Common use of Method of Asserting Claims, Etc Clause in Contracts

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 4 contracts

Samples: Securities Exchange Agreement (True Drinks Holdings, Inc.), Securities Exchange Agreement (Omni Shrimp, Inc.), Securities Exchange Agreement

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Method of Asserting Claims, Etc. The party or parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall 9 will be asserted and resolved as follows:: [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. (a) MAKO shall have the right to enforce all claims in connection with the use of the Licensed Patents in the MAKO Field and Z-KAT shall have the right to enforce all claims in connection with the use of the Licensed Patents in the Z-KAT Field. (b) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of such Indemnified Party, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (x) such Indemnified Party has available to it defenses which consent shall not are in addition to those available to the Indemnifying Party, (y) such Indemnified Party has available to it defenses which are inconsistent with the defenses available to the Indemnifying Party or (z) a conflict exists or may reasonably be unreasonably withheld or delayedexpected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel. If such Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the Indemnifying Party pursuant to this Article 9, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (bc) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 3 contracts

Samples: Asset Contribution Agreement (MAKO Surgical Corp.), License Agreement (MAKO Surgical Corp.), License Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 3 contracts

Samples: Share Exchange Agreement, Share Exchange Agreement (Pineapple Express, Inc.), Share Exchange Agreement (Tamandare Explorations Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 V shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 V and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 V may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 3 contracts

Samples: Share Exchange Agreement (Ableauctions Com Inc), Share Exchange Agreement (Ableauctions Com Inc), Share Exchange Agreement (Ableauctions Com Inc)

Method of Asserting Claims, Etc. The party or parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall V will be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of such Indemnified Party, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (i) such Indemnified Party has available to it defenses which consent shall not are in addition to those available to the Indemnifying Party, (ii) such Indemnified Party has available to it defenses which are inconsistent with the defenses available to the Indemnifying Party or (iii) a conflict exists or may reasonably be unreasonably withheld or delayedexpected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel. If such Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the indemnifying Party pursuant to this Article, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (b) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 3 contracts

Samples: Sublicense Agreement (MAKO Surgical Corp.), Sublicense Agreement (MAKO Surgical Corp.), Sublicense Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification In case any claim, demand or assessment is hereinafter referred to asserted or suit, action or proceeding (collectively a "Claim") commenced against a Misonix or Company Indemnified Party (collectively the "Indemnified Party") and it notifies the Company or Misonix, as the “Indemnified Party” and case may be (collectively the party against whom such claims are asserted hereunder is hereinafter referred to as "Indemnitor") of the “Indemnifying Party.” All Claims for commencement thereof, if the Indemnitor acknowledges its indemnification by any Indemnified Party under this Article 5 obligations therefor hereunder, then, the Indemnitor shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable entitled to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparticipate therein, said Indemnified Party shalland, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate that it may wish, to assume the defense, conduct or settlement thereof, with counsel satisfactory to the Indemnified Party, whose consent to the selection of counsel shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”)unreasonably withheld. The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days After notice from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party Indemnitor to the Indemnified Party hereunder with respect of its election so to such Claim assume the defense, conduct or demandsettlement thereof, and (ii) whether or the Indemnitor shall not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, be liable to defend the Indemnified Party against such Claims for any legal or demandother expenses subsequently incurred by the Indemnified Party in connection with the defense, conduct or settlement thereof; provided, however, that any if the Indemnified Party is hereby authorized prior to and during the Notice Period to file has any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or separate defenses from those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies Indemnitor, the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend be represented by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusionits own counsel at the Indemnitor's expense. The Indemnified Party shall have the right in any event to employ separate counsel participate in any such action and participate in the defense thereof, but the fees and expenses of such with its own counsel shall be at the expense of such its own expense. The Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to will cooperate with the Indemnifying Party Indemnitor in connection with any such Claim and hismake personnel, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate books and related records relevant to the Claim in question, in making any Counterclaim against available to the person asserting Indemnitor at the third party Claim or demand, or any cross-complaint against any personIndemnitor's expense. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim that the Indemnitor fails timely to defend, contest or otherwise protect against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partysuch Claim, the Indemnified Party shall give have the right to defend, contest or otherwise protect against the same and make any compromise or settlement thereof and recover the entire cost thereof from the Indemnitor, including, without limitation, reasonable attorneys' fees, disbursements and all amounts paid as a Claim Notice with respect to result of such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticecompromise or settlement thereof. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Investment Agreement (Misonix Inc), Investment Agreement (Misonix Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred (a) Subject to as the “Indemnified Party” and the party against whom such Section 8.7, all claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 party hereunder shall be asserted and resolved as follows: (a) set forth in this Section 8.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demanddemand in a written notice that describes such claim or demand in reasonable detail, specifying including the nature sections of and specific this Agreement which form the basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof (the “Claim Notice”). The ; provided, however, that failure to provide such notice within the time period required shall not affect the Indemnified Party’s failure right to so notify indemnification hereunder except to the extent the Indemnifying Party was actually prejudiced thereby. (b) Unless a shorter period (which shall be set forth in accordance with the provisions of this Agreement Claim Notice and shall be not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability less than ten (10) Business Days) is reasonably required to defend against adequately address the claim or demand. The demand described in the Claim Notice, the Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand; provided, however, provided that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party shall not have the right to assume the defense of any claim or demand described in a Claim Notice if (i) such claim or demand seeks an injunction or other equitable relief as a primary remedy, (ii) such claim or demand is a criminal claim, (iii) in the case of Stockholder as Indemnifying Party, all of the Losses resulting from such claim or demand suffered by Buyer Indemnified Parties would be absorbed by the Buyer Indemnified Parties because the Basket Amount has not been exhausted or (iv) in the case of Stockholder as Indemnifying Party, the amount asserted in respect of such claim or demand against the Buyer Indemnified Parties, together with all indemnified Losses realized and not prejudicial all other pending claims or demands against the Buyer Indemnified Parties are reasonably expected to result in Losses, in the aggregate, that exceed the Cap by an amount greater than fifty percent (50%) of such amount asserted and reasonably expected, if applicable. Subject to the limitations set forth in this Article VIII, all costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that it is ultimately determined that the Indemnifying Party is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including without limitation, attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. (c) In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The If any Indemnified Party shall have the right desires to employ separate counsel in participate in, but not control, any such action defense or settlement, it may do so at its sole cost and participate in expense; provided that the defense thereof, but the fees Indemnifying Party shall pay all costs and expenses of such counsel shall be at participation (i) if it requests the expense of such Indemnified Party except to participate or (ii) in the reasonable written opinion of counsel to the extent that Indemnified Party, a conflict or potential conflict exists between the employment thereof has been specifically authorized by Indemnified Party and the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position that would make joint representation of the Indemnifying Party and the position of such Indemnified Party impermissible under applicable standards of professional conduct. (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the d) The Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim shall not settle a claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In . The Indemnifying Party shall not, without the event prior written consent of the Indemnified Party, which shall not be unreasonably withheld or delayed, settle, compromise or offer to settle or compromise any such claim or demand; provided that if the Indemnified Party should have fails to consent to a Claim against any settlement that imposes only monetary damages that do not require payment by the Indemnified Party by operation of the Basket Amount or the Cap then the Indemnifying Party’s liability with respect to such matter shall be limited to the amount of such rejected settlement. If the Indemnifying Party hereunder which does has the right to and elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party shall will give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify and its counsel access to, during normal business hours, the relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) Party. The Indemnifying Party shall be given use its commercially reasonable efforts in the opportunity defense of all such claims. (e) Any notice of a claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty or covenant with respect to defend which the respective Claimclaim is made, state in reasonable detail the basis for the claim and, if known, give an assessment of the amount of the liability asserted against the Indemnifying Party by reason of the claim.

Appears in 2 contracts

Samples: Stock Purchase Agreement (Erie Indemnity Co), Stock Purchase Agreement (Erie Indemnity Co)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that any Claim or demand for which set forth in this Section 8.3. An Indemnified Party shall give prompt notice to an Indemnifying Party would of the assertion of any claim or assessment (but in no event shall such notice be liable to an Indemnified Party hereunder is asserted against or sought to be collected from given later than 15 days after a senior officer of such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge actual knowledge of such Claimclaim or assessment), and shall notify the Indemnifying Party of such claim the commencement of any action, suit, audit or demand, specifying the nature proceeding by a third party in respect of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible which indemnity may be sought hereunder (which estimate shall not be conclusive of the final amount a "Third Party Claim") within 20 days of such Claim commencement. Any such notice shall specify in reasonable detail the claim, assessment, action, suit, audit or demand) (the “Claim Notice”)proceeding. The Indemnified Party’s failure to so notify Party will give the Indemnifying Party in accordance such information with the provisions of this Agreement shall not relieve respect thereto as the Indemnifying Party of liability hereunder unless such failure materially prejudices may reasonably request. Thereafter, the Indemnified Party shall promptly deliver to the Indemnifying Party after the Indemnified Party’s ability 's receipt thereof, copies of all notices and documents (including court papers) received by the Indemnified Party relating to defend against the claim or demandThird Party Claim. The Indemnifying Party shall have 30 days from the giving of the Claim Notice right, exercisable by written notice (the “Notice Period”"Notice") to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect at any time following receipt of notice from the Indemnified Party of the commencement of or assertion of any Third Party Claim, to assume the defense of such Claim or demandThird Party Claim, and (ii) whether or not using counsel selected by the Indemnifying Party. Should the Indemnifying Party desiresso elect to assume the defense of a Third Party Claim, at the sole cost and expense Indemnifying Party will not be liable to the Indemnified Party for legal expenses subsequently incurred by the Indemnified Party in connection with the defense thereof. Regardless of whether the Indemnifying Party elects to assume the defense of any such Third Party Claim, the Indemnified Party shall not admit any liability with respect to, or settle, compromise or discharge, such Third Party Claim without the Indemnifying Party, to defend 's prior written consent. (b) The Indemnifying Party or the Indemnified Party, as the case may be, shall in any event have the right to participate, at its own expense, in the defense of any Third Party against Claim which the other is defending. (c) The Indemnifying Party, if it shall have assumed the defense of any Third Party Claim and if such Claims Third Party Claim involves solely monetary damages, shall have the right to consent to the entry of judgment with respect to, or demand; providedotherwise settle such Third Party Claim, however, provided that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of as between the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedParty, the Indemnifying Party shall have the right be obligated to defend by all appropriate proceedingssatisfy and discharge such judgment or settlement. Otherwise, which proceedings shall such settlement only may be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate made with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the written consent of the Indemnifying Indemnified Party, which consent shall not be unreasonably withheld or delayedwithheld. (bd) In Whether or not the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim chooses to defend or demand being asserted against prosecute any Third Party Claim, all the parties hereto shall cooperate reasonably in the defense or sought prosecution thereof and shall furnish such records, information and testimony, and attend such conferences, discovery proceedings, hearings, trials and appeals as may be reasonably requested in connection therewith. Such cooperation shall include access during normal business hours afforded to be collected from him the Indemnifying Party to, and reasonable retention by a third party, the Indemnified Party shall give a Claim Notice with respect of, records and information which are reasonably relevant to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Third Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder, and the Indemnifying Party shall be deemed to have admitted liability reimburse the Indemnified Party for such Claim all its reasonable out-of-pocket expenses in the amount set forth in the Claim Noticeconnection therewith. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Asset and Stock Purchase Agreement (Tufco Technologies Inc), Asset and Stock Purchase Agreement (Tufco Technologies Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such an Indemnified Party by a third party, said party (a "Third Party Claim") or an Indemnified Party shallseeks indemnification from an ------------------ Indemnifying Party in connection with any other type of claim for which indemnity may be sought hereunder (referred to herein as a "Non Third Party --------------- Claim") (Third Party Claim and Non Third Party Claim shall be referred to ----- collectively as a "Claim"), within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall use reasonable ----- efforts to notify the Indemnifying Party in writing of such claim or demandClaim, specifying the nature of and specific basis for such claim or demand Claim arising hereunder and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandClaim) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. ------------ The Indemnifying Party shall have 30 twenty calendar days (or such earlier period of time as may be required for the filing of responsive pleadings to any legal action instituted with respect to the Claim or required due to contractual deadlines imposed upon the Indemnified Party by the contract in dispute but in any event, not less than 10 days) from the giving receipt of the Claim Notice (the "Response Notice Period") to notify the Indemnified ---------------------- Party: , (i) whether or not the Indemnifying Party it disputes the its liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) notwithstanding any such dispute, whether or not it will defend, at its sole cost and expense, the Indemnified Party against such Third Party Claim. No failure by an Indemnified Party to notify the Indemnifying Party of the existence or assertion of a claim for which indemnification may be sought shall constitute a defense to or waiver of such claim for indemnification except to the extent the Indemnifying Party may be able to prove that it has been materially prejudiced by such failure or delay. (b) If the Indemnifying Party disputes its liability with respect to such Claim or the amount thereof (whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand Third Party Claim as provided in paragraphs (c) and except as hereinafter provided(d) below), the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings such dispute shall be promptly settled or prosecuted by him to a final conclusionresolved in accordance with Section 8.5 hereof. The Indemnified Party shall have Pending the right to employ separate counsel in resolution of any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized dispute by the Indemnifying Party in writingof its liability with respect to any Third Party Claim, the Indemnifying such Third Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may shall not be settled without the prior written consent of the Indemnified Party and the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (bc) In the event that the Indemnifying Party notifies the Indemnified Party within the Response Notice Period that it will defend the Indemnified Party against a Third Party Claim, then the Indemnifying Party shall assume the defense thereof with counsel reasonably acceptable to the Indemnified Party, and the Indemnified Party shall cooperate in all reasonable respects in such defense, including without limitation in making any appropriate counterclaim against the person asserting the Third Party Claim or any appropriate cross-complaint against any person (unless such counterclaim or cross-complaint would be against any other entity with which the Indemnified Party has ongoing business relations and would have a significant likelihood in the good faith judgment of the Indemnified Party of damaging such business relationships); provided, however, the Indemnifying Party shall not, without the prior written consent of the Indemnified Party which consent shall not be unreasonably withheld, consent to the entry of any judgment against the Indemnified Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Party of a release, in form and substance reasonably satisfactory to the Indemnified Party, from all liability in respect of such Third Party Claim. If any Indemnified Party should desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If, in the reasonable opinion of the Indemnified Party, any such Third Party Claim or the litigation or resolution of any such Third Party Claim involves an issue or matter which could reasonably be expected to have a material adverse effect on the Indemnified Party, then the Indemnified Party shall have the right to control the defense or settlement of any such Third Party Claim against any at its cost and expense, and such reasonable legal fees and expenses shall be included as part of the indemnification obligation of the Indemnifying Party hereunder which does hereunder. If the Indemnified Party should elect to exercise such right, the Indemnifying Party shall have the right to participate in, but not involve control, the defense or settlement of such Third Party Claim at its sole cost and expense. (d) If the Indemnifying Party elects not to defend the Indemnified Party against such Third Party Claim, whether by not giving the Indemnified Party timely notice within the Response Notice Period as provided above or otherwise, then the Indemnified Party shall, at the expense of the Indemnifying Party (if the Indemnified Party is entitled to indemnification hereunder), have the right to defend, settle or compromise any such Third Party Claim with counsel of its own choosing. In the event the Indemnified Party proposes to settle a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give deliver to the Indemnifying Party written notice of the proposed settlement of the Third Party Claim, which the Indemnifying Party may reject in its reasonable judgment within thirty days of receipt of such notice. In the event the Indemnified Party settles such Third Party Claim over the objection of Indemnifying Party, dispute over such settlement shall be resolved as provided in Section 8.5 hereof. ----------- (e) In the event an Indemnified Party has a claim for indemnification against the Indemnifying Party hereunder with respect to a Non Third Party Claim, the Indemnified Party shall send a Claim Notice with respect to such Claim claim to the Indemnifying Party. If, after receipt of a Claim Notice, If the Indemnifying Party disputes its liability with respect to such claim or demand, such dispute shall be resolved in accordance with Section 8.5 hereof; if the Indemnifying Party ----------- accepts or agrees with such claim or does not notify the Indemnified Party within the Response Notice Period that he, she or it disputes such Claimclaim, then the amount of such claim shall be conclusively deemed a liability of the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Asset Purchase Agreement (Graphic Industries Inc), Asset Purchase Agreement (Graphic Industries Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 VI shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 VI and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel counsel, or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 VI may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Merger Agreement (U.S. Rare Earth Minerals, Inc), Merger Agreement (First Harvest Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party the Sellers would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Sellers Representative of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Sellers Representative shall have 30 ten days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Purchaser Party: , (iA) whether or not the Indemnifying Party disputes the Sellers dispute their liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Purchaser Party against such Claims claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. . (b) In the event that the Indemnifying Party Sellers Representative notifies the Indemnified Purchaser Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires the Sellers desire to defend the Indemnified Purchaser Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Sellers shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of Indemnified Purchaser Party becoming subject to liability for any other matter; provided, however, the Sellers shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving of the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance satisfactory to the Indemnified Purchaser Party, as the case may be, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense; provided, however, if the named parties to the action or proceeding include both the Indemnified Purchaser Party and any Seller and representation of both parties by the same counsel would be inappropriate under applicable standards of professional conduct, the expenses of one separate counsel for the Indemnified Purchaser Party shall have be paid by the right Sellers. (i) If the Sellers elect not to employ separate counsel in defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice as provided above or otherwise, then the amount of any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim claim or demand, or if the same be defended by the Sellers or by the Indemnified Purchaser Party (but no Indemnified Purchaser Party shall have any cross-complaint against obligation to defend any person. No Claim for such claim or demand), then that portion thereof as to which indemnity such defense is sought hereunder and for which the Indemnifying Party has acknowledged unsuccessful, in each case shall be conclusively deemed to be a liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedSellers hereunder. (bii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party of the Sellers hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySellers Representative. If, after receipt of a Claim Notice, If the Indemnifying Party does Sellers do not notify the Indemnified Purchaser Party within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in of the amount set forth in the Claim NoticeSellers, respectively, hereunder. (c) The Indemnifying All claims for indemnification by an Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and the "Purchaser" for "Sellers" or "Sellers Representative".

Appears in 2 contracts

Samples: Asset Purchase Agreement (Zenith National Insurance Corp), Asset Purchase Agreement (Riscorp Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification relating to a Third Party Claim by any Indemnified Party under this Article 5 indemnified party (an "INDEMNIFIED PARTY") hereunder shall be asserted and resolved as follows:set forth in this Section 9.04. (ab) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable indemnifying party (an "INDEMNIFYING PARTY") may have liability to an any Indemnified Party hereunder hereunder, is asserted against or sought to be collected from such any Indemnified Party by a third partyThird Party (a "THIRD PARTY CLAIM"), said such Indemnified Party shallshall promptly, within but in no event more than ten (10) business days from the date upon which the following such Indemnified Party's receipt of a Third Party has Knowledge of such Claim, notify the Indemnifying Party in writing of such claim or demandThird Party Claim, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof of damages sought thereunder to the extent then feasible ascertainable (which estimate shall not be conclusive of the final amount of such Claim or demand) Third Party Claim), any other remedy sought thereunder, any relevant time constraints relating thereto and, to the extent practicable, any other material details pertaining thereto (a "CLAIM NOTICE"); provided, however, that the “Claim Notice”). The Indemnified Party’s failure to so notify timely give a Claim Notice shall affect the rights of an Indemnified Party hereunder only to the extent that such failure has a material prejudicial effect on the defenses or other rights available to the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying respect to such Third Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandClaim. The Indemnifying Party shall have 30 thirty (30) days from (or such lesser number of days set forth in the giving Claim Notice as may be required by court proceeding in the event of a litigated matter) after receipt of the Claim Notice (the “Notice Period”"NOTICE PERIOD") to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, that it desires to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Third Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. Claim. (c) In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideda Third Party Claim, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedingsproceedings and shall have the sole power to direct and control such defense, which proceedings with counsel reasonably satisfactory to the Indemnified Party at its expense. Once the Indemnifying Party has duly assumed the defense of a Third Party Claim, the Indemnified Party shall be promptly settled or prosecuted by him have the right, but not the obligation, to a final conclusionparticipate in any such defense and to employ separate counsel of its choosing. The Indemnified Party shall participate in any such defense at its expense unless (i) the Indemnifying Party and the Indemnified Party are both named parties to the proceedings and the Indemnified Party shall have reasonably concluded that representation of both parties by the same counsel would be inappropriate due to actual or potential differing interests between them, or (ii) the Indemnified Party assumes the defense of a Third Party Claim after the Indemnifying Party has failed to diligently pursue a Third Party Claim it has assumed, as provided in the first sentence of this Section 9.04(c). The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any Third Party Claim on a basis that would result in (i) the imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party or any of its Affiliates, (ii) a finding or admission of a violation of Applicable Law or violation of the rights of any Person by the Indemnified Party or any of its Affiliates or (iii) a finding or admission that would have an adverse effect on other claims made or threatened against the Indemnified Party or any of its Affiliates. (d) If the Indemnifying Party (i) elects not to defend the Indemnified Party against a Third Party Claim, whether by not giving the Indemnified Party timely notice of its desire to so defend or otherwise or (ii) after assuming the defense of a Third Party Claim, fails to take reasonable steps necessary to defend diligently such Third Party Claim within ten (10) days after receiving written notice from the Indemnified Party to the effect that the Indemnifying Party has so failed, the Indemnified Party shall have the right but not the obligation to employ separate counsel in any such action and participate in assume its own defense; it being understood that the Indemnified Party's right to indemnification for a Third Party Claim shall not be adversely affected by assuming the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Third Party Claim. The Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying shall not settle a Third Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedwithheld. (be) In the event any The Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then and the Indemnifying Party shall cooperate in order to ensure the proper and adequate defense of a Third Party Claim, including by providing access to each other's relevant business records and other documents, and employees; it being understood that the reasonable costs and expenses of the Indemnified Party relating thereto shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeLiabilities. (cf) The Indemnified Party and the Indemnifying Party shall use commercially reasonable efforts to avoid production of confidential information (consistent with Applicable Law), and to cause all communications among employees, counsel and others representing any party to a Third Party Claim to be given the opportunity made so as to defend the respective Claimpreserve any applicable attorney-client or work-product privileges.

Appears in 2 contracts

Samples: Separation Agreement (Novelis Inc.), Separation Agreement (Novelis Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred (a) Subject to as the “Indemnified Party” and the party against whom such Section 7.5, all claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that set forth in this Section 10.3. An Indemnified Party entitled to any Claim indemnification provided for under this Agreement in respect of, arising out of or involving a claim or demand for which made by, or an Indemnifying Party would be liable action, proceeding or investigation instituted by, any Person (whether or not a party to this Agreement) (an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party“Indemnity Claim”), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, must notify the Indemnifying Party in writing, and in reasonable detail, of the Indemnity Claim as promptly as practicable after such Indemnified Party learns of the Indemnity Claim; provided, however, that failure to give such notification shall not affect the indemnification provided hereunder unless the Indemnifying Party shall have been actually prejudiced as a result of such claim or demandfailure. Such written notice (the “Claim Notice”) shall (i) describe such Indemnity Claim in as much detail as is reasonably practicable, specifying including a reference to sections of this Agreement which form the nature of and specific basis for such claim or demand claim, and (ii) to the extent possible, set forth the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof. (the b) If an Indemnity Claim is made against an Indemnified Party by a third party (a Claim NoticeThird Party Claim) (except with respect to a Tax Proceeding, which shall be exclusively governed by Section 7.5). The , such Indemnified Party shall promptly, but in no event more than 30 days following such Indemnified Party’s failure receipt of such Third Party Claim, deliver a Claim Notice to so notify the Indemnifying Party in accordance with respect thereto; provided, however, that failure to provide such notice within the provisions of this Agreement time period required shall not relieve affect the Indemnified Party’s right to indemnification hereunder except to the extent the Indemnifying Party of liability hereunder unless such failure was materially prejudices the Indemnifying Party’s ability to defend against the claim or demandprejudiced thereby. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims or demand; providedThird Party Claim. Without the prior written consent of the Indemnified Party, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party shall not have the right to assume the defense of any Third Party Claim described in a Claim Notice that (i) seeks an injunction or other equitable relief as a primary remedy, (ii) is a criminal claim, or (iii) primarily relates to a claim or demand of, or a dispute with, a material customer of the Business. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defense of a Third Party against such claim or demand and Claim, except as hereinafter herein provided, the Indemnifying Party shall have the right to defend do so by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified If the Indemnifying Party shall have has the right to employ separate counsel in any such action and participate in elects to assume the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified a Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingClaim, the Indemnifying Party has failed after a reasonable period shall select counsel, contractors and consultants of time recognized standing and competence; shall take all steps reasonably necessary in the defense or settlement of such Third Party Claim; and shall diligently pursue the resolution of such Third Party Claim. If the Indemnified Party desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense, it being understood that the Indemnifying Party shall control such defense; provided, however, that the Indemnifying Party shall pay all reasonable fees, costs and expenses of one outside counsel in connection with such participation (i) if it requests the Indemnified Party to employ counsel participate or in such action there is, (ii) if in the reasonable written opinion of such separate counseloutside counsel to the Indemnified Party, a material conflict on any material issue or potential conflict exists between the position Indemnified Party and the Indemnifying Party that would make joint representation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)impermissible under applicable standards of professional conduct. If requested by the Indemnifying Party chooses to defend or prosecute any Third Party Claim, all of the parties hereto shall reasonably cooperate in the defense or prosecution thereof. Subject to attorney-client privilege, such cooperation shall include the retention and there is no Material Conflict(upon the Indemnifying Party’s reasonable request) the provision to the Indemnifying Party of records and information which are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder; provided, however, that any out-of-pocket cost incurred by the Indemnified Party agrees to cooperate in connection with such copying or employee availability shall be at the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personParty’s expense. No Claim for which indemnity is sought hereunder and for which If the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without assumed the consent defense of a Third Party Claim, the Indemnifying Party may only settle or compromise a Third Party Claim with the Indemnified Party, ’s prior written consent (which consent shall not be unreasonably withheld or delayed. (b) In ); provided, however, that the event any Indemnifying Party may settle or compromise such a Third Party Claim without the written consent of the Indemnified Party should have a Claim against any if such settlement or compromise (x) provides solely for the payment of money by the Indemnifying Party hereunder which and includes a complete and unconditional release of the Indemnified Party from all liability in respect of such Third Party Claim and (y) does not involve subject the Indemnified Party to any injunctive relief or other equitable remedy. If the Indemnifying Party does not defend the Indemnified Party against a Third Party Claim for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or demand being asserted against otherwise, then the amount of any such Third Party Claim, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this ARTICLE X, provided that whether or sought to be collected from him by not the Indemnifying Party shall have assumed the defense of a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect not settle or compromise any Third Party Claim, or consent to such Claim to the entry of any judgment, without the prior written consent of the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Transaction Agreement (Shermen WSC Acquisition Corp), Transaction Agreement (Shermen WSC Acquisition Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Seller of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”"CLAIM NOTICE"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Seller shall have 30 days from the giving of the Claim Notice in accordance with Section 8.8 hereof (the “Notice Period”"NOTICE PERIOD") to notify the Indemnified Purchaser Party: , (iA) whether or not the Indemnifying Party it disputes the its liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party it desires, at the its sole cost and expense of (subject to the Indemnifying Partylimitation in Section 6.3(b) regarding an Agreed Upon Settlement), to defend the Indemnified Purchaser Party against such Claims claim or demand; provided. (a) If Seller disputes its liability with respect to such claim or demand or the amount thereof (whether or not Seller desires to defend the Indemnified Purchaser Party against such claim or demand as provided in paragraphs (b) and (c) below), howeversuch dispute shall be resolved in accordance with Section 6.5 hereof. Pending the resolution of any dispute by Seller of its liability with respect to any claim or demand, that such claim or demand shall not be settled (x) without the prior written consent of the Indemnified Purchaser Party, which consent shall not be unreasonably withheld and (y) by Purchaser or any Indemnified Party is hereby authorized Cardinal Affiliate without having first provided Seller with written notice of the terms of such settlement at least five days prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those effective date of the Indemnifying Party and not prejudicial to the Indemnifying Party. such settlement. (b) In the event that the Indemnifying Party Seller notifies the Indemnified Purchaser Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires they desire to defend the Indemnified Purchaser Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Seller shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any liability to Indemnified Purchaser Party for such claim; provided, however, Seller shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance reasonably satisfactory to the Indemnified Purchaser Party, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in any such defense or settlement, it may do so at its sole cost and expense provided that such participation shall be under the control of, and exclusively through, Seller. If, in the reasonable opinion of the Indemnified Purchaser Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Indemnified Purchaser Party, including without limitation the administration of the tax returns and responsibilities under the tax laws of any Indemnified Purchaser Party, then the Indemnified Purchaser Party shall have the right to employ separate counsel in control the defense or settlement of any such action and claim or demand after giving notice to Seller of its intention to take control of the defense or settlement of such claim or demand. If the Indemnified Purchaser Party should elect to exercise such right, Seller shall have the right to participate in the defense thereof, but the fees and expenses or settlement of such counsel claim or demand at its sole cost and expense provided that such participation shall be at under the expense of control of, and exclusively through, such Indemnified Party except to the extent Purchaser Party; provided, that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may shall not be settled without the prior written consent of the Indemnifying PartySeller, which consent shall not be unreasonably withheld or delayed. (b) In withheld; provided further, that if the event third party making any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim such claim or demand being asserted against has agreed or sought stated its willingness in writing, to be collected from him by a third party, (x) settle such claim or demand in exchange solely for the payment of money in an agreed upon amount ("AGREED UPON SETTLEMENT") which Seller is willing to accept and agrees in writing to reimburse and indemnify Indemnified Purchaser Party for and (y) unconditionally release the Indemnified Party Purchaser Parties with respect to the applicable claim or demand, but the Indemnified Purchaser Parties do not accept such settlement, then in no event shall give a Claim Notice Seller be liable to reimburse or indemnify Indemnified Purchaser Parties with respect to such Claim to claim or demand in excess of the Indemnifying Party. If, after receipt amount of a Claim Notice, such Agreed Upon Settlement plus the Indemnifying Party does not notify amount of the Indemnified Party within Purchaser Parties' reasonable costs and out-of-pocket expenses incurred in connection with such claim or demand through the Notice Period that he, she or it disputes such Claim, then date the Indemnifying Party shall be deemed Indemnified Purchaser Parties refused to have admitted liability for such Claim in accept the amount set forth in the Claim NoticeAgreed Upon Settlement. (c) The Indemnifying (i) If Seller does not defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice within the Notice Period as provided above or the Indemnified Purchaser Party has taken over control of such defense in accordance with the provisions of subparagraph (b) above, then the amount of any such claim or demand, or that portion thereof as to which such defense is unsuccessful, in each case shall be given conclusively deemed to be a liability of Seller hereunder, unless Seller shall have disputed its liability to the opportunity to defend the respective ClaimIndemnified Purchaser Party hereunder, as provided in paragraph (a) above, in which event such dispute shall be resolved as provided in Section 6.5 hereof.

Appears in 2 contracts

Samples: Asset Purchase Agreement (Adams Respiratory Therapeutics, Inc.), Asset Purchase Agreement (Adams Laboratories, Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any an Indemnified Party under this Article 5 Section 13.1 hereof shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten shall promptly (10) business but in no event later than 10 days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (reasonably determinable, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”). The Indemnified Party’s Notwithstanding the foregoing, the failure to so notify the Indemnifying Party send or a delay in accordance with the provisions of this Agreement sending a Claim Notice as provided above shall not relieve the Indemnifying Party of liability hereunder unless from its obligation to indemnify the Indemnified Party with respect to any such Third Party Claim, except and only to the extent that the Indemnifying Party demonstrates that it has been actually materially prejudiced by such failure materially prejudices or delay. (b) In the event of any Third Party Claim, the Indemnifying Party’s ability , at its option, may assume (with legal counsel reasonably acceptable to defend against the claim Indemnified Party) at its sole cost and expense the defense of such Third Party Claim if it acknowledges to the Indemnified Party in writing its obligations to indemnify the Indemnified Party with respect to all elements of such Third Party Claim and may assert any defense of the Indemnified Party or demandthe Indemnifying Party; provided that the Indemnified Party has the right at its own expense to participate jointly with the Indemnifying Party in the defense of any such Third Party Claim. Counsel representing both the Indemnifying Party and the Indemnified Party must acknowledge in writing its obligation to act as counsel for all parties being represented and must acknowledge and respect separate attorney-client privileges with respect to each party represented. If the Indemnifying Party elects to undertake the defense of any Third Party Claim hereunder, (i) the Indemnifying Party and its counsel shall keep the Indemnified Party reasonably informed as to its conduct of such defense, and (ii) the Indemnified Party must cooperate with the Indemnifying Party in the defense or settlement of the Third Party Claim, including providing access to information, making documents available for inspection and copying, and making employees available for interviews, depositions and trial. The Indemnifying Party shall have 30 days from is not entitled to settle or consent to the giving entry of any judgment with respect to any Third Party Claim without the prior written consent of the Indemnified Party, which consent may not be unreasonably withheld, conditioned or delayed, unless the settlement or judgment involves only the payment of money damages, contains a full and complete release of the Indemnified Party and does not impose an injunction or other equitable relief upon the Indemnified Party. (c) If the Indemnifying Party, by the 30th day after receipt of the Claim Notice (or, if earlier, by the “Notice Period”) tenth day preceding the day on which an answer or other pleading must be served in order to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability prevent judgment by default in favor of the Indemnifying Person asserting such Third Party to Claim), does not assume actively and in good faith the defense of any such Third Party Claim or action resulting therefrom, the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desiresmay, at the sole cost and expense Indemnifying Party’s expense, defend against such Third Party Claim or litigation, after giving notice of the same to the Indemnifying Party, to defend on such terms as the Indemnified Party against such Claims or demand; providedmay deem appropriate, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party is entitled to participate in (but not control) the defense of such action, with its counsel and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusionat its own expense. The Indemnified Party shall have the right to employ separate counsel in may not settle or compromise any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity it is sought hereunder and for which the Indemnifying Party has acknowledged liability for entitled to indemnification under this Article 5 may be settled hereunder, without the prior written consent of the Indemnifying Party, which consent shall may not be unreasonably withheld withheld, conditioned, or delayed. (bd) In The Indemnified Party shall make available to the event Indemnifying Party and its Representatives all Records and other materials required by the Indemnifying Party and in the possession or under the control of the Indemnified Party, for the use of the Indemnified Party and its Representatives in defending any such Third Party Clam, and shall in other respects give reasonable cooperation in such defense. (e) If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder under this Article XIII which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect notify the Indemnifying Party of such claim, specifying the nature of and specific basis for such claim and the amount or the estimated amount of such claim (the “Indemnity Notice”). The failure by any Indemnified Party to so notify the Indemnifying Party shall not relieve the Indemnifying Party from any liability which it may have to such Claim Indemnified Party under this Article XIII, except and only to the extent that the Indemnifying PartyParty demonstrates that it has been actually materially prejudiced by such failure. If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party in writing within 30 days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in of such claim specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity Indemnifying Party hereunder. If the Indemnifying Party has timely disputed such claim, the Indemnifying Party and the Indemnified Party shall for a period of 30 days proceed in good faith to defend negotiate a resolution of such dispute and, if not resolved through negotiations, such dispute may, at the respective Claimoption of either party, be resolved by any method permitted by Law or in equity.

Appears in 2 contracts

Samples: Asset Purchase Agreement (Patterson Uti Energy Inc), Asset Purchase Agreement (Key Energy Services Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 shall Parties hereunder will be asserted and resolved as follows: set forth in this Section 9.5 except for claims pursuant to Article V hereof (a) as to which the provisions of Article V will be applicable). In the event that any Claim written claim or demand for which an Buyer or Seller, as the case may be (the “Indemnifying Party Party”), would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallwill promptly, within but in no event more than ten (10) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the “Third Party Claim Notice”) and in the event that an Indemnified Party asserts a claim for indemnity under this Article IX, not including a third party claim, the Indemnified Party will notify the Indemnifying Party promptly following its discovery of the facts or circumstances giving rise thereto (together, with a Third Party Claim Notice, a “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify on the part of the Indemnified Party in the manner set forth herein will not foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandnotify. The Indemnifying Party shall will have 30 thirty (30) days from the giving receipt of the Claim Notice (except that such a period will be decreased to a time ten (10) days before a scheduled appearance date in a litigated matter) (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, . All costs and (ii) whether or not expenses incurred by the Indemnifying Party desiresin defending such claim or demand will be a liability of, at the sole cost and expense of will be paid by, the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those amount of such expenses will be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the Indemnifying Partylimitations set forth in Section 9.1 hereof. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand (if it is a third party claim), and except as hereinafter provided, the Indemnifying Party shall will have the right to defend the Indemnified Party by all appropriate proceedingsproceedings and by counsel reasonably acceptable to the Indemnified Party. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after will not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall may not be unreasonably withheld or delayed. . The Indemnifying Party may not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand: (a) without obtaining an unconditional and full release in favor of the Indemnified Party with regard to such claim or demand, and (b) In on a basis which would result in the event any Indemnified Party should imposition of a Court Order which would restrict the future activity or conduct of, or which would otherwise be reasonably likely to have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partymaterial adverse effect on, the Indemnified Party shall give a Claim Notice with respect or any subsidiary or Affiliate thereof. If the Indemnifying Party elects not to defend the Indemnified Party against such claim or demand, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion of any such claim or demand as to which such defense is unsuccessful (and all reasonable costs and expenses pertaining to such Claim defense) will be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in Section 9.1 hereof. To the extent the Indemnifying Party controls or participates in the defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and will permit them to consult with the employees and counsel of the Indemnified Party. IfThe Indemnified Party will use its commercially reasonable efforts in the defense of all such claims, after receipt of a Claim Notice, and in connection therewith will be entitled to reimbursement by the Indemnifying Party does not notify of expenses directly related to efforts undertaken at the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then specific request of the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeParty. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Stock Purchase Agreement (Buca Inc /Mn), Stock Purchase Agreement (Bertuccis Corp)

Method of Asserting Claims, Etc. The To be entitled to indemnity hereunder, an Indemnified Party must send notice of a claim to the Indemnifying Party within the applicable Time Limitations and within 15 business days of the Indemnified Party becoming aware of the state of facts underlying the claim, but the failure to notify the Indemnifying Party within such time period will not relieve the indemnifying party claiming indemnification is hereinafter referred of any liability that it may have to as the “any Indemnified Party” and , except to the party against whom extent that the Indemnifying Party demonstrates that the defense of such action is actually prejudiced by the Indemnified Party's failure to give such notice. All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 12.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) but in no event more than 15 business days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for demand (providing sufficient details with respect to such claim or demand to put the Indemnifying Party on notice of such claim or demand) and the amount or the estimated amount thereof to the extent such estimate is then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to promptly notify the Indemnified Party: Party (ia) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (iib) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and except shall be paid by, the Indemnifying Party. Except as hereinafter provided, in the event that the Indemnifying Party promptly notifies the Indemnified Party that it accepts liability hereunder with respect thereto and elects to defend the Indemnified Party against such claim or demand, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings with counsel reasonably satisfactory to the Indemnified Party and shall be promptly settled or prosecuted by him have the sole power to a final conclusiondirect and control such defense. If any Indemnified Party desires to participate in any such defense it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. unless (bi) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought shall have failed to be collected from him by a third party, promptly assume the defense thereof and (ii) within 10 days after the Indemnified Party shall give a Claim Notice with respect to such Claim to have given the Indemnifying Party. If, after receipt Party written notice of a Claim Noticethe proposed settlement, the Indemnifying Party does shall not notify have given the Indemnified Party within written notice accepting liability hereunder with respect thereto and of its election to assume the Notice Period that hedefense of such claim or demand, she or it disputes such Claim, then in which event the Indemnified Party may enter into the proposed settlement and the Indemnifying Party shall not be deemed entitled to have admitted liability for such Claim in object to the amount set forth in the Claim Notice. (c) terms thereof. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in (i) the imposition of a consent order, injunction or decree which would restrict the future activity or conduct of the Indemnified Party's business or any subsidiary or Affiliate thereof, (ii) any remedy other than damages payable in full by the Indemnifying Party or (iii) any admission of a violation of Law that would constitute a crime or any other admission of a violation of Law that would impair in any material respect the Indemnified Party's conduct of its business or would establish, by collateral estoppel or by legally admissible evidence, the basis of any other claim against the Indemnified Party which would not be given subject to full indemnity hereunder. If the opportunity Indemnifying Party elects not to defend the respective ClaimIndemnified Party against such claim or demand, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful (and the reasonable costs and expenses pertaining to such defense) shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in Section 12.1 hereof.

