense; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage damage, liability or liability expense arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information information, pertaining to Purchasers, as such, furnished by any such Seller, the underwriter or any such controlling person in writing by Purchasers specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Registerable Securities under the Securities Act pursuant to Section 92 above, the Seller will each Purchaser shall indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (liabilities, or actions in respect thereof) , arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Registerable Securities were was registered under the Securities Act pursuant to Section 92 above, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will a Purchaser shall be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such SellerPurchaser, as such, furnished in writing to the Company by such Seller Purchaser specifically for use in such registration statement or prospectus, ; and provided, provided further, however, that the liability of the Seller such Purchaser hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Registerable Securities sold by the Seller such Purchaser under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such Purchaser from the sale of Registrable Registerable Securities covered by such registration statement.
(c) Promptly after receipt by an a party indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, party and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses expense subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ; provided, however, that, that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation shall, except with the consent of the indemnified party, consent to the entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by claimant or plaintiff to such indemnified party as a release from all liability in respect of such claim or litigation.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellera Purchaser, exercising its rights under this Agreement, or any controlling person of the Sellersuch Purchaser, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (determined, by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) , that such indemnification may not be enforced in such case notwithstanding case, the fact that this Section 9.6 6 provides for indemnification in such casecase notwithstanding, or (ii) contribution under the Securities Act may be required on the part of the Seller a Purchaser or any controlling person of the Seller with respect to such Purchaser in circumstances for which indemnification is provided under this Section 9.6; then6, then and in each such case, the Company and the Seller such Purchaser will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (subject, after contribution from others) , in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented indemnifying party, on the one hand, and the indemnified party on the other in connection with the statements or omissions which resulted in such losss, claim, damage or liability, as well as any other equitable considerations. Relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or omission to state a material fact relates to the information supplied by the percentage that indemnifying party or the public offering price of its securities offered by indemnified party and the registration parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement bears to the public offering price of all securities offered by such registration statement, or omission; provided, however, that, that in any such case, (Ax) the Seller such Purchaser will not be required to contribute any amount in excess of the public offering price of all such securities Registerable Securities offered by it pursuant to such registration statement; and (By) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) , will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Milestone Scientific Inc/Nj), Registration Rights Agreement (Milestone Scientific Inc/Nj)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer of each Seller, each director of each Seller, each underwriter of Investor selling such Registrable Securities thereunder thereunder, and each other person, if any, who controls any such Seller or underwriter Investor within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter Investor or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to Section 9state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or blue sky laws and will reimburse each such Investor and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon the Company's reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Investor or any such controlling person (whether or not the Investor or controlling person asserting the claims for indemnification) in writing specifically for use in the registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant hereto, each Investor selling Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer, director or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or officer, director and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such Investor will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller Investor specifically for use in such the registration statement or prospectus, and provided, further, however, that the liability of the Seller each Investor hereunder shall be limited to the proportion proceeds received by such Investor from the sale of Registrable Securities covered by the registration statement. Notwithstanding the foregoing, the indemnity provided in this Section 4(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal to effected without the proportion that the public offering price consent of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementindemnified party.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the an indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 4 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 4 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 4 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advice of his counsel that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party party, or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurredif and to the extent that it is determined that the indemnified party is entitled to indemnification hereunder.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany Investor selling Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such Investor, makes a claim for indemnification pursuant to this Section 9.6 but 4, and it is agreed by the indemnifying party or it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such Investor or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.64; then, and in each such case, the Company and the Seller such Investor will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller each such Investor is responsible only for the portion represented by the percentage that the aggregate public offering price of its securities Registrable Securities offered by the registration statement bears to the aggregate public offering price of all securities offered by such the registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, case (A) the Seller no such Investor will not be required to contribute any amount in excess of the aggregate public offering price of all such securities Registrable Securities offered by it pursuant to such the registration statement; , and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (Power Efficiency Corp), Registration Rights Agreement (NPC Holdings Inc)
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each SellerSelling Stockholder, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller Selling Stockholder or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Selling Stockholder, or such underwriter or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and the Company will reimburse the Sellersuch Selling Stockholder, each such underwriter and each such controlling person for any legal or any other expenses reasonably incurred by them such Selling Stockholder, underwriter or controlling person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus or alleged omission so made prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Company, in writing, by any or on behalf of such SellerSelling Stockholder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.the preparation thereof
(b) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller each Selling Stockholder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors and officers and each underwriter (if any) and each person, if any, who controls the Company or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, such directors and officers, underwriter or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Selling Stockholder furnished in writing to the Company by or on behalf of such Seller Selling Stockholder specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, and amendment or supplement; provided, further, however, that the liability obligations of the Seller a Selling Stockholder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale to such Selling Stockholder of Registrable Securities covered by Shares sold in connection with such registration statementregistration.
