Common use of Liability towards the Commission Clause in Contracts

Liability towards the Commission. Public bodies shall be responsible, in accordance with the Rules of Participation and the EC Contract, for their own debts only. Notwithstanding any collective liability of the Contractors which may exist towards the Commission, each Contractor, except public bodies, shall be liable towards the other Contractors for any losses or damages suffered by the Commission, as a consequence of any failure to perform all or part of its obligations under the EC Contract or under this Consortium Agreement. Accordingly, should the Commission, in accordance with the provisions of the EC Contract, claim any reimbursement, indemnity or payment of damages from one or more Contractors, the Contractors other than public bodies agree that: each Contractor whose failure has caused or contributed to cause such claim shall indemnify each of the other Contractors against such claim, provided always that the total and cumulative limit of liability of that Contractor towards all the other Contractors collectively, in respect of any and all such claims shall not exceed twice the contribution it is entitled to receive as per the EC Contract; After payment of the Commission, any excess shall be apportioned between all the Contractors having suffered damages from the failure of the Defaulting Contractor(s), proportionally to the part of the EC contribution they have received; and in the event it is not possible to attribute the failure to any Contractor under (i), the amount claimed by the Commission shall be apportioned among all the Contractors, except public bodies, proportionally to the contribution they are entitled to receive.

Liability towards the Commission. Public bodies shall be responsible, in accordance with the Rules of Participation participation rules and the EC Contract, for their own debts only. Notwithstanding any collective liability of the Contractors which may exist towards the Commission, each Contractor, except public bodies, shall be liable towards the other Contractors for any losses or damages suffered by the Commission, as a consequence of any failure to perform all or part of its obligations under the EC Contract or under this Consortium Agreement. Accordingly, should the Commission, in accordance with the provisions of the EC Contract, claim any reimbursement, indemnity or payment of damages from one or more Contractors, the Contractors other than public bodies agree that: each Contractor whose failure has caused or contributed to cause such claim shall indemnify each of the other Contractors against such claim, provided always that the total and cumulative limit of liability of that Contractor towards all the other Contractors collectively, in respect of any and all such claims shall not exceed twice the contribution it is entitled to receive as per the EC Contract; After payment of the Commission, any excess shall be apportioned between all the Contractors having suffered damages from the failure of the Defaulting Contractor(s), proportionally to the part of the EC contribution they have received; and in the event it is not possible to attribute the failure to any Contractor under (i), the amount claimed by the Commission shall be apportioned among all the Contractors, except public bodies, proportionally to the contribution they are entitled to receive.