Appears in 2 contracts

Samples: Asset Purchase Agreement (Western Power & Equipment Corp), Merger Agreement (Western Power & Equipment Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party any of Sellers would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Party by a third partyPurchaser Party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the shall promptly deliver to Sellers a Claim Notice (including an estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s failure From and after Closing Purchaser shall also provide Sellers notice of RMA and FCIC compliance requests under the SRA that relate to so notify any matter prior to the Indemnifying Party in accordance with the provisions Closing Date promptly after receipt of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandrequests. The Indemnifying Party Sellers shall have 30 days from the giving of the Claim Notice (the “Notice Period”) Period in which to notify the Indemnified Party: (i) Purchaser Party whether or not the Indemnifying Party disputes the Sellers dispute their liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demanddemand and, and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party desiresSellers desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Purchaser Party against such Claims claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. . (b) In the event that the Indemnifying Party notifies Sellers notify the Indemnified Purchaser Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires Sellers desire to defend the Indemnified Purchaser Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Sellers shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of Indemnified Purchaser Party becoming subject to liability for any other matter; provided, however, Sellers shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include complete, immediate, unconditional, general release by all claimants or plaintiffs of the Indemnified Purchaser Party, in form and substance satisfactory to the Indemnified Purchaser Party from all liability asserted or which could have been asserted in respect of such claim or litigation. The If any Indemnified Purchaser Party shall have the right desires to employ separate counsel in participate in, but not control, any such action defense or settlement, it may do so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except expense. (i) If Sellers elect not to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, defend the Indemnified Purchaser Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice as provided above or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under otherwise, Purchaser shall defend such claim or demand as if this Article 5 may IX did not apply. If the Sellers shall not have assumed the defense of such claim or demand, the Sellers shall have no liability with respect to any compromise or settlement of such claims or demands effected without its written consent (unless such consent shall have been unreasonably withheld, in which case Sellers shall be settled liable to the same extent as if they had provided their written consent). The Sellers shall not admit any liability with respect to, or settle, compromise or discharge, such third party claim without the Indemnified Purchaser Party's prior written consent of the Indemnifying Party, (which consent shall not be unreasonably withheld withheld) unless (i) there is no finding or delayedadmission of any violation of law or any violation of the rights of any person and no effect on any other claims that may be made against the Indemnified Purchaser Party, or (ii) the sole relief provided is monetary damages that are paid in full by the Sellers. (bii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Sellers hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySellers. If, after receipt of a Claim Notice, the Indemnifying Party does If Sellers do not notify the Indemnified Purchaser Party within the Notice Period that heSellers dispute such claim, she or it disputes the amount of such Claim, then the Indemnifying Party 72 claim shall be conclusively deemed to have admitted be a liability for such Claim in the amount set forth in the Claim Noticeof Sellers hereunder. (cd) The Indemnifying Party indemnities provided in this Agreement shall survive the Closing but shall terminate when the applicable representation or warranty terminates pursuant to Article VIII, except as to any item as to which the person to be indemnified shall have, before the expiration of the applicable period, previously made a claim by delivering a Claim Notice (stating in reasonable detail the basis of such claim) to the Sellers. The indemnity provided in this Article IX shall be given the opportunity to defend sole and exclusive remedy of all Indemnified Purchaser Parties against the respective ClaimSellers at law or equity for any matter covered by Article IX. (e) All claims for indemnification by an Indemnified Seller Party under this Agreement shall be asserted and resolved under the procedures set forth above substituting in the appropriate place "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Sellers."

Appears in 2 contracts

Samples: Asset Purchase Agreement (Symons International Group Inc), Asset Purchase Agreement (Goran Capital Inc)

Method of Asserting Claims, Etc. The party or parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall 9 will be asserted as and resolved follows: (a) MAKO shall have the right to enforce all claims in connection with the use of the Licensed Patents in the MAKO Field and ISS shall have the right to enforce all claims in connection with the use of the Licensed Patents in the ISS Field. (b) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of such Indemnified Party, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (x) such Indemnified Party has available to it defenses which consent shall not are in addition to those available to the Indemnifying Party, (y) such Indemnified Party has available to it defenses which are inconsistent with the [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. defenses available to the Indemnifying Party or (z) a conflict exists or may reasonably be unreasonably withheld or delayedexpected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel. If such Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the Indemnifying Party pursuant to this Article 9, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (bc) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: License Agreement (MAKO Surgical Corp.), License Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than 30 days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure materially prejudices shall have adversely prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 45 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . An election to assume the defense of such claim or demand shall not be deemed to be an admission that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying Party is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. offer to settle or compromise any such claim or demand unless the settlement (bi) In includes a full release of the event any Indemnified Party should have from all Liability related to the claim or demand, (ii) does not include a Claim against finding or admission of any violation of applicable Laws on the part of the Indemnified Party and (iii) does not restrict the future activity or conduct of the Indemnified Party or any subsidiary or Affiliate thereof. To the extent the Indemnifying Party hereunder which does not involve a Claim shall control or demand being asserted against participate in the defense or sought to be collected from him by a settlement of any third partyparty claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall fully cooperate in the defense of all such claims. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the estimated amount of a Claim Notice, the liability asserted against the Indemnifying Party by reason of the claim. As a condition to the indemnity provided in Section 8.2(a)(v) and notwithstanding any provision of this Agreement to the contrary, Buyer agrees that: (i) Sellers shall have exclusive control over the conduct of legal proceedings relating to the National Air Cargo Crash; (ii) Buyer shall, and shall cause its Affiliates (including the Acquired Companies) to, cooperate fully with Sellers (including their counsel) with respect to these efforts, including by giving Sellers access during normal business hours to the personnel, business records and other information of the Acquired Companies, the Joint Ventures and the Business; (iii) Buyer and its Affiliates (including the Acquired Companies) shall not engage in communications with third parties, and shall not settle, any claims with respect to the National Air Cargo Crash without the prior written consent of Sellers; and (iv) Buyer shall cause its Affiliates (including the Acquired Companies) to comply with the provisions of this sentence; provided, however, notwithstanding any provision of this Agreement to the contrary, Sellers shall not, and shall cause their respective Affiliates to not, without the prior written consent of Buyer, which shall not be unreasonably withheld, settle, compromise or offer to settle or compromise any claim, demand or legal proceedings relating to the National Air Cargo Crash unless the settlement (i) does not notify include a finding or admission of any violation of applicable Laws on the Indemnified Party within part of Buyer, its Affiliates (including the Notice Period that heAcquired Companies and the Joint Ventures) or the Business and (ii) does not restrict the future activity or conduct of Buyer, she its Affiliates (including the Acquired Companies and the Joint Ventures) or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeBusiness. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Purchase Agreement (Aar Corp), Purchase Agreement (TransDigm Group INC)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demanddemand in a written notice that describes such claim or demand in reasonable detail, specifying including the nature sections of and specific this Agreement which form the basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof (the “Claim Notice”). The Indemnified Party’s Subject to Section 7.1, no delay in or failure to so notify give notice to the Indemnifying Party in accordance with pursuant to this Section 7.3 will adversely affect any of the provisions of other rights or remedies that the Indemnified Party has under this Agreement shall not Agreement, or alter or relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices its obligations to indemnify the Indemnified Party, except to the extent that the Indemnifying Party’s ability to defend against the claim or demandParty is actually and materially prejudiced thereby. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . An election to assume the defense of such claim or demand shall not be deemed to be an admission that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial is liable to the Indemnified Party in respect of such claim or demand. In the event that it is ultimately determined that the Indemnifying PartyParty is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including without limitation, attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings but not control, any such defense or settlement, it may do so at its sole cost and expense; provided however, that if, in the good faith determination of the Indemnifying Party’s counsel, representation by the Indemnifying Party’s counsel would not be permissible under the applicable standards of professional conduct, the Indemnified Party shall be promptly settled or prosecuted by him entitled to a final conclusionparticipate in the defense thereof with counsel of its own choice at the expense of the Indemnifying Party; it being understood that the Indemnifying Party shall control such defense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. (b) In offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any subsidiary or Affiliate thereof. If the Indemnifying Party hereunder which does elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful (and the reasonable costs and expenses pertaining to such defense) shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours and upon reasonable notice, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its commercially reasonable efforts in the defense of all such claims. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Purchase Agreement (Cdi Corp), Purchase Agreement (Spherion Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than twenty (1020) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure shall have materially prejudices prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 sixty (60) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . An election to assume the defense of such claim or demand shall not be deemed to be an admission that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying Party is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. (b) In offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any subsidiary or Affiliate thereof. To the extent the Indemnifying Party hereunder which does not involve a Claim shall control or demand being asserted against participate in the defense or sought to be collected from him by a settlement of any third partyparty claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the defense of all such claims. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the estimated amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 2 contracts

Samples: Purchase Agreement (Teleflex Inc), Purchase Agreement (Aar Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any an Indemnified Party under this Article 5 XV shall be asserted and resolved as follows: (a) In the event that (i) any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said party (such claim or demand being a "THIRD PARTY CLAIM") or (ii) any Indemnified Party shallhereunder should have a claim or demand against any Indemnifying Party hereunder which is not a Third Party Claim (such claim or demand being a "DIRECT CLAIM"), within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall with reasonable promptness notify the Indemnifying Party of such claim or demanddemand in writing, specifying the nature of and the specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible to determine (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “Claim Notice”a "CLAIM NOTICE"). The Indemnified Party’s ; PROVIDED, HOWEVER, that any failure to so notify the Indemnifying Party give such notice will not result in accordance with the provisions a waiver of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving any rights of the Claim Notice (Indemnified Party except to the “Notice Period”) to notify extent the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability rights of the Indemnifying Party are actually prejudiced. (b) In the event of a Third Party Claim, the Indemnifying Party may, and upon request of the Indemnified Party shall, retain counsel reasonably satisfactory to the Indemnified Party hereunder with respect to such Claim or demand, represent the Indemnified Party and (ii) whether or not any other Person the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against may designate in connection with such claim or demand and except as hereinafter provided, the Indemnifying Party shall have pay the right to defend by all appropriate proceedingsfees and disbursements of such counsel with regard thereto. In the event an Indemnifying Party shall retain such counsel, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The an Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofretain its own counsel, but the fees and expenses disbursements of such counsel shall be at the expense of such Indemnified Party except unless (i) the Indemnifying Party and such Indemnified Party shall have mutually agreed to the extent that retention of such counsel or (ii) representation of such Indemnified Party by the employment thereof has been specifically authorized counsel retained by the Indemnifying Party would be inappropriate due to actual or potential conflicting interests between such Indemnified Party and any other Person represented by such counsel in writingsuch proceeding in which case, the reasonable fees and disbursements of such counsel shall be at the expense of the Indemnifying Party. It is understood that the Indemnifying Party has failed after a reasonable period shall not, in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the fees and disbursements of time to assume such defense and to employ counsel or more than one separate firm qualified in such action there is, in jurisdiction to act as counsel for the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnified Party. No Indemnifying Party and the position of such shall be liable to an Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her for any settlement of any action or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) . The Indemnifying Party shall have the right to direct the defense or settlement of any Third Party Claim, but shall not, without the Indemnified Party's prior written consent, which consent shall not be unreasonably withheld or delayed, settle or compromise any claim or consent to entry of any judgment which does not include as an unconditional term thereof the release by the claimant or the plaintiff of the Indemnified Party and its Affiliates from all Liability in respect of such claim. In the event the Indemnifying Party exercises the right to undertake any Indemnified Party should have a Claim such defense against any Indemnifying such Third Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyas provided above, the Indemnified Party shall give a Claim Notice cooperate, and shall use all reasonable efforts to cause its Affiliates to cooperate, with respect to the Indemnifying Party in such Claim defense and make available to the Indemnifying Party. If, after receipt of a Claim Notice, at the Indemnifying Party does not notify Party's expense, all witnesses, pertinent records, materials and information in the Indemnified Party within Party's possession or under the Notice Period that heIndemnified Party's control, she or it disputes such Claim, then and shall use all reasonable efforts to cause its Affiliates to make available to the Indemnifying Party shall be deemed to have admitted liability for such Claim Party, at the Indemnifying Party's expense, all witnesses, pertinent records, materials and information in the amount set forth possession or under the control of any of them relating thereto, in each case as is reasonably required by the Claim NoticeIndemnifying Party. (c) The In the event of a Direct Claim, if the Indemnifying Party notifies the Indemnified Party in writing within ninety days of receipt of a Claim Notice that it does not dispute such claim, the amount of such claim shall be given conclusively deemed a Liability of the opportunity Indemnifying Party hereunder and shall be promptly paid by the Indemnifying Party to defend the respective ClaimIndemnified Party. (d) In the event that there is an audit, court proceeding or other similar investigation or dispute with respect to any Tax matter relating to any shares, assets or business transferred to any JVC for the period prior to or up to and including the Closing Date, the Party hereto that transferred such shares, assets or business (Goodyear, SRI or their Affiliates as the case may be) shall have the right to represent the interests in, (at its expense) to employ counsel of its choice and to control the conduct of, such audit, court proceeding or similar investigation or dispute, including settlement or other disposition thereof; PROVIDED, that the Party hereto which transferred such shares, assets or business to the JVC shall pay any tax deficiency or other Liability adjudged and shall otherwise make the applicable JVC whole; and PROVIDED, FURTHER, that, if such audit, court proceeding or similar investigation or dispute may materially and adversely affect the tax position of the transferee JVC, then the transferee shall have the right to consult with such transferor and any settlement or other disposition thereof may only be with the prior written consent of such transferee JVC, which consent will not be unreasonably withheld.

Appears in 1 contract

Samples: Umbrella Agreement (Goodyear Tire & Rubber Co /Oh/)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as 6.4.1 Promptly after receipt by an Indemnified PRG Party or an Indemnified Seller Party (the "Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a") In the event that any Claim of notice of a claim or demand for which (an Indemnifying Party would be liable "Asserted Liability") that may result in indemnification pursuant to an Indemnified Party hereunder is asserted against Sections 6.1 or sought to be collected from such Indemnified Party by a third party6.2 of this Agreement, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claimshall give written notice thereof (the "Claims Notice") to the party or parties against whom indemnification is or may be claimed (individually an "Indemnifying Party", notify and collectively the "Indemnifying Parties"). The Claims Notice shall describe the Asserted Liability in reasonably sufficient detail, based on the information then available, to allow the Indemnifying Party of such claim or demand, specifying to evaluate the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive Asserted Liability. The failure of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure Party to so notify deliver a Claims Notice to the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices from its obligation to indemnify the Indemnified Party except to the extent the Indemnifying Party’s ability Party is materially prejudiced by the failure to defend against the claim or demandreceive such Claims Notice. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) may elect to notify compromise or defend, at its own expense and by its own counsel, reasonably acceptable to the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demandany Asserted Liability; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and may not prejudicial to compromise or settle any Asserted Liability without the Indemnifying Party. In the event that the Indemnifying Party notifies consent of the Indemnified Party within the Notice Period that he, she or it does not dispute liability Parties unless such compromise or settlement requires no more than a monetary payment for indemnification under this Article 5 and that such person desires to defend which the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled Indemnified Parties hereunder are fully indemnified or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, involves other matters not binding upon the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which Indemnified Parties. If the Indemnifying Party elects to contest orcompromise or defend such Asserted Liability, it shall within thirty (30) calendar days of notice of the Asserted Liability provided to it under this Subsection (or sooner, if appropriate the nature of the Asserted Liability so requires) notify the Indemnified Party or Indemnified Parties in writing of its intent to do so, and related the Indemnified Party or Indemnified Parties shall cooperate, at the expense of the Indemnifying Party with respect to out-of-pocket expenses of the Claim in questionIndemnified Party or Indemnified Parties, in making any Counterclaim against the person asserting the third party Claim or demandcompromise of, or defense against, such Asserted Liability. If the Indemnifying Party elects not to compromise or defend the Asserted Liability, fails to notify the Indemnified Party or Indemnified Parties of its election as herein provided or contests its obligation to indemnify under this Section, the Indemnified Party or Indemnified Parties may pay, compromise or defend such Asserted Liability in respect of any cross-complaint against any person. No Claim for which indemnity is sought hereunder and Asserted Liability for which the Indemnifying Party has acknowledged liability for may have an indemnification obligation under this Article 5 may be settled without Agreement. Notwithstanding the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyforegoing, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, or Indemnified Parties and the Indemnifying Party does not notify may participate, at its/their own expense, in the Indemnified Party within the Notice Period that he, she or it disputes defense of such Claim, then Asserted Liability in respect of any Asserted Liability for which the Indemnifying Party shall be deemed to may have admitted liability for such Claim an indemnification obligation under this Agreement. Notwithstanding anything in the amount set forth foregoing to the contrary, the party that would be responsible under the terms of this Agreement for paying the underlying claim in connection with any Asserted Liability (should that claim ultimately prevail) shall bear the Claim Noticecost of the defense of the claim (with the exception of the costs incurred by any party that voluntarily participates in such defense) regardless of which party actually provides the defense. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Acquisition Agreement (Ects a Scenic Technology Co Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: set forth in this Section 9.3 except for claims pursuant to Article V hereof (a) as to which the provisions of Article V shall be applicable). In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business days from the date upon which the but in no event more than 30 Business Days following such Indemnified Party has Knowledge Party's actual receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article IX, not including a third party claim, the Indemnified Party shall notify the Indemnifying Party promptly following its discovery of the facts or circumstances giving rise thereto (together with a Third Party Claim Notice, a "Claim Notice"); provided, that no such notice need be provided to an Indemnifying Party if the Deductible has not been exceeded and will not be exceeded by such claim or demand; and provided, further, that the failure to notify on the part of the Indemnified Party in accordance with the provisions of this Agreement manner set forth herein shall not relieve foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandnotify. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Third Party Claim Notice (except that such a period shall be decreased to a time 10 days before a scheduled appearance date in a litigated matter) (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand, which it shall not be entitled to do until the Deductible is exceeded. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to the amount of such costs and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of expenses incurred by the Indemnifying Party shall be separate and apart from, and shall not prejudicial to be included in, the Indemnifying PartyMaximum Amount. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand demand, which it shall not be entitled to do until the Deductible is exceeded and except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedingsproceedings and by counsel reasonably acceptable to the Indemnified Party. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent shall not be unreasonably withheld order, injunction or delayed. (b) In decree which would restrict the event any Indemnified Party should future activity or conduct of, or which would otherwise have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partymaterial adverse effect on, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Partyor any subsidiary or Affiliate thereof. If, after receipt of a Claim Notice, If the Indemnifying Party does elects not notify to defend the Indemnified Party within against such claim or demand, whether by not giving the Notice Period that he, she Indemnified Party timely notice as provided above or it disputes such Claimotherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion of any such claim or demand as to which such defense is unsuccessful (and all reasonable costs and expenses pertaining to such defense) shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in Section 9.1 hereof. To the extent the Indemnifying Party shall be deemed to have admitted liability for such Claim control or participate in the amount set forth defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the Claim Notice. (c) The defense of all such claims, and in connection therewith shall be entitled to reimbursement by the Indemnifying Party shall be given of expenses directly related to efforts undertaken at the opportunity to defend specific request of the respective ClaimIndemnifying Party.

Appears in 1 contract

Samples: Stock Purchase Agreement (Repap Wisconsin Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.5. In the event that any Claim written claim or demand for which the SKT Parties or EarthLink, as the case may be (an Indemnifying Party would Party”), may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event later than 15 days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify in writing the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The failure by any Indemnified Party’s failure Party to so notify the Indemnifying Party in accordance with the provisions of this Agreement Section 7.5 shall not relieve the any Indemnifying Party of from any liability hereunder unless which it may have to such Indemnified Party with respect to any claim made pursuant to this Section 7.5, except to the extent such failure materially actually prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from after the giving personal delivery or mailing of the Claim Notice Notice, whichever is later, (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to demand and shall during the Notice Period and thereafter be provided by the Indemnified Party with such information relating to file any motion, answer the claim or other pleading which he shall deem necessary or appropriate to protect his interests or those of demand as the Indemnifying Party shall request. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be borne by the Indemnifying Party. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right sole power to direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by the Indemnified Party, except as hereinafter provided. The Indemnifying Party shall be liable for the reasonable fees and expenses of the Indemnified Party in connection with the defense of a claim if the Indemnified Party shall have been advised in writing by outside counsel that there are actual conflicts of interests between the Indemnified Party and the Indemnifying Party in connection with the defense of such claim; provided, however, that the Indemnifying Party shall not be responsible for the fees and expenses of more than one separate firm of attorneys at any time for all Indemnified Parties. If any Indemnified Party desires to participate in, but not control, any such defense it may do so at its sole cost and expense (except as provided in the preceding sentence), provided that in any action seeking an injunction or decree which would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof, the Indemnified Party shall be entitled to participate in the defense of such action at the expense of the Indemnifying Party. The Indemnified Party shall not settle, compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party or admit to any liability with respect to such claim or demand without the prior written consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof. To the extent the Indemnifying Party shall direct, control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party will provide the Indemnifying Party and its counsel access to all relevant business records and other documents, and shall use its reasonable best efforts to assist, and to cause the employees and counsel of the Indemnified Party to assist, in defense of such claim. If the Indemnifying Party elects not to defend by all appropriate proceedingsthe Indemnified Party or if the foregoing prohibits the Indemnifying Party from defending the Indemnified Party, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The the Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity obligation to defend the respective Claimclaim or demand by appropriate proceedings and shall have the sole power to direct and control such defense.

Appears in 1 contract

Samples: Contribution and Formation Agreement (Earthlink Inc)

Method of Asserting Claims, Etc. The party claiming making a claim for indemnification is hereinafter under this Article VIII is, for the purposes of this Agreement, referred to as the “Indemnified Party” and the party or parties against whom such claims are asserted hereunder is hereinafter under this Article VIII is, for the purposes of this Agreement, referred to as the “Indemnifying Party.” ”. All Claims for indemnification claims by any Indemnified Party under this Article 5 VIII shall be asserted and resolved as follows: (a) In the event that (i) any Claim Proceeding is asserted, instituted or demand threatened by the relevant competent Governmental Authority or Person, in any case other than the Parties hereto and their Affiliates which could give rise to Damages for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against (such Proceeding, a “Third Party Claim”) or sought (ii) any Indemnified Party hereunder shall have a claim (including as a result of a potential claim that may result from facts, liabilities, contingencies or practices of the Group) to be collected from indemnified by any Indemnifying Party hereunder (such Indemnified Party by claim, a third party“Direct Claim”), said the Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claimwith reasonable promptness, notify send to the Indemnifying Party of such claim or demand, a written notice specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the a “Claim Notice”). The Indemnified Party’s failure to so notify . (b) In the event of a Third Party Claim, the Indemnifying Party in accordance with and the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Indemnified Party shall have 30 days from agree on a reputable counsel among the giving of leading firms specialized in litigation and in the matter covered by the Third Party Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of be retained by the Indemnifying Party to represent the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not any other Person the Indemnifying Party desires, at the sole cost may reasonably designate in connection with such Third Party Claim and expense of the Indemnifying PartyParty shall pay the fees and disbursements of such counsel and any legal costs, to defend the Indemnified Party against such Claims or demandexpenses and deposits with regard thereto; provided, however, that in the event the Indemnifying Party and the Indemnified Party fail to agree on counsel as above described within two Business Days, the Indemnifying Party may appoint within a subsequent period of one Business Day a reputable counsel among the leading firms specialized in litigation and in the matter covered by the Third Party Claim and, if the Indemnifying Party does not appoint such counsel within such period, any Indemnified Party is hereby authorized prior to retain reputable counsel among the leading firms specialized in litigation and during in the Notice Period matter covered by the Third Party Claim, whose fees and expenses, as well as any advances, legal costs, expenses or deposits (including court or judicial deposits) required in any Third Party Claim, shall be at the expense of the Indemnifying Party to file any motion, answer or other pleading and take such other action which he it shall reasonably deem necessary or appropriate to protect his the interests or those of the Indemnifying Indemnified Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the The Indemnifying Party shall have not, in connection with any Third Party Claim or related Proceedings in the right to defend by same jurisdiction, be liable for the reasonable fees and expenses of more than one such firm for all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusionsuch Indemnified Parties. The Indemnified Party shall have agrees not to settle any Third Party Claim without the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position prior written consent of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)Party. If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting defending any Third Party Claim or demand which the Indemnifying Party elects to contest defends, or, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person Person asserting the third party Third Party Claim or demand, or any cross-complaint against any person. No Person. (c) In the event of a Direct Claim for which indemnity is sought hereunder and for which Damages already materialized, unless the Indemnifying Party has acknowledged notifies the Indemnified Party in writing within thirty (30) days of receipt of a Claim Notice that it disputes such claim, the amount of such claim shall be conclusively deemed a liability for indemnification under this Article 5 may of the Indemnifying Party hereunder and shall be settled without paid to the consent Indemnified Party immediately. In the event of a Direct Claim with respect to Damages not yet materialized notified by the Indemnifying Party to the Indemnified Party within the relevant term set forth in Section 8.1, the amount of such claim shall be paid by the Indemnifying Party to the Indemnified Party within five Business Days following receipt of written notice from the Indemnifying Party informing that the Damages have materialized. (d) From and after the delivery of a Claim Notice hereunder, at the reasonable request of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a grant the Indemnifying Party and its representatives all reasonable access to the books, records and properties of the Indemnified Party to the extent reasonably related to the matters to which the Claim Notice relates, except for any of the foregoing that contains confidential or privileged information pursuant to applicable Law. The Indemnifying Party will not, and shall require that its representatives do not, use (except in connection with respect to such Claim Notice) or disclose or make available to any third Person other than the Indemnifying Party’s representatives (except as may be required by applicable Laws) any information obtained pursuant to this Section which is designated as confidential by the Indemnified Party. All such access shall be granted during normal business hours, shall be subject to the normal safety regulations of the Indemnified Party, and shall be granted under conditions which will not interfere with the business and operations of the Indemnified Party. (e) Any Damages that are indemnifiable pursuant to this Article VIII shall be paid: (i) (A) immediately upon definitive resolution of a dispute in connection with a Direct Claim or (B) upon termination of the 30-day term set forth in Section 8.4(c) in case of an undisputed Claim Notice in accordance with such provision; or (ii) on the fifth Business Day after receipt of written notice that, as the case may be (A) a settlement has been made; or (B) all appeals in connection with the corresponding Third Party Claim have been exhausted (decisão transitada em julgado). Any Damages that are indemnifiable pursuant to this Article VIII and are not paid on the due date thereof shall accrue interest at a rate equivalent to 103% of the Selic Rate from the due date of the indemnification until (but excluding) the date when actually paid. (f) Any amount of Damages indemnifiable in accordance with this Article VIII which is recovered by the Indemnified Party from third parties shall: (x) immediately upon receipt thereof be deducted from the amounts payable by the Indemnifying Party, if effectively received prior to payment of such indemnification, or (y) be reimbursed to the Indemnifying Party. If, Party within five days from receipt thereof if effectively received after receipt of a Claim Notice, the such Indemnifying Party does not notify has effectively paid the full amount of the indemnification due to the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeParty. (cg) The Indemnifying Party Without in any manner limiting the rights of the Buyer under this Agreement, from and after Closing the Buyer agrees to (and to cause the relevant entities of the Group to), at the request and at the expense of the Seller, cooperate with the Seller and use reasonable efforts to file (or cause the relevant entity of the Group to file) the relevant claims with, and fill out the required forms and other documents of, insurance and bank guarantee providers in order to recover from such insurance and bank guarantee providers the amount of Damages indemnifiable by the Seller in accordance with Section 8.1(a) which is guaranteed by such insurance or bank guarantee providers, as long as filing such claims and taking such other action contemplated herein may not, in the reasonable judgment of the Buyer, be disadvantageous to the Buyer, adversely interfere with the Buyer’s relationship with any third party or otherwise cause any Damages to the Buyer; provided that the Seller shall keep the Buyer, the Company, each other entity of the Group and their managers harmless from any Damages arising out of the Buyer’s performance of the actions contemplated in this Section 8.4(g). In any event, for the avoidance of doubt, the Parties acknowledge that the commitment under this Section 8.4(g) is a reasonable effort commitment and that nothing in this clause shall be given construed as to require the opportunity Buyer to defend the respective Claimmitigate Damages or seek recovery of such Damages from any third party as a condition to being entitled to any indemnification rights under this Agreement.

Appears in 1 contract

Samples: Share Purchase Agreement (Energy Co of Minas Gerais)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 XI shall be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party indemnifying party would be liable to an Indemnified Party indemnified party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party the indemnified party shall, within ten : (10i) business days from the date upon which the Indemnified Party has Knowledge of such Claim, promptly notify the Indemnifying Party indemnifying party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the "Claim Notice"). The Indemnified Party’s ; provided, however, that the failure of an indemnified party to so notify the Indemnifying Party in accordance with the provisions of this Agreement give notice as provided herein shall not relieve an indemnifying party of its obligations under this Article XI, except to the Indemnifying Party of liability hereunder unless such failure extent the indemnifying party is materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party prejudiced thereby; (ii) an indemnifying party shall have 30 fifteen (15) calendar days from the giving its receipt of the Claim Notice (the "Notice Period") to notify the Indemnified Party: indemnified pattx (ix) whether or not the Indemnifying Party indemnifying party disputes the its liability of the Indemnifying Party to the Indemnified Party indemnified party hereunder with respect to such Claim claim or demand, and (iiy) if the indemnifying party does or does not dispute such liability, whether or not the Indemnifying Party indemnifying party desires, at the its sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party indemnified party against such Claims claim or demand; provided, however, that any Indemnified Party the indemnified party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he it shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In its interests; (iii) in the event that the Indemnifying Party indemnifying party notifies the Indemnified Party indemnified party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person the indemnifying party desires to defend the Indemnified Party against such claim or demand and demand, then except as hereinafter provided, the Indemnifying Party indemnifying party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or diligently prosecuted by him to a final conclusion. The Indemnified Party ; provided, however, that the indemnifying party shall not, without the consent of the 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 the indemnified party of an unconditional release from all liability in respect of such Damages or which requires action on the part of such indemnified party or otherwise subjects the indemnified party to any obligation or restriction to which it would not otherwise be subject; (iv) if the indemnified party desires to participate in, but not control, any such defense or settlement it may do so at its sole cost and expense; provided, however, that the indemnifying party shall pay such expense if representation of the indemnified party by the counsel retained by the indemnifying party would be inappropriate due to material differing interests between the indemnified party and any other party represented by such counsel in such proceeding; (v) if, in the opinion of the indemnified party, any such claim or demand involves an issue or matter which could have a Material Adverse Effect on the indemnified party, or an Affiliate of the indemnified party, the indemnified party shall have the right to employ separate counsel in control the defense or settlement of any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim claim or demand, and its costs and expenses thereof shall be included as part of the indemnification obligations of the indemnifying party hereunder and, with respect to subsections (iv) and (v) the indemnifying party shall make available to the indemnified party any documents and materials in his or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 her possession or control that may be settled necessary or useful to such defense; provided that, the indemnifying party shall not be bound by any determination of a settlement effected without the its prior consent of the Indemnifying Party, (which consent shall not be unreasonably withheld withheld) if such settlement does not relieve it of such liabilities under such claim. (vi) if the indemnifying party disputes the indemnifying party's liability with respect to such claim or delayeddemand or elects not to defend against such claim or demand, whether by not giving timely notice as provided above or otherwise, then the amount of any such claim or demand, or, if the same be contested by the indemnifying party or by the indemnified party (but the indemnified party shall not have any obligation to contest any such claim or demand), then that portion thereof as to which such defense is unsuccessful, shall be conclusively deemed to be a liability of the indemnifying party hereunder (subject, if the indemnifying party has timely disputed liability, to a determination that the disputed liability is covered by these indemnification provisions). (b) In the event any Indemnified Party the indemnified party should have a Claim claim against any Indemnifying Party the indemnifying party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party indemnified party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying Partyindemnifying party. If, after receipt of a Claim Notice, If the Indemnifying Party indemnifying party does not notify the Indemnified Party indemnified party within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in of the amount set forth in the Claim Noticeindemnifying party hereunder. (c) The Indemnifying Party Nothing herein shall be given deemed to prevent any indemnified party from making a claim hereunder for potential or contingent claims or demands provided the opportunity Claim Notice sets forth the specific basis for any such potential or contingent claim or demand and the estimated amount thereof to defend the respective Claimextent then feasible and the indemnified party has reasonable grounds to believe that such a claim or demand will be made. (d) A final determination of a disputed claim as to Damages shall be (i) as to third party claims, a judgment of any court determining the validity of a disputed claim, if no appeal is pending from such judgment or if the time to appeal therefrom has elapsed, (ii) as between the Company, the Shareholders and/or the Buyer an award of any arbitration determining the validity of such disputed claim; (iii) a written agreement as to the termination of the dispute with respect to such claim signed by all of the parties thereto or their attorneys, (iv) a written acknowledgement of the indemnifying party that he or it no longer disputes the validity of such

Appears in 1 contract

Samples: Stock Purchase Agreement (Webgain Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 9.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than 30 days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving delivery of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend (or permit any of its predecessors (a “Permitted Designee”) to defend) the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the limitations set forth in this Article 9. In the event that it is ultimately determined that the Indemnifying PartyParty is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including, without limitation, attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend or permit a Permitted Designee to defend, the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.by

Appears in 1 contract

Samples: Asset Purchase Agreement (Gsi Technology Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 6 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 6 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 6 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Subscription Agreement (True Drinks Holdings, Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 9.6. In the event that any Claim written claim or demand for which Seller or Buyer, as the case may be (an Indemnifying Party would Party”), may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event later than 30 days from the date upon which the following such Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party Party’s receipt of such claim or demand, specifying notify in writing the nature Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “Claim Notice”). The Indemnifying Party shall be relieved of its obligations to indemnify the Indemnified Party’s failure Party with respect to so notify such claim or demand if the Indemnified Party fails to timely deliver the Claim Notice to the extent that the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure is materially prejudices the Indemnifying Party’s ability to defend against the claim or demandprejudiced thereby. The Indemnifying Party shall have 30 days from after the giving personal delivery or mailing of the Claim Notice Notice, whichever is later, (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to demand and shall during the Notice Period and thereafter be provided by the Indemnified Party with such information relating to file any motion, answer the claim or other pleading which he shall deem necessary or appropriate to protect his interests or those of demand as the Indemnifying Party shall reasonably request. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be borne by the Indemnifying Party, but shall be counted towards the Limit if such Claim is for breach of a representation or warranty other than such representations and warranties exempt from the Limit as set forth in Section 9.1. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand, the Indemnifying Party shall have the sole power to direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by the Indemnified Party. If any Indemnified Party desires to participate in, but not control, any such defense it may do so at its sole cost and expense. The Indemnified Party shall not settle, compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party or admit to any liability with respect to such claim or demand without the prior written consent of the Indemnifying Party (which consent shall not be unreasonably withheld or delayed). The Indemnifying Party shall not, without the written consent of the Indemnified Party (which consent shall not be unreasonably withheld or delayed), settle, compromise or offer to settle or compromise any such claim or demand unless the terms of such settlement provide for no admission of liability, fault or violation of Law or Contract and except as hereinafter providedno relief other than payments of monetary damages that are not to be paid by the Indemnified Party or any of its Affiliates. To the extent the Indemnifying Party shall direct, control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party shall provide the Indemnifying Party and its counsel reasonable access to all relevant business records and other documents, and shall use its reasonable best efforts to assist, and to cause the employees and counsel of the Indemnified Party to assist, in defense of such claim. Notwithstanding the foregoing, if the Indemnifying Party elects not to defend the Indemnified Party or if an actual conflict of interest exists, the Indemnified Party shall (at the sole cost and expense of the Indemnifying Party in accordance with and subject to this Article IX) have the right and the obligation to vigorously defend the claim or demand by appropriate proceedings and shall have the sole power to direct and control such defense with respect to itself, subject to the restriction on settlement pursuant to this Article IX. In any event, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses or settlement of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim third party claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedliable hereunder at its own expense. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Stock Purchase Agreement (Diageo PLC)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand demand, for which an Indemnifying Party Seller would be liable to an Indemnified Buyer Party hereunder hereunder, is asserted against or sought to be collected from such an Indemnified Buyer Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Buyer Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Seller of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Seller shall have 30 twenty days from the giving delivery of the Claim Notice pursuant to Section 9.9 (the "Notice Period") to notify the Indemnified Buyer Party: , (iA) whether or not the Indemnifying Party Seller disputes the its liability of the Indemnifying Party to the Indemnified Buyer Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Buyer Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party . (a) If Seller notifies the Indemnified Buyer Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Buyer Party against such claim or demand and demand, then, except as hereinafter provided, the Indemnifying Party Seller shall have the right to defend the Indemnified Buyer Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of the Indemnified Buyer Party becoming subject to liability for any other matter; provided, however, that Seller shall not, without the prior written consent of the Indemnified Buyer Party, consent to the entry of any judgment against the Indemnified Buyer Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Buyer Party of a release, in form and substance reasonably satisfactory to the Indemnified Buyer Party, from all liability in respect of such claim or litigation. The If any Indemnified Buyer Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If, in the reasonable opinion of the Indemnified Buyer Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets or properties of the Indemnified Buyer Party, then the Indemnified Buyer Party shall have the right to employ separate counsel in control the defense or settlement of any such action and participate in the defense thereofclaim or demand; provided, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent however, that the employment thereof has been specifically authorized by the Indemnifying Indemnified Buyer Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume shall not settle any such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying Party, Seller which consent shall not be unreasonably withheld withheld. If the Indemnified Buyer Party should elect to exercise such right, Seller shall have the right to participate in, but not control, the defense or delayedsettlement of such claim or demand at its sole cost and expense. (b) In the event any If an Indemnified Buyer Party should have has a Claim claim against any Indemnifying Party Seller hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Buyer Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySeller. If, after receipt of a Claim Notice, the Indemnifying Party If Seller does not notify the Indemnified Buyer Party within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Seller hereunder. (c) The Indemnifying All claims for indemnification by an Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Buyer Party" and "Buyer" for "Seller".