(c) Promptly Each party entitled to indemnification under this Section (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after receipt by an indemnified party hereunder of notice of the commencement such Indemnified Party has actual knowledge of any actionclaim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such indemnified party shallclaim or any litigation resulting there from; provided, if a that counsel for the Indemnifying Party, who shall conduct the defense of such claim in respect thereof is or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party give notice as provided herein shall not relieve it from any liability which it may have to such indemnified party other than the Indemnifying Party of its obligations under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and except to the extent that the indemnifying party Indemnifying Party is prejudiced adversely affected by such omissionfailure. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to The Indemnified Party may participate in and, to the extent it shall wish, to assume and undertake the such defense thereof with counsel satisfactory to at such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, 's expense; provided, however, that, that the Indemnifying Party shall pay such expense if representation of such Indemnified Party by the counsel retained by the Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such counsel in such proceeding; provided further that in no event shall the Indemnifying Party be required to pay the expenses of more than one law firm per jurisdiction as counsel for the Indemnified Party. The Indemnifying Party also shall be responsible for the expenses of such defense if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and Indemnifying Party does not elect to assume such legal defenses and otherwise to participate defense. No Indemnifying Party, in the defense of any such actionclaim or litigation shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigation, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation to claim or litigation without the prior written consent of the Indemnifying Party, which consent shall not be reimbursed by the indemnifying party as incurredunreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case circumstances in which either (i) the Seller, or any controlling person of the Seller, makes a claim indemnification provided for indemnification pursuant to in this Section 9.6 2.4 is due in accordance with its terms but it for any reason is judicially determined (by held to be unavailable to an Indemnified Party in respect to any losses, claims, damages and liabilities referred to herein, then the entry Indemnifying Party shall, in lieu of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that indemnifying such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such caseIndemnified Party, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities to which they such party may be subject (after contribution from others) in such proportion so that as is appropriate to reflect the Seller is responsible only for relative fault of the portion represented Company on the one hand and the Selling Stockholders on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company and the Selling Stockholders shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of material fact related to information supplied by the percentage Company or the Selling Stockholders and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The Company and the Selling Stockholders agree that it would not be just and equitable if contribution pursuant to this Section 2.4 were determined by pro rata allocation or by any other method of allocation which does not take account of the public offering price equitable considerations referred to above. Notwithstanding the provisions of its securities offered by the registration statement bears to the public offering price this paragraph of all securities offered by such registration statement, provided, however, that, in any such caseSection 2.4, (Aa) the Seller will not in no case shall any one Selling Stockholder be required to contribute liable or responsible for any amount in excess of the public net proceeds received by such Selling Stockholder from the offering price of all such securities offered by it pursuant to such registration statement; Registrable Shares and (Bb) the Company shall be liable and responsible for any amount in excess of such proceeds; provided, however, that no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 2 contracts
Samples: Registration Rights Agreement (Critical Home Care Inc), Registration Rights Agreement (Critical Home Care Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Registrable Securities thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 2 contracts
Samples: Registration Rights Agreement (China Power Technology, Inc.), Registration Rights Agreement (China Power Technology, Inc.)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 910, the Company will indemnify and hold harmless each the Seller, each officer of each the Seller, each director of each the Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 910, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 910, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net gross proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c10.4(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c10.4(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c10.4(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 10.4 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 10.4 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.610.4; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Indemnification and Contribution. (a) In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Company AccuFacts will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Seller, each underwriter of such Registrable Securities thereunder Shares, and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, Act or the Exchange Act against any losses, claims, damages damages, or liabilities, joint or several, to which the Seller, or such underwriter underwriter, or controlling person may become subject under the Securities Act Act, the Exchange Act, state securities or Blue Sky laws, or otherwise, insofar as such losses, claims, damages damages, or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement Registration Statement under which such Registrable Securities was Shares were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus prospectus, or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto such Registration Statement, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, ; and AccuFacts will reimburse the Seller, each such underwriter underwriter, and each such controlling person for any legal or other its reasonable costs and expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability liability, or action; provided, however, that the Company AccuFacts will not be liable in any such case if and (i) to the extent that any such loss, claim, damage damage, or liability arises out of or is based upon an untrue statement or alleged any untrue statement or omission made in such Registration Statement, preliminary prospectus, or alleged omission so made final prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to AccuFacts, in writing, by any such or on behalf of Seller, the underwriter such underwriter, or any such controlling person in writing specifically for use in the preparation thereof and (ii) to the extent that any such registration loss, claim, damage, or liability does not arise out of or is not based upon any untrue statement or prospectus.
(b) omission made in such Registration Statement, if any Indemnified Person failed to give or send a prospectus at or prior to written confirmation of sale. In the event of a any registration of any of the Registrable Securities Shares under the Securities Act pursuant to Section 9this Agreement, the Seller will indemnify and hold harmless the CompanyAccuFacts, its directors and officers and each underwriter (if any) and each person, if any, who controls the Company AccuFacts or any such underwriter within the meaning of the Securities Act or the Exchange Act, each officer of the Company who signs the registration statement and each director of the Company, against all any losses, claims, damages damages, or liabilities, joint or several, to which the Company AccuFacts, such directors and officers, underwriter, or such officer or director controlling person may become subject under the Securities Act Act, Exchange Act, state securities or Blue Sky laws, or otherwise, insofar as to the extent and only to the extent that such losses, claims, damages damages, or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any a material fact contained in the registration statement any Registration Statement under which such Registrable Securities Shares were registered under the Securities Act pursuant to Section 9Act, any preliminary prospectus or final prospectus contained thereinin the Registration Statement, or any amendment or supplement thereofto the Registration Statement, or arise out of or are based upon the any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse if the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with information pertaining relating to such Seller, as such, Seller furnished in writing to the Company AccuFacts by such or on behalf of Seller specifically for use in connection with the preparation of such registration statement or Registration Statement, prospectus, amendment, or supplement. Each party entitled to indemnification under this Section 4.5 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such claim or any litigation resulting therefrom; provided, that counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld); and, provided, further, that the failure of any Indemnified Party to give notice as provided herein, which failure is not prejudicial to the defense of such claim or litigation, shall not relieve the Indemnifying Party of its obligations under this Section 4.5. The Indemnified Party may participate in such defense at such party's expense; provided, however, that the liability Indemnifying Party shall pay the fees and expenses of the Seller hereunder shall be limited no more than one counsel to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold Indemnified Party approved by the Seller under Indemnifying Party if representation of such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received Indemnified Party by the Seller from counsel retained by the sale of Registrable Securities covered Indemnifying Party would be inappropriate due to actual or potential differing interests between the Indemnified Party and any other party represented by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any actioncounsel in such proceeding. No Indemnifying Party, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of any such actionclaim or litigation, shall, except with the reasonable expenses and fees consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement that does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect of such separate counsel claim or litigations, and other expenses related no Indemnified Party shall consent to entry of any judgment or settle such participation claim or litigation without the prior consent of the Indemnifying Party, which consent shall be deemed to be reimbursed by given if not denied within five (5) days of the indemnifying party as incurred.
