Common use of Limitations on and Threshold for Indemnification Clause in Contracts

Limitations on and Threshold for Indemnification. Under Section 3.2. (a) Contributor shall not be liable under Section 3.2 of this Exhibit G unless and until the total amount recoverable by the Indemnified Parties under Section 3.2 of this Exhibit G exceeds $250,000; provided, however, that once the total amount recoverable by the Indemnified Parties under Section 3.2 of this Exhibit G exceeds $250,000 in the aggregate, Contributor's obligation under Section 3.2 of this Exhibit G shall be for the full amount of such obligation. (b) Notwithstanding anything contained herein to the contrary, Contributor shall not be liable or obligated to make payments under this Article 3 with respect to any Participating Entity Interests to the extent such payments in the aggregate would exceed the Cash Amount or the value of the OP Units (based upon the initial public offering price of the Common Stock) received by Contributor at the Closing. Notwithstanding anything contained herein to the contrary, the Indemnified Parties shall look first to Contributor's OP Units for indemnification under this Article 3 and then to Contributor's other assets.