Appears in 1 contract

Samples: Asset Purchase Agreement (Eftc Corp/)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any an Indemnified Party under this Article 5 XIV shall be asserted and resolved as follows: (a) In the event that (i) any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (such claim or demand, said a "Third Party Claim") or (ii) any Indemnified Party shallhereunder should have a claim or demand against any Indemnifying Party hereunder which does not involve a claim or demand being asserted against or sought to be collected from it by a third party (such claim or demand, within ten (10) business days from the date upon which a "Direct Claim"), the Indemnified Party has Knowledge of such Claim, shall with reasonable promptness notify in writing the Indemnifying Party of such claim or demand, specifying the nature of and the specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible to determine (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “a "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any failure to give such notice will not result in a waiver of any rights of the Indemnified Party is hereby authorized prior except to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those extent the rights of the Indemnifying Party and not prejudicial to the Indemnifying Party. are actually prejudiced. (b) In the event that of a Third Party Claim, the Indemnifying Party notifies may, and upon request of the Indemnified Party within the Notice Period that heshall, she or it does not dispute liability for indemnification under this Article 5 and that such person desires retain counsel reasonably satisfactory to defend the Indemnified Party against to represent the Indemnified Party and any other persons the Indemnifying Party may designate in connection with such claim or demand and except as hereinafter provided, shall pay the fees and disbursements of such counsel with regard thereto. In the event an Indemnifying Party shall have the right to defend by all appropriate proceedingsretain such counsel, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The an Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofretain its own counsel, but the fees and expenses disbursements of such counsel shall be at the expense of such Indemnified Party except unless (i) the Indemnifying Party and such Indemnified Party shall have mutually agreed to the extent that retention of such counsel or (ii) representation of such Indemnified Party by the employment thereof has been specifically authorized 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, such proceeding. It is understood that the Indemnifying Party has failed after a reasonable period shall not, in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the fees and disbursements of time to assume such defense and to employ counsel or more than one separate firm qualified in such action there is, in jurisdiction to act as counsel for the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnified Party. No Indemnifying Party and the position of such shall be liable to an Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her for any settlement of any action or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled claim without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedwithheld. (bc) In in the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim NoticeDirect Claim, if the Indemnifying Party does not notify the Indemnified Party within the sixty (60) days of receipt of a Claim Notice Period that he, she or it disputes such Claimclaim, then the amount of such claim shall be conclusively deemed a liability of the Indemnifying Party hereunder and shall be paid to the Indemnified Party immediately. (d) Anything in this Section 14.5 to the contrary notwithstanding, (i) if there is a reasonable probability that a Third Party Claim may materially and adversely affect an Indemnified Party, the Indemnified Party shall have the right to defend, compromise or settle such claim, and (ii) the Indemnifying Party shall be deemed not, without the Indemnified Party's written consent, settle or compromise any claim or consent to have admitted entry of any judgment which does not include as an unconditional term thereof the release by the claimant or the plaintiff of the Indemnified Party and its Subsidiaries from all liability for in respect of such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Master Agreement (Hc Investments Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that set forth in this Section 9.3. An Indemnified Party entitled to any Claim indemnification provided for under this Agreement in respect of, arising out of or involving a claim or demand for which made by, or an Indemnifying Party would be liable action, proceeding or investigation instituted by, any Person (whether or not a party to this Agreement) (an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party“Indemnity Claim”), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, must notify the Indemnifying Party in writing, and in reasonable detail, of the Indemnity Claim as promptly as practicable after such Indemnified Party learns of the Indemnity Claim; provided, however, that failure to give such notification shall not affect the indemnification provided hereunder unless the Indemnifying Party shall have been actually prejudiced as a result of such claim or demandfailure. Such written notice (the “Claim Notice”) shall to the extent reasonably possible, specifying the nature of and specific basis for such claim or demand and set forth the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof. (the b) If an Indemnity Claim is made against an Indemnified Party by a third party (a Claim NoticeThird Party Claim”). The , such Indemnified Party shall promptly, but in no event more than 30 days following such Indemnified Party’s failure receipt of such Third Party Claim, deliver a Claim Notice to so notify the Indemnifying Party in accordance with respect thereto; provided, however, that failure to provide such notice within the provisions of this Agreement time period required shall not relieve affect the Indemnified Party’s right to indemnification hereunder except to the extent that the Indemnifying Party was actually prejudiced as a result of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandfailure. The Indemnifying Party shall have 30 ten (10) days from the giving date of personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party in writing whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to it shall defend the Indemnified Party against such Claims or demandThird Party Claim; provided, however, provided that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of if the Indemnifying Party assumes such defense, such written notice shall include the assumption in full of all responsibility for any Losses arising from such Third Party Claim, subject to the limitations set forth in this ARTICLE IX. Notwithstanding the foregoing, without the prior written consent of the Indemnified Party, the Indemnifying Party shall not have the right to assume the defense of any Third Party Claim described in a Claim Notice that (i) seeks an injunction or other equitable relief as a primary remedy, (ii) relates to or arises in connection with any criminal or quasi-criminal allegation, proceeding, action, indictment or investigation, (iii) in the reasonable judgment of the Indemnified Party, is likely to result in aggregate liability that will exceed the then remaining amount of the Cap or (iv) primarily relates to a claim or demand of, or a dispute with, a material customer of Seller. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defense of a Third Party against such claim or demand and Claim, except as hereinafter herein provided, the Indemnifying Party shall have the right to defend do so by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified If the Indemnifying Party shall have has the right to employ separate counsel in any such action and participate in elects to assume the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified a Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingClaim, the Indemnifying Party has failed after a reasonable period shall select counsel, contractors and consultants of time recognized standing and competence; shall take all steps reasonably necessary in the defense or settlement of such Third Party Claim; and shall diligently pursue the resolution of such Third Party Claim. If the Indemnified Party desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense; provided, however, that the Indemnifying Party shall pay all reasonable fees, costs and expenses of one outside counsel (in addition to employ counsel local counsel) in connection with such participation (i) if it requests the Indemnified Party to participate or in such action there is, (ii) if in the reasonable opinion of such separate counseloutside counsel to the Indemnified Party, a material conflict on any material issue or potential conflict exists between the position Indemnified Party and the Indemnifying Party that would make joint representation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)impermissible under applicable standards of professional conduct. If requested by the Indemnifying Party chooses to defend or prosecute any Third Party Claim, all of the parties hereto shall reasonably cooperate in the defense or prosecution thereof. Subject to attorney-client privilege, such cooperation shall include the retention and there is no Material Conflict(upon the Indemnifying Party’s reasonable request) the provision to the Indemnifying Party of records and information which are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder; provided, however, that any out-of-pocket cost incurred by the Indemnified Party agrees to cooperate in connection with such cooperation shall be at the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personParty’s expense. No Claim for which indemnity is sought hereunder and for which If the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without assumed the consent defense of a Third Party Claim, the Indemnifying Party may only settle or compromise a Third Party Claim with the Indemnified Party, ’s prior written consent (which consent shall not be unreasonably withheld or delayed. (b) In ); provided, however, that the event any Indemnifying Party may settle or compromise such a Third Party Claim without the prior written consent of the Indemnified Party should have a Claim against any if such settlement or compromise (x) provides solely for the payment of money by the Indemnifying Party hereunder which and includes a complete and unconditional release of the Indemnified Party from all liability in respect of such Third Party Claim and (y) does not involve subject the Indemnified Party to any injunctive relief or other equitable remedy. If the Indemnifying Party does not defend the Indemnified Party against a Third Party Claim for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or demand being asserted against otherwise, then the Indemnified Party shall have the right to defend and settle such Third Party Claim; provided that the amount of any such Third Party Claim, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful, shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this ARTICLE IX, provided that whether or sought to be collected from him by not the Indemnifying Party shall have assumed the defense of a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim not settle or compromise any Third Party Claim, or consent to the Indemnifying Party. Ifentry of any judgment, after receipt without the prior written consent of a Claim Notice, the Indemnifying Party does (which consent shall not notify the Indemnified Party within the Notice Period that he, she be unreasonably withheld or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticedelayed). (c) The Indemnifying Party Notwithstanding anything to the contrary contained in this Section 9.3, to the extent there is any inconsistency between this Section 9.3 and Section 6.20 as to any Tax Contest, Section 6.20 shall be given the opportunity to defend the respective Claimcontrol.

Appears in 1 contract

Samples: Merger Agreement (Universal Business Payment Solutions Acquisition Corp)

Method of Asserting Claims, Etc. The party or parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall VIII will be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shallwill, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claimwith reasonable promptness, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnified Parties, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (i) such Indemnified Party has available to it defenses which consent shall are in addition to those available to the Indemnifying Party, (ii) such Indemnified Party has available to it defenses which are inconsistent with the defenses available to the Indemnifying Party or (iii) a conflict exists or may reasonably be expected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel subject to the approval of such legal counsel by the Indemnifying Party, such approval not to be unreasonably withheld or delayedwithheld. If such [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the Indemnifying Party pursuant to this Article VIII, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (b) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Contribution Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “Claim Notice”). The Indemnified Party’s ; provided, however, that the failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure materially prejudices shall have adversely prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 sixty (60) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party shall not have the right to defend any claim arising from or related to (i) a material customer or supplier of the Business or (ii) a third party that seeks, in addition to or in lieu of monetary damages, any injunctive or other equitable relief (except where injunctive or other equitable relief is merely incidental to a primary claim or claims for monetary damages); provided, further, that in the event that the Indemnified Party reasonably believes that the claim that is the subject of the Claim Notice requires immediate action and the Indemnifying Party has not prejudicial notified the Indemnified Party of its intent to defend, the Indemnified Party may take such action (and only such action) as it believes necessary to mitigate the scope of the claim. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying Party is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedingsProceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. (b) In offer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party or any subsidiary or Affiliate thereof. If the Indemnifying Party elects not to defend the Indemnified Party against a claim or demand for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or otherwise, and in the event the Indemnifying Party is ultimately determined to be obligated to indemnify, defend or hold the Indemnifying Party harmless with respect to the applicable third-party claim, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense of the claim by the Indemnified Party should have a Claim against any is unsuccessful (and the reasonable costs and expenses pertaining to such defense) shall be the liability of the Indemnifying Party hereunder which does not involve a Claim hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or demand being asserted against participate in the defense or sought to be collected from him by a settlement of any third partyparty claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the defense of all such claims. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the claim which are known to the Indemnifying Party. IfIndemnified Party at the time of making such claim, after receipt and the estimated amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Equity Interest Purchase Agreement (Fuel Systems Solutions, Inc.)

Method of Asserting Claims, Etc. The party items listed in Section 9.1 and Section 9.2 are sometimes collectively referred to herein as "DAMAGES"; PROVIDED that such reference shall be understood to mean the respective damages from and against which Buyer and its affiliates and their respective subsidiaries, officers, directors, stockholders, agents and attorneys (the "BUYER INDEMNITEES") or Seller and its respective officers, directors, agents and attorneys (the "SELLER INDEMNITEES"), as the case may be, are indemnified as the context requires. The person claiming indemnification hereunder, whether a Buyer Indemnitee or a Seller Indemnitee, is hereinafter sometimes referred to as the “Indemnified Party” "INDEMNIFIED PARTY" and the party against whom such claims are asserted hereunder is hereinafter sometimes referred to as the “Indemnifying Party.” "INDEMNIFYING PARTY". All Claims claims for indemnification by any an Indemnified Party under this Article 5 Section 9.1 or Section 9.2 hereof, as the case may be, shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Damages to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a "THIRD PARTY CLAIM"), said such Indemnified Party shall, within ten shall with reasonable promptness (10but in no event later than thirty (30) business days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”"CLAIM NOTICE"). The For this purpose the commencement of any audit or other investigation respecting Taxes shall constitute a Third Party Claim. Notwithstanding the foregoing, failure to so provide a Claim Notice as provided above shall not relieve the Indemnifying Party from its obligation to indemnify the Indemnified Party’s Party with respect to any such Third Party Claim except to the extent that a failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially reasonably sufficient time prejudices the Indemnifying Party’s 's ability to defend against the claim or demandThird Party Claim. The Indemnifying Party shall have 30 thirty (30) days from the giving delivery of the Claim Notice (the “Notice Period”"NOTICE PERIOD") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims Third Party Claim. (b) If the Indemnifying Party notifies the Indemnified Party within the Notice Period that the Indemnifying Party does not dispute its liability to the Indemnified Party and that the Indemnifying Party desires to defend the Indemnified Party with respect to the Third Party Claim pursuant to this Article 9, then the Indemnifying Party shall have the right to defend, at its sole cost and expense, such Third Party Claim by all appropriate proceedings, which proceedings shall be diligently prosecuted by the Indemnifying Party to a final conclusion or demandsettled at the discretion of the Indemnifying Party (but only if the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of, and all obligations under, such settlement; providedotherwise, howeverno such settlement shall be agreed to without the prior written consent of the Indemnified Party). If the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, the Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; PROVIDED, HOWEVER, that any the Indemnified Party is hereby authorized prior authorized, at the sole cost and expense of the Indemnifying Party (but only if the Indemnified Party is actually entitled to and indemnification hereunder or if the Indemnifying Party assumes the defense with respect to the Third Party Claim as permitted hereunder), to file during the Notice Period to file any motion, answer or other pleading pleadings which he the Indemnified Party shall deem necessary or appropriate to protect his its interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party (it being understood and agreed that if an Indemnified Party takes any such action which is prejudicial and conclusively causes a final adjudication which is adverse to the Indemnifying Party. In the event that , the Indemnifying Party notifies shall be relieved of its obligations hereunder with respect to such Third Party Claim); and PROVIDED FURTHER, that if requested by the Indemnifying Party, the Indemnified Party agrees, at the sole cost and expense of the Indemnifying Party, to cooperate with the Indemnifying Party and its counsel in contesting any Third Party Claim which the Indemnifying Party elects to contest, or, if appropriate and related to the Third Party Claim in question, in making any counterclaim against the person asserting the Third Party Claim, or any cross-complaint against any person. The Indemnified Party may participate in, but not control (except if the Indemnifying Party is not liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, in which case whichever of the Indemnifying Party or the Indemnified Party is liable for the largest amount of Damages with respect to the Third Party Claim shall control), any defense or settlement of any Third Party Claim with respect to which the Indemnifying Party is participating pursuant to this Section 9.3(b), and except as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation. (c) If the Indemnifying Party fails to notify the Indemnified Party within the Notice Period that he, she or it the Indemnifying Party does not dispute its liability for indemnification under this Article 5 to the Indemnified Party and that such person the Indemnifying Party desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedpursuant to this Article 9, then the Indemnifying Indemnified Party shall have the right to defend defend, at the sole cost and expense of the Indemnifying Party, the Third Party Claim by all appropriate proceedings, which proceedings shall be promptly settled or and vigorously prosecuted by him the Indemnified Party to a final conclusionconclusion or settled. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses full control of such counsel shall be at the expense of such Indemnified Party except to the extent defense and proceedings, including any compromise or settlement thereof; PROVIDED, HOWEVER, that the employment thereof has been specifically authorized if requested by the Indemnifying Party in writingIndemnified Party, the Indemnifying Party has failed after a reasonable period of time to assume such defense agrees, at the sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position expense of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Indemnified Party and his, her or its counsel in contesting any Third Party Claim or demand which the Indemnifying Indemnified Party elects to contest is contesting, or, if appropriate and related to the Third Party Claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demandThird Party Claim, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which Notwithstanding the foregoing provisions of this Section 9.3(c), if the Indemnifying Party has acknowledged timely notified the Indemnified Party that the Indemnifying Party disputes its liability for indemnification under to the Indemnified Party and if such dispute is resolved in favor of the Indemnifying Party by final, nonappealable order of a court of competent jurisdiction, the Indemnifying Party shall not be required to bear the costs and expenses of the Indemnified Party's defense pursuant to this Article 5 may be settled without the consent Section 9.3(c) or of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In 's participation therein at the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, Party's request and the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, reimburse the Indemnifying Party does in full for all costs and expenses of such litigation. The Indemnifying Party may participate in, but not notify control, any defense or settlement controlled by the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed pursuant to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.this

Appears in 1 contract

Samples: Asset Purchase Agreement (Docucorp International Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred (a) Subject to as the “Indemnified Party” and the party against whom such Section 7.5, all claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that set forth in this Section 10.3. An Indemnified Party entitled to any Claim indemnification provided for under this Agreement in respect of, arising out of or involving a claim or demand for which made by, or an Indemnifying Party would be liable action, proceeding or investigation instituted by, any Person (whether or not a party to this Agreement) (an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party"Indemnity Claim"), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, must notify the Indemnifying Party in writing, and in reasonable detail, of the Indemnity Claim as promptly as practicable after such Indemnified Party learns of the Indemnity Claim; provided, however, that failure to give such notification shall not affect the indemnification provided hereunder unless the Indemnifying Party shall have been actually prejudiced as a result of such claim or demandfailure. Such written notice (the "Claim Notice") shall (i) describe such Indemnity Claim in as much detail as is reasonably practicable, specifying including a reference to sections of this Agreement which form the nature of and specific basis for such claim or demand claim, and (ii) to the extent possible, set forth the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof. (the “b) If an Indemnity Claim Notice”is made against an Indemnified Party by a third party (a "Third Party Claim") (except with respect to a Tax Proceeding, which shall be exclusively governed by Section 7.5). The , such Indemnified Party shall promptly, but in no event more than 30 days following such Indemnified Party’s failure 's receipt of such Third Party Claim, deliver a Claim Notice to so notify the Indemnifying Party in accordance with respect thereto; provided, however, that failure to provide such notice within the provisions of this Agreement time period required shall not relieve affect the Indemnified Party's right to indemnification hereunder except to the extent the Indemnifying Party of liability hereunder unless such failure was materially prejudices the Indemnifying Party’s ability to defend against the claim or demandprejudiced thereby. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims or demand; providedThird Party Claim. Without the prior written consent of the Indemnified Party, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party shall not have the right to assume the defense of any Third Party Claim described in a Claim Notice that (i) seeks an injunction or other equitable relief as a primary remedy, (ii) is a criminal claim, or (iii) primarily relates to a claim or demand of, or a dispute with, a material customer of the Business. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defense of a Third Party against such claim or demand and Claim, except as hereinafter herein provided, the Indemnifying Party shall have the right to defend do so by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified If the Indemnifying Party shall have has the right to employ separate counsel in any such action and participate in elects to assume the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified a Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingClaim, the Indemnifying Party has failed after a reasonable period shall select counsel, contractors and consultants of time recognized standing and competence; shall take all steps reasonably necessary in the defense or settlement of such Third Party Claim; and shall diligently pursue the resolution of such Third Party Claim. If the Indemnified Party desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense, it being understood that the Indemnifying Party shall control such defense; provided, however, that the Indemnifying Party shall pay all reasonable fees, costs and expenses of one outside counsel in connection with such participation (i) if it requests the Indemnified Party to employ counsel participate or in such action there is, (ii) if in the reasonable written opinion of such separate counseloutside counsel to the Indemnified Party, a material conflict on any material issue or potential conflict exists between the position Indemnified Party and the Indemnifying Party that would make joint representation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)impermissible under applicable standards of professional conduct. If requested by the Indemnifying Party chooses to defend or prosecute any Third Party Claim, all of the parties hereto shall reasonably cooperate in the defense or prosecution thereof. Subject to attorney-client privilege, such cooperation shall include the retention and there is no Material Conflict(upon the Indemnifying Party's reasonable request) the provision to the Indemnifying Party of records and information which are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder; provided, however, that any out-of-pocket cost incurred by the Indemnified Party agrees to cooperate in connection with such copying or employee availability shall be at the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personParty's expense. No Claim for which indemnity is sought hereunder and for which If the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without assumed the consent defense of a Third Party Claim, the Indemnifying Party may only settle or compromise a Third Party Claim with the Indemnified Party, 's prior written consent (which consent shall not be unreasonably withheld or delayed. (b) In ); provided, however, that the event any Indemnifying Party may settle or compromise such a Third Party Claim without the written consent of the Indemnified Party should have a Claim against any if such settlement or compromise (x) provides solely for the payment of money by the Indemnifying Party hereunder which and includes a complete and unconditional release of the Indemnified Party from all liability in respect of such Third Party Claim and (y) does not involve subject the Indemnified Party to any injunctive relief or other equitable remedy. If the Indemnifying Party does not defend the Indemnified Party against a Third Party Claim for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or demand being asserted against otherwise, then the amount of any such Third Party Claim, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this ARTICLE X, provided that whether or sought to be collected from him by not the Indemnifying Party shall have assumed the defense of a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect not settle or compromise any Third Party Claim, or consent to such Claim to the entry of any judgment, without the prior written consent of the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Transaction Agreement (Shermen WSC Acquisition Corp)

Method of Asserting Claims, Etc. The party items listed in Section 8.1 and Section 8.2 are sometimes collectively referred to herein as “Damages”; provided that such reference shall be understood to mean the respective damages from and against which Buyer and its Affiliates and their respective subsidiaries, officers, directors, shareholders, agents and attorneys (the “Buyer Indemnitees”) or Seller and its officers, directors, agents and attorneys (the “Seller Indemnitees”), as the case may be, are indemnified as the context requires. The person claiming indemnification hereunder, whether a Buyer Indemnitee or Seller Indemnitee, is hereinafter sometimes referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter sometimes referred to as the “Indemnifying Party.” ”. All Claims claims for indemnification by any an Indemnified Party under this Article 5 Section 8.1 or Section 8.2 hereof, as the case may be, shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Damages to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within shall with reasonable promptness (but in no event later than ten (10) business days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”). The For this purpose the commencement of any audit or other investigation respecting Taxes shall constitute a Third Party Claim. Notwithstanding the foregoing, failure to so provide a Claim Notice as provided above shall not relieve the Indemnifying Party from its obligation to indemnify the Indemnified Party’s Party with respect to any such Third Party Claim except to the extent that a failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially reasonably sufficient time prejudices the Indemnifying Party’s ability to defend against the claim or demandThird Party Claim. The Indemnifying Party shall have 30 thirty days from the giving delivery of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims Third Party Claim. (b) If the Indemnifying Party notifies the Indemnified Party within the Notice Period that the Indemnifying Party does not dispute its liability to the Indemnified Party and that the Indemnifying Party desires to defend the Indemnified Party with respect to the Third Party Claim pursuant to this ARTICLE 8, then the Indemnifying Party shall have the right to defend, at its sole cost and expense, such Third Party Claim by all appropriate proceedings, which proceedings shall be diligently prosecuted by the Indemnifying Party to a final conclusion or demandsettled at the discretion of the Indemnifying Party (but only if the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of, and all obligations under, such settlement; otherwise, no such settlement shall be agreed to without the prior written consent of the Indemnified Party). If the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, the Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; provided, however, that any the Indemnified Party is hereby authorized prior authorized, at the sole cost and expense of the Indemnifying Party (but only if the Indemnified Party is actually entitled to and indemnification hereunder or if the Indemnifying Party assumes the defense with respect to the Third Party Claim as permitted hereunder), to file during the Notice Period to file any motion, answer or other pleading pleadings which he the Indemnified Party shall deem necessary or appropriate to protect his its interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party (it being understood and agreed that if an Indemnified Party takes any such action which is prejudicial and conclusively causes a final adjudication which is adverse to the Indemnifying Party. In the event that , the Indemnifying Party notifies shall be relieved of its obligations hereunder with respect to such Third Party Claim); and provided further that if requested by the Indemnifying Party, the Indemnified Party agrees, at the sole cost and expense of the Indemnifying Party, to cooperate with the Indemnifying Party and its counsel in contesting any Third Party Claim which the Indemnifying Party elects to contest, or, if appropriate and related to the Third Party Claim in question, in making any counterclaim against the person asserting the Third Party Claim, or any cross-complaint against any person. The Indemnified Party may participate in, but not control (except if the Indemnifying Party is not liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, in which case whichever of the Indemnifying Party or the Indemnified Party is liable for the largest amount of Damages with respect to the Third Party Claim shall control), any defense or settlement of any Third Party Claim with respect to which the Indemnifying Party is participating pursuant to this Section 8.3(b), and except as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation. (c) If the Indemnifying Party fails to notify the Indemnified Party within the Notice Period that he, she or it the Indemnifying Party does not dispute its liability for indemnification under this Article 5 to the Indemnified Party and that such person the Indemnifying Party desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedpursuant to this ARTICLE 8, then the Indemnifying Indemnified Party shall have the right to defend defend, at the sole cost and expense of the Indemnifying Party, the Third Party Claim by all appropriate proceedings, which proceedings shall be promptly settled or and vigorously prosecuted by him the Indemnified Party to a final conclusionconclusion or settled. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses full control of such counsel shall be at the expense of such Indemnified Party except to the extent defense and proceedings, including any compromise or settlement thereof; provided, however, that the employment thereof has been specifically authorized if requested by the Indemnifying Party in writingIndemnified Party, the Indemnifying Party has failed after a reasonable period of time to assume such defense agrees, at the sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position expense of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Indemnified Party and his, her or its counsel in contesting any Third Party Claim or demand which the Indemnifying Indemnified Party elects to contest is contesting, or, if appropriate and related to the Third Party Claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demandThird Party Claim, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which Notwithstanding the foregoing provisions of this Section 8.3(c), if the Indemnifying Party has acknowledged timely notified the Indemnified Party that the Indemnifying Party disputes its liability for indemnification under to the Indemnified Party and if such dispute is resolved in favor of the Indemnifying Party by final, non-appealable order of a court of competent jurisdiction, the Indemnifying Party shall not be required to bear the costs and expenses of the Indemnified Party’s defense pursuant to this Article 5 may be settled without the consent Section 8.3(c) or of the Indemnifying Party’s participation therein at the Indemnified Party’s request and the Indemnified Party shall reimburse the Indemnifying Party in full for all costs and expenses of such litigation. The Indemnifying Party may participate in, which consent but not control, any defense or settlement controlled by the Indemnified Party pursuant to this Section 8.3(c) (other than a dispute as to the Indemnifying Party’s liability to the Indemnified Party) and the Indemnifying Party shall not be unreasonably withheld or delayedbear its own costs and expenses with respect to such participation. (bd) In the event If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim to notify the Indemnifying Party of such claim by the Indemnified Party, specifying the nature of and specific basis for such claim and the amount of the estimated amount of such claim (the “Indemnity Notice”). If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party within thirty days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in or estimated amount of such claim as specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity to defend Indemnifying Party. If the respective Claim.Indemnifying Party has timely disputed such claim, as provided above, such dispute shall be resolved under the arbitration provisions under ARTICLE 9 of this Agreement. * A confidential portion of material has been omitted and filed separately with the Commission

Appears in 1 contract

Samples: Asset Purchase Agreement (Powell Industries Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any AT&T Indemnified Party under this Article 5 Person or DoCoMo Indemnified Person (each an "Indemnified Party") shall be asserted and resolved as follows: set forth in this Section 6.4. Any Indemnified Party seeking indemnity pursuant to Section 6.1 or Section 6.2 shall notify in writing the party from whom indemnification is sought (athe "Indemnifying Party") In the event that any Claim or of such demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandindemnification. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice such notice (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified demand with respect to a claim or demand based on a third party claim (a "Third Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying PartyClaim"). In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that hethat, she or with respect to a Third Party Claim, it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedThird Party Claim, the Indemnifying Party shall have the right to defend by all appropriate proceedingsthe Indemnified Party at the Indemnifying Party's sole cost and expense and with counsel (plus local counsel if appropriate) reasonably satisfactory to the Indemnified Party. If the Indemnifying Party's right to assume the defense is exercised, which proceedings the Indemnifying Party shall be promptly settled deemed to have waived all rights to contest its liability to the Indemnified Party in respect of such Third Party Claim. No Indemnifying Party shall, without the prior written consent of the Indemnified Party, compromise or prosecuted consent to entry of any judgment or enter into any settlement agreement with respect to any action or proceeding in respect of which indemnification is sought under Sections 6.1 or 6.2 (whether or not the Indemnified Party is an actual or potential party thereto), unless such compromise, consent or settlement includes an unconditional release of the Indemnified Party to any material injunctive relief or other material equitable remedy and does not include a statement or admission of fault, culpability or a failure to act, by him or on behalf of the Indemnified Party. If the right to a final conclusion. The assume and control the defense is exercised, the Indemnified Party shall have the right to employ separate counsel participate in, but not control, such defense at its own expense and the Indemnifying Party's indemnity obligations shall be deemed not to include attorneys' fees and litigation expenses incurred in any such action and participate in participation by the Indemnified Party after the assumption of the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingaccordance with the terms hereof; PROVIDED, HOWEVER, that the Indemnifying Party has failed after a reasonable period of time to assume such defense and Indemnified Parties collectively shall be entitled to employ one firm or separate counsel or in such action there is(plus local counsel if appropriate) to represent the Indemnified Party if, in the reasonable opinion of counsel to each Indemnified Party seeking to employ such separate counsel, a material conflict on any material issue of interest between the position of such Indemnified Party or Parties and the Indemnifying Party and the position exists in respect of such Indemnified Party claim and in each such event, the fees, costs and expenses of one such firm or separate counsel (a “Material Conflict”). If requested plus one local counsel per jurisdiction if appropriate) shall be paid in full by the Indemnifying Party. If the Indemnifying Party and there is no Material Conflicthas not elected to assume the defense of a Third Party Claim within the Notice Period, the Indemnified Party agrees to cooperate with may defend and settle the claim for the account and cost of the Indemnifying Party; PROVIDED, that the Indemnified Party and his, her or its counsel in contesting any will not settle the Third Party Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any withheld. The Indemnifying Party hereunder which does not involve a Claim will promptly pay, or demand being asserted against or sought to be collected from him by a third party, reimburse the Indemnified Party for payment of, all costs and expenses (including reasonable fees and expenses of one counsel plus one local counsel per jurisdiction, if appropriate) incurred in the defense thereof. The Indemnified Party shall give a Claim Notice cooperate with respect the Indemnifying Party and, subject to such Claim obtaining proper assurances of confidentiality and privilege, shall make available to the Indemnifying Party. If, after receipt Party all pertinent information under the control of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeParty. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Securities Purchase Agreement (At&t Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 Parties hereunder shall be asserted and resolved as follows: set forth in this Section 10.5 except for claims pursuant to Article V hereof (a) as to which the provisions of Article V shall be applicable). In the event that any Claim written claim or demand for which an Buyer or Seller, as the case may be (the "Indemnifying Party Party") would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article X, not including a third party claim, the Indemnified Party shall notify the Indemnifying Party promptly following its discovery of the facts or circumstances giving rise thereto (together, with a Third Party Claim Notice, a "Claim Notice"); provided, that no such notice need be provided to an Indemnifying Party if the Deductible has not been exceeded and will not be exceeded by such claim or demand; and provided, further, that the failure to notify on the part of the Indemnified Party in accordance with the provisions of this Agreement manner set forth herein shall not relieve foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandnotify. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Third Party Claim Notice (except that such a period shall be decreased to a time ten (10) days before a scheduled appearance date in a litigated matter) (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand, which it shall not be entitled to do until the Deductible is exceeded. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the Indemnifying Partylimitations set forth in Section 10.1 hereof. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand demand, which it shall not be entitled to do until the Deductible is exceeded and except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedingsproceedings and by counsel reasonably acceptable to the Indemnified Party. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent shall not be unreasonably withheld order, injunction or delayed. (b) In decree which would restrict the event any Indemnified Party should future activity or conduct of, or which would otherwise have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partymaterial adverse effect on, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Partyor any subsidiary or Affiliate thereof. If, after receipt of a Claim Notice, If the Indemnifying Party does elects not notify to defend the Indemnified Party within against such claim or demand, whether by not giving the Notice Period that he, she Indemnified Party timely notice as provided above or it disputes such Claimotherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion of any such claim or demand as to which such defense is unsuccessful (and all reasonable costs and expenses pertaining to such defense) shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in Section 10.1 hereof. To the extent the Indemnifying Party shall be deemed to have admitted liability for such Claim control or participate in the amount set forth defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the Claim Notice. (c) The defense of all such claims, and in connection therewith shall be entitled to reimbursement by the Indemnifying Party shall be given of expenses directly related to efforts undertaken at the opportunity to defend specific request of the respective ClaimIndemnifying Party.

Appears in 1 contract

Samples: Stock Purchase Agreement (Santa Barbara Restaurant Group Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.5. In the event that any Claim written claim or demand for which Superior, Essex, Nexans, Participations, Nexans Wires, or L&K, as applicable (an Indemnifying Party would Party”), may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event later than 15 days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify in writing the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The failure by any Indemnified Party’s failure Party to so notify the Indemnifying Party in accordance with the provisions of this Agreement Section 7.5 shall not relieve the any Indemnifying Party of from any liability hereunder unless which it may have to such Indemnified Party with respect to any claim made pursuant to this Section 7.5, except to the extent such failure materially actually prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving after receipt of the Claim Notice Notice, whichever is later, (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to demand and shall during the Notice Period and thereafter be provided by the Indemnified Party with such information relating to file any motion, answer the claim or other pleading which he shall deem necessary or appropriate to protect his interests or those of demand as the Indemnifying Party shall request. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be borne by the Indemnifying Party. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right sole power to direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by the Indemnified Party, except as hereinafter provided. The Indemnifying Party shall be liable for the reasonable fees and expenses of the Indemnified Party in connection with the defense of a claim if the Indemnified Party shall have been advised in writing by outside counsel that there are actual conflicts of interests between the Indemnified Party and the Indemnifying Party in connection with the defense of such claim; provided, however, that the Indemnifying Party shall not be responsible for the fees and expenses of more than one separate firm of attorneys at any time for all Indemnified Parties. If any Indemnified Party desires to participate in, but not control, any such defense it may do so at its sole cost and expense (except as provided in the preceding sentence), provided that in any action seeking an injunction or decree which would materially restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof, the Indemnified Party shall be entitled to participate in the defense of such action at the expense of the Indemnifying Party. The Indemnified Party shall not settle, compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party or admit to any liability with respect to such claim or demand without the prior written consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof. To the extent the Indemnifying Party shall direct, control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party will provide the Indemnifying Party and its counsel access to all relevant business records and other documents, and shall use its reasonable best efforts to assist, and to cause the employees and counsel of the Indemnified Party to assist, in defense of such claim. If the Indemnifying Party elects not to defend by all appropriate proceedingsthe Indemnified Party or if the foregoing prohibits the Indemnifying Party from defending the Indemnified Party, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The the Indemnified Party shall have the right and the obligation to employ separate counsel in any defend the claim or demand by appropriate proceedings and shall have the sole power to direct and control such action and defense. In such case, the Indemnifying Party may participate in the defense thereofat its own expense, but and the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of will provide the Indemnifying Party and its counsel reasonable access to all relevant business records and other documents to the position of such Indemnified Party (a “Material Conflict”). If requested extent not covered by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any crossattorney-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedclient privilege. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Contribution and Formation Agreement (Superior Essex Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 XI shall be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party indemnifying party would be liable to an Indemnified Party indemnified party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party the indemnified party shall, within ten : (10i) business days from the date upon which the Indemnified Party has Knowledge of such Claim, promptly notify the Indemnifying Party indemnifying party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the "Claim Notice"). The Indemnified Party’s ; provided, however, that the failure of an indemnified party to so notify the Indemnifying Party in accordance with the provisions of this Agreement give notice as provided herein shall not relieve the Indemnifying Party an indemnifying party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party its obligations under this Article XI; (ii) an indemnifying party shall have 30 10 days from the giving their receipt of the Claim Notice (the "Notice Period") to notify the Indemnified Party: indemnified party (ix) whether or not the Indemnifying Party indemnifying party disputes the its liability of the Indemnifying Party to the Indemnified Party indemnified party hereunder with respect to such Claim claim or demand, and (iiy) if they do not dispute such liability, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party indemnified party against such Claims claim or demand; provided, however, that any Indemnified Party the indemnified party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he it shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In its interests; (iii) in the event that the Indemnifying Party indemnifying party notifies the Indemnified Party indemnified party within the Notice Period that he, she or it the indemnifying party does not dispute such liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, then except as hereinafter provided, the Indemnifying Party indemnifying party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party conclusion in such a manner as to avoid any risk of the indemnified party becoming subject to liability for any other matter; (iv) if the indemnified party desires to participate in, but not control, any such defense or settlement it may do so at its sole cost and expense; provided, however, that the indemnifying party shall have pay such expense if representation of the right indemnified party by the counsel retained by the indemnifying party would be inappropriate due to employ separate actual or potential differing interests between the indemnified party and any other party represented by such counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there isproceeding; (v) if, in the reasonable opinion of the indemnified party, any such separate counselclaim or demand involves an issue or matter which could have a materially adverse effect on the business, a material conflict on any material issue between the position operations, assets, properties or prospects of the Indemnifying Party and indemnified party, or Affiliate of the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflictindemnified party, the Indemnified Party agrees indemnified party shall have the right to cooperate control the defense or settlement of any such claim or demand, and its reasonable costs and expenses thereof shall be included as part of the indemnification obligations of the indemnified party hereunder; (vi) if the indemnifying party disputes the indemnifying party' liability with the Indemnifying Party and his, her or its counsel in contesting any Claim respect to such claim or demand which or elects not to defend against such claim or demand, whether by not giving timely notice as provided above or otherwise, then the Indemnifying Party elects to contest amount of any such claim or demand, or, if appropriate and related the same be contested by the indemnifying party or by the indemnified party (but the indemnified party shall not have any obligation to the Claim in question, in making contest any Counterclaim against the person asserting the third party Claim such claim or demand), or any cross-complaint against any person. No Claim for then that portion thereof as to which indemnity such defense is sought hereunder and for which the Indemnifying Party has acknowledged unsuccessful, shall be conclusively deemed to be a liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Partyindemnifying party hereunder (subject, which consent shall not be unreasonably withheld or delayedif the indemnifying party has timely disputed liability, to a determination that the disputed liability is covered by these indemnification provisions). (b) In the event any Indemnified Party the indemnified party should have a Claim claim against any Indemnifying Party the indemnifying party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party indemnified party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying Partyindemnifying party. If, after receipt of a Claim Notice, If the Indemnifying Party indemnifying party does not notify the Indemnified Party indemnified party within the Notice Period that hethey dispute such claim, she or it disputes the amount of such Claim, then the Indemnifying Party claim shall be conclusively deemed to have admitted a liability for such Claim in of the amount set forth in the Claim Noticeindemnifying party hereunder. (c) The Indemnifying Party Nothing herein shall be given deemed to prevent any indemnified party from making a claim hereunder for potential or contingent claims or demands provided the opportunity Claim Notice sets forth the specific basis for any such potential or contingent claim or demand and the estimated amount thereof to defend the respective Claimextent then feasible and the indemnified party has reasonable grounds to believe that such a claim or demand will be made.