(d) Indemnified Party's submission of a request for such consent. Any such notice shall refer specifically to this Section 4.5 of this Agreement. In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Seller, Seller or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 4.5 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 4.5 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.64.5; then, and in each such case, the Company AccuFacts and the Seller will contribute to the aggregate losses, claims, damages damages, or liabilities to which they may be subject (after contribution from others) in such proportion proportions so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Shares offered by the registration statement Registration Statement bears to the public offering price of all securities offered by such registration statementRegistration Statement, and AccuFacts is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (misrepresentation, within the meaning of Section 10(f11(f) of the Securities Act) will , shall be entitled to contribution from any person or entity who was is not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Shareholder Rights and Registration Rights Agreement (Accufacts Pre Employment Screening Inc)
Indemnification and Contribution. (a) In the event of a any registration of any Registrable Securities under the Securities Act pursuant to this Section 9, 5:
(i) the Company will shall indemnify and hold harmless each Sellerthe holder of such Registrable Securities, each officer of each Seller, each director of each Sellersuch holder’s directors and officers, each underwriter who participated in the offering of such Registrable Securities thereunder and each other personPerson, if any, who controls any such Seller holder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch holder, such director or such officer or underwriter or controlling person Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on (3) any untrue statement or alleged untrue statement of any material fact contained contained, on the effective date thereof, in any registration statement under which such Registrable Securities was securities were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or (4) any alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will shall reimburse the Sellersuch holder or such director, each such officer, underwriter and each such or controlling person Person for any legal or any other expenses reasonably incurred by them such holder or such director, officer, underwriter or controlling Person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that but the Company will shall not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an on (i) any alleged untrue statement or alleged untrue statement omission made in such registration statement, preliminary prospectus, prospectus or omission amendment or alleged omission so made supplement in reliance on and in conformity with written information furnished to the Company by any such Sellerholder, the director, officer, underwriter or any such controlling person in writing Person, as the case may be, specifically for use in such therein or (ii) a failure by the indemnified party to deliver a copy of the registration statement or prospectus.prospectus or an amendment or supplement thereto after the Company has furnished the indemnified party with a sufficient number of copies of the same. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such holder or such director, officer, underwriter or controlling Person, and shall survive the transfer of such securities by such holder;
(bii) In the event of a registration Each holder of any of the Registrable Securities under the Act pursuant Securities, by acceptance thereof, agrees to Section 9, the Seller will indemnify and hold harmless the Company, its directors and officers and each personother Person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, Act against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, any such director or such officer or director any such Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on information in writing provided to the Company by such holder of such Registrable Securities contained, on the effective date thereof, in any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities securities were registered under the Securities Act pursuant to Section 9at the request of such holder, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each thereto; but such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder holder’s indemnification obligations under this subsection 5D(ii) shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds actually received by the Seller holder from the sale of Registrable Securities covered by such the applicable registration statement.;
(ciii) Promptly after receipt by If the indemnification provided for in this Section 5 from the indemnifying party is unavailable to an indemnified party hereunder of notice of the commencement in respect of any actionlosses, claims, damages, liabilities or expenses referred to herein, then the indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party shallas a result of such losses, if a claim claims, damages, liabilities or expenses in respect thereof such proportion as is appropriate to be made against reflect the relative fault of the indemnifying party hereunderand indemnified parties in connection with the actions that resulted in such losses, notify the claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative fault of such indemnifying party and indemnified parties shall be determined by reference to, among other things, whether any action in writing thereofquestion, but the including any untrue or alleged untrue statement of a material fact or omission so or alleged omission to notify the state a material fact, has been made by, or relates to information supplied by, such indemnifying party shall not relieve it from any liability which it may have or indemnified parties, and the parties relative intent, knowledge, access to information and opportunity to correct or prevent such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified action. The amount paid or payable by a party under this Section 9.6(c) if 5 as a result of the losses, claims, damages, liabilities and expenses referred to the extent the indemnifying party is prejudiced by such omission. In case any such action above shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled deemed to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for include any legal or other fees or expenses subsequently reasonably incurred by such indemnified party in connection with the defense thereof other than reasonable costs of any investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded or proceeding. The parties hereto agree that there may it would not be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable if contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially subsection 5D(iii) were determined (by the entry pro rata allocation or by any other method of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial allocation that does not take account of the last right of appeal) that such indemnification may not be enforced equitable considerations referred to in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
(iv) If any action or proceeding (including any governmental investigation or inquiry) shall be brought or asserted against any holder or any Person controlling a holder in respect of which indemnity may be sought from the Company, such holder or controlling Person shall promptly notify the Company in writing, and the Company shall assume the defense thereof, including the employment of counsel satisfactory to a majority of the holders to be indemnified and the payment of all reasonable expenses in relation thereto. All such holders or such controlling Persons shall have the right to employ, at their own expense, one counsel plus additional local counsel in any such action and to participate in the defense thereof; provided, if in the reasonable judgment of such holders or such controlling Persons, a conflict of interest exists and it is therefore advisable for such holders or controlling Persons to be jointly represented by separate counsel, then the Company shall pay the reasonable fees and expenses of one such separate counsel, and local counsel, as appropriate, for all such holders and controlling Persons. The Company shall not be liable for any settlement of any such action or proceeding effected without its written consent, but if settled with its written consent, or if there be a final judgment for the plaintiff in any such action or proceeding, the Company agrees to indemnify and hold harmless each holder and any such controlling Person from and against any loss or liability by reason of such settlement or judgment; and
(v) Indemnification similar to that specified in subsections (i) and (ii) of this Section 5D shall be given by the Company and each holder (with such modifications as shall be appropriate) with respect to any required registration, or other qualification of the Registrable Securities under any Federal or state law or regulation of any governmental authority other than the Securities Act.