Appears in 1 contract

Samples: Purchase Agreement (KFX Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.4. In the event that any Claim written claim or written demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than 15 days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article VII not including a third party claim, the Indemnified Party shall notify the Indemnifying Party in accordance promptly following its discovery of the facts or circumstances giving rise thereto (together, with the provisions of this Agreement shall not relieve a Third Party Claim Notice, a "Claim Notice"); provided, that no such notice need be provided to the Indemnifying Party of liability hereunder unless if the applicable Threshold has not been exceeded and will not be exceeded by such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand; and provided, further, that the failure to notify on the part of the Indemnified Party in the manner set forth herein shall not foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party is materially prejudiced by such failure to notify. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Third Party Claim Notice (except that such a period shall be decreased to a time 10 days before a scheduled appearance date in a litigated matter) (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party Sellers to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand, which it shall not be entitled to do until the Threshold is exceeded. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial subject to the Indemnifying Partylimitations set forth in Section 7.2(b). In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand demand, which it shall not be entitled to do until the Threshold is exceeded and except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedingsproceedings and by counsel reasonably acceptable to the Indemnified Party, provided that the Indemnifying Party proceeds in good faith, expeditiously and diligently. If any Indemnified Party desires to participate in, but not control, any such defense or settlement as to which proceedings shall be promptly settled or prosecuted by him to a final conclusionthe Indemnifying Party has assumed the defense in accordance with the foregoing, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written 40 45 consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand (including, without limitation, in connection with any audit, adjustment or assessment relating to Taxes) on a basis that (i) would result in the imposition of a consent order, injunction or decree which consent would restrict the future activity or conduct of, or (ii) would otherwise have a Material Adverse Effect on, the Indemnified Party or any subsidiary or Affiliate thereof. If the Indemnifying Party elects not to defend the Indemnified Party against such claim or demand, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion of any such claim or demand as to which such defense is unsuccessful (and all reasonable costs and expenses pertaining to such defense) shall not be unreasonably withheld the liability of the Indemnifying Party hereunder, subject to the limitations set forth in Section 7.2(b). To the extent the Indemnifying Party shall control or delayedparticipate in the defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and shall permit them upon reasonable request to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the defense of all such claims, and in connection therewith shall be entitled to reimbursement by the Indemnifying Party of expenses directly related to efforts undertaken at the specific request of the Indemnifying Party. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the that an Indemnified Party shall give assert a Claim Notice with respect to claim under Section 7.2(a) for indemnification by the Sellers (or any individual Seller), whether including a third party claim or otherwise, such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party claim shall be deemed to have admitted liability for such Claim in governed by the amount procedures set forth in Section 7.4(a) and subject to the limitations set forth in Section 7.2(b) and, if made prior to the second anniversary (third anniversary for claims arising out of, based upon, relating to or resulting from the inaccuracy of any representation and warranty set forth in Section 3.1(q) (relating to Taxes)) of the Closing Date, (i) shall be asserted against the Escrowed Indemnification Fund (in accordance with the terms of the Escrow Agreement) to the extent of any amounts then remaining and not then deliverable in respect of or reserved against another claim hereunder, by the additional delivery of the Claim Notice. Notice to the Escrow Agent and (cii) The Indemnifying Party to the extent such claim otherwise satisfies the terms and conditions for reimbursement under the Escrow Agreement, shall be given the opportunity to defend the respective Claimpaid from such Escrowed Indemnification Fund then available.

Appears in 1 contract

Samples: Stock Purchase Agreement (Eye Care Centers of America Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter Party or Parties making a claim under this Article 10 shall, for the purposes of this Agreement, be referred to as the "Indemnified Party" and the party Party or Parties against whom such claims are asserted hereunder is hereinafter under this Article 10 shall, for the purposes of this Agreement, be referred to as the "Indemnifying Party.” ". All Claims for indemnification claims by any Indemnified Party under this Article 5 10 shall be asserted and resolved as follows: (a) 10.4.1 In the event that (A) any Claim claim, demand or demand Proceeding is asserted or instituted by any Person other than the Parties hereto and their respective Affiliates (a "Third Party") which could give rise to Damages for which an Indemnifying Party would may be liable to an Indemnified Party hereunder is asserted against (any such claim, demand or sought to be collected from such Proceeding, a "Third Party Claim"), or (B) any Indemnified Party by hereunder has a third partyclaim for indemnification from any Indemnifying Party hereunder which does not involve a Third Party Claim (any such claim, said Indemnified Party shalla "Direct Claim"), within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify shall send to the Indemnifying Party of such claim or demanda written notice (a "Claim Notice") specifying in reasonable detail, specifying to the extent known to the Indemnified Party, the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible of related Damages (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless and such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of available supporting evidence as may reasonably be required by the Indemnifying Party to assess the merits of the claim and the computation or estimate of Damages. 10.4.2 The Indemnified Party hereunder with respect to shall send a Claim Notice (x) in the case of a Third Party Claim, within thirty (30) days of receipt of actual notice of such Third Party Claim or demand, and (iiy) whether or not in the Indemnifying Party desirescase of a Direct Claim other than a Direct Claim relating to a Retained Liability, at the sole cost and expense within thirty (30) days of the Indemnifying Party, to defend the actual knowledge by Indemnified Party against of such Claims or demandDirect Claim; provided, however, that any a failure by the Indemnified Party is hereby authorized prior to and during comply with the Notice Period foregoing notice periods shall have no consequences on its ability to file any motionclaim under this Agreement, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of otherwise relieve the Indemnifying Party and not prejudicial of any liability that it may have to the Indemnified Party, except to the extent that the Indemnifying Party. Party demonstrates that such failure has caused the Damages for which the Indemnifying Party is liable to the Indemnified Party to be greater than they would have been had the Indemnified Party given timely notice (it being agreed that in such case, the Damages for which the Indemnifying Party is liable to the Indemnified Party shall be reduced to the extent of any such excess). 10.4.3 In the event that of a Direct Claim, the Indemnifying Party shall have thirty (30) days following its receipt of the relevant Claim Notice (the "Direct Claim Review Period") to make such investigation of the underlying claim as it considers necessary or desirable. If the Parties agree, on or prior to the expiration of the Direct Claim Review Period, upon the validity and amount of such claim, the Indemnifying Party shall pay to the Indemnified Party, within five (5) days following the date of such agreement, the full agreed amount of such claim or, to the extent the Indemnifying Party accepts the validity and amount of such claim in part, it shall pay the full undisputed amount, without prejudice to the Indemnified Party’s ability to claim hereunder for any disputed amounts. If the Parties fail to reach agreement on or prior to the date of the expiration of the Direct Claim Review Period (which shall be deemed to be a rejection by the Indemnifying Party of the Direct Claim) or if the Indemnifying Party notifies the Indemnified Party within during the Notice Direct Claim Review Period that he, she or it does not dispute disputes its liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party in respect of the underlying claim, the Indemnified Party may initiate arbitration proceedings against such claim or demand and except the Indemnifying Party as hereinafter providedprovided by Section 11.10 of this Agreement. Any reasonable amounts spent by an Indemnified Party for legal fees to successfully enforce its rights hereunder shall constitute Damages subject to indemnification hereunder. 10.4.4 In the event of a Third Party Claim, the Indemnifying Party shall have thirty (30) days following its receipt of the right relevant Claim Notice (the "Third Party Claim Review Period") to defend make such investigation of the underlying claim as it considers necessary or desirable. If the Parties agree, on or prior to the expiration of the Third Party Review Period, upon the validity and amount of such claim, the Indemnifying Party shall pay to the Indemnified Party, within five (5) days following the date of such agreement, the full agreed amount of such claim. If the Parties are unable to reach agreement on or prior to the date of the expiration of the Third Party Review Period (which shall be deemed to be a rejection by all appropriate proceedingsthe Indemnifying Party of the Third Party Claim) or if the Indemnifying Party notifies the Indemnified Party during the Third Party Review Period that it disputes its liability to the Indemnified Party in respect of the underlying claim, the Indemnified Party may initiate arbitration proceedings against the Indemnifying Party as provided by Section 11.10 of this Agreement. Any reasonable amounts spent by an Indemnified Party for legal fees to successfully enforce its rights hereunder shall constitute Damages subject to indemnification hereunder. 10.4.5 The Indemnified Party shall conduct, or, if the Buyer is the Indemnified Party, shall cause the relevant Company to conduct, the defense and settlement of each Third Party Claim (other than a Scissor Arm Personal Injury Claims, which proceedings are addressed below in Section 10.4.6) diligently and in good faith. The Indemnifying Party shall have the right, if it so notifies the Indemnified Party with reasonable promptness after receipt of the Claim Notice to be promptly settled consulted in respect of such Third Party Claim and to participate at its own expense and with counsel of its choice in the defense thereof by the Indemnified Party (or prosecuted in the case of a Third Party Claim against a Company, by him the relevant Company). In such event, the Indemnified Party shall afford the Indemnifying Party and its counsel the opportunity to a final conclusioncomment with respect to the conduct of the defense or settlement of the Third Party Claim. The Indemnified Party shall have keep the right Indemnifying Party informed of the progress of any Third Party Claim and its defense, and shall with reasonable promptness provide the Indemnifying Party with copies of all material notices, written communications and filings (including court papers) made by or on behalf of any of the Parties to employ separate counsel the underlying Third Party Claim. It is agreed that all costs incurred by Buyer or the Companies in any such action and participate in defense (including, but not limited to, attorneys’ fees, court costs, damages, interest, settlement payments), shall, for the avoidance of doubt, constitute Damages subject to the provisions of this Agreement and, particularly, Section 10.5.3 below. 10.4.6 In respect of Scissor Arm Personal Injury Claims, Seller shall conduct the defense thereofand settlement of such Claims and may retain counsel of its choice, but reasonably acceptable to Buyer, to represent the Companies in respect of Scissor Arm Personal Injury Claims. The Companies shall pay the reasonable fees and disbursements of such counsel. Invoices of such counsel shall be sent directly to the Companies for payment, with a copy to Seller. In the event that the fees and expenses of a counsel shall exceed EURO 50,000 (fifty thousand Euro) in respect of any Scissor Arm Personal Injury Claim, Buyer may require Seller to discharge such counsel shall be at and retain new counsel acceptable to Buyer. It is agreed that all costs incurred by Buyer or the expense Companies in such defense (including, but not limited to, attorneys’ fees, court costs, damages, interest, settlement payments), shall, for the avoidance of such Indemnified Party except doubt, constitute Damages subject to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingprovisions of this Agreement and, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there isparticularly, Section 10.5.3 below. Buyer may assist, at its expense, in the reasonable opinion defense or settlement of any such separate counsel, a material conflict on any material issue between Scissor Arm Personal Injury Claim with counsel of its choice. Buyer shall instruct counsel retained by Seller to cause the position Companies to instruct such counsel to take instructions from Seller and to provide Seller with copies of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)all pleadings or settlement proposals. If requested by Buyer and/or any of the Indemnifying Party Companies in respect of a particular Scissor Arm Personal Injury Claim, Buyer shall be given the opportunity to review and there is no Material Conflictamend pleadings or proposals prepared by counsel chosen by Seller prior to their submission to reflect and preserve the Companies’ corporate interests in the outcome of any Scissor Arm Personal Injury Claims. Seller will consult in good faith with Buyer in respect of any settlement offer relating to a Scissor Arm Personal Injury Claim. Seller shall then determine in the exercise of its own business judgment whether or not to accept a settlement offer. All settlements requiring payments in excess of EURO 10,000 (ten thousand Euro) or any settlements requiring the acknowledgement of responsibility by a Company (which payments shall, for the Indemnified Party agrees to cooperate with the Indemnifying Party and hisavoidance of doubt, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related constitute Damages subject to the Claim in question, in making any Counterclaim against provisions of this Agreement) shall require the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying PartyBuyer, which consent shall not be unreasonably withheld taking into account all Proceedings of a similar nature. If Buyer fails or delayed. (b) In refuses to give such consent and the event any Indemnified Party should have a Buyer and Seller are not able to reach an agreement on the matters at issue, then Buyer shall continue the defense of such Scissor Arm Personal Injury Claim against any Indemnifying Party hereunder at its own expense, in which does not involve a Claim or demand being asserted against or sought to case the liability of the Seller and Parent shall be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim limited to the Indemnifying PartyDamages calculated as if the Scissor Arm Personal Injury Claim were settled in accordance with the proposed settlement offer and Buyer shall pay all attorneys’ fees incurred after the date that Buyer continued such defense and such attorneys’ fees shall not be considered as Damages for the purposes of this Agreement. IfExcept as otherwise provided above, if notice is given to Seller by Buyer of the commencement of any Scissor Arm Personal Injury Claim and Seller does not, within thirty (30) days after receipt Buyer's notice is given, assume the defense of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall Seller and Parent will be deemed to have admitted liability for bound by any determination made in such Claim or any compromise or settlement effected by Buyer and reasonable attorneys’ fees incurred by Buyer in the amount set forth in defense of such Claims shall constitute Damages, subject to the Claim Noticeprovisions of this Agreement. (c) The Indemnifying Party 10.4.7 Notwithstanding Section 10.4.6, if Buyer determines in good faith that there is a reasonable probability that a Proceeding relating to a Scissor Arm Personal Injury Claim may significantly adversely affect it or the Companies other than as a result of monetary damages for which it would be entitled to indemnification under this Agreement, Buyer may, by notice to Seller, assume the exclusive right to defend, compromise, or settle such Proceeding but the Seller and Parent will not be bound by any determination of a Proceeding so defended or any compromise or settlement effected without their written consent and such determination, and any attorneys fees due or paid in respect of such Proceeding shall not be given considered as Damages for the opportunity to defend the respective Claimpurposes of this Agreement.

Appears in 1 contract

Samples: Share Purchase Agreement (Practiceworks Inc)

Method of Asserting Claims, Etc. The party Party or Parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall 9 will be asserted and resolved as follows: (a) MAKO shall have the right to enforce all claims in connection with the use of the Licensed Patents in the MAKO Field and Z-KAT shall have the right to enforce all claims in connection with the use of the Licensed Patents in the Z-KAT Field. (b) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of such Indemnified Party, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (x) such Indemnified Party has available to it defenses which consent shall not are in addition to those available to the Indemnifying Party, (y) such Indemnified Party has available to it defenses which are inconsistent with the defenses available to the Indemnifying Party or (z) a conflict exists or may reasonably be unreasonably withheld or delayedexpected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel. If such Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the Indemnifying Party pursuant to this Article 9, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (bc) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Contribution Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows:set forth in this Section 8.3. (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than 15 days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s failure Failure to so notify give the Indemnifying Party Claim Notice in accordance with the provisions of this Agreement foregoing terms shall not relieve the Indemnifying Party of any liability hereunder unless such failure materially prejudices only to the extent that the Indemnifying Party’s ability to defend against the claim or demandParty has suffered actual prejudice thereby. The Indemnifying Party shall have 30 days from the giving receipt of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying PartyParty is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including, without limitation, attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend defend, or permit a Permitted Designee to defend, the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The If any Indemnified Party shall have the right desires to employ separate counsel participate in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and settlement for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 elected, pursuant to the prior sentence to defend, or permit its Permitted Designee to defend, the Indemnified Party may be settled do so at its sole cost and expense. The Indemnified Party shall not settle a claim or demand without the prior written consent of the Indemnifying Party, which shall not be unreasonably withheld or delayed unless the settlement shall adversely affect the operations of the Indemnified Party and such adverse effect is not reasonably quantified and indemnified by Indemnifying Party in which case the written consent of the Indemnified Party may be withheld or delayed in the Indemnified Party’s sole discretion. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld or delayed. (b) In , settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any Subsidiary or Affiliate thereof. If the Indemnifying Party hereunder which does elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same shall be contested by the Indemnified Party, then that portion thereof as to which such contest is unsuccessful (and the reasonable costs and expenses pertaining to such contest) shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party shall give a Claim Notice the Indemnifying Party, its counsel and any Permitted Designee (with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, any liability for which the Indemnifying Party does not notify may have an indemnity claim pursuant to any agreement it had made with such Permitted Designee as in effect as of the date hereof), access to, during normal business hours, the property and relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party within shall use its commercially reasonable efforts in the Notice Period that hedefense of all such claims. Any notice of a claim by reason of any of the representations, she warranties or it disputes such Claimcovenants contained in this Agreement shall state specifically the representation, then warranty, or covenant with respect to which the claim is made, the facts giving rise to an alleged basis for the claim, and the amount of the liability asserted against the Indemnifying Party shall be deemed to have admitted liability for such Claim in by reason of the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Intersil Corp/De)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 Section 12.2 shall be asserted and received as follows: (ai) In the event that any Claim claims or demand for in respect of which an Indemnifying any Indemnified Party would be liable entitled to an Indemnified Party indemnification hereunder is asserted against or sought to be collected from such Indemnified Party party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim claims or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (claim and demand the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, and (ii) demand whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right (but not the obligation) to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him it to a final conclusion. The If the Indemnified Party shall have the right desires to employ separate counsel in participate in, but not control, any such action defense or settlement it may do so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest contest, or, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person Person asserting the third party Claim or demand, or any cross-cross complaint against any personPerson. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 claim may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedwithheld. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Agreement and Plan of Merger (L 3 Communications Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Seller of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”"CLAIM NOTICE"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Seller shall have 30 business days from the giving of the Claim Notice in accordance with Section 8.8 hereof (the “Notice Period”"NOTICE PERIOD") to notify the Indemnified Purchaser Party: , (iA) whether or not the Indemnifying Party it disputes the its liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party it desires, at the its sole cost and expense of (subject to the Indemnifying Partylimitation in Section 6.3(b) regarding an Agreed Upon Settlement), to defend the Indemnified Purchaser Party against such Claims claim or demand; provided. (a) If Seller disputes its liability with respect to such claim or demand or the amount thereof (whether or not Seller desires to defend the Indemnified Purchaser ---------- * Omitted information is the subject of a request for confidential treatment pursuant to Rule 24b-2 under the Securities Exchange Act of 1934 and has been filed separately with the Securities and Exchange Commission. Party against such claim or demand as provided in paragraphs (b) and (c) below), howeversuch dispute shall be resolved in accordance with Section 6.5 hereof. Pending the resolution of any dispute by Seller of its liability with respect to any claim or demand, that any Indemnified Party is hereby authorized such claim or demand shall not be settled (x) without the prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those written consent of the Indemnifying Party Indemnified Purchaser Party, which consent shall not be unreasonably withheld and (y) by Purchaser without the prior written consent of Seller, which consent shall not prejudicial to the Indemnifying Party. be unreasonably withheld. (b) In the event that the Indemnifying Party Seller notifies the Indemnified Purchaser Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires they desire to defend the Indemnified Purchaser Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Seller shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any liability to Indemnified Purchaser Party for such claim; provided, however, Seller shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance reasonably satisfactory to the Indemnified Purchaser Party, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in any such defense or settlement, it may do so at its sole cost and expense provided that such participation shall be under the control of, and exclusively through, Seller. If, in the reasonable opinion of the Indemnified Purchaser Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Indemnified Purchaser Party, including without limitation the administration of the tax returns and responsibilities under the tax laws of any Indemnified Purchaser Party, then the Indemnified Purchaser Party shall have the right to employ separate counsel in control the defense or settlement of any such action and claim or demand after giving notice to Seller of its intention to take control of the defense or settlement of such claim or demand. If the Indemnified Purchaser Party should elect to exercise such right, Seller shall have the right to participate in the defense thereof, but the fees and expenses or settlement of such counsel claim or demand at its sole cost and expense provided that such participation shall be at under the expense of control of, and exclusively through, such Indemnified Party except to the extent Purchaser Party; provided, that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may shall not be settled without the prior written consent of the Indemnifying PartySeller, which consent shall not be unreasonably withheld withheld; provided further, that if the third party making any such claim or delayeddemand has agreed or stated its willingness in writing, to (x) settle such claim or demand in exchange solely for the payment of money in an agreed upon amount ("AGREED UPON SETTLEMENT") which Seller is willing to accept and agrees in writing to reimburse and indemnify Indemnified Purchaser Party for and (y) unconditionally release the Indemnified Purchaser Parties with respect to the applicable claim or demand, but the Indemnified Purchaser Parties do not accept such settlement, then in no event shall Seller be liable to reimburse or indemnify Indemnified Purchaser Parties with respect to such claim or demand in excess of the amount of such Agreed Upon Settlement plus the amount of the Indemnified Purchaser Parties' reasonable costs and out-of-pocket expenses incurred in connection with such claim or demand through the date the Indemnified Purchaser Parties refused to accept the Agreed Upon Settlement. (i) If Seller does not defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice within the Notice Period as provided above or the Indemnified Purchaser Party has taken over control of such defense in accordance with the provisions of subparagraph (b) above, then, subject to Section 6.3(f), the amount of any such claim or demand, or that portion thereof as to which such defense is unsuccessful, in each case shall be conclusively deemed to be a liability of Seller hereunder, unless Seller shall have disputed its liability to the Indemnified Purchaser Party hereunder, as provided in paragraph (a) above, in which event such dispute shall be resolved as provided in Section 6.5 hereof. (ii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Seller hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySeller. If, after receipt of a Claim Notice, the Indemnifying Party does not notify If Seller notifies the Indemnified Purchaser Party within the Notice Period that heit disputes its liability with respect to such claim or demand, she or such dispute shall be resolved in accordance with Section 6.5 hereof. If Seller does not notify the Indemnified Purchaser Party within the Notice Period that it disputes such Claimclaim, then then, subject to Section 6.3(f), the Indemnifying Party amount of such claim shall be conclusively deemed a liability of Seller hereunder. (d) All claims for indemnification by an Indemnified Seller Party under this Agreement shall be asserted and resolved under the procedures set forth above substituting in the appropriate places "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Seller" and variations thereof. (e) All claims for indemnification for an alleged misrepresentation or breach of warranty contained in Section 3.1 or Section 3.2 hereof or in any Disclosure Schedule, certificate, statement, document or instrument furnished under this Agreement shall be asserted during the period in which any such representation or warranty survives pursuant to have admitted Section 3.3 hereof. The indemnification obligations of Purchaser pursuant to Section 6.2(f) shall terminate six (6) months after the Closing Date and no claims shall be made by Seller under such Section 6.2(f) thereafter, except that the indemnification obligation of Purchaser shall continue as to any claims for which Seller has notified Purchaser on or prior to the date such indemnification obligation would otherwise terminate. The indemnification obligations of Purchaser pursuant to Section 6.2(g) shall terminate upon either: (i) the receipt of the Seller Release; or (ii) the later of: (x) the date of expiration of the Real Property Lease pursuant to its terms and (y) the expiration of the applicable statute of limitations (or valid extensions thereof) applicable to claims which may be brought under the Real Property Lease, except that the indemnification obligation of Purchaser shall continue as to any claims for which Seller has notified Purchaser on or prior to the date such indemnification obligation would otherwise terminate. (f) No party shall bring a claim for indemnification under this Section 6.3 unless the aggregate amount of all claims for indemnification exceeds $250,000, in which event the party may bring any and all claims for such indemnification without regard to such dollar threshold, including the first dollar of any and all claims for such indemnification; provided, however, in no event shall a party's total liability for such Claim indemnification under this Agreement exceed $5,000,000, in the amount aggregate. Notwithstanding the foregoing, the limitations set forth in this Section 6.3(f) shall not apply with respect to any claim pursuant to: (i) Sections 6.2(a), 6.2(b), 6.2(c), 6.2(d), 6.2(f) or 6.2(g), or (ii) the Claim Noticeretained liabilities set forth in Section 1.4.2. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Adams Respiratory Therapeutics, Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that If any Claim claim or demand for which an any Party or Parties (whether one or more, “Indemnifying Party Parties”) would be liable to an another person or persons (whether one or more, “Indemnified Party hereunder Parties”) under Section 7.1 or Section 7.2 hereof is asserted against or sought to be collected from such Indemnified Party Parties by a third partyparty (a “Third-Party Claim”), said Indemnified Party shallParties shall promptly (or, in any event, within ten (10such period as may reasonably be necessary to assure that no defense of the Indemnifying Parties will be prejudiced or impaired) business days from the date upon which the Indemnified Party has Knowledge notify Indemnifying Parties of such Third-Party Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand Third-Party Claim, and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandThird-Party Claim) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Parties shall have 30 15 days from the giving of date on which the Claim Notice is given, but, in any event, no longer than five days before the day on which an answer or other pleading must be served in order to prevent a default judgment in favor of the person asserting the Third-Party Claim (the “Notice Period”) ), to notify the Indemnified Party: Parties (i) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Party Parties hereunder with respect to such Claim or demand, Third-Party claim and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense (subject to resolution of the Indemnifying Partydispute), to defend the Indemnified Party Parties against such Claims Third-Party Claim. (b) If Indemnifying Parties dispute their liability with respect to such Third-Party Claim or demand; providedthe amount thereof (whether or not Indemnifying Parties desire to defend Indemnified Parties against such Third-Party Claim as provided in paragraphs (c) and (d) of this Section 7.7), howeversuch dispute shall be resolved in accordance with Section 7.9 hereof. Pending the resolution of any dispute by Indemnifying Parties of their liability with respect to any Third-Party Claim, that any such Third-Party Claim shall not be settled without the prior written consent of Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Parties. (c) If Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Parties notify Indemnified Party Parties within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires they desire to defend the Indemnified Party Parties against such claim or demand and Third-Party Claim, then, except as hereinafter provided, the Indemnifying Party Parties shall have the right to defend Indemnified Parties by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid Indemnified Parties becoming subject to liability for any other matter; provided, however, Indemnifying Parties shall not, without the prior written consent of Indemnified Parties, consent to the entry of any judgment or order against Indemnified Parties or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to Indemnified Parties of a release, in form and substance satisfactory to Indemnified Parties, from all liability in respect of such Third-Party Claim. The If Indemnified Party shall have the right Parties desire to employ separate counsel in participate in, but not control, any such action defense or settlement, they may do so at their sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there isexpense. If, in the reasonable opinion of Indemnified Parties, any such separate counsel, Third-Party Claim or the litigation or resolution of any such Third-Party Claim involves an issue or matter which could have a material conflict adverse effect on the business, operations, assets, properties or prospects of Indemnified Parties, including any material issue between under applicable Tax laws of any Indemnified Parties, then Indemnified Parties shall have the position right to control the defense or settlement of such Third-Party Claim and their costs and expenses of defense or settlement shall be included as part of the indemnification obligation of Indemnifying Parties hereunder; provided, however, that Indemnified Parties shall not settle such Third-Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying Party, Parties (which consent shall not be unreasonably withheld reasonably withheld). If Indemnified Parties should elect to exercise such right, Indemnifying Parties shall have the right to participate in, but not control, the defense or delayedsettlement of such Third-Party Claim or demand at their sole cost and expense. (d) (i) If Indemnifying Parties elect not to defend Indemnified Parties against such Third-Party claim, whether by not giving Indemnified Parties timely notice as provided above or otherwise, then the amount of any such Third-Party Claim, or if the same be defended by Indemnifying Parties or by Indemnified Parties (but none of Indemnified Parties shall have any obligation to defend any such Third-Party Claim), then that portion thereof as to which such defense is unsuccessful, in each case, shall be conclusively deemed to be a liability of Indemnifying Parties hereunder, unless Indemnifying Parties shall have disputed their liability to Indemnified Parties, as provided in paragraphs (a) and (b) In the of this Section 7.7, in which event any such dispute shall be resolved as provided in Section 7.9 hereof. (ii) If Indemnified Party Parties should have a Claim claim against any Indemnifying Party Parties hereunder which that does not involve a Third-Party Claim or demand being asserted against or sought to be collected from him by that continues after resolution of a third partyThird-Party Claim, the Indemnified Party Parties shall promptly give a Claim Notice notice with respect to such Claim claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party Parties (which shall be deemed to have admitted the same effect under Section 7.7(a) hereof as a Claim Notice). If Indemnifying Parties dispute their liability for with respect to such Claim claim, such dispute shall be resolved in accordance with Section 7.9 hereof; if Indemnifying Parties do not notify Indemnified Parties within the 15-day Notice Period that they dispute such claim, the amount set forth in the Claim Notice. (c) The Indemnifying Party of such claim shall be given the opportunity to defend the respective Claimconclusively deemed a liability of Indemnifying Parties hereunder.

Appears in 1 contract

Samples: Asset Purchase Agreement (Ace Cash Express Inc/Tx)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party InterGames under this Article 5 shall V will be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party CyberMall would be liable to an Indemnified Party InterGames hereunder is asserted against or sought to be collected from such Indemnified Party InterGames by a third partyparty (a "Third Party Claim"), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, InterGames will with reasonable promptness notify the Indemnifying Party CyberMall of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the "Claim Notice")). The Indemnified Party’s CyberMall will not be obligated to indemnify InterGames with respect to any such claim or demand to the extent the failure of InterGames to so promptly notify the Indemnifying Party in accordance with the provisions CyberMall of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s CyberMall's ability to defend against the claim or demand. The Indemnifying Party shall CyberMall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: InterGames (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party CyberMall to the Indemnified Party InterGames hereunder with respect to such Claim claim or demand, and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying PartyCyberMall, to defend the Indemnified Party InterGames against such Claims claim or demand; providedPROVIDED, howeverHOWEVER, that any Indemnified Party InterGames is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party CyberMall and not materially prejudicial to the Indemnifying PartyCyberMall. In the event that the Indemnifying Party CyberMall notifies the Indemnified Party InterGames within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party InterGames against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall CyberMall will have the right to defend by all appropriate proceedings. If InterGames desires to participate in, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in but not control, any such action defense or settlement it may do so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictCyberMall, the Indemnified Party InterGames agrees to cooperate with the Indemnifying Party CyberMall and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party CyberMall elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 claim may be settled by CyberMall without the consent of the Indemnifying PartyInterGames, which consent shall will not be unreasonably withheld withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both InterGames and CyberMall, if (i) InterGames has available to it defenses which are in addition to those available to CyberMall, (ii) InterGames has available to it defenses which are inconsistent with the defenses available to CyberMall or delayed(iii) a conflict exists or may reasonably be expected to exist in connection with the representation of both InterGames and CyberMall by the legal counsel chosen by CyberMall, InterGames will have the right to select its own legal counsel subject to the approval of such legal counsel by CyberMall, such approval not to be unreasonably withheld. If InterGames selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of CyberMall pursuant to this Article V, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of CyberMall; provided that under no circumstances will CyberMall be obligated to indemnify InterGames against the fees and expenses of more than one legal counsel selected by InterGames in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (b) In the event any Indemnified Party InterGames should have a Claim claim against any Indemnifying Party CyberMall hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party shall give InterGames will send a Claim Notice with respect to such Claim claim to the Indemnifying PartyCyberMall. If, after receipt of a Claim Notice, the Indemnifying Party If CyberMall does not notify the Indemnified Party InterGames within the Notice Period that he, she or it CyberMall disputes such Claimclaim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeof such claim will be conclusively deemed a liability of CyberMall hereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Development and Maintenance Agreement (Global Statistics Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) 8.6.1 In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought following Closing (i) the Purchaser shall have a claim to be collected from such Indemnified indemnified under this Article VIII by the Seller (hereinafter a “Direct Claim”), or (ii) the Purchaser becomes aware of any third party claim or potential claim against the Company or any of the Subsidiaries which may give rise to a Direct Claim (hereinafter a “Third Party by a third partyClaim”), said Indemnified Party the Purchaser shall, within as soon as practicable in view of the circumstances (but in the case of a Third Party Claim no later than thirty (30) calendar days, or ten (10) business calendar days from if the date upon which Third Party Claim relates to a Tax matter and requires a response within thirty (30) days or less, after the Indemnified Party Purchaser has Knowledge received written notice of such Third Party Claim, ) notify the Indemnifying Party Seller of such claim or demand, Claim specifying in reasonable detail the nature of and specific basis for such claim or demand and Claim and, if known, the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (hereinafter the “Claim Notice”). The Indemnified PartyFollowing the sending of the Claim Notice, the Purchaser shall make available to the Seller the supporting documentation or evidence in its possession or under its control on which the Claim is based including any and all documents and/or information in the Purchaser’s failure possession reasonably necessary to so notify analyse the Indemnifying Party factual grounds of the Claim. In the event of a Claim, the Purchaser shall use its reasonable endeavours to take all reasonably required action in accordance response to the events which have generated the Claim, in a manner which is consistent with the provisions corporate interest of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices Company or the Indemnifying Party’s ability to defend against relevant Subsidiary or Subsidiaries, as the claim or demand. case may be. 8.6.2 The Indemnifying Party Seller shall have 30 thirty (30) calendar days from the giving receipt of the relevant Claim Notice to notify the Purchaser whether or not it wishes to dispute its liability to the Purchaser hereunder with respect to such Claim (the “Notice Period”). Such thirty (30) day period shall be reduced in the event of a Third Party Claim involving proceedings which require a response within a shorter period of time to notify the Indemnified Party: period for that response less seven (i7) whether or not calendar days. Failure on the Indemnifying Party disputes the liability part of the Indemnifying Party Seller to make any notification to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not Purchaser before the Indemnifying Party desires, at the sole cost and expense end of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period shall be deemed to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those be an acceptance of the Indemnifying Party and not prejudicial Claim notified by the Purchaser. If the parties agree (or are deemed to agree) on or prior to the Indemnifying Partyexpiration of the Notice Period upon the validity and amount of such Claim, the Seller shall pay to the Purchaser, within fifteen (15) calendar days following the date of such agreement, the full agreed amount of the indemnification due in respect of such Claim. If the Seller has notified the Purchaser before the end of the Notice Period of the fact that it disagrees with the Claim notified by the Purchaser, the parties shall use their best efforts during the next fifteen (15) Business Days in order amicably to resolve their dispute. If the parties are unable to reach an agreement on or prior to the expiration such fifteen (15) Business Day period, such dispute shall be resolved in accordance with court proceedings in accordance with Section 10.6 below. 8.6.3 In the event that the Indemnifying Party Seller notifies the Indemnified Party Purchaser within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defence of the Company or the relevant Subsidiary against a particular Third Party against such claim or demand and Claim then, except as hereinafter provided, the Indemnifying Seller shall at its own expense have the right to assume the defence of such Third Party Claim by appropriate proceedings, and shall appoint its own counsel, reasonably acceptable to the Purchaser. These proceedings shall be promptly settled or taken to a final conclusion in accordance with the corporate interest of the undertaking concerned by such Third Party Claim and in such a manner as to avoid any risk of the Purchaser or the Company or a Subsidiary becoming liable for any other matter. In this respect, the Purchaser shall be entitled to participate and review the Seller’s draft defence. The Seller shall pay all fees and disbursements incurred in connection with such proceedings, including, without limitation, counsel’s fees. The Seller shall not, without the prior written consent of the Purchaser which shall not be unreasonably withheld or delayed (i) consent to the entry of any judgment against the Company or a Subsidiary, (ii) enter into any settlement or compromise or (iii) enter into any settlement or compromise or any claim or demand for monetary damages which does not include, as an unconditional term thereof, the giving by each claimant or plaintiff to the Purchaser and/or the Company or the Subsidiary concerned of a release in form and substance satisfactory to the Purchaser. The Purchaser shall have the right to defend participate in the defence assumed by the Seller and to retain a counsel of its choice, at its own expense. If requested by the Seller, the Purchaser agrees to cooperate with the Seller and its counsel (at the cost of the Seller) in contesting any such Third Party Claim and to refrain from taking any action which could jeopardise or interfere with the defence of such claims. The Seller shall at all times keep the Purchaser fully informed of the progress of any Third Party Claim and its defence in the event the Purchaser does not elect to participate in the defence of such Third Party Claim. If the Seller notifies the Purchaser of its intention not to assume the defence of a Third Party Claim, or if it fails to reply on this point within the Notice Period, the Purchaser, the Company or the relevant Subsidiary shall conduct the defence at the expense of the Seller, by appropriate proceedings, and shall appoint their own counsel, reasonably acceptable to the Seller, which proceedings shall be promptly settled or prosecuted by him taken to a final conclusion. The Indemnified conclusion in accordance with the corporate interest of the undertaking concerned by such Third Party Claim. 8.6.4 Should the thirty (30) calendar day notification period of a Third Party Claim (ten (10) calendar days if the Third Party Claim relates to a Tax matter and requires a response within thirty (30) days or less) set out in Section 8.6.1 not be adhered to by the Purchaser, it shall have lose its rights to indemnification under this Article VIII relating to the right to employ separate counsel Third Party Claim in any such action and participate in the defense thereofquestion, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except only to the extent that the employment thereof Seller can demonstrate that the late notification has caused the Purchaser Losses to be indemnified to be greater than they would have been specifically authorized had the Purchaser given timely notice (it being agreed that in such case the Purchaser Losses shall only be reduced to the extent of any such excess) and provided also that Seller has also complied with the procedures set out in this Section 8.6 which are applicable to it. 8.6.5 All claims for indemnification of the Seller by the Indemnifying Party in writing, Purchaser under this Agreement shall be asserted and resolved under the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in procedures set forth above substituting as appropriate the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a Material Conflict”). If requested Seller” by the Indemnifying Party “Purchaser” and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedvice versa. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Sale and Purchase Agreement (Wolseley PLC)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall Agreement will be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a "Third Party Claim"), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the "Claim Notice")). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s 's ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedingsproceedings and control the defense of any such claim or demand, which proceedings shall be promptly settled or prosecuted by him to a final conclusionincluding any and all appeals and negotiations with respect thereto. The Indemnified Indemnifying Party shall will also have the right to employ separate counsel in effect settlement or compromise of any such action and claim or demand. If the Indemnified Party desires to participate in the defense thereofin, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingnot control, the Indemnifying Party has failed after a reasonable period of time to assume any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 claim may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.the

Appears in 1 contract

Samples: Purchase Agreement (Crescent Operating Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an a party or parties (the "Indemnifying Party Party") would be liable to an another party or party (the "Indemnified Party hereunder Party") is asserted against or sought to be collected from such the Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 thirty days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: , (i) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires they desire to defend the Indemnified Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusion. The If any Indemnified Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If the Indemnifying Party elects not to defend the Indemnified Party against such claim or demand, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or if the same be contested by the Indemnifying Party, then that portion thereof as to which such defense is unsuccessful, shall be conclusively deemed to be a liability of the Indemnifying Party hereunder. If, in the reasonable opinion of the Indemnified Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Indemnified Party, then the Indemnified Party shall have the right to employ separate counsel in participate in, but not control, the defense or settlement of any such action claim or demand and participate in the defense thereof, but the fees its reasonable costs and expenses of such counsel shall be at included as part of the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position indemnification obligation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedhereunder. (b) In the event any an Indemnified Party should have a Claim claim against any the Indemnifying Party hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Microtel International Inc)

Method of Asserting Claims, Etc. Promptly after the assertion by any third party of any claim, demand or notice (a "Third Party Claim") against any Person entitled to indemnification under Section 7.3 or Section 7.4 that results or may result in the incurrence by such indemnified party of any Indemnified Liabilities, such indemnified party shall promptly notify the party from whom such indemnification could be sought of such Third Party Claim. Thereupon, the indemnifying party shall have the right, upon written notice (the "Defense Notice") to the indemnified party within 30 days after receipt by the indemnifying party of notice of the Third Party Claim (or sooner if such claim so requires) to conduct, at its own expense, the defense against the Third Party Claim in its own name or, if necessary, in the name of the indemnified party. The Defense Notice shall specify the counsel the indemnifying party claiming indemnification is hereinafter referred shall appoint to as defend such Third Party Claim (the “Indemnified Party” "Defense Counsel") and the indemnified party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedingsapprove the Defense Counsel, which proceedings approval shall not be unreasonably withheld. In the event the indemnifying party and the indemnified party cannot agree on such counsel within 10 days after the Defense Notice is given, then the indemnifying party shall propose an alternate Defense Counsel, which shall be promptly settled or prosecuted by him subject again to a final conclusionthe indemnified party's approval, which approval shall not be unreasonably withheld. The Indemnified Party Any indemnified party shall have the right to employ separate counsel in any such action and Third Party Claim and/or to participate in the defense thereof, but the fees and expenses of such counsel shall not be included as part of any Indemnified Liabilities incurred by the indemnified party unless (i) the indemnifying party shall have failed to give the Defense Notice within the prescribed period, (ii) such indemnified party shall have received an opinion of counsel, reasonably acceptable to the indemnifying party, to the effect that the interests of the indemnified party and the indemnifying party with respect to the Third Party Claim are sufficiently adverse to prohibit the representation by the same counsel of both parties under applicable ethical rules, or (iii) the employment of such counsel at the expense of such Indemnified Party except to the extent that the employment thereof indemnifying party has been specifically authorized by the Indemnifying indemnifying party. The party conducting the defense of any Third Party in writing, Claim shall keep the Indemnifying Party has failed after a reasonable period other party apprised of time to assume such defense all significant developments and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld enter into any settlement, compromise or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought consent to be collected from him by a third party, the Indemnified Party shall give a Claim Notice judgment with respect to such Third Party Claim unless such other party consents, such consent not to be unreasonably withheld. In the Indemnifying Party. Ifevent that the indemnifying party shall fail to give a Defense Notice within such 30-day period (or such shorter period if the claim so requires), after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party they shall be deemed to have admitted liability for elected not to conduct the defense of the subject claim. A failure by an indemnified party to give timely, complete or accurate notice as provided in this Section 7.5 will not affect the rights or obligations of any party hereunder except and only to the extent that, as a result of such Claim in the amount set forth in the Claim Noticefailure, any party entitled to receive such notice was damaged or prejudiced as a result of such failure to give timely notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Preferred Stock and Warrant Purchase Agreement (Affiliated Managers Group Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party party under this Article 5 Section 8.4 shall be asserted and resolved as follows: (a) In the event that any Claim claim or demand for in respect of which an Indemnifying Party any party would be liable entitled to an Indemnified Party indemnification hereunder is asserted against or sought to be collected from such Indemnified Party party by a third party, said Indemnified Party shall, party shall within ten (10) business 45 days from the date upon which the Indemnified Party has Knowledge of such Claim, thereof notify the Indemnifying Party indemnifying party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Claim claim or demand) demand (the "Claim Notice"). The Indemnified Party’s failure indemnified party shall not be entitled to so indemnification with respect to any such claim or demand if the indemnified party fails to notify the Indemnifying Party indemnifying party thereof in accordance with the provisions of this Agreement shall not relieve in reasonably sufficient time so that the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s indemnifying party's ability to defend against the claim or demanddemand is not materially prejudiced. The Indemnifying Party indemnifying party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: indemnified party (i) whether or not the Indemnifying Party it disputes the liability entitlement of the Indemnifying Party indemnified party to the Indemnified Party indemnification hereunder with respect to such Claim claim or demand, and (ii) whether or not it desires at no cost or expense to the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Partyindemnified party, to defend the Indemnified Party indemnified party against such Claims claim or demand; provided, however, that any Indemnified Party indemnified party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he it shall deem necessary or appropriate to protect his interests its interests, provided that the indemnified party provides the indemnifying party with a copy of its proposed motion, answer or those other pleading and of its intention to file such document. The indemnifying party shall have five (5) days, or such shorter period of time as may be required in order that the Indemnifying Party motion, answer or other pleading may be timely filed, to review such document and not prejudicial respond to the Indemnifying PartyClaim Notice prior to the filing of such document. The indemnified party shall be authorized to file the motion, answer or other pleading if the indemnifying party fails to respond within such time period. In the event that the Indemnifying Party indemnifying party notifies the Indemnified Party indemnified party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party indemnified party against such claim or demand and except as hereinafter provided, the Indemnifying Party indemnifying party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him it to a final conclusion. The Indemnified Party shall have If the right indemnified party desires to employ separate counsel in participate in, but not control, any such action defense or settlement it may do so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material Conflictindemnifying party, the Indemnified Party indemnified party agrees to cooperate with the Indemnifying Party indemnifying party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party indemnifying party elects to contest contest, or, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demand, or any cross-cross complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 claim may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedindemnifying party. (b) In the event any Indemnified Party indemnified party should have a Claim against any Indemnifying Party an indemnification claim hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party indemnified party shall give send a Claim Notice with respect to such Claim claim to the Indemnifying Party. Ifindemnifying party and, after receipt if applicable, otherwise comply with the provisions of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeEscrow Agreement. (c) The Indemnifying Party amount to be paid by any indemnifying party to an indemnified party hereunder shall be given reduced by the opportunity amount of any Net Tax Benefit realized by the indemnified party as a result of such indemnification claim. "Net Tax Benefit" means an amount equal to defend the respective Claimnet reduction in any year in the liability for taxes (that are based upon or measured by income) of the indemnified party or any member of a consolidated or combined tax group of which the indemnified party is, or was at any time, part, which reduction is actually realized and which reduction would not have been realized but for the amount paid (or any audit adjustment or deficiency with respect thereto, if applicable) in respect of an indemnification claim, or amounts paid by the indemnified party pursuant to this Article 8. The parties hereto agree to provide the other parties or their designated representatives with such assistance and such documents and records reasonably requested by them that are relevant to their ability to determine whether there is a Net Tax Benefit, including but not limited to copies of tax returns, estimated tax payments, schedules and related supporting documents.

Appears in 1 contract

Samples: Asset Purchase Agreement (Renters Choice Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 Agreement shall be asserted and resolved as follows: (a) set forth in this Section. In the event that any Claim written claim or demand for which an the Indemnifying Party would may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event later than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party Party’s receipt of such claim or demand, specifying notify in writing the nature Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (such notice to the Indemnifying Party a Third Party Claim Notice”). The failure by any Indemnified Party’s failure Party to so notify timely deliver the Indemnifying Third Party in accordance with the provisions of this Agreement Claim Notice shall not relieve the Indemnifying Party of from any liability hereunder unless that it may have to such failure materially prejudices Indemnified Party hereunder, except to the extent that the Indemnifying Party’s ability Party has been prejudiced or suffers any Loss by such failure. (b) With respect to defend against claims or demands for which a Third Party Claim Notice has been delivered under Section 3.2(a), the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from after the giving delivery of the Third Party Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during . During the Notice Period to file any motion, answer or other pleading which he and thereafter the Indemnified Party shall deem necessary or appropriate to protect his interests or those of provide the Indemnifying Party with such information relating to the claim or demand as the Indemnifying Party shall reasonably request. Assumption of the defense against any such claim or demand shall not in any way be deemed an acknowledgment of any kind that such claim or demand is subject to indemnification. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending any such claim or demand shall be borne by the Indemnifying Party. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right sole power to defend direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by all appropriate proceedingsthe Indemnified Party, which proceedings shall be promptly settled or prosecuted by him except as hereinafter provided. If any Indemnified Party desires to a final conclusionparticipate in, but not control, any such defense it may do so at its sole cost and expense except as hereinafter provided. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofnot settle, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party in writing, or admit to any liability with respect to such claim or demand without the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position prior written consent of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed). The Indemnifying Party shall not, without the written consent of the Indemnified Party (which consent shall not be unreasonably withheld or delayed), settle, compromise or offer to settle or compromise any such claim or demand unless the terms of such settlement provide for no relief other than payments (including without limitation payment of monetary damages) that are not to be paid by the Indemnified Party or any of its Affiliates. To the extent the Indemnifying Party shall direct, control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party shall provide the Indemnifying Party and its counsel reasonable access (subject to appropriate confidentiality obligations) to all relevant business records and other documents, employees and properties and shall use its reasonable best efforts to assist, and to cause the employees and counsel of the Indemnified Party to assist, in defense of such claim. Notwithstanding the foregoing, if the Indemnifying Party elects not to defend the Indemnified Party or if the Indemnified Party is advised by outside counsel that a conflict of interest exists that requires the Indemnified Party to be represented by separate counsel under the applicable rules of professional responsibility or if the court or arbitrator to which the third party claim is pending determines that a conflict of interest exists such that the Indemnifying Party’s counsel is prohibited by such court or arbitrator or otherwise unable to adequately represent the Indemnified Party with respect to such third party claim, the Indemnified Party shall (at the sole cost and expense of the Indemnifying Party in accordance with and subject to this Article III) have the right and the obligation to vigorously defend the claim or demand by appropriate proceedings and shall have the sole power to direct and control such defense with respect to itself, subject to the restriction on settlement pursuant to this Article III. In any event, the Indemnifying Party shall, at its own expense, have the right to participate in the defense or settlement of any third party claim or demand for which the Indemnifying Party may be liable hereunder. (bc) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which that does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give deliver express written notice of such claim (a “Direct Claim Notice Notice”) (specifying in reasonable detail the basis for, and estimated amount of, such claim) with respect to such Claim reasonable promptness to the Indemnifying Party. IfParty (and in any event, after receipt within fifteen (15) days of a Claim Notice, the Indemnifying Party does not notify date on which the Indemnified Party within becomes aware or, with the Notice Period that heexercise of reasonable diligence would have become aware, she or it disputes of such Claim, then claim). The failure by any Indemnified Party to so notify the Indemnifying Party shall be deemed not relieve the Indemnifying Party from any liability that it may have to have admitted liability for such Claim in Indemnified Party hereunder, except to the amount set forth in extent that the Claim NoticeIndemnifying Party has been prejudiced or suffers any Loss by such failure. (cd) The With respect to a claim payable by any Indemnifying Party hereunder, the related indemnification payment provided for hereunder shall be given paid to the opportunity to defend Indemnified Party by no later than the respective Claimapplicable Indemnification Payment Due Date, except if such payment is a Good Faith Contested Payment.

Appears in 1 contract

Samples: Indemnification Agreement (Assured Guaranty LTD)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter or parties making a ------------------------------- claim under this Article VI is, for purposes of this Agreement, referred to as the "Indemnified Party" and the party or parties against whom such claims are ----------------- asserted hereunder is hereinafter under this Article is, for the purposes of this Agreement, referred to as the "Indemnifying Party." All Claims for indemnification claims by any an Indemnified Party under this Article 5 ------------------ Agreement shall be asserted and resolved only as follows: (a) In the event that (i) any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten party (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying a "Third Party Claim") or (ii) any Indemnified Party ----------------- hereunder should have a claim or demand against any Indemnifying Party hereunder which does not involve a claim or demand being asserted against or sought to be collected from it by a third party (such claim or demand a "Direct Claim"), the nature ------------ Indemnified Party shall with reasonable promptness notify in writing the Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible to determine (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “a "Claim ----- Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any failure to give such notice will not waive ------ -------- ------- any rights of the Indemnified Party is hereby authorized prior except to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those extent the rights of the Indemnifying Party and not prejudicial to the Indemnifying Party. are actually prejudiced. (b) In the event that of a Third Party Claim, the Indemnifying Party notifies may, and upon request of the Indemnified Party within the Notice Period that heshall, she or it does not dispute liability for indemnification under this Article 5 and that such person desires retain counsel reasonably satisfactory to defend the Indemnified Party against to represent the Indemnified Party and any others the Indemnifying Party may designate in connection with such claim or demand and except as hereinafter provided, shall pay the fees and disbursements of such counsel with regard thereto. In the event an Indemnifying Party shall have the right to defend by all appropriate proceedingsretain such counsel, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The an Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofretain its own counsel, but the fees and expenses disbursements of such the Indemnified Party's counsel shall be at the expense of such Indemnified Party except unless (i) the Indemnifying Party and such Indemnified Party shall have mutually agreed to the extent that retention of such counsel or (ii) representation of such Indemnified Party by the employment thereof has been specifically authorized 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, such proceeding. It is understood that the Indemnifying Party has failed after a reasonable period shall not, in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the fees and disbursements of time to assume such defense and to employ counsel or more than one firm qualified in such action there is, in jurisdiction to act as counsel for the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnified Party. No Indemnifying Party and the position of such shall be liable to an Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her for any settlement of any action or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled claim without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any withheld. The Indemnifying Party hereunder which shall not, without the prior written consent of the Indemnified Party, settle or compromise any claim or consent to the entry of any judgment that does not involve a Claim include as an unconditional term thereof the giving by the claimant or demand being asserted against or sought the plaintiff to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with release from all liability in respect to of such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The In the event of a Direct Claim, if the Indemnifying Party notifies the Indemnified Party within sixty (60) days of receipt of a Claim Notice that it does not dispute such claim, the amount of such claim shall be given conclusively deemed a liability of the opportunity Indemnifying Party hereunder and shall be paid to defend the respective ClaimIndemnified Party immediately.

Appears in 1 contract

Samples: Stock Purchase Agreement (Tenfold Corp /Ut)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that set forth in this Section 9.3. An Indemnified Party entitled to any Claim indemnification provided for under this Agreement in respect of, arising out of or involving a claim or demand for which made by, or an Indemnifying Party would be liable action, proceeding or investigation instituted by, any Person (whether or not a party to this Agreement) (an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party"Indemnity Claim"), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, must notify the Indemnifying Party in writing, and in reasonable detail, of the Indemnity Claim as promptly as practicable after such Indemnified Party learns of the Indemnity Claim; provided, however, that failure to give such notification shall not affect the indemnification provided hereunder unless the Indemnifying Party shall have been actually prejudiced as a result of such claim or demandfailure. Such written notice (the "Claim Notice") shall to the extent reasonably possible, specifying the nature of and specific basis for such claim or demand and set forth the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof. (the “b) If an Indemnity Claim Notice”is made against an Indemnified Party by a third party (a "Third Party Claim"). The , such Indemnified Party shall promptly, but in no event more than 30 days following such Indemnified Party’s failure 's receipt of such Third Party Claim, deliver a Claim Notice to so notify the Indemnifying Party in accordance with respect thereto; provided, however, that failure to provide such notice within the provisions of this Agreement time period required shall not relieve affect the Indemnified Party's right to indemnification hereunder except to the extent that the Indemnifying Party was actually prejudiced as a result of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandfailure. The Indemnifying Party shall have 30 ten (10) days from the giving date of personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: (i) Party in writing whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to it shall defend the Indemnified Party against such Claims or demandThird Party Claim; provided, however, provided that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of if the Indemnifying Party assumes such defense, such written notice shall include the assumption in full of all responsibility for any Losses arising from such Third Party Claim, subject to the limitations set forth in this Article IX. Notwithstanding the foregoing, without the prior written consent of the Indemnified Party, the Indemnifying Party shall not have the right to assume the defense of any Third Party Claim described in a Claim Notice that (i) seeks an injunction or other equitable relief as a primary remedy, (ii) relates to or arises in connection with any criminal or quasi-criminal allegation, proceeding, action, indictment or investigation, (iii) in the reasonable judgment of the Indemnified Party, is likely to result in aggregate liability that will exceed the then remaining amount of the Cap or (iv) primarily relates to a claim or demand of, or a dispute with, a material customer of Seller. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defense of a Third Party against such claim or demand and Claim, except as hereinafter herein provided, the Indemnifying Party shall have the right to defend do so by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified If the Indemnifying Party shall have has the right to employ separate counsel in any such action and participate in elects to assume the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified a Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingClaim, the Indemnifying Party has failed after a reasonable period shall select counsel, contractors and consultants of time recognized standing and competence; and shall diligently pursue the resolution of such Third Party Claim. If the Indemnified Party desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense; provided, however, that the Indemnifying Party shall pay all reasonable fees, costs and expenses of one outside counsel (in addition to employ counsel local counsel) in connection with such participation (i) if it requests the Indemnified Party to participate or in such action there is, (ii) if in the reasonable opinion of such separate counseloutside counsel to the Indemnified Party, a material conflict on any material issue or potential conflict exists between the position Indemnified Party and the Indemnifying Party that would make joint representation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)impermissible under applicable standards of professional conduct. If requested by the Indemnifying Party chooses to defend or prosecute any Third Party Claim, all of the parties hereto shall reasonably cooperate in the defense or prosecution thereof. Subject to attorney-client privilege, such cooperation shall include the retention and there is no Material Conflict(upon the Indemnifying Party's reasonable request) the provision to the Indemnifying Party of records and information which are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder; provided, however, that any out-of-pocket cost incurred by the Indemnified Party agrees to cooperate in connection with such cooperation shall be at the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personParty's expense. No Claim for which indemnity is sought hereunder and for which If the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without assumed the consent defense of a Third Party Claim, the Indemnifying Party may only settle or compromise a Third Party Claim with the Indemnified Party, 's prior written consent (which consent shall not be unreasonably withheld or delayed. (b) In ); provided, however, that the event any Indemnifying Party may settle or compromise such a Third Party Claim without the prior written consent of the Indemnified Party should have a Claim against any if such settlement or compromise (x) provides solely for the payment of money by the Indemnifying Party hereunder which and includes a complete and unconditional release of the Indemnified Party from all liability in respect of such Third Party Claim and (y) does not involve subject the Indemnified Party to any injunctive relief or other equitable remedy. If the Indemnifying Party does not defend the Indemnified Party against a Third Party Claim for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or demand being asserted against otherwise, then the Indemnified Party shall have the right to defend and settle such Third Party Claim; provided that the amount of any such Third Party Claim, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful, shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article IX, provided that whether or sought to be collected from him by not the Indemnifying Party shall have assumed the defense of a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim not settle or compromise any Third Party Claim, or consent to the Indemnifying Party. Ifentry of any judgment, after receipt without the prior written consent of a Claim Notice, the Indemnifying Party does (which consent shall not notify the Indemnified Party within the Notice Period that he, she be unreasonably withheld or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticedelayed). (c) The Indemnifying Party If, and to the extent, that the provisions of Section 6.17(g) are inconsistent with this Section 9.3 as to any Tax Proceeding, Section 6.17(g) shall be given the opportunity to defend the respective Claimcontrol.

Appears in 1 contract

Samples: Merger Agreement (Universal Business Payment Solutions Acquisition Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand ("Claim") for which an a party (the "Indemnifying Party Party") would be liable to an another party (the "Indemnified Party hereunder Party") is asserted against or sought to be collected from such the Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party of such claim or demandClaim, specifying the nature of and specific basis for such claim or demand the Claim and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandClaim) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demandClaim, and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party it desires, at the its sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of Claim. (b) If the Indemnifying Party and not prejudicial disputes its liability with respect to the Claim (whether or not the Indemnifying Party desires to defend the Indemnified Party against such Claim as provided below), the Claim shall be resolved in accordance with Section 9.6 hereof. Pending resolution of the dispute, such Claim shall not be settled without prior consent of the Indemnified Party. . (c) In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, Claim then the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if by appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personproceedings. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, If the Indemnified Party shall give a Claim Notice with respect desires to participate in (but not control) any such Claim to the Indemnifying Party. Ifdefense, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticemay do so at its sole cost and expense. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Consolidated Capital of North America Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 4 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim Claim or demand, specifying the nature of and specific basis for such claim Claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim Claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 4 and that such person he desires to defend the Indemnified Party against such claim Claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person Person asserting the third party Claim or demand, or any cross-complaint against any personPerson. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Share Exchange Agreement (Odimo INC)

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Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Sellers or Maxco would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Sellers and Maxco of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate 31 shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Sellers and Maxco shall have 30 ten days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: Purchaser Party of (i) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desiresnot, notwithstanding any such dispute, they desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Purchaser Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior . (a) If Sellers or Maxco disputes its liability with respect to and during such claim or demand or the Notice Period to file any motion, answer amount thereof (whether or other pleading which he shall deem necessary not Sellers or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person Maxco desires to defend the Indemnified Purchaser Party against such claim or demand as provided in paragraphs (b) and (c) below), such dispute shall be resolved in accordance with Section 6.5 hereof. Pending the resolution of any dispute by Sellers or Maxco of its liability with respect to any claim or demand, such claim or demand shall not be settled without the prior written consent of the Indemnified Purchaser Party. (b) In the event that Sellers or Maxco notifies the Indemnified Purchaser Parties within the Notice Period that they desire to defend the Indemnified Purchaser Party against such claim or demand then, except as hereinafter provided, the Indemnifying Party Sellers or Maxco, respectively, shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of Indemnified Purchaser Party becoming subject to liability for any other matter; provided, however, Sellers and Maxco shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance satisfactory to the Indemnified Purchaser Party, as the case may be, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If, in the reasonable opinion of the Indemnified Purchaser Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Indemnified Purchaser Party, including without limitation the administration of the tax returns and responsibilities under the tax laws of any Indemnified Purchaser Party, then the Indemnified Purchaser Party shall have the right to employ separate counsel in control the defense or settlement of any such action claim or demand and participate in the defense thereof, but the fees its reasonable costs and expenses of such counsel shall be at included as part of the expense indemnification obligation of such Indemnified Party except to the extent Sellers and Maxco hereunder; provided, however, that the employment thereof has been specifically authorized by the Indemnifying Indemnified Purchaser Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume shall not settle any such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying PartySellers or Maxco, which consent shall not be unreasonably withheld withheld. If the Indemnified Purchaser Party should elect to exercise such right, Sellers or delayedMaxco shall have the right to participate in, but not control, the defense or settlement of such claim or demand at its sole cost and expense. (bi) If Sellers or Maxco elect not to defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or if the same be defended by Sellers or Maxco or by the Indemnified Purchaser Party (but none of the Indemnified Purchaser Party shall have any obligation to defend any such claim or demand), then that portion thereof as to which such defense is unsuccessful, in each case shall be conclusively deemed to be a liability of Sellers and Maxco hereunder, unless Sellers and Maxco shall have disputed their liability to the Indemnified Purchaser Party hereunder, as provided in (a) above, in which event such dispute shall be resolved as provided in section 6.5 hereof. (ii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party 32 Sellers or Maxco hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySellers and Maxco. IfIf Sellers or Maxco dispute its liability with respect to such claim or demand, after receipt of a Claim Notice, the Indemnifying Party does such dispute shall be resolved in accordance with Section 6.5 hereof; if Sellers or Maxco do not notify the Indemnified Purchaser Party within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Sellers or Maxco, respectively, hereunder. (cd) The Indemnifying All claims for indemnification by an Indemnified Sellers Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Sellers Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Sellers and Maxco".

Appears in 1 contract

Samples: Asset Purchase Agreement (Maxco Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of any such Claimwritten claim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible known (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure materially prejudices shall have adversely prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 forty (40) days from the giving receipt of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided. Notwithstanding the foregoing, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party shall only have the right to defend a claim or demand if (i) the claim or demand involves only money damages and does not prejudicial seek an injunction or other equitable relief that affects or could reasonably be expected to materially affect the operation of the Indemnified Party’s Business in a negative manner, (ii) settlement of, or an adverse judgment with respect to, the claim or demand is not, in the good faith judgment of the Indemnified Party, likely to establish a precedential custom or practice adverse to the continuing business interests or the reputation of the Indemnified Party that could have a materially negative impact on the Indemnified Party’s Business, and (iii) the Indemnifying Party conducts the defense of the such claim or demand actively and diligently. An election to assume the defense of such claim or demand shall be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity indemnification is being sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. (b) In the event offer to settle or compromise any third party claim or demand for which indemnification is being sought hereunder unless such settlement or compromise includes an unconditional release of such Indemnified Party should have a Claim against any from all liability arising out of such claim, provides solely for monetary relief to be satisfied by the Indemnifying Party hereunder which (and does not involve any finding or admission by the Indemnified Party of any violation of Law or Contract) and the Indemnified Party receives assurances that there will be no material continuing restrictions on the business of the Indemnified Party with respect to such claim. If the Indemnifying Party elects not to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense of the claim by the Indemnifying Party is unsuccessful (and the reasonable costs and expenses pertaining to such defense) shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use commercially reasonable efforts (subject to reimbursement of any reasonable and documented expenses of the Indemnified Party by the Indemnifying Party) to assist the Indemnifying Party in its defense of the claim. To the extent then determined and known by the Indemnified Party after reasonable inquiry, any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the estimated amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within claim. Notwithstanding anything to the Notice Period contrary in this Section 8.3 (including the second sentence of this Section 8.3), Seller hereby agrees to defend, and shall have the right to control the defense of any pending claims in the Retained Litigation, provided that he, she if new claims are asserted in the Retained Litigation or it disputes such Claim, the existing claims in the Retained Litigation are amended then the Indemnifying Party shall Seller’s ability to assume the defense of those new or amended claims will be deemed determined pursuant to have admitted liability for such Claim in the amount set forth in the Claim Noticethis Section 8.3. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Purchase Agreement (Teleflex Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such an Indemnified Party by a third partyparty (a "Third Party Claim"), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall use reasonable efforts to ------------------ notify the Indemnifying Party in writing of such claim or demandThird Party Claim, specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandThird Party Claim) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 twenty calendar days ------------- (or such earlier period of time as may be required for the filing of responsive pleadings to any legal action instituted with respect to the Third Party Claim or required due to contractual deadlines imposed upon the Indemnified Party by the contract in dispute but in any event, not less than 10 days) from the giving receipt of the Claim Notice (the "Response Notice --------------- Period") to notify the Indemnified Party: , (iA) whether or not the Indemnifying Party it disputes the ------ its liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim and (B) notwithstanding any such dispute, whether or not it will defend, at its sole cost and expense, the Indemnified Party against such Third Party Claim. No failure by an Indemnified Party to notify the Indemnifying Party of the existence or assertion of a claim for which indemnification may be sought shall constitute a defense to a waiver of such claim except to the extent the Indemnifying Party may be able to prove that it has been materially prejudiced by such failure or delay. (b) If the Indemnifying Party disputes its liability with respect to such Third Party Claim or demand, and the amount thereof (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand Third Party Claim as provided in paragraphs (c) and except as hereinafter provided(d) below), the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings such dispute shall be promptly settled or prosecuted by him to a final conclusionresolved in accordance with Section 8.5 hereof. The Indemnified Party shall have Pending ----------- the right to employ separate counsel in resolution of any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized dispute by the Indemnifying Party in writingof its liability with respect to any Third Party Claim, the Indemnifying such Third Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may shall not be settled without the prior written consent of the Indemnified Party and the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (bc) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, that the Indemnifying Party does not notify notifies the Indemnified Party within the Response Notice Period that he, she or it disputes will defend the Indemnified Party against such Third Party Claim, then the Indemnifying Party shall assume the defense thereof with counsel reasonably acceptable to the Indemnified Party, and the Indemnified Party shall cooperate in all reasonable respects in such defense, including without limitation in making any appropriate counterclaim against the person asserting the Third Party Claim or any appropriate cross-complaint against any person (unless such counterclaim or cross-complaint would be deemed against any other entity with which the Indemnified Party has ongoing business relations and would have a significant likelihood in the good faith judgment of the Indemnified Party of damaging such business relationships); provided, however, the Indemnifying Party shall not, without the prior written consent of the Indemnified Party which consent shall not be unreasonably withheld, consent to the entry of any judgment against the Indemnified Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Party of a release, in form and substance reasonably satisfactory to the Indemnified Party, from all liability in respect of such Third Party Claim. If any Indemnified Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If, in the reasonable opinion of the Indemnified Party, any such Third Party Claim or the litigation or resolution of any such Third Party Claim involves an issue or matter which could reasonably be expected to have admitted liability for a Material Adverse Effect on the Indemnified Party, then the Indemnified Party shall have the right to control the defense or settlement of any such Third Party Claim in at its cost and expense, and such legal fees and expenses shall be included as part of the amount set forth in indemnification obligation of the Indemnifying Party hereunder. If the Indemnified Party should elect to exercise such right, the Indemnifying Party shall have the right to participate in, but not control, the defense or settlement of such Third Party Claim Noticeat its sole cost and expense. (cd) The (i) If the Indemnifying Party shall be given the opportunity elects not to defend the respective Indemnified Party against such Third Party Claim., whether by not giving the Indemnified Party timely notice within the Response Notice Period as provided above or otherwise, then the Indemnified Party shall, at the expense of the Indemnifying Party (if the Indemnified Party is entitled to indemnification hereunder), have the right to defend, settle or compromise any such Third Party Claim with counsel of its own choosing. In the event the Indemnified Party proposes to settle a Third Party Claim, the Indemnified Party shall deliver to the Indemnifying Party written notice of the proposed settlement of the Third Party Claim, which the Indemnifying Party may reject in its reasonable judgment within thirty days of receipt of such notice. In the event the Indemnified Party settles such Third Party Claim over the objection of Indemnifying Party, dispute over such settlement shall be resolved as provided in Section 8.5 hereof. -----------

Appears in 1 contract

Samples: Merger Agreement (Graphic Industries Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller or the Members would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify Seller and the Indemnifying Party Members of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify Seller and the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Members shall have 30 ten days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Purchaser Party: , (iA) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Purchaser Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior . (a) If Seller or the Members disputes its liability with respect to and during such claim or demand or the Notice Period to file any motion, answer amount thereof (whether or other pleading which he shall deem necessary not Seller or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person Members desires to defend the Indemnified Purchaser Party against such claim or demand as provided in paragraphs (b) and (c) below), such dispute shall be resolved in accordance with Section 6.5 hereof. Pending the resolution of any dispute by Seller or the Members of its liability with respect to any claim or demand, such claim or demand shall not be settled without the prior written consent of the Indemnified Purchaser Party. (b) In the event that Seller or the Members notifies the Indemnified purchaser Parties within the Notice Period that they desire to defend the Indemnified Purchaser Party against such claim or demand then, except as hereinafter provided, Seller or the Indemnifying Party Members, respectively, shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of Indemnified Purchaser Party becoming subject to liability for any other matter; provided, however, Seller and the Members shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance satisfactory to the Indemnified Purchaser Party, as the case may be, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. If, in the reasonable opinion of the Indemnified Purchaser Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Indemnified Purchaser Party, including without limitation the administration of the tax returns and responsibilities under the tax laws of any Indemnified Purchaser Party, then the Indemnified Purchaser Party shall have the right to employ separate counsel in control the defense or settlement of any such action claim or demand and participate in the defense thereof, but the fees its reasonable costs and expenses of such counsel shall be at included as part of the expense indemnification obligation of such Indemnified Party except to Seller and the extent Members hereunder; provided, however, that the employment thereof has been specifically authorized by the Indemnifying Indemnified Purchaser Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume shall not settle any such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of Seller or the Indemnifying Party, Members which consent shall not be unreasonably withheld withheld. If the Indemnified Purchaser Party should elect to exercise such right, Seller or delayedthe Members shall have the right to participate in, but not control, the defense or settlement of such claim or demand at its sole cost and expense. (bi) If Seller or the Members elects not to defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or if the same be defended by Seller or the Members or by the Indemnified Purchaser Party (but none of the Indemnified Purchaser Party shall have any obligation to defend any such claim or demand), then that portion thereof as to which such defense is unsuccessful, in each case shall be conclusively deemed to be a liability of Seller and the Members hereunder, unless Seller and the Members shall have disputed their liability to the Indemnified Purchaser Party hereunder, as provided in (a) above, in which event such dispute shall be resolved as provided in Section 6.5 hereof. (ii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Seller or the Members hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to Seller and the Indemnifying PartyMembers. IfIf Seller or the Members disputes its liability with respect to such claim or demand, after receipt of a Claim Notice, such dispute shall be resolved in accordance with Section 6.5 hereof; if Seller or the Indemnifying Party Members does not notify the Indemnified Purchaser Party within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in of Seller or the amount set forth in the Claim NoticeMembers, respectively, hereunder. (cd) The Indemnifying All claims for indemnification by an Indemnified Seller Party under this Amended Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Seller and the Members."

Appears in 1 contract

Samples: Asset Purchase Agreement (Equalnet Communications Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Forefront would be liable to an Indemnified Party Indemnitee hereunder is asserted against or sought to be collected from such Indemnified Party an Indemnitee by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, Indemnitee shall promptly notify the Indemnifying Party Forefront of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Forefront shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: Indemnitee, (i) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Party Indemnitee hereunder with respect to such Claim claim or demand, and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party Indemnitee against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. . (a) In the event that the Indemnifying Party Forefront notifies the Indemnified Party Indemnitee within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party Indemnitee against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Forefront shall have the right to defend the Indemnitee by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him Forefront to a final conclusionconclusion in such a manner as to avoid any risk of Indemnitee becoming subject to liability for any other matter; provided, however, Forefront shall not, without the prior written consent of the Indemnitee, consent to the entry of any judgment against the Indemnitee or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnitee of a release, in form and substance satisfactory to the Indemnitee, as the case may be, from all liability in respect of such claim or litigation. The Indemnified Party If any Indemnitee desires to participate in any such defense or settlement, it may do so at its sole cost and expense. If an Indemnitee determines in good faith that Indemnitee's interests with respect to any such claim or demand cannot appropriately be represented by Forefront or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, operations, assets, properties or prospects of the Verona Project, the Transferred Assets, the Licensed Technology or the Verona Employees, or the administration of the tax returns and responsibilities under the tax laws of any Indemnitee, then the Indemnitee shall have the right right, subject to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of Forefront which consent will not be unreasonably withheld, to control the Indemnifying Partydefense or settlement of any such claim or demand and its reasonable costs and expenses shall be included as part of the indemnification obligation of Forefront hereunder; provided, however, that the Indemnitee shall not settle any such claim or demand without the prior written consent of Forefront, which consent shall not be unreasonably withheld withheld. If the Indemnitee should elect to exercise such right, Forefront shall have the right to participate in, but not control, the defense or delayedsettlement of such claim or demand at its sole cost and expense. (bi) If Forefront elects not to defend the Indemnitee against such claim or demand, whether by not giving the Indemnitee timely notice as provided above or otherwise, then the amount of any such claim or demand, or if the same be defended by Forefront or by the Indemnitee (but the Indemnitee shall not have any obligation to defend any such claim or demand), then that portion thereof as to which such defense is unsuccessful, in each case shall be conclusively deemed to be a liability of Forefront hereunder. (ii) In the event any Indemnified Party an Indemnitee should have a Claim claim against any Indemnifying Party Forefront hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Party Indemnitee shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartyForefront. If, after receipt of a Claim Notice, the Indemnifying Party If Forefront does not notify the Indemnified Party Indemnitee within the Notice Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Forefront hereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Forefront Group Inc/De)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 Agreement shall be asserted and resolved as follows: (a) set forth in this Section. In the event that any Claim written claim or demand for which Assured or DCL, as the case may be (an Indemnifying Party would Party”), may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event later than 15 days from the date upon which the following such Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party Party’s receipt of such claim or demand, specifying notify in writing the nature Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “Third Party Claim Notice”). The failure by any Indemnified Party’s failure Party to so notify timely deliver the Indemnifying Third Party in accordance with the provisions of this Agreement Claim Notice shall not relieve the Indemnifying Party of from any liability hereunder unless that it may have to such failure materially prejudices Indemnified Party hereunder, except to the extent that the Indemnifying Party’s ability Party has been materially prejudiced or suffers any Loss by such failure. (b) With respect to defend against claims or demands for which a Third Party Claim Notice has been delivered under Section 3.2(a), the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from after the giving delivery of the Third Party Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during . During the Notice Period to file any motion, answer or other pleading which he and thereafter the Indemnified Party shall deem necessary or appropriate to protect his interests or those of provide the Indemnifying Party with such information relating to the claim or demand as the Indemnifying Party shall reasonably request. Assumption of the defense against any such claim or demand shall not in any way be deemed an acknowledgment of any kind that such claim or demand is subject to indemnification. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending any such claim or demand shall be borne by the Indemnifying Party. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right sole power to defend direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by all appropriate proceedingsthe Indemnified Party, which proceedings shall be promptly settled or prosecuted by him except as hereinafter provided. If any Indemnified Party desires to a final conclusionparticipate in, but not control, any such defense it may do so at its sole cost and expense, except as hereinafter provided. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofnot settle, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party in writing, or admit to any liability with respect to such claim or demand without the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position prior written consent of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed). The Indemnifying Party shall not, without the written consent of the Indemnified Party (which consent shall not be unreasonably withheld or delayed), settle, compromise or offer to settle or compromise any such claim or demand unless the terms of such settlement provide for no relief other than payments (including without limitation payment of monetary damages) that are not to be paid by the Indemnified Party or any of its Affiliates. To the extent the Indemnifying Party shall direct, control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party shall provide the Indemnifying Party and its counsel reasonable access (subject to confidentiality obligations) to all relevant business records and other documents, employees and properties and shall use its reasonable best efforts to assist, and to cause the employees and counsel of the Indemnified Party to assist, in defense of such claim. Notwithstanding the foregoing, if the Indemnifying Party elects not to defend the Indemnified Party or if the Indemnified Party is advised by outside counsel that a conflict of interest exists that requires the Indemnified Party to be represented by separate counsel under the applicable rules of professional responsibility or if the court or arbitrator to which the third party claim is pending determines that a conflict of interest exists such that the Indemnifying Party’s counsel is prohibited by such court or arbitrator or otherwise unable to adequately represent the Indemnified Party with respect to such third party claim, the Indemnified Party shall (at the sole cost and expense of the Indemnifying Party in accordance with and subject to this Article III) have the right and the obligation to vigorously defend the claim or demand by appropriate proceedings and shall have the sole power to direct and control such defense with respect to itself, subject to the restriction on settlement pursuant to this Article III. In any event, the Indemnifying Party shall, at its own expense, have the right to participate in the defense or settlement of any third party claim or demand for which the Indemnifying Party may be liable hereunder. (bc) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which that does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give deliver express written notice of such claim (a “Direct Claim Notice Notice”) (specifying in reasonable detail the basis for, and estimated amount of, such claim) with respect to such Claim reasonable promptness to the Indemnifying Party. IfParty (and in any event, after receipt within 15 days of a Claim Notice, the Indemnifying Party does not notify date on which the Indemnified Party within becomes aware or, with the Notice Period that heexercise of reasonable diligence would have become aware, she or it disputes of such Claim, then claim). The failure by any Indemnified Party to so notify the Indemnifying Party shall be deemed not relieve the Indemnifying Party from any liability that it may have to have admitted liability for such Claim in Indemnified Party hereunder, except to the amount set forth in extent that the Claim NoticeIndemnifying Party has been materially prejudiced or suffers any Loss by such failure. (cd) The With respect to a claim against any Indemnifying Party hereunder, the related indemnification payment provided for hereunder, together with any Indemnification Payment Accrued Interest thereon, shall be given paid to the opportunity to defend Indemnified Party by no later than the respective Claimapplicable Indemnification Payment Due Date.