Appears in 1 contract
Samples: Stock Purchase Warrant (Cover All Technologies Inc)
Indemnification and Contribution. (a) 7.1 In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 2, 3 or 4, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) 7.2 In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 2, the Seller 3 or 4, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) 7.3 Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 7 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 7 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 7 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) 7.4 In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 7 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 7 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.67; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Revolving Credit Loan and Security Agreement (Freedom Financial Group Inc)
Indemnification and Contribution. (a) In To the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9fullest extent permitted by law, the Company will indemnify and hold harmless each SellerHolder and any underwriter (as defined in the Securities Act of 1993, each officer of each Selleras amended (the “Securities Act”) acting for Holder, each director of each Seller, each underwriter of such Registrable Securities thereunder and each other person, if any, any person who controls any such Seller Holder or such underwriter within the meaning of the Securities Act, against from and against, and will reimburse Holder and each such underwriter and controlling person with respect to, any and all claims, actions, demands, losses, claimsdamages, damages or liabilities, joint or several, costs and expenses to which the Seller, Holder or any such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such claims, actions, demands, losses, claimsdamages, damages liabilities, costs or liabilities (or actions in respect thereof) expenses arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Registration Statement, any preliminary prospectus or final prospectus contained therein, therein or any amendment or supplement thereofthereto in which shares of the Holder are included, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, misleading or arise out of any violation by the Company of any rule or regulation under the Securities Act applicable to the Company and will reimburse relating to action or inaction required of the Seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them Company in connection with investigating or defending any such loss, claim, damage, liability or actionregistration; provided, however, that the Company will not be liable in any such case if and to the extent that any such claim, action, demand, loss, claimdamage, damage liability, cost or liability arises out of or expense is based upon caused by an untrue statement or alleged untrue statement or omission or alleged omission so made in reliance upon and in strict conformity with information furnished by any Holder, such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectusthe preparation thereof.
(b) In the event If shares of Holder are included in a registration of any of the Registrable Securities under the Act pursuant to Section 9registration, the Seller Holder will indemnify and hold harmless the CompanyCompany from and against, and each person, if any, who controls will reimburse the Company within the meaning of the Securities Actwith respect to, each officer of the Company who signs the registration statement any and each director of the Company, against all losses, claimsdamages, damages or liabilities, joint costs or several, expenses to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claimsdamages, damages liabilities, costs or liabilities (or actions in respect thereof) arise out of or expenses are based upon caused by any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, therein or any amendment or supplement thereofthereto, or arise out of or are based upon caused by the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein therein, in light of the circumstances in which they are made, not misleading, and will reimburse in each case to the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such lossextent, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and but only to the extent extent, that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission was so made in reliance upon and in strict conformity with written information pertaining to such Seller, as such, furnished in writing to the Company by such Seller a duly authorized representative I of Holder specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementpreparation thereof.
(c) Promptly after receipt by a party to be indemnified pursuant to the provisions of paragraph (a) or (b) (an indemnified party hereunder party) of notice of the commencement of any actionaction involving the subject matter of the foregoing indemnity provisions, such indemnified party shallwill, if a claim in respect thereof is to be made against the indemnifying party hereunderpursuant to the provisions of paragraph (a) or (b), notify the indemnifying party in writing of the commencement thereof, ; but the omission so to notify the indemnifying party shall will not relieve it from any liability which it may have to such an indemnified party other otherwise than under the provisions of this Section 9.6(c) paragraph and shall only not relieve it the indemnifying party from any liability which it may have to under the provisions of this paragraph unless such indemnified party under this Section 9.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be is brought against any indemnified party and it shall notify notifies the indemnifying party of the commencement thereof, the indemnifying party shall be entitled have the right to participate in in, and, to the extent that it shall may wish, jointly with any other indemnifying party similarly notified, to assume and undertake the defense thereof thereof, with counsel reasonably satisfactory to such indemnified party, and, and after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall will not be liable to such indemnified party under this Section 9.6(cpursuant to the provisions of such paragraphs (a) and (b) for any legal expenses or other expense subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the investigation. No indemnifying party shall be liable to an indemnified party and for any settlement of any action or claim without the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests consent of the indemnifying party, ; no indemnifying party may unreasonably withhold its consent to any such settlement. No indemnifying party will consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the indemnified parties shall have giving by the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related claimant or plaintiff to such participation to be reimbursed by the indemnifying indemnified party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced release from all liability in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant respect to such registration statement; and (B) no person claim or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentationlitigation.