Appears in 1 contract

Samples: Indemnification Agreement (Assured Guaranty LTD)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallwill promptly, within ten but in no event more than thirty (1030) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall will not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except, and solely, to the extent such failure materially prejudices has prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 ninety (90) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the it acknowledges in writing its liability of the Indemnifying Party to the Indemnified Party hereunder with in respect to of such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . An election to assume the defense of such claim or demand will be deemed to be an admission that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand will be a liability of, and will be paid by, the Indemnifying Party. , subject to the limitations set forth in this Article X. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after will not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall will not be unreasonably withheld withheld. The Indemnifying Party will not, without the prior written consent of the Indemnified Party, which will not be unreasonably withheld, settle, compromise or delayed. (b) In offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any subsidiary or Affiliate thereof. If the Indemnifying Party hereunder which does elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense of the claim by the Indemnifying Party is unsuccessful (and the reasonable costs and expenses pertaining to such defense) will be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article X. To the extent the Indemnifying Party will control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party shall will give the Indemnifying Party and its counsel access to, during normal business hours, the relevant business records and other documents, and will permit them to consult with the employees and counsel of the Indemnified Party. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement will state specifically the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the estimated amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Purchase and Sale Agreement (Arvinmeritor Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows:set forth in this Section 8.3. (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted obtains knowledge of any claim as to which recovery may be sought against Indemnifying Party pursuant to the indemnity provided for in Section 8.2, or sought to be collected from such of the commencement of any legal proceedings against an Indemnified Party by a any third partyparty as to which such recovery may be sought under Section 8.2, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of shall promptly, but in no event later than 15 days after obtaining such Claimknowledge, notify give notice to the Indemnifying Party of such claim or demandproceedings, specifying the nature of and specific basis for such claim or demand and including the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s failure Failure to so notify give the Indemnifying Party Claim Notice in accordance with the provisions of this Agreement foregoing terms shall not relieve the Indemnifying Party of any liability hereunder unless such failure materially prejudices only to the extent that Indemnifying Party’s ability to defend against the claim or demandParty has suffered actual prejudice thereby. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not it desires to defend (or permit any of its predecessors (a “Permitted Designee”) to defend) the Indemnifying Indemnified Party disputes the liability of against such claim or demand. Failure by the Indemnifying Party to notify the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, its election to defend the Indemnified Party against within the Notice Period shall be deemed a waiver by Indemnifying Party of its right to defend such Claims action. An election to assume the defense of such claim or demanddemand shall be deemed to be an admission that the claim or demand relating thereto is within the scope of indemnification hereunder. The Indemnified Party shall permit the Indemnifying Party to assume the defense of any such claim or proceedings or litigation resulting therefrom only so long as (i) the Indemnifying Party is represented by counsel reasonably satisfactory to the Indemnified Party and (ii) such claim is solely for monetary damages (except with respect to Remedial Actions, as set forth below). All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the Indemnifying Partylimitations set forth in this Article VIII. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend or permit a Permitted Designee to defend or conduct Remedial Action for, as the case may be, the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If Indemnifying Party undertakes a Remedial Action at the Site, which proceedings such actions shall be promptly settled or prosecuted by him taken in a manner which minimizes any adverse impact to a final conclusionthe operations of Purchaser’s business at the Site. The If any Indemnified Party shall have the right desires to employ separate counsel participate in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and settlement for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 elected, pursuant to the prior sentence to defend, or permit its Permitted Designee to defend or conduct Remedial Action for, as the case may be settled be, the Indemnified Party may do so at its sole cost and expense. The Indemnified Party shall not settle a claim or demand without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayedoffer to settle or compromise any such claim or demand on a basis which would result in the imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof. If the Indemnifying Party elects not to defend the Indemnified Party against a claim or demand for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the amount of any such claim or demand, or, if the same shall be contested by the Indemnified Party, then that portion thereof as to which such contest is unsuccessful (and the reasonable costs and expenses pertaining to such contest) shall be the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third party claim or demand, the Indemnified Party will give the Indemnifying Party, its counsel and any Permitted Designee (with respect to any liability for which the Indemnifying Party may have an indemnity claim pursuant to any agreement it had made with such Permitted Designee as in effect as of the date hereof), access to, during normal business hours, the property and relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its best efforts in the defense of all such claims. Any notice of a claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to which the claim is made, the facts giving rise to an alleged basis for the claim, and the amount of the liability asserted against the Indemnifying Party by reason of the claim. (b) In the event With respect to any Loss for which any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyis indemnified under Section 8.2 of this Agreement, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt resolution of a Claim Noticewhich involves Remedial Action, the Indemnifying Party does not notify shall have the Indemnified Party within right, upon timely written notice, to conduct or control the Notice Period that heRemedial Action, she or it disputes permit their Permitted Designee to conduct or control such Claim, then Remedial Action (if the Indemnifying Party is required to permit such Permitted Designee to assume and control such Remedial Action pursuant to any agreement it has made with such Permitted Designee as in effect as of the date hereof), and any such Remedial Action shall only be required to meet the “Minimum Cleanup Standard.” For purposes of this Agreement, the “Minimum Cleanup Standard” shall mean the least stringent standard acceptable under applicable Environmental Laws. Seller shall not be responsible for Losses with respect to Pre-Closing Environmental Liabilities as a result of the aggravation or exacerbation of any Pre-Closing Environmental Liability resulting from any negligence of the Purchaser, any agent or invitee after the Closing Date. It is intended that the scope of the indemnity for Pre-Closing Environmental Liabilities with respect to the time period prior to the Seller’s acquisition of the Business from Xxxxxx Corporation shall be deemed no greater than the indemnity given by Xxxxxx Corporation to have admitted liability for such Claim Seller in the amount set forth Xxxxxx Agreement; provided however that any failure of Xxxxxx to pay or failure of Xxxxxx to agree to their responsibility with respect to a claim between Seller and Xxxxxx shall not be dispositive of any claim under this Agreement. Notwithstanding any other provision of this Section 8.3(b) or of the Agreement, and notwithstanding any response which Xxxxxx may give Seller regarding Seller’s claims against Xxxxxx under the Xxxxxx Agreement, it is understood that Purchaser shall be entitled under Section 8.2 of the Agreement to indemnification from Seller for any and all costs to negotiate or to document with a Governmental Authority a response to the requirements of any Governmental Authority to address, or to obtain, install or modify, but not operate, any equipment needed to comply with the requirements of any Governmental Authority to address: (1) wastewater discharges having pH of less than 5.0 as described in a December 1, 2000 letter from the United States Environmental Protection Agency to Seller; (2) treatment in the Claim Noticewastewater treatment plant of fluoride in the wastewater; or (3) treatment of suspended solids in wastewater as described in a December 5, 2000 letter from the Mountaintop Area Joint Sanitary Authority to Seller. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Intersil Corp/De)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Target would be liable to an any Purchaser Indemnified Party Party(ies) hereunder is asserted against or sought to be collected from any such Purchaser Indemnified Party Parties by a third party, said the Purchaser Indemnified Party shall, within ten (10Party(ies) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall notify the Indemnifying Party Target of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement Target shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desiresthereupon, at the its sole cost and expense expense, defend the Purchaser Indemnified Party(ies) against such claim or demand with counsel reasonably satisfactory to the Purchaser Indemnified Party(ies). (b) Target shall not, without the prior written consent of the Indemnifying PartyPurchaser Indemnified Party(ies), consent to defend the entry of any judgment against the Purchaser Indemnified Party against Party(ies) or enter into any settlement or compromise which does not include, as an unconditional term thereof (i.e., there being no requirement that the Purchaser Indemnified Party(ies) pay any amount of money or give any other consideration), the giving by the claimant or plaintiff to the Purchaser Indemnified Party(ies) of a release, in form and substance satisfactory to the Purchaser Indemnified Party(ies), from all liability in respect of such Claims claim or demandlitigation. If the Purchaser Indemnified Party(ies) desire to participate in, but not control, any such defense or settlement, it or they may do so at its or their sole cost and expense. If, in the reasonable opinion of the Purchaser Indemnified Party(ies), any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a Material Adverse Effect on the business, operations, assets, properties or prospects of the Purchaser Indemnified Party(ies) or its affiliates, then the Purchaser Indemnified Party(ies) shall have the right to control the defense or settlement of any such claim or demand and its costs and expenses shall be included as part of the indemnification obligation of Target hereunder; provided, however, that the Purchaser Indemnified Party(ies) shall not settle any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying PartyTarget, which consent shall not be unreasonably withheld or delayed. If the Purchaser Indemnified Party(ies) should elect to exercise such right, Target shall have the right to participate in, but not control, the defense or settlement of such claim or demand at its sole cost and expense. (bc) Notwithstanding anything hereinabove to the contrary, the Purchaser Indemnified Party(ies) shall have the right to employ separate counsel (including local counsel), and Target shall bear the reasonable fees, costs and expenses of one (1) such separate counsel (and local counsel) if (i) the use of counsel chosen by Target to represent the Purchaser Indemnified Party(ies) would present such counsel with a conflict of interest, (ii) the actual or potential defendants in, or targets of, any such action include both the Purchaser Indemnified Party(ies) and Target, and Target on the one hand, and the Purchaser Indemnified Party(ies) on the other hand, shall have reasonably concluded that there may be legal defenses available to the Purchaser Indemnified Party(ies) which are different from or additional to those available to Target, (iii) Target shall not have employed counsel reasonably satisfactory to the Purchaser Indemnified Party(ies) to represent the Purchaser Indemnified Party(ies) within a reasonable time after notice of the institution of such Action or (iv) Target shall authorize the Purchaser Indemnified Party(ies) to employ one (1) separate counsel at the expense of Target. (d) In the event any the Purchaser Indemnified Party Party(ies) should have a Claim claim against any Indemnifying Party Target hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Purchaser Indemnified Party Party(ies) shall give send a Claim Notice with respect to such Claim claim to the Indemnifying PartyTarget. IfIf Target disputes its liability with respect to such claim or demand, after receipt of a Claim Notice, the Indemnifying Party such dispute shall be resolved in accordance with Section 11.3 hereof; if Target does not notify the Purchaser Indemnified Party Party(ies), within the Notice Period twenty (20) days from receipt of notice of such a claim, that he, she or it disputes such Claimclaim or demand, then the Indemnifying Party amount of such claim or demand shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Target hereunder. (ce) The Indemnifying Party All claims for indemnification by any Target Indemnified Party(ies) under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth hereinabove by substituting in the respective Claimappropriate place "Target" for "Purchaser" and "Target Indemnified Party(ies)" for "Purchaser Indemnified Party(ies)."

Appears in 1 contract

Samples: Merger Agreement (Certron Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows:set forth in this Section 8.3. (a) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than 15 days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure Failure to so notify give the Indemnifying Party Claim Notice in accordance with the provisions of this Agreement foregoing terms shall not relieve the Indemnifying Party of any liability hereunder unless such failure materially prejudices only to the extent that the Indemnifying Party’s ability to defend against the claim or demandParty has suffered actual prejudice thereby. The Indemnifying Party shall have 30 days from the giving receipt of the Claim Notice (the "Notice Period") to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying PartyParty is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including, without limitation, attorney's fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend defend, or permit a Permitted Designee to defend, the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The If any Indemnified Party shall have the right desires to employ separate counsel participate in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and settlement for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 elected, pursuant to the prior sentence to defend, or permit its Permitted Designee to defend, the Indemnified Party may be settled do so at its sole cost and expense. The Indemnified Party shall not settle a claim or demand without the prior written consent of the Indemnifying Party, which shall not be unreasonably withheld or delayed unless the settlement shall adversely affect the operations of the Indemnified Party and such adverse effect is not reasonably quantified and indemnified by Indemnifying Party in which case the written consent of the Indemnified Party may be withheld or delayed in the Indemnified Party's sole discretion. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld or delayed. (b) In , settle, compromise or offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any Subsidiary or Affiliate thereof. If the Indemnifying Party hereunder which does elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same shall be contested by the Indemnified Party, then that portion thereof as to which such contest is unsuccessful (and the reasonable costs and expenses pertaining to such contest) shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party shall give a Claim Notice the Indemnifying Party, its counsel and any Permitted Designee (with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, any liability for which the Indemnifying Party does not notify may have an indemnity claim pursuant to any agreement it had made with such Permitted Designee as in effect as of the date hereof), access to, during normal business hours, the property and relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party within shall use its commercially reasonable efforts in the Notice Period that hedefense of all such claims. Any notice of a claim by reason of any of the representations, she warranties or it disputes such Claimcovenants contained in this Agreement shall state specifically the representation, then warranty, or covenant with respect to which the claim is made, the facts giving rise to an alleged basis for the claim, and the amount of the liability asserted against the Indemnifying Party shall be deemed to have admitted liability for such Claim in by reason of the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Globespanvirata Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.5. In the event that any Claim written claim or demand for which SBC or BellSouth, as the case may be (an "Indemnifying Party would Party"), may be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event later than 15 days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify in writing the Indemnifying Party of such claim or demand, specifying demand (the nature "Claim Notice"). The Indemnifying Party shall be relieved of and specific basis for its obligations to indemnify the Indemnified Party with respect to such claim or demand if the Indemnified Party fails to timely deliver the Claim Notice and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure is materially prejudices the Indemnifying Party’s ability to defend against the claim or demandprejudiced thereby. The Indemnifying Party shall have 30 days from after the giving personal delivery or mailing of the Claim Notice Notice, whichever is later, (the "Notice Period") to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to demand and shall during the Notice Period and thereafter be provided by the Indemnified Party with such information relating to file any motion, answer the claim or other pleading which he shall deem necessary or appropriate to protect his interests or those of demand as the Indemnifying Party shall request. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be borne by the Indemnifying Party. In Except as hereinafter provided, in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right sole power to defend direct and control such defense. If the Indemnifying Party so elects to assume the defense of such claim, the Indemnifying Party shall not be liable to the Indemnified Party for any legal expenses subsequently incurred by all appropriate proceedingsthe Indemnified Party, which proceedings except as hereinafter provided. The Indemnifying Party shall be promptly settled liable for the reasonable fees and expenses of the Indemnified Party in connection with the defense of a Claim if the Indemnified Party shall have been advised in writing by outside counsel that there are actual conflicts of interests between the Indemnified Party and the Indemnifying Party in connection with the defense of such Claim; provided, however, that the Indemnifying Party shall not be responsible for the fees and expenses of more than one separate firm of attorneys at any time for all Indemnified Parties. If any Indemnified Party desires to participate in, but not control, any such defense it may do so at its sole cost and expense (except as provided in the preceding sentence), provided, that in any action seeking an injunction or prosecuted by him decree which would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or Affiliate thereof, the Indemnified Party shall be entitled to a final conclusionparticipate in the defense of such action at the expense of the Indemnifying Party. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereofnot settle, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized compromise or discharge a claim or demand for which it is indemnified by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time or admit to assume any liability with respect to such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given not, without the opportunity written consent of the Indemnified Party settle, compromise or offer to defend settle or compromise any such claim or demand on a basis which would result in the respective Claim.imposition of a consent order, injunction or decree which would restrict the future activity or conduct of the Indemnified Party or any Subsidiary or

Appears in 1 contract

Samples: Contribution and Formation Agreement (SBC Communications Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) Indemnification under this paragraph 5.3 shall be the Indemnified Party’s exclusive remedy. The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Share Exchange Agreement (Parkview Group Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand ("Claim") for which an a party (the "Indemnifying Party would be liable to an Indemnified Party hereunder Party") is asserted against or sought to be collected from such the Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party of such claim or demandClaim, specifying the nature of and specific basis for such claim or demand the Claim and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandClaim) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demandClaim, and (ii) notwithstanding any such dispute, whether or not the Indemnifying Party it desires, at the its sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of Claim. (b) If the Indemnifying Party and not prejudicial disputes its liability with respect to the Claim (whether or not the Indemnifying Party desires to defend the Indemnified Party against such Claim as provided below), the Claim shall be resolved in accordance with the provisions hereof relating to arbitration. Pending resolution of the dispute, such Claim shall not be settled without prior consent of the Indemnified Party. . (c) In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, Claim then the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The If the Indemnified Party shall have the right desires to employ separate counsel participate in (but not control) any such action defense, it may do so at its sole cost and participate in expense. (d) If the defense thereofIndemnifying Party does not dispute its liability with respect to such Claim, but the fees and expenses amount of such counsel shall Claim, or if the same be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized defended by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time then that portion thereof as to assume which such defense and is unsuccessful, shall be conclusively deemed to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, be a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (be) In the event any an Indemnified Party should have has a Claim against any the Indemnifying Party hereunder which does that is not involve a Claim or demand being asserted against or sought to be collected from him the Indemnified Party by a third party, the Indemnified Party shall give promptly send a Claim Notice with respect to such Claim to the Indemnifying Party. IfIf the Indemnifying Party disputes its liability with respect to such Claim, after receipt of a Claim Notice, such dispute shall be resolved in accordance with the terms hereof. If the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the amount of such Claim shall be conclusively deemed a liability of the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Asset Purchase Agreement (Consolidated Capital of North America Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” (A) All Claims for indemnification by any Indemnified Party under this Article 5 7 shall be asserted and resolved as follows: (ai) In the event that any Claim or demand for which an Indemnifying Party the indemnifying parties would be liable to an Indemnified Party indemnified party hereunder is asserted against or sought to be collected from by any Person other than an indemnified party (a "Third Party"), such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from indemnified party shall promptly notify the date upon which the Indemnified Party has Knowledge indemnifying parties of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand Claim and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demandClaim) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party indemnifying parties shall have 30 ten (10) days from the giving their receipt of the Claim Notice (the "Notice Period") to notify the Indemnified Party: such indemnified party (ix) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party they dispute their Liability to the Indemnified Party such indemnified party hereunder with respect to such Claim or demandClaim, and (iiy) if the indemnifying parties do not dispute such Liability, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party such indemnified party against such Claims or demandClaim; provided, however, that any Indemnified Party such indemnified party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he such indemnified party shall reasonably deem necessary or appropriate to protect his its interests so long as such pleading does not admit any liability or those of otherwise compromise the Indemnifying Party and not prejudicial possible defenses to the Indemnifying Partysuch Claim. In the event that either or both of the Indemnifying Party indemnifying parties notifies the Indemnified Party such indemnified party within the Notice Period that he, she or it such indemnifying party does not dispute liability for indemnification under this Article 5 such Liability and that such person desires to defend the Indemnified Party against such claim or demand and Claim, then, except as hereinafter provided, the Indemnifying Party such indemnifying party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him conducted in such manner as such indemnifying party shall determine in his reasonable discretion, taking into consideration, among other things, the desire of the indemnified party to a final conclusionminimize the risk of such indemnified party becoming subject to Liability for any other matter. The Indemnified Party shall have the right If such indemnified party desires to employ separate counsel in participate in, but not control, any such action defense or settlement it may do so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there isexpense. If, in the reasonable opinion of such separate counselindemnified party, any such Claim involves an issue or matter which is likely to have a material conflict adverse effect on any material issue between the position business, operations, assets, properties or prospects of the Indemnifying Party Business, Crown Crafts shall have the right to control the defense or settlement of any such Claim, and such indemnified party's reasonable costs and expenses thereof shall be included as part of the position indemnification obligations of the indemnifying parties; provided, however, if Crown Crafts elects to control the defense or settlement of any Claim pursuant to this sentence, (1) the indemnifying parties shall have the right to participate in, but not control, such Indemnified Party defense, (2) Crown Crafts may not settle any such Claim without the prior written consent of the indemnifying parties, which consent may not be unreasonably withheld, and (3) if Crown Crafts receives a “Material Conflict”)settlement proposal from the Person asserting such Claim and is notified by either of the indemnifying parties that such indemnifying party wants to accept such settlement proposal, the Liability, if any, of the indemnifying parties with respect to such Claim shall equal the lesser of (x) the amount offered in such settlement proposal or (y) the amount of the actual Losses of the indemnified parties with respect to such Claim. If requested by both of the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees indemnifying parties dispute their Liability with respect to cooperate with the Indemnifying Party and his, her or its counsel in contesting any such Claim or demand which or elect not to defend against such Claim, whether by not giving timely notice as provided above or otherwise, then the Indemnifying Party elects to contest amount of any such Claim, or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may same be settled without the consent contested by either of the Indemnifying Party, which consent indemnifying parties or by such indemnified party (but such indemnified party shall not have any obligation to contest any such Claim), then that portion thereof as to which such defense is unsuccessful, shall be unreasonably withheld or delayedconclusively deemed to be a Liability of the indemnifying parties hereunder subject, if either of the indemnifying parties has timely disputed liability, to a final adjudication that the disputed liability is covered by these indemnification provisions. (bii) In the event any Indemnified Party that an indemnified party should have a Claim against any Indemnifying Party the indemnifying parties hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him such indemnified party by a third partyThird Party, the Indemnified Party such indemnified party shall give promptly send a Claim Notice with respect to such Claim to the Indemnifying Partyindemnifying parties. If, after receipt of a Claim Notice, If the Indemnifying Party does indemnifying parties do not notify the Indemnified Party such indemnified party within the Notice Period that he, she or it disputes they dispute such Claim, then the Indemnifying Party amount of such Claim shall be conclusively deemed a liability of the indemnifying parties. (iii) Nothing herein shall be deemed to have admitted liability prevent any indemnified party from making a Claim hereunder for such Claim in the amount set forth in potential or contingent Claims or demands provided the Claim NoticeNotice sets forth the specific basis for any such potential or contingent Claim or demand and the estimated amount thereof to the extent then feasible and the indemnified party has reasonable grounds to believe that such a Claim or demand will be made. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Merger Agreement (Crown Crafts Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for ------------------------------- indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an set forth in this Section 8.3. Any Indemnified Party hereunder is asserted against seeking indemnity pursuant to Section 8.2 or sought Section 5.3 shall give prompt notice to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature receipt by the Indemnified Party of and specific basis for such a claim or demand in the case of a third party claim (a "Third Party Claim"), and the amount or the estimated amount thereof to the extent then feasible (which estimate feasible, and in the event that an Indemnified Party shall assert a claim for indemnity under this Article VIII not be conclusive of including a Third Party Claim, the final amount of Indemnified Party shall make such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure claim by giving prompt notice thereof to so notify the Indemnifying Party within the period of time during which such representation or warranty survives the Closing pursuant to Section 8.1 hereof. Such written notice shall specify with reasonable detail the basis for such claim and the amount thereof. Following the timely giving of such notice in accordance with Section 8.1, the provisions Indemnified Party shall be entitled to pursue its rights to be indemnified under this Article VIII for such claim notwithstanding the subsequent expiration of this Agreement the survival period applicable to the representation or warranty upon which such claim is based; provided, however, that any failure to provide such notice shall not relieve constitute -------- ------- a waiver of the Indemnifying Party's indemnity obligations hereunder except to the extent the Indemnifying Party of liability hereunder unless such failure is actually materially prejudices the Indemnifying Party’s ability to defend against the claim or demandprejudiced thereby. The Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Claim Notice such notice (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided. With respect to a Third Party Claim, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In in the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right to defend by the Indemnified Party at the Indemnifying Party's sole cost and expense and with counsel reasonably satisfactory to the Indemnified Party. If the Indemnifying Party's right to assume the defense is exercised, the Indemnifying Party shall be deemed to have waived all appropriate proceedingsrights to contest its liability to the Indemnified Party in respect of such Third Party Claim. The Indemnifying Party shall not settle or compromise any Third Party Claim that it elects to defend without the prior written consent of the Indemnified Party, which proceedings consent shall not be promptly settled or prosecuted by him unreasonably withheld. If the right to a final conclusion. The assume and control the defense is exercised, the Indemnified Party shall have the right to employ separate counsel participate in, but not control, such defense at its own expense and the Indemnifying Party's indemnity obligations shall be deemed not to include attorneys' fees and litigation expenses incurred in any such action and participate in participation by the Indemnified Party after the assumption of the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, Party. If the Indemnifying Party has failed after a reasonable period of time not elected to assume such the defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Third Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictClaim, the Indemnified Party agrees to cooperate with may defend and settle the claim for the account and cost of the Indemnifying Party; provided, that the Indemnified Party and his, her or its counsel in contesting any will not settle the -------- Third Party Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party will promptly pay, or delayed. (b) In reimburse the event any Indemnified Party should have a Claim against any for payment of, costs and expenses (including reasonable fees and expenses of counsel) incurred in the defense thereof. The Indemnified Party shall cooperate with the Indemnifying Party hereunder which does and, subject to obtaining proper assurances of confidentiality and privilege, shall make available to the Indemnifying Party all pertinent information under the control of the Indemnified Party. Notwithstanding the foregoing, the Indemnifying Party shall not involve a Claim or demand being asserted against or sought have the right to be collected from him by a third partyassume the defense of any Third Party Claim, if (i) the Indemnified Party shall give a Claim Notice with respect have been advised in writing by counsel that there are one or more legal or equitable defenses available to such Claim them which are different from or in addition to those available to the Indemnifying Party. If, after receipt and, in the reasonable opinion of a Claim Noticesuch counsel to the Indemnified Party, counsel for the Indemnifying Party does could not notify adequately represent the interests of the Indemnified Party within because such interests are in conflict with those of the Notice Period that heIndemnified Party, she (ii) such action or it disputes such Claimproceeding involves, then or could have a material effect on, any material matter beyond the scope of the indemnification obligation of the Indemnifying Party or involves or could reasonably be expected to involve injunctive or other non-monetary relief or (iii) the Indemnifying Party shall be deemed to not have admitted liability for such assumed the defense of the Third Party Claim in a timely fashion that results in prejudicing the amount set forth in the Claim NoticeIndemnified Party. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Stock Purchase Agreement (Pacer Express Inc)

Method of Asserting Claims, Etc. The party claiming (a) All claims for indemnification is hereinafter referred to as the by a Parent Indemnified Party or a Company Indemnified Party (each, an “Indemnified Party” and the party against whom such claims are asserted ”) hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted and resolved as follows: (a) In the event that set forth in this Section 9.3. An Indemnified Party entitled to any Claim indemnification provided for under this Agreement in respect of, arising out of or involving a claim or demand for which made by, or an Indemnifying Party would be liable action, proceeding or investigation instituted by, any Person (whether or not a party to this Agreement) (an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party“Indemnity Claim”), said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, must notify the Indemnifying Party in writing, and in reasonable detail, of the Indemnity Claim as promptly as practicable after such Indemnified Party learns of the Indemnity Claim; provided, however, that failure to give such notification shall not affect the indemnification provided hereunder unless the Indemnifying Party shall have been actually prejudiced as a result of such claim or demandfailure. Such written notice (the “Claim Notice”) shall, specifying to the nature of and specific basis for such claim or demand and extent reasonably possible, set forth the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof. (the b) If an Indemnity Claim is made against an Indemnified Party by a third party (a Claim NoticeThird Party Claim”). The , such Indemnified Party shall promptly, but in no event more than thirty (30) days following such Indemnified Party’s failure receipt of such Third Party Claim, deliver a Claim Notice to so notify the Indemnifying Party in accordance with respect thereto; provided, however, that failure to provide such notice within the provisions of this Agreement time period required shall not relieve affect the Indemnified Party’s right to indemnification hereunder except to the extent that the Indemnifying Party was actually prejudiced as a result of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandfailure. The Indemnifying Party shall have 30 twenty (20) days from the giving date of mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party in writing whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to it shall defend the Indemnified Party against such Claims or demandThird Party Claim; provided, however, provided that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of if the Indemnifying Party assumes such defense, such written notice shall include the assumption in full of all responsibility for any Losses arising from such Third Party Claim, subject to the limitations set forth in this ARTICLE IX. Notwithstanding the foregoing, without the prior written consent of the Indemnified Party, the Indemnifying Party shall not have the right to assume the defense of any Third Party Claim described in a Claim Notice that (i) seeks an injunction or other equitable relief as a primary remedy, (ii) relates to or arises in connection with any criminal or quasi-criminal allegation, proceeding, action, indictment or investigation, (iii) in the reasonable judgment of the Indemnified Party, is likely to result in aggregate liability that will exceed the then remaining amount of the Cap or (iv) primarily relates to a claim or demand of, or a dispute with, any of the Top Customers. All costs and not prejudicial to expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the Indemnified defense of a Third Party against such claim or demand and Claim, except as hereinafter herein provided, the Indemnifying Party shall have the right to defend do so by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified If the Indemnifying Party shall have has the right to employ separate counsel in any such action and participate in elects to assume the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified a Third Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingClaim, the Indemnifying Party has failed after a reasonable period shall select counsel, contractors and consultants of time recognized standing and competence, shall take all steps reasonably necessary in the defense or settlement of such Third Party Claim and shall diligently pursue the resolution of such Third Party Claim. If the Indemnified Party desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense; provided, however, that the Indemnifying Party shall pay all reasonable fees, costs and expenses of one outside counsel (in addition to employ counsel local counsel) in connection with such participation (i) if it requests the Indemnified Party to participate or in such action there is, (ii) if in the reasonable opinion of such separate counseloutside counsel to the Indemnified Party, a material conflict on any material issue or potential conflict exists between the position Indemnified Party and the Indemnifying Party that would make joint representation of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)impermissible under applicable standards of professional conduct. If requested by the Indemnifying Party chooses to defend or prosecute any Third Party Claim, all of the parties hereto shall reasonably cooperate in the defense or prosecution thereof. Subject to attorney-client privilege, such cooperation shall include the retention and there is no Material Conflict(upon the Indemnifying Party’s reasonable request) the provision to the Indemnifying Party of records and information which are relevant to such Third Party Claim, and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder; provided, however, that any out-of-pocket cost incurred by the Indemnified Party agrees to cooperate in connection with such cooperation shall be at the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any personParty’s expense. No Claim for which indemnity is sought hereunder and for which If the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without assumed the consent defense of a Third Party Claim, the Indemnifying Party may only settle or compromise a Third Party Claim with the Indemnified Party, ’s prior written consent (which consent shall not be unreasonably withheld or delayed. ); provided, however, that the Indemnifying Party may settle or compromise such a Third Party Claim without the prior written consent of the Indemnified Party if such settlement or compromise (bi) In provides solely for the payment of money by the Indemnifying Party and includes a complete and unconditional release of the Indemnified Party from all liability in respect of such Third Party Claim and (ii) does not subject the Indemnified Party to any injunctive relief or other equitable remedy. If the Indemnifying Party does not defend the Indemnified Party against a Third Party Claim for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or otherwise, then the Indemnified Party shall have the right to defend and settle such Third Party Claim; provided that, in the event any that the Indemnified Party should have a Claim against chooses to defend and/or settle such Third Party Claim, the amount of any Losses pursuant to such Third Party Claim, or, if the same be contested by the Indemnified Party, then that portion of Losses thereof as to which such defense is unsuccessful, shall continue to be the liability of the Indemnifying Party hereunder which does hereunder, subject to the limitations set forth in this ARTICLE IX; provided further, that whether or not involve the Indemnifying Party shall have assumed the defense of a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim not settle or compromise any Third Party Claim, or consent to the Indemnifying Party. Ifentry of any judgment, after receipt without the prior written consent of a Claim Notice, the Indemnifying Party does (which consent shall not notify the Indemnified Party within the Notice Period that he, she be unreasonably withheld or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticedelayed). (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Merger Agreement (JetPay Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Share Exchange Agreement (Jintai Mining Group, Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller or AEGI would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party Seller and AEGI of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Seller and AEGI shall have 30 ten (10) days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Purchaser Party: , (iA) whether or not the Indemnifying Party disputes the they dispute their liability of the Indemnifying Party to the Indemnified Purchaser Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party desiresthey desire, at the their sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Purchaser Party against such Claims claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. . (a) In the event that the Indemnifying Party Seller or AEGI notifies the Indemnified Purchaser Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires they desire to defend the Indemnified Purchaser Party against such claim or demand and then, except as hereinafter provided, the Indemnifying Party Seller or AEGI, respectively, shall have the right to defend the Indemnified Purchaser Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him them to a final conclusionconclusion in such a manner as to avoid any risk of Indemnified Purchaser Party becoming subject to liability for any other matter; provided, however, Seller and AEGI shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving of the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance satisfactory to the Indemnified Purchaser Party, as the case may be, from all liability in respect of such claim or litigation. The If any Indemnified Purchaser Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. (i) If Seller or AEGI elects not to defend the Indemnified Purchaser Party against such claim or demand, whether by not giving the Indemnified Purchaser Party timely notice as provided above or otherwise, then the amount of any such claim of demand, or if the same be defended by Seller or AEGI or by the Indemnified Purchaser Party (but no Indemnified Purchaser Party shall have the right any obligation to employ separate counsel in defend any such action and participate claim or demand), then that portion thereof as to which such defense is unsuccessful, in the defense thereof, but the fees and expenses of such counsel each case shall be at the expense conclusively deemed to be a liability of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense Seller and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedAEGI hereunder. (bii) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Seller or AEGI hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartySeller and AEGI. If, after receipt of a Claim Notice, the Indemnifying Party If Seller or AEGI does not notify the Indemnified Purchaser Party within the Notice 28 - 24 - Period that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Seller or AEGI, respectively, hereunder. (c) The Indemnifying All claims for indemnification by an Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Seller and AEGI."

Appears in 1 contract

Samples: Purchase Agreement (American Eagle Group Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller would be liable to an Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such an Indemnified Purchaser Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Purchaser Party has Knowledge of such Claim, shall notify the Indemnifying Party Seller of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement Seller shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desiresthereupon, at the his sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Purchaser Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right with counsel reasonably satisfactory to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedPurchaser. (b) Seller shall not, without the prior written consent of the Indemnified Purchaser Party, consent to the entry of any judgment against the Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof (i.e., there being no requirement that the Indemnified Purchaser Party pay any amount of money or give any other consideration), the giving by the claimant or plaintiff to the Indemnified Purchaser Party of a release, in form and substance reasonably satisfactory to the Indemnified Purchaser Party, as the case may be, from all liability in respect of such claim or litigation. If any Indemnified Purchaser Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. (c) In the event any an Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Seller hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Purchaser Party shall give send a Claim Notice with respect to such Claim claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim NoticeSeller. (cd) The Indemnifying All claims for indemnification by an Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth hereinabove by substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Purchaser Party" and variations thereof and "Purchaser" for "Seller".

Appears in 1 contract

Samples: Stock Purchase Agreement (Telebyte Technology Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any the Indemnified Party under this Article 5 Parties hereunder shall be asserted and resolved as follows: set forth in this Section 9.5 except for claims pursuant to Article V hereof (a) as to which the provisions of Article V shall be applicable). In the event that any Claim written claim or demand for which an Buyer or Seller, as the case may be (the "Indemnifying Party Party") would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten but in no event more than fifteen (1015) business days from the date upon which the following such Indemnified Party has Knowledge Party's receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article IX, not including a third party claim, the Indemnified Party shall notify the Indemnifying Party promptly following its discovery of the facts or circumstances giving rise thereto (together, with a Third Party Claim Notice, a "Claim Notice"); provided, that no such notice need be provided to an Indemnifying Party if the Deductible has not been exceeded and will not be exceeded by such claim or demand; and provided, further, that the failure to notify on the part of the Indemnified Party in accordance with the provisions of this Agreement manner set forth herein shall not relieve foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demandnotify. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Third Party Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and except that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings a period shall be promptly settled or prosecuted by him decreased to a final conclusion. The Indemnified Party shall have the right to employ separate counsel time ten (10) days before a scheduled appearance date in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party litigated matter) (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.the

Appears in 1 contract

Samples: Stock Purchase Agreement (Cke Restaurants Inc)

Method of Asserting Claims, Etc. The party person claiming indemnification hereunder, whether a Purchaser Indemnified Party or a Seller Indemnified Party, is hereinafter sometimes referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter sometimes referred to as the “Indemnifying Party.” All Claims claims for indemnification by any an Indemnified Party under this Article 5 Section 13.1 or Section 13.2 hereof, as the case may be, shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Losses to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty in writing (a “Third Party Claim”), said such Indemnified Party shall, within ten shall with reasonable promptness (10but in no event later than thirty (30) business days from after the date upon which Third Party Claim is so asserted or sought in writing against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”). The For this purpose the commencement of any audit or other investigation for taxes concerning the Facilities shall constitute a Third Party Claim. Notwithstanding the foregoing, failure to so provide a Claim Notice as provided above shall not relieve the Indemnifying Party from its obligation to indemnify the Indemnified Party’s Party with respect to any such Third Party Claim except to the extent that a failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially reasonably sufficient time prejudices the Indemnifying Party’s ability to defend against the claim or demandThird Party Claim, in which case the Indemnifying Party shall be relieved of its obligation to indemnify Indemnified Party only to the extent so prejudiced and not otherwise. The Indemnifying Party shall have 30 thirty (30) days from the giving delivery of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims Third Party Claim. (b) If the Indemnifying Party notifies the Indemnified Party within the Notice Period that the Indemnifying Party does not dispute its liability to the Indemnified Party and that the Indemnifying Party desires to defend the Indemnified Party with respect to the Third Party Claim pursuant to this Section 13.3, then the Indemnifying Party shall have the right to defend, at its sole cost and expense, such Third Party Claim by all appropriate proceedings, which proceedings shall be diligently prosecuted by the Indemnifying Party to a final conclusion or demandsettled at the discretion of the Indemnifying Party (but only if the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of, and all obligations under, such settlement; otherwise, no such settlement shall be agreed to without the prior written consent of the Indemnified Party). If the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, the Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; provided, however, that any the Indemnified Party is hereby authorized prior authorized, at the sole cost and expense of the Indemnifying Party (but only if the Indemnified Party is actually entitled to and indemnification hereunder or if the Indemnifying Party assumes the defense with respect to the Third Party Claim), to file during the Notice Period to file any motion, answer or other pleading pleadings which he the Indemnified Party shall deem necessary or appropriate to protect his its interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party (it being understood and agreed that if an Indemnified Party takes any such action which is prejudicial and conclusively causes a final adjudication which is adverse to the Indemnifying Party. In the event that , the Indemnifying Party notifies shall be relieved of its obligations hereunder with respect to such Third Party Claim, but only to the extent so prejudiced); and provided further, that if requested by the Indemnifying Party, the Indemnified Party agrees, at the sole cost and expense of the Indemnifying Party, to cooperate with the Indemnifying Party and its counsel in contesting any Third Party Claim which the Indemnifying Party elects to contest, or, if appropriate and related to the Third Party Claim in question, in making any counterclaim against the person asserting the Third Party Claim, or any cross-complaint against any person. The Indemnified Party may participate in, but not control (except if the Indemnifying Party is not liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, in which case whichever of the Indemnifying Party or the Indemnified Party is liable for the largest amount of Losses with respect to the Third Party Claim shall control), any defense or settlement of any Third Party Claim with respect to which the Indemnifying Party is participating pursuant to this Section 13.3(b), and except as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation. (c) If the Indemnifying Party fails to notify the Indemnified Party within the Notice Period that he, she or it the Indemnifying Party does not dispute its liability for indemnification under this Article 5 to the Indemnified Party and that such person the Indemnifying Party desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedpursuant to this Section 13.3, then the Indemnifying Indemnified Party shall have the right to defend defend, at the sole cost and expense of the Indemnifying Party, the Third Party Claim by all appropriate proceedings, which proceedings shall be promptly settled or and vigorously prosecuted by him the Indemnified Party to a final conclusionconclusion or settled. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses full control of such counsel shall be at the expense of such Indemnified Party except to the extent defense and proceedings, including any compromise or settlement thereof; provided, however, that the employment thereof has been specifically authorized if requested by the Indemnifying Party in writingIndemnified Party, the Indemnifying Party has failed after a reasonable period of time to assume such defense agrees, at the sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position expense of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Indemnified Party and his, her or its counsel in contesting any Third Party Claim or demand which the Indemnifying Indemnified Party elects to contest is contesting, or, if appropriate and related to the Third Party Claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demandThird Party Claim, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which Notwithstanding the foregoing provisions of this Section 13.3(c), if the Indemnifying Party has acknowledged timely notified the Indemnified Party that the Indemnifying Party disputes its liability for indemnification under to the Indemnified Party and if such dispute is resolved in favor of the Indemnifying Party by final, nonappealable order of a court of competent jurisdiction, the Indemnifying Party shall not be required to bear the costs and expenses of the Indemnified Party’s defense pursuant to this Article 5 may be settled without the consent Section 13.3(c) or of the Indemnifying Party’s participation therein at the Indemnified Party’s request and the Indemnified Party shall reimburse the Indemnifying Party in full for all costs and expenses of such litigation incurred by the Indemnifying Party. The Indemnifying Party may participate in, which consent but not control, any defense or settlement controlled by the Indemnified Party pursuant to this Section 13.3(c) (other than a dispute as to the Indemnifying Party’s liability to the Indemnified Party) and the Indemnifying Party shall not be unreasonably withheld or delayedbear its own costs and expenses with respect to such participation. (bd) In the event If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim to notify the Indemnifying Party of such claim by the Indemnified Party, specifying the nature of and specific basis for such claim and the amount of the estimated amount of such claim (the “Indemnity Notice”). If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party within thirty (30) days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in or estimated amount of such claim as specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity Indemnifying Party. If the Indemnifying Party has timely disputed such claim, as provided above, such dispute shall be resolved by arbitration pursuant to defend Section 14.18, or as the respective Claimparties otherwise at such time agree.

Appears in 1 contract

Samples: Asset Purchase Agreement (Capital Senior Living Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party Seller would be liable to an any Indemnified Purchaser Party hereunder is asserted against or sought to be collected from such Indemnified Purchaser Party by a third party, said such Indemnified Purchaser Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall notify the Indemnifying Party Seller of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desiresSeller may thereafter, at the its sole cost and expense of the Indemnifying Partyexpense, to defend the such Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Purchaser Party against such claim or demand and except as hereinafter provided, with counsel reasonably satisfactory to such Indemnified Purchaser Party. (b) In the Indemnifying Party shall have the right event that Seller elects to defend by all appropriate proceedingssuch Indemnified Purchaser Party, which proceedings Seller shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have not, without the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense prior written consent of such Indemnified Party except Purchaser Party, consent to the extent entry of any judgment against such Indemnified Purchaser Party or enter into any settlement or compromise which does not include, as an unconditional term thereof (i.e., there being no requirement that such Indemnified Purchaser Party pay any amount of money or give any other consideration), the employment thereof has been specifically authorized giving by the Indemnifying claimant or plaintiff to such Indemnified Purchaser Party of a release, in writingform and substance satisfactory to such Indemnified Purchaser Party, the Indemnifying from all liability in respect of such claim or litigation. If such Indemnified Purchaser Party has failed after a reasonable period of time desires to assume participate in, but not control, any such defense or settlement, it may do so at its sole cost and to employ counsel or in such action there isexpense. If, in the reasonable opinion of such separate counselIndemnified Purchaser Party, any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a material conflict materially adverse effect on any material issue between the position of the Indemnifying Party and the position business, operations, assets, properties or prospects of such Indemnified Purchaser Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting affiliates, or if Seller does not elect to defend such Indemnified Purchaser Party, then such Indemnified Purchaser Party shall have the right to control the defense or settlement of any Claim such claim or demand which and its costs and expenses shall be included as part of the Indemnifying indemnification obligation of Seller hereunder; provided, however, that such Indemnified Purchaser Party elects to contest or, if appropriate and related to the Claim in question, in making shall not settle any Counterclaim against the person asserting the third party Claim such claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled demand without the prior written consent of the Indemnifying PartySeller, which consent shall not be unreasonably withheld or delayed. If such Indemnified Purchaser Party defends such claim or demand, Seller shall have the right to participate in, but not control, the defense or settlement of such claim or demand at its and/or his sole cost and expense. (bc) In the event any Indemnified Purchaser Party should have a Claim claim against any Indemnifying Party Seller hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Purchaser Party shall give send a Claim Notice with respect to such Claim claim to the Indemnifying PartySeller. If, after receipt of a Claim Notice, the Indemnifying Party If Seller does not notify the such Indemnified Party Purchaser Party, within the Notice Period ten (10) days from receipt of notice of a claim, that he, she or it disputes such Claimclaim, then the Indemnifying Party amount of such claim shall be conclusively deemed to have admitted a liability for such Claim in the amount set forth in the Claim Noticeof Seller. (cd) The Indemnifying All claims for indemnification by the Indemnified Seller Party or any Additional Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth hereinabove by substituting in the respective Claimappropriate place "Indemnified Seller Party" or "Additional Indemnified Seller Party", as the case may be, for "Indemnified Purchaser Party" and variations thereof and "Purchaser and/or MyTurn" for "Seller" and variations thereof.

Appears in 1 contract

Samples: Agreement and Plan of Reorganization (Myturn Com Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) The NextPhase Indemnifying Parties hereby appoint Stephen D. Young to act as the NextPhase Indemnifying Parties repxxxxxxxxxxx (xxe "NextPhase Representative") with respect to the matters set forth in this Section 11.2.3. In the event that any Claim claim or demand for which an the NextPhase Indemnifying Party Parties would be liable to an any of the Company Indemnified Party Party(ies) hereunder is asserted against or sought to be collected from any such the Company Indemnified Party Parties by a third party, said the Company Indemnified Party shall, within ten (10Party(ies) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall notify the Indemnifying Party NextPhase Representative of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the NextPhase Indemnifying Party in accordance with the provisions of this Agreement Parties shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desiresthereupon, at the their sole cost and expense expense, jointly and severally, defend the Company Indemnified Party(ies) against such claim or demand with counsel reasonably satisfactory to the Company Indemnified Party(ies). (b) The NextPhase Indemnifying Parties shall not, without the prior written consent of the Company Indemnified Party(ies), consent to the entry of any judgment against the Company Indemnified Party(ies) or enter into any settlement or compromise which does not include, as an unconditional term thereof (i.e., there being no requirement that the Company Indemnified Party(ies) pay any amount of money or give any other consideration), the giving by the claimant or plaintiff to the Company Indemnified Party(ies) of a release, in form and substance satisfactory to the Company Indemnified Party(ies), from all liability in respect of such claim or litigation. If the Company Indemnified Party(ies) desire to participate in, but not control, any such defense or settlement, it or they may do so at its or their sole cost and expense. If, in the reasonable opinion of the Company Indemnified Party(ies), any such claim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a Material Adverse Effect on the business, operations, assets, properties or prospects of the Company Indemnified Party(ies) or its affiliates, then the Company Indemnified Party(ies) shall have the right to control the defense or settlement of any such claim or demand and its costs and expenses shall be included as part of the indemnification obligation of the NextPhase Indemnifying Party, to defend the Indemnified Party against such Claims or demandParties hereunder; provided, however, that the Company Indemnified Party(ies) shall not settle any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the prior written consent of the Indemnifying PartyNextPhase Representative, which consent shall not be unreasonably withheld or delayed. If the Company Indemnified Party(ies) should elect to exercise such right, the NextPhase Indemnifying Parties shall have the right to participate in, but not control, the defense or settlement of such claim or demand at its sole cost and expense. (bc) Notwithstanding anything hereinabove to the contrary, the Company Indemnified Party(ies) shall have the right to employ separate counsel (including local counsel), and the NextPhase Indemnifying Parties shall bear the reasonable fees, costs and expenses of one (1) such separate counsel (and local counsel) if (i) the use of counsel chosen by the NextPhase Representative to represent the Company Indemnified Party(ies) would present such counsel with a conflict of interest, (ii) the actual or potential defendants in, or targets of, any such action include both the Company Indemnified Party(ies) and any of the NextPhase Indemnifying Parties, and the NextPhase Representative on the one hand, and the Company Indemnified Party(ies) on the other hand, shall have reasonably concluded that there may be legal defenses available to the Company Indemnified Party(ies) which are different from or additional to those available to any of the NextPhase Indemnifying Parties, (iii) the NextPhase Representative shall not have employed counsel reasonably satisfactory to the Company Indemnified Party(ies) to represent the Company Indemnified Party(ies) within a reasonable time after notice of the institution of such Action or (iv) the NextPhase Representative shall authorize the Company Indemnified Party(ies) to employ one (1) separate counsel at the expense of the NextPhase Indemnifying Parties. (d) In the event any the Company Indemnified Party Party(ies) should have a Claim claim against any the NextPhase Indemnifying Party Parties hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Company Indemnified Party Party(ies) shall give send a Claim Notice with respect to such Claim claim to the NextPhase Representative. If the NextPhase Representative disputes the NextPhase Indemnifying Party. IfParties' liability with respect to such claim or demand, after receipt of a Claim Notice, such dispute shall be resolved in accordance with Section 11.3 hereof; if the Indemnifying Party NextPhase Representative does not notify the Company Indemnified Party Party(ies), within the Notice Period twenty (20) days from receipt of notice of such a claim, that he, she or it disputes such Claimclaim or demand, then the Indemnifying Party amount of such claim or demand shall be conclusively deemed to have admitted a liability for such Claim in of the amount set forth in the Claim NoticeNextPhase Indemnifying Parties hereunder. (ce) The Indemnifying Party All claims for indemnification by any NextPhase Indemnified Party(ies) under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth hereinabove by substituting in the respective Claimappropriate place "Company Indemnifying Parties" for "NextPhase Indemnifying Parties", "Company Indemnifying Parties" for NextPhase Representative and "NextPhase Indemnified Party(ies)" for "Company Indemnified Party(ies)."

Appears in 1 contract

Samples: Share Exchange Agreement (Edison Renewables Inc)

Method of Asserting Claims, Etc. The party or parties claiming indemnification is under this Article (whether one or more) are hereinafter collectively referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as to the “Indemnifying Party.” All Claims claims for indemnification by any Indemnified Party under this Article 5 shall V will be asserted and resolved as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, will with reasonable promptness notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall will not be conclusive of the final amount of such Claim or demand) claim and demand (the “Claim Notice”)). The Indemnifying Party will not be obligated to indemnify such Indemnified Party’s Party with respect to any such claim or demand to the extent the failure of such Indemnified Party to so promptly notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure a claim or demand materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall will have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the such Indemnified Party: Party (i) whether or not the Indemnifying Party it disputes the liability of the Indemnifying Party to the such Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, it desires at the sole cost and expense of the Indemnifying Party, to defend the such Indemnified Party against such Claims claim or demand; provided, however, that any such Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem it deems necessary or appropriate to protect his its interests or those of the [***] Confidential treatment has been requested for portions of this exhibit. The copy filed herewith omits the information subject to the confidentiality request. Omissions are designated as [***]. A complete version of this exhibit has been filed separately with the Securities and Exchange Commission. Indemnifying Party and not materially prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the such Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the such Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall will have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of If such Indemnified Party except desires to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingparticipate in, the Indemnifying Party has failed after a reasonable period of time to assume but not control, any such defense or settlement it may do so at its sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”)expense. If requested by the Indemnifying Party and there is no Material ConflictParty, the such Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest orcontest, and, if appropriate and related to the Claim claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which claim may be settled by the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of such Indemnified Party, which consent will not be unreasonably withheld. Notwithstanding the foregoing, in connection with a Third Party Claim asserted against both such Indemnified Party and the Indemnifying Party, if (i) such Indemnified Party has available to it defenses which consent shall not are in addition to those available to the Indemnifying Party, (ii) such Indemnified Party has available to it defenses which are inconsistent with the defenses available to the Indemnifying Party or (iii) a conflict exists or may reasonably be unreasonably withheld or delayedexpected to exist in connection with the representation of both such Indemnified Party and the Indemnifying Party by the legal counsel chosen by the Indemnifying Party, such Indemnified Party will have the right to select its own legal counsel. If such Indemnified Party selects its own legal counsel pursuant to the immediately preceding sentence and the underlying Third Party Claim is otherwise subject to the scope of the indemnification obligations of the Indemnifying Party pursuant to this Article IV, the reasonable fees and expenses of such legal counsel will be included within the indemnification obligations of the Indemnifying Party; provided that under no circumstances will the Indemnifying Party be obligated to indemnify such Indemnified Party against the fees and expenses of more than one legal counsel selected by such Indemnified Party in connection with a single claim (notwithstanding the number persons against whom the Third Party Claim may be asserted). (b) In the event any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the such Indemnified Party shall give will send a Claim Notice with respect to such Claim claim to the such Indemnifying Party. If, after receipt of a Claim Notice, the If such Indemnifying Party does not notify the such Indemnified Party within the Notice Period that he, she or it such Indemnifying Party disputes such Claimclaim, then the amount of such claim will be conclusively deemed a liability of such Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticehereunder. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: License Agreement (MAKO Surgical Corp.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred Subject to as the “Indemnified Party” Section 8.8 and the party against whom such 5.16(c), all claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 8.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business but in no event more than fifteen days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demanddemand in a written notice that describes such claim or demand in reasonable detail, specifying including the nature sections of and specific this Agreement which form the basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof (the “Claim Notice”). The ; provided, however, that failure to provide such notice within the time period required shall not affect the Indemnified Party’s failure right to so notify indemnification hereunder except to the extent the Indemnifying Party was actually prejudiced thereby. Except as provided in accordance Section 5.4(b)(2) with respect to the provisions of this Agreement Section 75 Debt or unless a shorter period (which shall be set forth in the Claim Notice and shall be not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability less than 10 Business Days) is reasonably required to defend against adequately address the claim or demand. The demand described in the Claim Notice, the Indemnifying Party shall have 30 days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand; provided that, the Indemnifying Party shall not have the right to assume the defense of any claim or demand described in a Claim Notice if (i) such claim or demand seeks an injunction or other equitable relief as a primary remedy, (ii) such claim or demand is a criminal claim, (iii) other than in respect of indemnification for breach of Section 3.19 or other matters involving customer products or technical product support services, such claim or demand involves a customer, (iv) in the case of Seller as Indemnifying Party, all of the Losses resulting from such claim or demand suffered by Buyer Indemnified Parties would be absorbed by the Buyer Indemnified Parties because the Basket Amount has not been exhausted, or (v) in the case of Seller as Indemnifying Party, the amount asserted in respect of such claim or demand against the Buyer Indemnified Parties, together with all indemnified Losses realized and all other pending claims or demands against the Buyer Indemnified Parties are reasonably expected to result in Losses, in the aggregate, that exceed the Cap by an amount greater than 50% of such amount asserted and reasonably expected, if applicable. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying PartyParty is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any third party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including without limitation, attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the third party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. Except as provided in Section 5.4(b)(2) with respect to the Section 75 Debt, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The if any Indemnified Party shall have the right desires to employ separate counsel in participate in, but not control, any such action defense or settlement, it may do so at its sole cost and participate in expense provided that, the defense thereof, but the fees Indemnifying Party shall pay all costs and expenses of such counsel shall be at participation (i) if it requests the expense of such Indemnified Party except to participate or (ii) in the reasonable written opinion of counsel to the extent that Indemnified Party, a conflict or potential conflict exists between the employment thereof has been specifically authorized by Indemnified Party and the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position that would make joint representation of the Indemnifying Party and the position of such Indemnified Party impermissible under applicable standards of professional conduct. In the event that Seller as Indemnifying Party controls any claim or demand involving a current or former customer (a “Material Conflict”with respect to Section 3.19 matters or other matters involving customer products or technical product support services) or supplier of the Business, Seller shall consult with and take into consideration the reasonable objectives of Buyer in connection with such claim or demand (provided, that Seller shall have no obligation to take any actions or fail to take any actions in defending such claim or demand that, in Seller’s reasonable judgment, could increase the liability of Seller in connection with such claim or demand). If requested by the Indemnifying Party and there is no Material Conflict, the The Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim shall not settle a claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In . The Indemnifying Party shall not, without the event prior written consent of the Indemnified Party, which shall not be unreasonably withheld or delayed, settle, compromise or offer to settle or compromise any such claim or demand; provided that if the Indemnified Party should have fails to consent to a Claim against any settlement that imposes only monetary damages that do not require payment by the Indemnified Party by operation of the Basket Amount or the Cap then the Indemnifying Party’s liability with respect to such matter shall be limited to the amount of such rejected settlement. If the Indemnifying Party hereunder which does has the right to and elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful shall be collected from him by a the liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third partyparty claim or demand, the Indemnified Party shall will give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify and its counsel access to, during normal business hours, the relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) Party. The Indemnifying Party shall be given use its commercially reasonable efforts in the opportunity defense of all such claims. Any notice of a claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to defend which the respective Claimclaim is made, state in reasonable detail the basis for the claim, and, if known, give an assessment of the amount of the liability asserted against the Indemnifying Party by reason of the claim.

Appears in 1 contract

Samples: Stock and Asset Purchase Agreement (Crown Holdings Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party hereunder shall be asserted and resolved as set forth in this Section 8.3. (b) In the event an Indemnified Party seeks indemnification from an Indemnifying Party, the Indemnified Party shall give reasonably prompt written notice to the Indemnifying Party specifying the facts constituting the basis for such claim and the amount, to the extent known, of the claim asserted; provided, however, that the right of a Person to be indemnified hereunder shall not be adversely affected by a failure to give such notice unless, and then only to the extent that, an Indemnifying Party is actually and materially damaged thereby. Subject to the terms hereof, the Indemnifying Party shall, within thirty (30) days of receipt of a notice pursuant to this Section 8.3(b), either pay the amount of any valid claim or deliver written notice to the Indemnified Party disputing such claim in whole or in part. In cases where the Indemnifying Party disputes a claim hereunder, the Indemnified Party shall promptly consult with the Indemnifying Party in an effort to resolve the dispute. If any such dispute cannot be resolved by the Indemnified Party and the Indemnifying Party within thirty (30) days, the Indemnified Party may seek to enforce its rights under this Article 5 shall be asserted VIII as follows:set forth in this Agreement. (ac) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third partyThird Party, said such Indemnified Party shallshall promptly, within ten but in no event more than thirty (1030) business days from the date upon which the following such Indemnified Party has Knowledge Party’s receipt of such Claimclaim or demand, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Indemnified Party’s ; provided, that the failure to so notify or timely notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure shall have actually and materially prejudices adversely prejudiced the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demanddemand (such notice, a “Defense Notice”); provided, however, provided that any the Indemnified Party is hereby authorized prior shall only be entitled to and during defend such claim or demand if, within the Notice Period to file any motionDefense Notice, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party has unconditionally acknowledged to the Indemnified Party in writing its obligation to indemnify and not prejudicial to keep indemnified in full the Persons to be indemnified hereunder with respect to such claim and to discharge in full any cost or expense arising out of such defense, subject to the limitations set forth in this Article VIII. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party, subject to the limitations set forth in this Article VIII. In the event that it is ultimately determined that the Indemnifying Party is not obligated to indemnify, defend or hold the Indemnified Party harmless from and against any Third Party claim, the Indemnified Party shall reimburse the Indemnifying Party for any and all costs and expenses (including attorney’s fees and court costs) incurred by the Indemnifying Party in its defense of the Third Party claim. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in participate in, but not control, any such action defense or settlement, at its sole cost and participate expense with its own counsel, unless separate representation is necessary to avoid an actual or potential conflict of interest, in the defense thereof, but the fees and expenses of which case such counsel representation shall be at the expense of such the Indemnifying Party, subject to the limitations set forth in this Article VIII. The Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after shall not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld, conditioned or delayed. Unless and until the Indemnifying Party provides the Defense Notice, the Indemnified Party shall have the right, at its option, to assume and control defense of the matter and to look to the Indemnifying Party for the full amount of the reasonable costs of defense if the Indemnified Party would be adversely affected or prejudiced by failing to assume and control defense of the matter later than fifteen (15) Business Days of delivery of notice of notice of the claim to the Indemnifying Party. In the event that the Indemnifying Party shall fail to give the Defense Notice within said fifteen (15) day period, (i) the Indemnified Party shall be entitled to have the control over said defense and settlement of the subject claim, (ii) the Indemnifying Party will cooperate with and make available to the Indemnified Party such assistance and materials as it may reasonably request, (iii) the Indemnifying Party shall have the right at its expense to participate in the defense assisted by counsel of its own choosing, and (iv) the Indemnifying Party, if it is required to provide indemnification under this Agreement, will be liable for all costs and settlement amounts paid or incurred in connection therewith subject to the limitations set forth in this Article VIII. The Indemnifying Party will not settle the subject claim or consent to the entry of any judgment without the prior written consent of the Indemnified Party (which consent will not be unreasonably withheld, conditioned or delayed) unless (x) there is no finding or admission of any violation of Law or any violation of the rights of any Person, or finding of responsibility or Liability on the part of the Indemnified Party, or obligation of the Indemnified Party for any damages or other amount, or any Encumbrance on any property of the Indemnified Party, or any sanction or injunction of, restriction upon the conduct of any business by, or other equitable relief upon the Indemnified Party and (y) the sole relief provided is monetary damages that are paid in full by the Indemnifying Party, in which cases the consent of the Indemnified Party shall not be required. The Indemnified Party shall have no Liability with respect to any compromise or settlement of such Third Party claims effected without its consent when such consent is required hereunder. If the Indemnifying Party elects not to compromise or defend such a claim or demand for which the Indemnifying Party has an indemnification obligation hereunder or fails to promptly notify the Indemnified Party in writing of its election to defend as provided in this Agreement, the Indemnified Party may, subject to the limitations set forth in this Article VIII, pay, compromise, defend such claim and seek indemnification for any and all Losses based upon, arising from or relating to such claim and the Indemnifying Party, if it is required to provide indemnification under this Agreement, will be liable for all costs and settlement amounts paid or incurred in connection therewith subject to the limitations set forth in this Article VIII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any Third Party claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel reasonable access to, during normal business hours, the relevant business records and other documents, and shall permit them to consult with the employees and counsel of the Indemnified Party as reasonably requested. The Indemnified Party shall use its commercially reasonable efforts in the defense of all such claims. Any notice of a claim by reason of any breach of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to which the claim is made, the nature of the breach of such representations, warranty, or covenant with respect to which the claim is made, the facts giving rise to an alleged basis for the claim, and the estimated amount of the liability asserted against the Indemnifying Party by reason of the claim, to the extent known or practicable. (d) Notwithstanding anything to the contrary contained in this Section 8.3, the Indemnifying Party shall not be entitled to control, but may participate in, and the Indemnified Party shall be entitled to have sole control, including the right to select defense counsel, over the defense or settlement of any claim (i) that seeks a temporary restraining order, a preliminary or permanent injunction or specific performance against the Indemnified Party, (ii) that involves criminal allegations against the Indemnified Party, (iii) that, if unsuccessful, would set a precedent that would materially interfere with, or have a material and adverse impact on the Business, as mutually determined by the Indemnifying Party and the Indemnified Party or (iv) that imposes Liability on the part of the Indemnified Party for which the Indemnified Party is not entitled to indemnification hereunder. In such event, the Indemnifying Party will still be subject to its obligations hereunder, and the Indemnified Party will not settle the subject claim without the prior written consent of the Indemnifying Party, which consent will not be unreasonably withheld, conditioned or delayed. (be) In Notwithstanding the event foregoing and for the avoidance of doubt, (i) any Indemnified Party should have a Claim against any notice that is required to be delivered to an Indemnifying Party hereunder which does not involve that is a Claim or demand being asserted against or sought Seller pursuant to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party this Article VIII shall be deemed satisfied by delivery of such notice to have admitted liability for such Claim in the amount set forth in the Claim Notice. Sellers’ Designee and (cii) The any notices required to be delivered by, or any actions that is required to be taken by, an Indemnifying Party that is a Seller pursuant to this Article VIII shall be given the opportunity to defend the respective Claimsatisfied by delivery by, or action taken by Sellers’ Designee.

Appears in 1 contract

Samples: Purchase Agreement (Auddia Inc.)

Method of Asserting Claims, Etc. The party A person claiming indemnification hereunder is hereinafter sometimes referred to in this Article XI as the an “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any an Indemnified Party under this Article 5 Section 11.1 hereof shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Damages to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten shall with reasonable promptness (10but in no event later than thirty (30) business days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”). The Indemnified Party’s Notwithstanding the foregoing, the failure to so notify the Indemnifying Party send or delay in accordance with the provisions of this Agreement sending a Claim Notice as provided above shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability from its obligation to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify indemnify the Indemnified Party: (i) whether or not Party with respect to any such Third Party Claim, except and only to the extent the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to is materially prejudiced by such Claim failure or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusiondelay. The Indemnified Party shall have the right to employ separate defend all appropriate proceedings related to a Third Party Claim under this Article XI, including the hiring of counsel in reasonably satisfactory to the Indemnifying Party. The Indemnifying Party may participate in, but not control, any such action defense or settlement provided that it does so at its sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such expense. The Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate shall consult with the Indemnifying Party and his, her or its counsel in contesting prior to any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification matter under this Article 5 may be XI being settled without or otherwise compromised. The Indemnifying Party shall make available to the consent Indemnified Party or its Representatives all records and other materials required by the Indemnified Party and in the possession or under the control of the Indemnifying Party, which consent for the use of the Indemnified Party and its Representatives in defending any such Third Party Clam, and shall not be unreasonably withheld or delayedin other respects give reasonable cooperation in such defense. (b) In the event If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder under this Article XI which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall, within thirty (30) days of determining the existence of such claim, but in no event later than the expiration of the Survival Period, notify the Indemnifying Party of such claim, specifying the nature of and specific basis for such claim and the amount or the estimated amount of such claim (the “Indemnity Notice”). The failure by any Indemnified Party so to notify the Indemnifying Party shall give a Claim Notice with respect not relieve the Indemnifying Party from any liability which it may have to such Claim Indemnified Party under this Article XI, except and only to the extent that the Indemnifying PartyParty demonstrates that it has been actually materially prejudiced by such failure. If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party within thirty (30) days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in or estimated amount of such claim specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity Indemnifying Party hereunder. If the Indemnifying Party has timely disputed such claim, the Indemnifying Party and the Indemnified Party shall proceed in good faith to defend the respective Claimnegotiate a resolution of such dispute and, if not resolved through negotiations, such dispute shall may be submitted by either party to judicial resolution.

Appears in 1 contract

Samples: Merger Agreement (Brek Energy Corp)

Method of Asserting Claims, Etc. The party items listed in Section 8.2(a) and Section 8.3 are collectively referred to herein as “Losses”; provided, that such reference shall be understood to mean the respective losses from and against which NMI and its officers, directors, shareholders, agents and attorneys (the “NMI Indemnitees”) or the Shareholders and their respective agents and attorneys (the “Shareholder Indemnitees”), as the case may be, are indemnified as the context requires. The person claiming indemnification hereunder, whether an NMI Indemnitee or a Shareholder Indemnitee, is hereinafter sometimes referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter sometimes referred to as the “Indemnifying Party.” ”. All Claims claims for indemnification by any an Indemnified Party under this Article 5 Section 8.2 or Section 8.3 hereof, as the case may be, shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Losses to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a “Third Party Claim”), said such Indemnified Party shall, within ten shall with reasonable promptness (10but in no event later than thirty (30) business days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”). The Indemnified Party’s For this purpose, the commencement by a third party of any audit or other investigation respecting Taxes relating to any period or portion thereof prior to Closing shall constitute a Third Party Claim. Notwithstanding the foregoing, failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement provide a Claim Notice as provided above shall not relieve the Indemnifying Party of liability hereunder unless from its obligation to indemnify the Indemnified Party with respect to any such Third Party Claim except to the extent that a failure materially to timely notify the Indemnifying Party prejudices the Indemnifying Party’s ability to defend against the claim or demandThird Party Claim. The Indemnifying Party shall have 30 fifteen (15) days from the giving delivery of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims Third Party Claim. (b) If the Indemnifying Party notifies the Indemnified Party within the Notice Period that the Indemnifying Party does not dispute its liability to the Indemnified Party and that the Indemnifying Party desires to defend the Indemnified Party with respect to the Third Party Claim pursuant to this Section 8, then the Indemnifying Party shall have the right to defend, at its sole cost and expense, such Third Party Claim by all appropriate proceedings, which proceedings shall be diligently prosecuted by the Indemnifying Party to a final conclusion or demandsettled at the discretion of the Indemnifying Party (but only if the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of, and all obligations under, such settlement or entry of judgment or such settlement or entry of judgment includes a release of the Indemnified Party from all liability with respect to such Third Party Claim; otherwise, no such settlement or entry of judgment shall be agreed to without the prior written consent of the Indemnified Party). If the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, the Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; provided, however, that any the Indemnified Party is hereby authorized prior authorized, at the sole cost and expense of the Indemnifying Party (but only if the Indemnified Party is actually entitled to and indemnification hereunder or if the Indemnifying Party assumes the defense with respect to the Third Party Claim), to file during the Notice Period to file any motion, answer or other pleading pleadings which he the Indemnified Party shall deem necessary or appropriate to protect his its interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party (it being understood and agreed that if an Indemnified Party takes any such action which is prejudicial and conclusively causes a final adjudication which is adverse to the Indemnifying Party, the Indemnifying Party shall be relieved of its obligations hereunder with respect to such Third Party Claim); and provided further, that if requested by the Indemnifying Party, the Indemnified Party agrees, at the sole cost and expense of the Indemnifying Party, to cooperate with the Indemnifying Party and its counsel in contesting any Third Party Claim which the Indemnifying Party elects to contest, or, if appropriate and related to the Third Party Claim in question, in making any counterclaim against the person asserting the Third Party Claim, or any cross-complaint against any person. In The Indemnified Party may participate in, but not control (except if the Indemnifying Party is not liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, in which case whichever of the Indemnifying Party or the Indemnified Party is liable for the largest amount of Losses with respect to the Third Party Claim shall control; provided that, if the Indemnified Party may control such defense in a settlement pursuant to the foregoing, such Indemnified Party shall not enter into any settlement without the Indemnifying Party’s prior written consent), any defense or settlement of any Third Party Claim with respect to which the Indemnifying Party is participating pursuant to this Section 8.4(b), and except as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation. Notwithstanding any of the foregoing, in the event that the amount of the Third Party Claim equals or exceeds the amount then existing in the Escrow Account and the Indemnified Party is an NMI Indemnitee, then such NMI Indemnitee shall have the right, but not the obligation, to defend itself against the Third Party Claim and exercise full and exclusive control of any defense or proceedings related thereto, regardless of whether, pursuant to this Section 8.4, the Indemnifying Party notifies desires to defend the Indemnified Party with respect thereto or in any other way exercise control over any such defense or proceedings related thereto. (c) If the Indemnifying Party fails to notify the Indemnified Party within the Notice Period that he, she or it the Indemnifying Party does not dispute its liability for indemnification under this Article 5 to the Indemnified Party and that such person the Indemnifying Party desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedpursuant to this Section 8, then the Indemnifying Indemnified Party shall have the right to defend defend, at the sole cost and expense of the Indemnifying Party, the Third Party Claim by all appropriate proceedings, which proceedings shall be promptly settled or and vigorously prosecuted by him the Indemnified Party to a final conclusionconclusion or settled, provided that, the Indemnified Party will not consent to the entry of any judgment or enter into any settlement (i) which does not include as an unconditional term thereof the giving to the Indemnified Party by the third party of a release from all liability with respect to such suit, claim, action, or proceeding; (ii) unless there is no finding or admission of (A) any violation of applicable law by the Indemnified Party (or any affiliate thereof), (B) any liability on the part of the Indemnified Party (or any affiliate thereof) or (C) any violation of the rights of any person and no effect on any other claims of a similar nature that may be made by the same third party against the Indemnified Party (or any affiliate thereof); or (iii) which exceeds the Shareholders Cap. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses full control of such counsel shall be at the expense of such Indemnified Party except to the extent defense and proceedings, including any compromise or settlement thereof; provided, that the employment thereof has been specifically authorized if requested by the Indemnifying Party in writingIndemnified Party, the Indemnifying Party has failed after a reasonable period of time to assume such defense agrees, at the sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position expense of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Indemnified Party and his, her or its counsel in contesting any Third Party Claim or demand which the Indemnifying Indemnified Party elects to contest is contesting, or, if appropriate and related to the Third Party Claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demandThird Party Claim, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which Notwithstanding the foregoing provisions of this Section 8.4(c), if the Indemnifying Party has acknowledged timely notified the Indemnified Party that the Indemnifying Party disputes its liability for indemnification under to the Indemnified Party and if such dispute is resolved in favor of the Indemnifying Party by final, nonappealable order of a court of competent jurisdiction or an arbitral tribunal, the Indemnifying Party shall not be required to bear the costs and expenses of the Indemnified Party’s defense pursuant to this Article 5 may be settled without the consent Section 8.4(c) or of the Indemnifying Party’s participation therein at the Indemnified Party’s request and the Indemnified Party shall reimburse the Indemnifying Party in full for all costs and expenses of such litigation. The Indemnifying Party may participate in, which consent but not control, any defense or settlement controlled by the Indemnified Party pursuant to this Section 8.4(c) (other than a dispute as to the Indemnifying Party’s liability to the Indemnified Party) and the Indemnifying Party shall not be unreasonably withheld or delayedbear its own costs and expenses with respect to such participation. (bd) In the event If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim to notify the Indemnifying Party, in writing, of such claim by the Indemnified Party, specifying the nature of and specific basis for such claim and the amount of the estimated amount of such claim (the “Indemnity Notice”). If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party within thirty (30) days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in or estimated amount of such claim specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity Indemnifying Party hereunder. If the Indemnifying Party has timely disputed such claim, as provided above, such dispute shall be resolved by arbitration pursuant to defend the respective ClaimSection 9 hereof.

Appears in 1 contract

Samples: Stock Purchase Agreement (Netmanage Inc)

Method of Asserting Claims, Etc. The party claiming (a) All claims for indemnification is hereinafter referred to as the by any Party seeking indemnification (an “Indemnified Party” and ”) against the party against whom such claims are asserted hereunder is hereinafter referred to Buyer or the Seller, as applicable (the “Indemnifying Party”), hereunder shall be asserted and resolved as set forth in this Section 9.3.” All Claims (b) In order for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim or demand to make a claim for which an Indemnifying Party would be liable indemnification pursuant to an Indemnified Party hereunder is asserted against or sought to be collected from Section 9.2, such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof (the “Claimed Amount”) to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the “Claim Notice”). The Claim Notice additionally shall set forth a reasonable description of the representation, warranty, or covenant with respect to which the claim is made and the facts giving rise to an alleged basis for the claim. (c) In the case of any claim or demand for indemnification based upon the assertion of a claim or the institution of an action by a third party against the Indemnified Party’s failure to so Party (“Third Party Claims”), the Indemnified Party shall notify the Indemnifying Party in accordance with promptly upon receipt of such Third Party Claim; provided, however, the provisions of this Agreement failure to notify the Indemnifying Party promptly shall not relieve the Indemnifying Party of liability hereunder unless its obligations hereunder, except to the extent such failure materially prejudices shall have prejudiced the Indemnifying Party’s ability to defend against . In connection with all Third Party Claims, the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend assume the defense of the Indemnified Party against such claim or demand; provided, that the Indemnifying Party shall not have the right to assume control of any defense, if the claim which the Indemnifying Party seeks to assume control (i) seeks non-monetary relief, (ii) involves criminal or quasi-criminal allegations or (iii) may, in the reasonable belief of the Indemnified Party, be detrimental to or injure the Indemnified Party’s relationship with any material customer. The Indemnifying Party shall not be entitled to assume the defense of such claim or demand unless it shall have first entered into an agreement with the Indemnified Party (in form and except as hereinafter substance reasonably satisfactory to the Indemnified Party) pursuant to which the Indemnifying Party agrees to be fully responsible (with no reservation of rights) for all Losses relating to such claims and that it will provide full indemnification (whether or not otherwise required hereunder) to the Indemnified Party for all Losses relating to such claim, with such Losses not being subject to the limitations set forth in this Article IX. In the event an Indemnifying Party assumes control of the defense of such claim, all costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party. If any Indemnified Party desires to participate in, but not control, any defense or settlement pursuant to which an Indemnifying Party has assumed control in accordance with this Section 9.3, it may do so at its sole cost and expense. During the Notice Period, the Indemnified Party shall not settle, compromise or offer to settle or compromise any such claim or demand involving monetary damages without the consent of the Indemnifying Party, which shall not be unreasonably withheld, conditioned or delayed. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which consent shall not be unreasonably withheld, conditioned or delayed, settle, compromise or offer to settle or compromise any claim or demand; provided, however, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled settle or prosecuted by him to compromise a final conclusion. The Indemnified Party shall have claim or demand without the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses prior written consent of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim if such claim or demand which is not subject to the limitations contained in Sections 9.2 or 9.3, involves only the payment of money and provides an unconditional release of the Indemnified Party. If the Indemnifying Party elects not to contest or, if appropriate and related to assume the Claim in question, in making any Counterclaim defense of the Indemnified Party against the person asserting the third party Claim a claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and demand for which the Indemnifying Party has acknowledged liability for an indemnification under this Article 5 may be settled without obligation hereunder, whether by not giving the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against timely notice as provided above or otherwise, then, in addition tothe amount of any Indemnifying Party hereunder which does not involve a Claim such claim or demand being asserted against or sought to be collected from him by a third partydemand, the Indemnified Party shall recover from the Indemnifying Party the reasonable costs and expenses, including attorneys fees, in connection with such defense, subject to the limitations set forth in this Article IX. To the extent the Indemnifying Party shall control the defense or settlement of any Third Party Claim, the Indemnified Party will give a Claim Notice the Indemnifying Party and its counsel reasonable access to, during normal business hours and upon reasonable notice, the relevant business records and other documents relating to the defense of such claim, and shall permit them to consult with respect the employees and counsel of the Indemnified Party to the extent the same does not unduly interfere with the conduct of the Indemnified Party’s business. The Indemnifying Party shall use its best efforts in the defense of all such claims. Notwithstanding anything to the contrary set forth in this Agreement, from and after the time when the aggregate amount of claims paid or potentially payable by an Indemnifying Party under this Agreement, which are subject to the limitations set forth in Sections 9.2 or 9.3, exceeds or could potentially exceed such limitation based upon claims paid and pending in accordance with this Agreement, the Indemnified Party shall have the right, at its own cost and expense, to jointly control the defense and settlement of any pending indemnification claims the liability for which could potentially result in the aggregate claims exceeding such limitation. Any such time as the aggregate amount of claims subject to such Claim limitation which have been paid or settled (subject to the Indemnifying Party. If, after receipt of a Claim Noticebeing paid) exceeds such limitation, the Indemnifying Party does not notify shall no longer have the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed right to have admitted liability for such Claim participate in the amount set forth in the Claim Noticecontrol or defense of such claims. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Stock Purchase Agreement (Emrise CORP)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows:set forth in this Section 8.3. (ab) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business days from but in no event later than the date upon which 30th day after receipt by the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying notify the nature Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article VIII, not including a third party claim, the Indemnified Party shall, within 30 days of the discovery of the facts or circumstances giving rise thereto, notify the Indemnifying Party following its discovery of such facts or circumstances; provided that the failure to notify on the part of the Indemnified Party in accordance with the provisions of this Agreement manner set forth herein shall not relieve foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices to notify in the Indemnifying Party’s ability to defend against the claim or demandmanner set forth herein. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Third Party Claim Notice or the notice relating to a claim for indemnity under this Article VIII other than a third party claim (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . In the event that any the Indemnifying Party notifies the Indemnified Party is hereby authorized prior that it does not desire to defend the Indemnified Party against such claim or demand, the Indemnified Party shall have all rights and during remedies at law or in equity against the Notice Period to file Indemnifying Party for any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those breach of the Indemnifying Party and not prejudicial to the Indemnifying Party's indemnification obligations hereunder. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand on a basis which consent shall not be unreasonably withheld provide for a finding or delayed. (b) In acknowledgment of responsibility or liability on the event any part of the Indemnified Party should or which provides for or would result in any sanction or restriction or in the imposition of a consent order, injunction or decree which would restrict the future activity or conduct of, or which would otherwise have a Claim against any Indemnifying Party hereunder which does not involve a Claim material adverse effect on the financial condition or demand being asserted against or sought to be collected from him by a third partyresults of operations of, the Indemnified Party shall give a Claim Notice with respect to such Claim to or any Affiliate thereof. To the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then extent the Indemnifying Party shall be deemed to have admitted liability for such Claim control or participate in the amount set forth defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its commercially reasonable efforts as may be requested by the Indemnifying Party in the Claim Noticedefense of all such claims, and in connection therewith shall be entitled to reimbursement by the Indemnifying Party of expenses related to such efforts undertaken. (c) The Payments of all amounts owing by an Indemnifying Party as a result of a third party claim shall be made within five Business Days after the earlier of (i) the settlement of the third party claim and (ii) the expiration of the period of appeal of a final adjudication of the third party claim. Payments of all amounts owing by an Indemnifying Party other than as a result of a third party claim shall be made within five Business Days after the later of (i) the expiration of the Notice Period or (ii) if contested through dispute resolution proceedings, the expiration of the period for appeal of a final adjudication of the Indemnifying Party's liability to the Indemnified Party under this Agreement. Notwithstanding the above, if the Indemnifying Party has not contested its indemnity obligations hereunder and has not elected to assume the defense of a third party claim, the Indemnifying Party shall be given reimburse (promptly after the opportunity to defend receipt of each invoice therefor together with reasonable support for such expenditures) the respective ClaimIndemnified Party for the reasonable costs and expenses incurred by the Indemnified Party in contesting the third party claim.