Appears in 1 contract
Samples: Warrant Agreement (Edgar Online Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 5, 6 or 7, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 5, 6 or 7, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or an alleged untrue statement or omission or alleged omission so made in conformity with information furnished by such 10 seller, any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 5, the Seller 6 or 7, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 5, 6 or 7, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any 11 liability which it may have to such indemnified party other than under this Section 9.6(c) 10 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 10 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 10 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Selleror any such holder, makes a claim for indemnification pursuant to this Section 9.6 10 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 10 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.610; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not 12 be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f12(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (Anthra Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, providedPROVIDED, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and providedPROVIDED, furtherFURTHER, howeverHOWEVER, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) as is appropriate to reflect the relative fault of the Company and such holder in connection with the statements or omissions which resulted in such proportion so losses, claims, damages or liabilities, as well as the relative benefit received by the Company and such holder as a result of the offering in question, it being understood that the Seller is responsible only for the portion represented by the percentage parties acknowledge that the public offering price overriding equitable consideration to be given effect in connection with this provision is the ability of its securities offered one party or the other to correct the statement or omission which resulted in such losses, claims, damages or liabilities, and that it would not be just and equitable if contribution pursuant hereto were to be determined by pro rata allocation or by any other method of allocation which does not take into consideration the registration statement bears to the public offering price of all securities offered by such registration statementforegoing equitable considerations; PROVIDED, provided, howeverHOWEVER, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (Ensys Environmental Products Inc /De/)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2, 3 or 4, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Registrable Stock thereunder, each underwriter of such Registrable Securities Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3 or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2, the Seller 3 or 4, each seller of such Registrable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Stock was registered under the Securities Act pursuant to Section 9Sections 2, 3, or 4, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, ; provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and ; provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 7 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 7 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 7 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, ; provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in defense of any such action, shall, except with the consent of each indemnified party, consent to the entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving, by the claimant or plaintiff, to such indemnified party of a release from all liability in respect to such action.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 7 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 7 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.67; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 92 (Piggy Back Registration), the Company will indemnify and hold harmless each Seller, each officer the Holder of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller Holder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch Holder, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 92 (Piggy Back Registration), any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellersuch Holder, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such SellerHolder, the such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 92 (Piggy Back Registration), the Seller Holder of such Restricted Stock will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 92 (Piggy Back Registration), any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such Holder will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such SellerHolder, as such, furnished in writing to the Company by or on behalf of such Seller Holder specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller Holder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such Holder from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c5 (Indemnification and Contribution) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c5 (Indemnification and Contribution) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c5 (Indemnification and Contribution) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide If the indemnification provided for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it 5 (Indemnification and Contribution) is judicially determined (by the entry of a final judgment or decree held by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute unavailable to the aggregate an indemnified party with respect to any losses, claims, damages or liabilities referred to which they may be subject (after contribution from others) herein, the indemnifying party, in lieu of indemnifying such indemnified party thereunder, shall to the extent permitted by applicable law contribute to the amount paid or payable by such indemnified party as a result of such loss, claim, damage or liability in such proportion so as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the actions that resulted in such loss, claim, damage or liability, as well as any other relevant equitable considerations. The relative fault of the Seller is responsible only for indemnifying party and of the portion represented indemnified party shall be determined by a court of law by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the percentage that the public offering price of its securities offered indemnifying party or by the registration indemnified party and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement bears to the public offering price of all securities offered by such registration statement, or omission; provided, however, thatthat in no event shall any contribution by a Holder hereunder exceed the gross proceeds from the offering received by such Holder.
(e) The obligations of the Company and Holder under this Section 5 (Indemnification and Contribution) shall survive completion of any offering of Restricted Stock in a registration statement and the termination of this Agreement. No indemnifying party, in the defense of any such caseclaim or litigation, (A) shall, except with the Seller will consent of each indemnified party, consent to entry of any judgment or enter into any settlement which does not be required to contribute any amount in excess of include as an unconditional term thereof the public offering price of all such securities offered giving by it pursuant the claimant or plaintiff to such registration statement; and (B) no person indemnified party of a release from all liability in respect to such claim or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentationlitigation.
Appears in 1 contract
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.to
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4 or 5, the Seller each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4 or 5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 8 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.notice
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.68; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (New Era of Networks Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus preliminary, free writing or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller thereunder, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus preliminary, free writing or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case only if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred; provided further, that in no event shall the indemnifying party be required to pay the expenses of more than one law firm as counsel for the indemnified party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; 9, then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, : (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action, suit or proceeding against such party in respect of which a claim for contribution may be made against another party or parties under this Section, notify such party or parties from whom contribution may be sought, but the omission so to notify such party or parties from whom contribution may be sought shall not relieve such party from any other obligation it or they may have thereunder or otherwise under this Section. No party shall be liable for contribution with respect to any action, suit, proceeding or claim settled without its prior written consent, which consent shall not be unreasonably withheld.
Appears in 1 contract
Samples: Stockholder Rights Agreement (Elixir Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities under the Securities Act pursuant to Section 9Article 3, the Company Borrower will indemnify and hold harmless each SellerHolder, each officer of each SellerHolder, each director of each SellerHolder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller Holder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the SellerHolder, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9Article 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the SellerHolder, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company Borrower will not be liable in any such case if and to the extent that any such loss, ; claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such SellerHolder, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9Article 3, the Seller Holder will indemnify and hold harmless the CompanyBorrower, and each person, if any, who controls the Company Borrower within the meaning of the Securities Act, each officer of the Company Borrower who signs the registration statement and each director of the CompanyBorrower, against all losses, claims, damages or liabilities, joint or several, to which the Company Borrower or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9Article 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company Borrower and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller Holder will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such SellerHolder, as such, furnished in writing to the Company Borrower by such Seller Holder specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller Holder hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller Holder under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c3.6(c) and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c3.6(c) if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c3.6(c) for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of joint liability under the Act in any case in which either (i) the SellerHolder, or any controlling person of the SellerHolder, makes a claim for indemnification pursuant to this Section 9.6 3.6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 3.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller Holder or controlling person of the Seller Holder in circumstances for which indemnification is provided under this Section 9.63.6; then, and in each such case, the Company Borrower and the Seller Holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller Holder is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Accounts Receivable Purchase Agreement (Vertex Interactive Inc)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Restricted Stock were registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; , provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(ba) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities Restricted Stock were registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, providedPROVIDED, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and providedPROVIDED, furtherFURTHER, howeverHOWEVER, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(cb) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the indemnified party is advised by counsel that the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. The indemnifying party shall not, however, in connection with any action or related action in the same jurisdiction be liable for the fees and expenses of more than one separate law firm at any one time for all such indemnified parties. No indemnifying party shall be liable for any settlement of any proceeding effected without its written consent, which consent shall not be unreasonably withheld, but if settled with such consent, the indemnifying party agrees to indemnify the indemnified party from and against any loss or liability by reason of such settlement.
(dc) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedand the Company is responsible for the remaining portion; PROVIDED, howeverHOWEVER, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11 (f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (Fountain Pharmaceuticals Inc)
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each SellerRegistrable Stock thereunder, each underwriter of such Registrable Securities thereunder Stock thereunder, the managers, members, partners, officers, directors, agents, advisors and employees of each of them (collectively, the “Representatives”) and each other person, if any, who controls any or is alleged to control such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, settlement amounts paid, fines, costs (including, without limitation, attorneys’ fees) (individually a “Loss” and collectively, the “Losses”), joint or several, to which the Sellersuch seller, or such underwriter or underwriter, controlling person or their respective Representatives may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities Losses (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was Stock were registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or arises out of or are based upon any violation or alleged violation of any federal, state or other law, rule or regulation relating to any action or inaction in connection therewith, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability Loss or action; , provided, however, that the Company will not be liable in to any such case indemnitee if and to the extent that any such loss, claim, damage or liability Loss arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information with respect to such indemnitee furnished by any such Seller, the underwriter or any such controlling person indemnitee in writing specifically for use in such registration statement or prospectus. The indemnification and contribution obligations of the Company contained in this Section 6 shall remain in full force and effect regardless of any investigation made by or on behalf of such indemnified person and shall survive any transfer of Registrable Stock.
(b) In the event of a registration of any of the Registrable Securities Stock under the Securities Act pursuant to Section 9Sections 2 or 3, the Seller each seller of such Registrable Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilitiesLosses, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities Losses (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Stock was registered under the Securities Act pursuant to Section 9Sections 2 or 3, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or actionLoss, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability Loss arises solely out of or is based solely upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense Loss which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Stock covered by such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other expenses and damages paid by such seller in connection with the registration in question). Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Company or any such director, officer, underwriter or controlling person and shall survive any transfer of Registrable Stock.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 6 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 6 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 6 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement unless such judgment or settlement includes as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation, includes only money damages (as opposed to equitable relief) and does not include any statement as to the fault or culpability of such indemnified party.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 6 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.66; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the aggregate public offering price of its securities Registrable Stock offered by the registration statement bears to the aggregate public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price net proceeds received by it from the sale of all such securities Registrable Stock offered by it pursuant to such registration statementstatement (after deduction of all underwriters’ discounts and commissions and all other damages and expenses paid by such seller in connection with the registration in question); and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (Xplore Technologies Corp)
Indemnification and Contribution. (a) In the event of a any registration -------------------------------- of any Registrable Securities under the Securities Act pursuant to this Section 9, 5,
(i) the Company will shall indemnify and hold harmless each Sellerthe holder of such Registrable Securities, each officer of each Seller, each director of each Sellersuch holder's directors and officers, each underwriter who participated in the offering of such Registrable Securities thereunder and each other personPerson, if any, who controls any such Seller holder or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch holder, such director or such officer or underwriter or controlling person Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on any untrue statement or alleged untrue statement of any material fact contained contained, on the effective date thereof, in any registration statement under which such Registrable Securities was securities were registered under the Act pursuant to Section 9Securities Act, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or any alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will shall reimburse the Sellersuch holder or such director, each such officer, underwriter and each such or controlling person Person for any legal or any other expenses reasonably incurred by them such holder or such director, officer, underwriter or controlling Person in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that but the Company will shall not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an on (i) any alleged untrue statement or alleged untrue statement omission made in such registration statement, preliminary prospectus, prospectus or omission amendment or alleged omission so made supplement in reliance on and in conformity with written information furnished to the Company by any such Sellerholder, the director, officer, underwriter or any such controlling person in writing Person, as the case may be, specifically for use in such therein or (ii) a failure by the indemnified party to deliver a copy of the registration statement or prospectusprospectus or an amendment or supplement thereto after the Company has furnished the indemnified party with a sufficient number of copies of the same. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such holder or such director, officer, underwriter or controlling Person, and shall survive the transfer of such securities by such holder.
(bii) In the event of a registration Each holder of any of the Registrable Securities under the Act pursuant Securities, by acceptance thereof, agrees to Section 9, the Seller will indemnify and hold harmless the Company, its directors and officers and each personother Person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, Act against all any losses, claims, damages or liabilities, joint or several, to which the Company Company, any such director or such officer or director any such Person may become subject under the Securities Act or otherwiseany other statute or at common law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon on information in writing provided to the Company by such holder of such Registrable Securities contained, on the effective date thereof, in any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities securities were registered under the Securities Act pursuant to Section 9at the request of such holder, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each thereto; but such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Seller, as such, furnished in writing to the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder holder's indemnification obligations under this subsection 5E(ii) shall be limited to the proportion of any such loss, claim, damage, liability or expense which is an amount equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds actually received by the Seller holder from the sale of Registrable Securities covered by such the applicable registration statement.
(ciii) Promptly after receipt by If the indemnification provided for in this Section 5 from the indemnifying party is unavailable to an indemnified party hereunder of notice of the commencement in respect of any actionlosses, claims, damages, liabilities or expenses referred to herein, then the indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party shallas a result of such losses, if a claim claims, damages, liabilities or expenses in respect thereof such proportion as is appropriate to be made against reflect the relative fault of the indemnifying party hereunderand indemnified parties in connection with the actions that resulted in such losses, notify the claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative fault of such indemnifying party and indemnified parties shall be determined by reference to, among other things, whether any action in writing thereofquestion, but the including any untrue or alleged untrue statement of a material fact or omission so or alleged omission to notify the state a material fact, has been made by, or relates to information supplied by, such indemnifying party shall not relieve it from any liability which it may have or indemnified parties, and the parties relative intent, knowledge, access to information and opportunity to correct or prevent such indemnified party other than under this Section 9.6(c) and shall only relieve it from any liability which it may have to such indemnified action. The amount paid or payable by a party under this Section 9.6(c) if 5 as a result of the losses, claims, damages, liabilities and expenses referred to the extent the indemnifying party is prejudiced by such omission. In case any such action above shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled deemed to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) for include any legal or other fees or expenses subsequently reasonably incurred by such indemnified party in connection with the defense thereof other than reasonable costs of any investigation and of liaison with counsel so selected, provided, however, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded or proceeding. The parties hereto agree that there may it would not be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties shall have the right to select one separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable if contribution in the event of joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, makes a claim for indemnification pursuant to this Section 9.6 but it is judicially subsection 5E(iii) were determined (by the entry pro rata allocation or by any other method of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial allocation that does not take account of the last right of appeal) that such indemnification may not be enforced equitable considerations referred to in such case notwithstanding the fact that this Section 9.6 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.6; then, and in each such case, the Company and the Seller will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, provided, however, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will shall be entitled to contribution from any person or entity Person who was not guilty of such fraudulent misrepresentation.
(iv) If any action or proceeding (including any governmental investigation or inquiry) shall be brought or asserted against any holder or any Person controlling a holder in respect of which indemnity may be sought from the Company, such holder or controlling Person shall promptly notify the Company in writing, and the Company shall assume the defense thereof, including the employment of counsel satisfactory to a majority of the holders to be indemnified and the payment of all reasonable expenses in relation thereto. All such holders or such controlling Persons shall have the right to employ one counsel plus additional local counsel, if reasonably required, in any such action and to participate in the defense thereof unless, in the reasonable judgment of such holders or such controlling Persons, a conflict of interest exists and it is therefore advisable for such holders or controlling Persons to be jointly represented by separate counsel, and in that event the Company shall pay the reasonable fees and expenses of such separate counsel. The Company shall not be liable for any settlement of any such action or proceeding effected without its written consent, but if settled with its written consent, or if there be a final judgment for the plaintiff in any such action or proceeding, the Company agrees to indemnify and hold harmless each holder and any such controlling Person from and against any loss or liability by reason of such settlement or judgment.
(v) Indemnification similar to that specified in subsections (i) and (ii) of this Section 5E shall be given by the Company and each holder (with such modifications as shall be appropriate) with respect to any required registration, or other qualification of the Registrable Securities under any Federal or state law or regulation of any governmental authority other than the Securities Act.
Appears in 1 contract
Indemnification and Contribution. (a) In connection with the event of a registration of any Registrable Securities the Shares under the Securities Act pursuant to Section 96 or Section 7, the Company will indemnify and hold harmless each Seller, each officer of each Seller, each director of each Sellerthe Stockholder, each underwriter of such Registrable Securities Shares thereunder and each other person, if any, who controls any such Seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which such Stockholder, underwriter or controlling person may become subject under the SellerSecurities Act, Exchange Act, state securities laws or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) any untrue statement or alleged untrue statement of material fact contained in the registration statement under which such Shares were registered under the Securities Act pursuant to Section 6 or Section 7, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereto, (ii) the omission or alleged omission of a material fact required to be stated therein or necessary to make the statements therein not misleading or (iii) any violation by the Company or its agents of any rule or regulation promulgated under the Securities Act, Exchange Act or state securities laws applicable to the Company or its agents and relating to action or inaction required of the Company in connection with such registration, and the Company will reimburse the Stockholder, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, PROVIDED, HOWEVER, that the Company will not be liable in any such case if any to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made based upon information furnished by the Stockholder, any such underwriter or any such controlling person.
(b) In connection with the registration of the Shares under the Securities Act pursuant to Section 6 or Section 7, the Stockholder will indemnify and hold harmless the Company, each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs such registration statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer, director, underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i) the failure of the Stockholder to comply with the provisions of Section 14 herein or (ii) any untrue statement or alleged untrue statement of any material fact contained in any the registration statement under which such Registrable Securities was registered under the Act pursuant to Section 9statement, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereofthereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Seller, each such underwriter 7 -7- Company and each such officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Seller, the underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Act pursuant to Section 9, the Seller will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and each director of the Company, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer or director may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller Stockholder will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with based upon information pertaining to such Seller, as suchthe Stockholder, furnished in writing to by or for the Company by such Seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities sold by the Seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller from the sale of Registrable Securities covered by such registration statementStockholder.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 11 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 11 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereofthereof and the approval by the indemnified party of the counsel chosen by the indemnifying party, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 11 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, providedPROVIDED, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Act in any case in which either (i) the Seller, or any controlling person of the Seller, Stockholder exercises rights under this Agreement and makes a claim for indemnification pursuant to this Section 9.6 11 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 11 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller or controlling person of the Seller Stockholder in circumstances for which indemnification is provided under this Section 9.611; then, and in each such case, the Company and the Seller Stockholder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller is responsible only for the portion represented by the percentage that the public offering price of its securities offered by the registration statement bears to the public offering price relative fault of all securities offered by such registration statementthe Company, providedon the one hand, howeverand the Stockholder, on the other hand; PROVIDED, HOWEVER, that, in any such case, (A) the Seller will not be required to contribute any amount in excess of the public offering price of all such securities offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
(e) The indemnities provided in this Section 11 shall survive the transfer of any Shares by the Stockholder.
Appears in 1 contract
Samples: Registration Rights Agreement (Parexel International Corp)
Indemnification and Contribution. (a) In the event of a registration of any Registrable Securities of the Restricted Stock under the Securities Act pursuant to Section 9Sections 4, 5 or 6, the Company will indemnify and hold harmless each Seller, each officer seller of each Seller, each director of each Sellersuch Restricted Stock thereunder, each underwriter of such Registrable Securities Restricted Stock thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, several to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, howeverPROVIDED, HOWEVER, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities Restricted Stock under the Securities Act pursuant to Section 9Sections 4, the Seller 5 or 6, each seller of such Restricted Stock thereunder, severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were Restricted Stock was registered under the Securities Act pursuant to Section 9Sections 4, 5 or 6, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; PROVIDED, provided, howeverHOWEVER, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus; and PROVIDED, and providedFURTHER, further, howeverHOWEVER, that the liability of the Seller each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is equal to the proportion that the public offering price of the Registrable Securities shares sold by the Seller such seller, under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event to exceed the net proceeds received by the Seller such seller from the sale of Registrable Securities Restricted Stock covered by such registration statement.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected; PROVIDED, provided, howeverHOWEVER, that, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based on written advice of counsel that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred. In no event shall any indemnifying party be liable in respect of any amounts paid in settlement of any action unless the indemnifying party shall have approved the terms of such settlement; provided that such consent shall not be unreasonably withheld.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Restricted Stock exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Restricted Stock offered by the registration statement bears to the public offering price of all securities offered by such registration statement, providedand the Company is responsible for the remaining portion; PROVIDED, howeverHOWEVER, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Restricted Stock offered by it pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Indemnification and Contribution. (a) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9the terms of this Agreement, the Company will indemnify and hold harmless each Sellerand pay and reimburse, each officer seller of each Seller, each director of each Sellersuch Registrable Securities thereunder, each underwriter of such Registrable Securities thereunder and each other person, if any, who controls any such Seller seller or underwriter within the meaning of the Securities Act, against any losses, claims, damages or liabilities, joint or several, to which the Sellersuch seller, or such underwriter or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Registrable Securities was were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or any violation or alleged violation of the Securities Act or any state securities or blue sky laws and will reimburse the Sellereach such seller, each such underwriter and each such controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability arises out of or is based upon the Company’s reliance on an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such Sellerseller, the any such underwriter or any such controlling person in writing specifically for use in such registration statement or prospectus.
(b) In the event of a registration of any of the Registrable Securities under the Securities Act pursuant to Section 9hereto each seller of such Registrable Securities thereunder, the Seller severally and not jointly, will indemnify and hold harmless the Company, and each person, if any, who controls the Company within the meaning of the Securities Act, each officer of the Company who signs the registration statement and statement, each director of the Company, each underwriter and each person who controls any underwriter within the meaning of the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which the Company or such officer officer, director, underwriter or director controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon reliance on any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Registrable Securities were registered under the Securities Act pursuant to Section 9, hereto or any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer or director officer, director, underwriter and controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action, provided, however, that the Seller such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such Sellerseller, as such, furnished in writing to the Company by such Seller seller specifically for use in such registration statement or prospectus, and provided, further, however, that the liability of the Seller each seller hereunder shall be limited to the proportion proceeds received by such seller from the sale of Registrable Securities covered by such registration statement. Notwithstanding the foregoing, the indemnity provided in this Section 9(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or expense which if such settlement is equal effected without the consent of such indemnified party and provided further, that the Company shall not be liable in any such case to the proportion extent that any such loss, claim, damage or liability (or action in respect thereof) arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission in such registration statement, which untrue statement or alleged untrue statement or omission or alleged omission is completely corrected in an amendment or supplement to the public offering price registration statement and the undersigned indemnitees thereafter fail to deliver or cause to be delivered such registration statement as so amended or supplemented prior to or currently with the sale of the Registrable Securities sold by the Seller under such registration statement bears Shares to the total public offering price of all securities sold thereunderperson asserting such loss, but not claim, damage or liability (or actions in any event to exceed respect thereof) or expense after the net proceeds received by Company has furnished the Seller from undersigned with the sale of Registrable Securities covered by such registration statementsame.
(c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to such indemnified party other than under this Section 9.6(c) 9 and shall only relieve it from any liability which it may have to such indemnified party under this Section 9.6(c) 9 if and to the extent the indemnifying party is materially prejudiced by such omission. In case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 9.6(c) 9 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected, provided, however, that, that if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded based upon written advise of its counsel that there may be reasonable defenses available to it which are different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified parties party shall have the right to select one a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the indemnifying party as incurred.
(d) In order to provide for just and equitable contribution in the event of to joint liability under the Securities Act in any case in which either (i) the Sellerany holder of Registrable Securities exercising rights under this Agreement, or any controlling person of the Sellerany such holder, makes a claim for indemnification pursuant to this Section 9.6 9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 9.6 9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of the Seller any such selling holder or any such controlling person of the Seller in circumstances for which indemnification is provided under this Section 9.69; then, and in each such case, the Company and the Seller such holder will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion so that the Seller such holder is responsible only for the portion represented by the percentage that the public offering price of its securities Registrable Securities offered by the registration statement bears to the public offering price of all securities offered by such registration statement, and the Company is responsible for the remaining portion; provided, however, that, in any such case, (A) the Seller no such holder will not be required to contribute any amount in excess of the public offering price of all such securities Registrable Securities offered by it pursuant to such registration statement; statement and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 10(f11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.
Appears in 1 contract
Samples: Registration Rights Agreement (Prospect Medical Holdings Inc)