Appears in 1 contract

Samples: Stock Purchase Agreement (MFC Bancorp LTD)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such (a) All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows:set forth in this Section 8.3. (ab) In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to 55 be collected from such any Indemnified Party by a third party, said such Indemnified Party shallshall promptly, within ten (10) business days from but in no event later than the date upon which 30th day after receipt by the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying notify the nature Indemnifying Party of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive in any manner prejudice the right of the final amount of such Claim or demandIndemnified Party to indemnification to the fullest extent provided hereunder) (the "Third Party Claim Notice”). The ") and in the event that an Indemnified Party’s failure to so Party shall assert a claim for indemnity under this Article VIII, not including a third party claim, the Indemnified Party shall, within 30 days of the discovery of the facts or circumstances giving rise thereto, notify the Indemnifying Party following its discovery of such facts or circumstances; provided that the failure to notify on the part of the Indemnified Party in accordance with the provisions of this Agreement manner set forth herein shall not relieve foreclose any rights otherwise available to such Indemnified Party hereunder, except to the extent that the Indemnifying Party of liability hereunder unless is prejudiced by such failure materially prejudices to notify in the Indemnifying Party’s ability to defend against the claim or demandmanner set forth herein. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Third Party Claim Notice or the notice relating to a claim for indemnity under this Article VIII other than a third party claim (the "Notice Period") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, demand and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand; provided, however, . In the event that any the Indemnifying Party notifies the Indemnified Party is hereby authorized prior that it does not desire to defend the Indemnified Party against such claim or demand, the Indemnified Party shall have all rights and during remedies at law or in equity against the Notice Period to file Indemnifying Party for any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those breach of the Indemnifying Party and not prejudicial to the Indemnifying Party's indemnification obligations hereunder. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provideddemand, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or 56 compromise any such claim or demand on a basis which consent shall not be unreasonably withheld provide for a finding or delayed. (b) In acknowledgment of responsibility or liability on the event any part of the Indemnified Party should or which provides for or would result in any sanction or restriction or in the imposition of a consent order, injunction or decree which would restrict the future activity or conduct of, or which would otherwise have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyMaterial Adverse Effect on, the Indemnified Party shall give a Claim Notice with respect to such Claim to or any Affiliate thereof. To the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then extent the Indemnifying Party shall be deemed to have admitted liability for such Claim control or participate in the amount set forth defense or settlement of any third party claim or demand, the Indemnified Party will give to the Indemnifying Party and its counsel reasonable access to all business records and other documents relevant to such defense or settlement, and shall permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its commercially reasonable efforts as may be requested by the Indemnifying Party in the Claim Noticedefense of all such claims, and in connection therewith shall be entitled to reimbursement by the Indemnifying Party of expenses related to such efforts undertaken. (c) The Payments of all amounts owing by an Indemnifying Party as a result of a third party claim shall be made within five Business Days after the earlier of (i) the settlement of the third party claim and (ii) the expiration of the period of appeal of a final adjudication of the third party claim. Payments of all amounts owing by an Indemnifying Party other than as a result of a third party claim shall be made within five Business Days after the later of (i) the expiration of the Notice Period or (ii) if contested through dispute resolution proceedings, the expiration of the period for appeal of a final adjudication of the Indemnifying Party's liability to the Indemnified Party under this Agreement. Notwithstanding the above, if the Indemnifying Party has not contested its indemnity obligations hereunder and has not elected to assume the defense of a third party claim, the Indemnifying Party shall be given reimburse (promptly after the opportunity to defend receipt of each invoice therefor together with reasonable support for such expenditures) the respective ClaimIndemnified Party for the reasonable costs and expenses incurred by the Indemnified Party in contesting the third party claim.

Appears in 1 contract

Samples: Stock Purchase Agreement (Union Texas Petroleum Holdings Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Indemnifying Party the Shareholders would be liable to an Indemnified QuadraMed Party hereunder is asserted against or sought to be collected from such an Indemnified QuadraMed Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified QuadraMed Party has Knowledge of such Claim, shall notify the Indemnifying Party Shareholders of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party Each Shareholder shall have 30 ten (10) days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: QuadraMed Party (i) whether or not the Indemnifying Party Shareholder disputes the 7.3.1 If the Shareholders dispute their liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim claim or demand, and demand or the amount thereof (ii) whether or not the Indemnifying Party desires, at Shareholders desire to assume the sole cost and expense defense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified QuadraMed Party against such claim or demand as provided in Sections 7.3.2 and 7.3.3 below), such dispute shall be resolved in accordance with Section 7.8 hereof. Pending the resolution of any dispute by the Shareholders of the liability of the Shareholders with respect to any claim or demand, such claim or demand shall not be settled without the prior written consent of the Indemnified QuadraMed Party. 7.3.2 In the event that the Shareholders notify the Indemnified QuadraMed Parties within the Notice Period that it desires to assume the defense of the Indemnified QuadraMed Parties against such claim or demand then, except as hereinafter provided, the Indemnifying Party Shareholders shall have the right to defend the Indemnified QuadraMed Party by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him it to a final conclusionconclusion in such a manner as to avoid any risk of any Indemnified QuadraMed Party becoming subject to liability for any other matter; provided, however, that the Shareholders shall not, without the prior written consent of all Indemnified QuadraMed Parties, consent to the entry of any judgment against any Indemnified QuadraMed Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified QuadraMed Party of a release, in form and substance satisfactory to the Indemnified QuadraMed Party, as the case may be, from all liability in respect of such claim or litigation. The If the Indemnified Party shall have the right QuadraMed Parties desire to employ separate counsel in participate in, but not control, any such action defense or settlement, they may do so at their sole cost and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there isexpense. If, in the reasonable opinion of the Indemnified QuadraMed Parties, any such separate counselclaim or demand or the litigation or resolution of any such claim or demand involves an issue or matter which could have a materially adverse effect on the business, a material conflict on operations, assets, properties or prospects of any material issue between Indemnified QuadraMed Party, including, without limitation, the position administration of the Indemnifying Party tax returns and responsibilities under the position tax laws of such any Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictQuadraMed Party, then the Indemnified Party agrees QuadraMed Parties shall have the right to cooperate with control the Indemnifying Party and his, her defense or its counsel in contesting settlement of any Claim such claim or demand which and its reasonable costs and expenses shall be included as part of the Indemnifying Party elects to contest orindemnification obligation of the Shareholders hereunder; provided, if appropriate and related to however, that the Claim in question, in making Indemnified QuadraMed Parties shall not settle any Counterclaim against the person asserting the third party Claim such claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled demand without the prior written consent of the Indemnifying PartyShareholders, which consent shall not be unreasonably withheld withheld. If the Indemnified QuadraMed Parties should elect to exercise such right, the Shareholders shall have the right to participate in, but not control, the defense or delayedsettlement of such claim or demand at its sole cost and expense. (b) 7.3.3 If the Shareholders elect not to defend any Indemnified QuadraMed Party against such claim or demand, whether by not giving the Indemnified QuadraMed Party 7.3.4 In the event any an Indemnified QuadraMed Party should have a Claim claim against any Indemnifying Party the Shareholders hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified QuadraMed Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying PartyShareholders. IfIf the Shareholders dispute their liability with respect to such claim or demand, after receipt of a Claim Notice, the Indemnifying Party does not notify the such dispute shall be resolved in accordance with Section 7.8 hereof. 7.3.5 All claims for indemnification by an Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party under this Agreement shall be deemed to have admitted liability for such Claim asserted and resolved under the procedures set forth above substituting in the amount set forth in the Claim Noticeappropriate place "Indemnified Shareholder Party" for "Indemnified QuadraMed Party" and variations thereof and "QuadraMed" for "Shareholders. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim."

Appears in 1 contract

Samples: Acquisition Agreement (Quadramed Corp)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 11 shall be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third party, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it he does not dispute liability for indemnification under this Article 5 11 and that such person he desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its his counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 11 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it he disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Share Exchange Agreement (Friendable, Inc.)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) 11.6.1. In the event that (i) any Claim claim or demand or proceeding for which an Indemnifying Party the Guarantor would be liable to an Indemnified Party the Purchaser Group hereunder is asserted against or sought to be collected from such Indemnified Party the Purchaser Group by a third partyThird Party which could give rise to indemnification under this ARTICLE XI, said Indemnified (any such claim, demand or proceeding, a "Third Party shallClaim"), within ten or (10ii) business Purchaser Group shall have a claim to be indemnified by the Guarantor (any such claim, a "Direct Claim"), the Purchaser shall as soon as practicable in view of the circumstances (but in the case of a Third Party Claim no later than thirty (30) days from after the date upon which the Indemnified Party Purchaser has Knowledge received written notice of such Claim, claim or demand) notify the Indemnifying Party Guarantor of such claim or demand specifying in reasonable detail the nature of such claim or demand, specifying the nature of and specific basis for such claim or demand and if known, the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim claim or demand) (the “a "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that a failure by the Purchaser Group to give timely notice shall have no consequences on its ability to claim under this Agreement, to the extent that such failure has not caused the indemnification obligations for which the Guarantor are obligated to it to be greater than they would have been had the Purchaser Group given timely notice (it being agreed that the indemnification obligations for which the Guarantor may be obligated shall be reduced to the extent of any Indemnified such prejudice). Following the Claim Notice, the Purchaser shall make available to the Guarantor, upon the latter's demand, the supporting documentation or evidence on which the Third Party Claim or the Direct Claim is hereby authorized based including any and all documents and/or information in the Purchaser's possession reasonably necessary to analyze the factual grounds of the Third Party Claim or the Direct Claim. (a) The Guarantor shall have fifteen (15) days from the receipt of the relevant Claim Notice or, in the event of a Direct Claim and if the amount of the claim has not been determined at the time of the Claim Notice, the date on which the amount of the Direct Claim has been notified by the Purchaser Group (the "Notice Period") to notify the Purchaser Group whether or not it disputes its liability to the Purchaser Group hereunder with respect to such claim or demand. If the parties agree, on or prior to and during the expiration of the Notice Period Period, upon the validity and amount of such claim, the Guarantor shall pay to file any motionthe Purchaser Group, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those within five (5) Business Days following the date of such agreement, the full agreed amount of the Indemnifying Party and not prejudicial indemnification due on such claim. If the parties are unable to reach agreement on or prior to the Indemnifying Party. expiration of the Claim Notice or if the Guarantor dispute their liability with respect to such claim or demand or the amount thereof, such dispute shall be resolved in accordance with Section 14.12 hereof. (b) In the event that the Indemnifying Party Guarantor notifies the Indemnified Party Purchaser Group within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Purchaser Group against a particular Third Party against such claim or demand and Claim then, except as hereinafter provided, the Indemnifying Party Guarantor shall have the right to defend the Purchaser Group by all appropriate proceedings, including counsel of its choice, reasonably acceptable to the Purchaser Group, which proceedings shall be promptly settled or prosecuted by him it to a final conclusionconclusion in such a manner as to avoid any risk of the Purchaser Group becoming subject to liability for any other matter and shall pay all fees and disbursements incurred in connection with such proceedings; provided however, that the Guarantor shall not, without the prior written consent of the Purchaser Group (i) consent to the entry of any judgment against the Purchaser Group, (ii) enter into any settlement or compromise of any claim or demand for other than monetary damages, or (iii) enter into any settlement or compromise or any claim or demand for monetary damages which does not include, as an unconditional term thereof, the giving by each claimant or plaintiff to the Purchaser Group of a release, in form and substance satisfactory to the Purchaser Group. The Indemnified Guarantor shall be liable for reasonable fees and expenses of counsel employed by the Purchaser Group for any period during which the Guarantor has not assumed the defense of any Third Party Claim (other than during any period in which the Purchaser Group will have failed to give notice of the Third Party Claim as provided above). The Purchaser Group shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized assumed by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense Guarantor and to employ counsel or in of its choice, reasonably acceptable to the Guarantor, at its own expense, separate from the counsel employed by the Guarantor (it being understood that the Guarantor shall control such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”defense). If requested by the Indemnifying Party and there is no Material ConflictGuarantor, the Indemnified Party Purchaser Group agrees to cooperate with the Indemnifying Party Guarantor and his, her or its counsel (at the cost of the Guarantor) in contesting any such Third Party Claim and to refrain from taking any action which jeopardize or demand which interfere with the Indemnifying Party elects to contest or, if appropriate and related to defense of such claims. The Guarantor shall keep the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent Purchaser Group fully informed of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed. (b) In progress of any Third Party Claim and its defense in the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does the Purchaser Group did not involve a Claim or demand being asserted against or sought elect to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim participate in the amount set forth in the Claim Noticedefense against such Third Party Claim. (c) The Indemnifying Party Notwithstanding the foregoing, in the event that a Full Indemnification Loss is asserted by the Purchaser in a Notice of Claim, the Guarantor shall be given entitled to defend itself or the opportunity Seller by appropriate proceedings, including counsel of its choice and shall pay all fees and disbursements incurred in connection with such proceedings. If requested by the Guarantor, the Purchaser Group agrees to cooperate with the Guarantor and its counsel (at the cost of the Guarantor) in contesting any such Third Party Claims and to refrain from taking any action which may jeopardize or interfere with the defense of such claims. The Purchaser shall provide to Guarantor and its counsel full access to any documents, information and employees of the Subsidiary and the Purchaser that Guarantor and its counsel may reasonably request in connection with such proceedings. 11.6.2. If the Guarantor elects not to defend the respective ClaimPurchaser Group against such claim or demand, whether by not giving the Purchaser Group timely notice as 41 provided above or otherwise, then the full amount of any such claim or demand, shall be conclusively deemed to be a liability of the Guarantor hereunder, subject to the limitations set forth in Section 11.4 hereof. 11.6.3. All claims for indemnification of the Guarantor by the Purchaser under this Agreement shall be asserted and resolved under the procedures set forth above substituting as appropriate the "Guarantor" by the "Purchaser Group" and vice versa.

Appears in 1 contract

Samples: Share Purchase Agreement (General Cable Corp /De/)

Method of Asserting Claims, Etc. The obligations and liabilities of any party claiming hereto against which indemnification is hereinafter referred sought hereunder with respect to as Losses resulting from the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred assertion of liability by third parties shall be subject to as the “Indemnifying Partythis Section 7.3.” All Claims for indemnification (a) Promptly after receipt by any Indemnified Party under this Article 5 shall of notice or Knowledge of any demand or claim or the commencement of any action, proceeding or investigation (an "Asserted Liability") that could reasonably be asserted as follows: (a) In the event that any Claim or demand for which an Indemnifying Party would be liable expected to an Indemnified Party hereunder is asserted against or sought to be collected from such Indemnified Party by a third partyresult in Losses, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge shall give notice thereof (a "Claims Notice") to the other party obligated to provide indemnification pursuant to Section 7.2(a) or Section 7.2(b) (the "Indemnifying Parties"). Each Claims Notice shall describe the nature and basis of such Claimthe Asserted Liability in reasonable detail, notify and shall indicate the amount (estimated, if necessary) of the Losses that have been or may be suffered by the Indemnified Party. The rights of any Indemnified Party to be indemnified hereunder shall not be adversely affected by its failure to give, or its failure to timely give, a Claims Notice with respect thereto unless, and if so, only to the extent that, the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible is prejudiced thereby. (which estimate shall not be conclusive of the final amount of such Claim or demandb) (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party right, exercisable by written notice to the Indemnified Party hereunder with respect within sixty (60) days of receipt of a Claims Notice from the Indemnified Party, to assume the exclusive defense, settlement, adjustment and compromise of such Claim or demandAsserted Liability, and (ii) whether or not using counsel selected by the Indemnifying Party desiresand reasonably acceptable to the Indemnified Party. Should the Indemnifying Party elect to assume the exclusive defense of the Asserted Liability, the Indemnifying Party shall not be liable to the Indemnified Party for legal expenses incurred by the Indemnified Party in connection with the defense thereof. Subject to the foregoing, if the Indemnifying Party elects to compromise or defend such Asserted Liability, the Indemnified Party shall cooperate, at the sole cost and expense of the Indemnifying Party, in the compromise of, or defense against, such Asserted Liability. If the Indemnifying Party elects not to compromise or defend the Asserted Liability or fails to notify the Indemnified Party against such Claims or demand; of its election as herein provided, however, that any the Indemnified Party is hereby authorized prior to may pay, compromise or defend such Asserted Liability. The Indemnified Party and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party may participate, and not prejudicial to be represented by counsel, at their own expense, in the defense of such Asserted Liability. If the Indemnifying Party chooses to defend any claim, the Indemnified Party shall make available to the Indemnifying Party. In Party any books, records or other documents within its control, and the event that reasonable assistance of its employees, for which the Indemnifying Party notifies shall be obliged to reimburse the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend reasonable out-of-pocket expenses of making them available. (c) If any Indemnifying Party has assumed the Indemnified Party against such claim or demand and except as hereinafter providedexclusive defense of an Asserted Liability in accordance with the terms hereof, the Indemnifying Party shall have the right to defend by all appropriate proceedingsconsent to the entry of judgment with respect to, which proceedings shall be promptly settled or prosecuted by him otherwise settle such Asserted Liability without the consent of the Indemnified Party if (i) the settlement involves solely monetary damages and (ii) the Indemnifying Party expressly agrees in writing to a final conclusionthe Indemnified Party that, as between the two, the Indemnifying Party is solely obligated to satisfy and discharge the claim. The Indemnified If the foregoing conditions are not satisfied, the Indemnifying Party shall have the right to employ separate counsel in any consent to the entry of judgment with respect to, or otherwise settle such action and participate in Asserted Liability only upon receipt of the defense thereofwritten consent of the Indemnified Party, but which consent shall not be unreasonably withheld. If the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writingdoes not give such consent, the Indemnifying Party has failed after a reasonable period of time to assume such shall resume the diligent defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position Asserted Liability. Regardless of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which whether the Indemnifying Party elects to contest orassume the exclusive defense of the Asserted Liability in accordance with the terms hereof, if appropriate and related the Indemnified Party shall not admit any liability with respect to, consent to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demandentry of judgment with respect to, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled otherwise settle such Asserted Liability without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayedwithheld. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Notice, the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Notice. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Purchase and Sale of Equity Interests Agreement (Rocky Shoes & Boots Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that case any Claim claim is made, or demand for which an Indemnifying Party would be liable to an Indemnified Party hereunder any suit or action is asserted against or sought to be collected from such Indemnified Party commenced by a third partyparty against Buyer in respect of which indemnification under Section 13.1 may be sought by it hereunder, said Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, notify the Indemnifying Party of such claim or demand, specifying the nature of and specific basis for such claim or demand and the amount or the estimated amount thereof to Shareholder in respect of which indemnification under Section 13.2 may be sought by it hereunder, the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or demand) indemnified party (the “Claim Notice”). The Indemnified Party’s failure to so notify "Indemnitee") shall promptly give the Indemnifying Party in accordance with indemnifying party (the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the "Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 days from the giving of the Claim Notice (the “Notice Period”") to notify the Indemnified Party: (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, notice thereof and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and except as hereinafter provided, the Indemnifying Party shall have the right be entitled to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in control the defense thereof. The Indemnitee may (but need not) retain its own counsel, but the fees and expenses of such counsel shall be at the expense of the Indemnitee. The Indemnifying Party may at any time notify the Indemnitee of its intention to settle or compromise any claim, suit or action against the Indemnitee, and the Indemnifying Party may settle or compromise any such Indemnified Party except to claim, suit or action unless the extent that the employment thereof has been specifically authorized by Indemnitee notifies the Indemnifying Party in writing, writing (within ten (10) business days after the Indemnifying Party has failed after a reasonable period given written notice of time its intention to assume settle or compromise) that the Indemnitee intends to conduct or to continue to conduct the defense of such defense and claim, suit or action. Unless the Indemnitee gives the notice referred to employ counsel in the foregoing sentence with respect to settlements or compromises, any such settlement or compromise of, or (notwithstanding any notice from the Indemnitee referred to in the foregoing sentence) any final judgment or decree entered on or in respect of any claim, suit or action shall be binding upon, the Indemnitee as fully as if the Indemnitee had assumed and controlled the defense thereof and a final judgment or decree had been entered in such action there issuit or action, in or with regard to such claim, by a court of competent jurisdiction for the reasonable opinion amount of such separate counselsettlement, a material conflict on compromise, judgement or decree. If the Indemnitee conducts or continues the conduct of the defense of any material issue between the position of claim, suit or action as aforesaid, it shall do so at its own cost and expense, holding the Indemnifying Party harmless from all costs, fees, expenses, debts, liabilities and the position of charges in connection with such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld or delayeddefense. (b) In the event any Indemnified Party should have a Claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought If an Indemnitee is entitled to be collected from him by a third party, the Indemnified Party shall give a Claim Notice with indemnified hereunder other than in respect to such Claim to the Indemnifying Party. If, after receipt of a Claim Noticeclaim made or action commenced against Buyer or the Shareholder as referred to in Section 13.5(a), the Indemnifying Party does not notify the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in given written notice thereof promptly by the Indemnitee, which notice shall specify the amount set and nature of the amounts to be indemnified and include the request of the Indemnitee for indemnification of such amount. The Indemnifying Party shall within twenty (20) days pay to the Indemnitee the amount so specified, or deliver to the Indemnitee written notice setting forth in reasonable detail that Indemnifying Party is not obligated to pay such amount, in which event the Claim Noticeparties shall use good faith efforts to resolve any disputed matters. (c) The Notwithstanding any other provision of the Agreement to the contrary, with respect to any claim for indemnification arising under Section 13.1(d) or 13.2(d), the Indemnitee and the Indemnifying Party shall be given may pursue claims against, and seek to enforce the opportunity obligations, if any, of others (including TRW, Inc.) who have or are reasonably believed to defend have, liability under Environmental, Health and Safety Laws with respect to any of the respective ClaimFacilities.

Appears in 1 contract

Samples: Asset Purchase Agreement (Jpe Inc)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 shall be asserted as follows: (a) In the event that any Claim claim or demand for which an Seller (the "Indemnifying Party Party") would be liable to an Indemnified Buyer Party hereunder is asserted against or sought to be collected from such an Indemnified Buyer Party by a third party, said the Indemnified Buyer Party shallshall promptly (and in case of claims under Section 11.1(a)(iii), within ten (10) business thirty days from the date upon which the Indemnified Party after Buyer has Knowledge knowledge of such Claim, claim) notify the Indemnifying Party Seller of such claim or demand, specifying in reasonable detail the nature of and specific basis for such claim or demand demand, the specific provisions of this agreement alleged to have been breached, and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Claim or demand) claim and demand (the "Claim Notice"). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 thirty days from the giving personal delivery or mailing of the Claim Notice (the "Notice Period") to notify the Indemnified Party: Buyer Party (iA) whether or not the Indemnifying Party it disputes the its liability of the Indemnifying Party to the Indemnified Buyer Party hereunder with respect to such Claim claim or demand, demand and (iiB) notwithstanding any such dispute, whether or not the Indemnifying Party it desires, at the its sole cost and expense of the Indemnifying Partyexpense, to defend the Indemnified Buyer Party against any such Claims claim or demand; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he shall deem necessary or appropriate to protect his interests or those of the . (a) If Indemnifying Party and disputes its obligation to indemnify Buyer with respect to such claim or demand or the amount thereof (whether or not prejudicial to the Indemnifying Party. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Buyer Party against such claim or demand as provided in paragraphs (b) and except as hereinafter provided(c) below), such dispute shall be resolved in accordance with Section 11.5 hereof. Pending the resolution of any dispute by Indemnifying Party shall have the right of its liability with respect to defend by all appropriate proceedings, which proceedings shall be promptly settled or prosecuted by him to a final conclusion. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim claim or demand, such claim or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may demand shall not be settled without the prior written consent of the Indemnifying Partyboth Buyer and Seller, which consent shall not be unreasonably withheld or delayed. (b) In the event that Indemnifying Party notifies the Indemnified Buyer Party within the Notice Period that it desires to defend the Indemnified Buyer Party against such claim or demand then, except as hereinafter provided, Indemnifying Party shall have the right to defend the Indemnified Buyer Party, at the Indemnifying Party's sole cost and expense, by appropriate proceedings, which proceedings shall be promptly settled or prosecuted by it to a final conclusion in such a manner as to avoid any risk of Indemnified Buyer Party becoming subject to further liability in respect of such matter; provided, however, Indemnifying Party shall not, without the prior written consent of the Indemnified Buyer Party (which consent shall not be unreasonably withheld or delayed), consent to the entry of any judgment against the Indemnified Buyer Party or enter into any settlement or compromise which does not include, as an unconditional term thereof, the giving by the claimant or plaintiff to the Indemnified Buyer Party of a release, in form and substance satisfactory to the Indemnified Buyer Party, as the case may be, from all liability in respect of such claim or litigation. If any Indemnified Buyer Party desires to participate in, but not control, any such defense or settlement, it may do so at its sole cost and expense. (i) If Indemnifying Party elects not to defend the Indemnified Buyer Party against such claim or demand, whether by not giving the Indemnified Buyer Party timely notice as provided above or otherwise, then the amount of any such claim or demand as reduced to judgment or settlement, or if the same be defended by Indemnifying Party or by the Indemnified Buyer Party (but none of the Indemnified Buyer Party shall have any obligation to defend any such claim or demand), then that portion thereof as to which such defense is unsuccessful, in each case, shall be conclusively deemed to be a liability of Indemnifying Party hereunder, unless Indemnifying Party shall have disputed its liability to the Indemnified Buyer Party hereunder, as provided in (a) above, in which event such dispute shall be resolved as provided in Section 11.5 hereof. (ii) In the event an Indemnified Buyer Party should have a Claim claim against any Indemnifying Party hereunder which that does not involve a Claim claim or demand being asserted against or sought to be collected from him it by a third party, the Indemnified Buyer Party shall give promptly send a Claim Notice with respect to such Claim claim to the Indemnifying Party. If, after receipt of a Claim Notice, the If Indemnifying Party does not notify the Indemnified Party within the Notice Period that hedisputes its liability with respect to such claim or demand, she or it disputes such Claim, then the Indemnifying Party dispute shall be deemed to have admitted liability for such Claim resolved in the amount set forth in the Claim Noticeaccordance with Section 11.5 hereof. (cd) The Indemnifying All claims for indemnification by Indemnified Seller Party under this Agreement shall be given asserted and resolved under the opportunity to defend procedures set forth above substituting in the respective Claimappropriate place "Indemnified Seller Party" for "Indemnified Buyer Party", "Buyer" for "Indemnifying Party" and variations thereof.

Appears in 1 contract

Samples: Asset Purchase Agreement (Iron Mountain Inc /De)

Method of Asserting Claims, Etc. The party claiming indemnification is hereinafter referred to as the “Indemnified Party” and the party against whom such All claims are asserted hereunder is hereinafter referred to as the “Indemnifying Party.” All Claims for indemnification by any Indemnified Party under this Article 5 hereunder shall be asserted and resolved as follows: (a) set forth in this Section 7.3. In the event that any Claim written claim or demand for which an Indemnifying Party would be liable to an any Indemnified Party hereunder is asserted against or sought to be collected from such any Indemnified Party by a third party, said such Indemnified Party shall, within ten (10) business days from the date upon which the Indemnified Party has Knowledge of such Claim, shall promptly notify the Indemnifying Party of such claim or demanddemand in a written notice that describes such claim or demand in reasonable detail, specifying including the nature sections of and specific this Agreement which form the basis for such claim or demand and the amount or the estimated amount thereof to the extent then feasible (which estimate shall not be conclusive of the final amount of such Claim or claim and demand) along with copies of all written evidence thereof (the “Claim Notice”). The Indemnified Party’s failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially prejudices the Indemnifying Party’s ability to defend against the claim or demand. The Indemnifying Party shall have 30 thirty (30) days from the giving personal delivery or mailing of the Claim Notice (the “Notice Period”) to notify the Indemnified Party: (i) Party whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, it desires to defend the Indemnified Party against such Claims claim or demand. An election to assume the defense of such claim or demand shall not be deemed to be an admission that the Indemnifying Party is liable to the Indemnified Party in respect of such claim or demand. All costs and expenses incurred by the Indemnifying Party in defending such claim or demand shall be a liability of, and shall be paid by, the Indemnifying Party; provided, however, that any Indemnified Party is hereby authorized prior to and during the Notice Period to file any motion, answer or other pleading which he amount of such expenses shall deem necessary or appropriate to protect his interests or those be a liability of the Indemnifying Party and not prejudicial hereunder subject to the Indemnifying Partylimitations set forth in this Article VII. In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that he, she or it does not dispute liability for indemnification under this Article 5 and that such person desires to defend the Indemnified Party against such claim or demand and demand, except as hereinafter provided, the Indemnifying Party shall have the right to defend the Indemnified Party by all appropriate proceedings. If any Indemnified Party desires to participate in, which proceedings shall be promptly settled but not control, any such defense or prosecuted by him to a final conclusionsettlement, it may do so at its sole cost and expense. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party except to the extent that the employment thereof has been specifically authorized by the Indemnifying Party in writing, the Indemnifying Party has failed after not settle a reasonable period of time to assume such defense and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material Conflict, the Indemnified Party agrees to cooperate with the Indemnifying Party and his, her or its counsel in contesting any Claim claim or demand which the Indemnifying Party elects to contest or, if appropriate and related to the Claim in question, in making any Counterclaim against the person asserting the third party Claim or demand, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which the Indemnifying Party has acknowledged liability for indemnification under this Article 5 may be settled without the consent of the Indemnifying Party, which consent shall not be unreasonably withheld withheld. The Indemnifying Party shall not, without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, settle, compromise or delayed. (b) In offer to settle or compromise any such claim or demand on a basis which would result in the event any imposition of a consent order, injunction or decree that would restrict the future activity or conduct of the Indemnified Party should have a Claim against or any subsidiary or Affiliate thereof. If the Indemnifying Party hereunder which does elects not involve to defend the Indemnified Party against a Claim claim or demand being asserted against for which the Indemnifying Party has an indemnification obligation hereunder, whether by not giving the Indemnified Party timely notice as provided above or sought otherwise, then the amount of any such claim or demand, or, if the same be contested by the Indemnified Party, then that portion thereof as to which such defense is unsuccessful (and the reasonable costs and expenses pertaining to such defense) shall be collected from him by a third partythe liability of the Indemnifying Party hereunder, subject to the limitations set forth in this Article VII. To the extent the Indemnifying Party shall control or participate in the defense or settlement of any third-party claim or demand, the Indemnified Party will give the Indemnifying Party and its counsel access to, during normal business hours and upon reasonable notice, the relevant business records and other documents, and shall give permit them to consult with the employees and counsel of the Indemnified Party. The Indemnified Party shall use its reasonable best efforts in the defense of all such claims. Any notice of a Claim Notice claim by reason of any of the representations, warranties or covenants contained in this Agreement shall state specifically the representation, warranty, or covenant with respect to such Claim which the claim is made, the facts giving rise to an alleged basis for the Indemnifying Party. Ifclaim, after receipt and the amount of a Claim Notice, the liability asserted against the Indemnifying Party does not notify by reason of the Indemnified Party within the Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for such Claim in the amount set forth in the Claim Noticeclaim. (c) The Indemnifying Party shall be given the opportunity to defend the respective Claim.

Appears in 1 contract

Samples: Purchase Agreement (Compass Diversified Holdings)

Method of Asserting Claims, Etc. The party items listed in Section 10.01 and Section 10.02 are sometimes collectively referred to herein as "DAMAGES"; provided, however, that such reference shall be understood to mean the respective damages from and against which the Buyer Indemnitees or Seller Indemnitees, as the case may be, are indemnified as the context requires. The person claiming indemnification hereunder, whether a Buyer Indemnitee or a Seller Indemnitee, is hereinafter sometimes referred to as the “Indemnified Party” "INDEMNIFIED PARTY" and the party against whom such claims are asserted hereunder is hereinafter sometimes referred to as the “Indemnifying Party.” "INDEMNIFYING PARTY". All Claims claims for indemnification by any an Indemnified Party under this Article 5 Section 10.01 or Section 10.02 hereof, as the case may be, shall be asserted and resolved as follows: (a) In the event that If any Claim claim or demand for which an Indemnifying Party would be liable for Damages to an Indemnified Party hereunder is overtly asserted against or sought to be collected from such Indemnified Party by a third partyparty (a "THIRD PARTY CLAIM"), said such Indemnified Party shall, within ten shall with reasonable promptness (10but in no event later than thirty (30) business days from after the date upon which Third Party Claim is so asserted or sought against the Indemnified Party has Knowledge of such Claim, Party) notify in writing the Indemnifying Party of such claim or demandThird Party Claim enclosing a copy of all papers served, if any, and specifying the nature of and specific basis for such claim or demand Third Party Claim and the amount or the estimated amount thereof to the extent then feasible (feasible, which estimate shall not be conclusive of the final amount of such Third Party Claim or demand) (the “Claim Notice”"CLAIM NOTICE"). The For this purpose the commencement of any audit or other investigation respecting Taxes shall constitute a Third Party Claim. Notwithstanding the foregoing, failure to so provide a Claim Notice as provided above shall not relieve the Indemnifying Party from its obligation to indemnify the Indemnified Party’s Party with respect to any such Third Party Claim except to the extent that a failure to so notify the Indemnifying Party in accordance with the provisions of this Agreement shall not relieve the Indemnifying Party of liability hereunder unless such failure materially reasonably sufficient time prejudices the Indemnifying Party’s 's ability to defend against the claim or demandThird Party Claim. The Indemnifying Party shall have 30 thirty (30) days from the giving delivery of the Claim Notice (the “Notice Period”"NOTICE PERIOD") to notify the Indemnified Party: Party (i) whether or not the Indemnifying Party disputes the liability of the Indemnifying Party to the Indemnified Party hereunder with respect to such Third Party Claim or demand, and (ii) whether or not the Indemnifying Party desires, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against such Claims Third Party Claim. (b) If the Indemnifying Party notifies the Indemnified Party within the Notice Period that the Indemnifying Party does not dispute its liability to the Indemnified Party and that the Indemnifying Party desires to defend the Indemnified Party with respect to the Third Party Claim pursuant to this Article, then the Indemnifying Party shall have the right to defend, at its sole cost and expense, such Third Party Claim by all appropriate proceedings, which proceedings shall be diligently prosecuted by the Indemnifying Party to a final conclusion or demandsettled at the discretion of the indemnifying Party (but only if the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of, and all obligations under, such settlement; otherwise, no such settlement shall be agreed to without the prior written consent of the Indemnified Party). If the Indemnifying Party is liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, the Indemnifying Party shall have full control of such defense and proceedings, including any compromise or settlement thereof; provided, however, that any the Indemnified Party is hereby authorized prior authorized, at the sole cost and expense of the Indemnifying Party (but only if the Indemnified Party is actually entitled to and indemnification hereunder or if the Indemnifying Party assumes the defense with respect to the Third Party Claim), to file during the Notice Period to file any motion, answer or other pleading pleadings which he the Indemnified Party shall deem necessary or appropriate to protect his its interests or those of the Indemnifying Party and not prejudicial to the Indemnifying Party (it being understood and agreed that if an Indemnified Party takes any such action which is prejudicial and conclusively causes a final adjudication which is adverse to the Indemnifying Party. In the event that , the Indemnifying Party notifies shall be relieved of its obligations hereunder with respect to such Third Party Claim); and provided further, that if requested by the Indemnifying Party, the Indemnified Party agrees, at the sole cost and expense of the Indemnifying Party, to cooperate with the Indemnifying Party and its counsel in contesting any Third Party Claim which the indemnifying Party elects to contest, or, if appropriate and related to the Third Party Claim in question, in making any counterclaim against the person asserting the Third Party Claim, or any cross-complaint against any person. The Indemnified Party may participate in, but not control (except if the Indemnifying Party is not liable hereunder to the Indemnified Party for the full amount of such Third Party Claim, in which case whichever of the Indemnifying Party or the indemnified Party is liable for the largest amount of Damages with respect to the Third Party Claim shall control), any defense or settlement of any Third Party Claim with respect to which the Indemnifying Party is participating pursuant to this Section 10.03(b), and except as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation. (c) If the Indemnifying Party fails to notify the Indemnified Party within the Notice Period that he, she or it the Indemnifying Party does not dispute its liability for indemnification under this Article 5 to the Indemnified Party and that such person the Indemnifying Party desires to defend the Indemnified Party against such claim or demand and except as hereinafter providedpursuant to this Article, then the Indemnifying Indemnified Party shall have the right to defend defend, at the sole cost and expense of the Indemnifying Party, the Third Party Claim by all appropriate proceedings, which proceedings shall be promptly settled or and vigorously prosecuted by him the Indemnified Party to a final conclusionconclusion or settled. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses full control of such counsel shall be at the expense of such Indemnified Party except to the extent defense and proceedings, including any compromise or settlement thereof; provided however, that the employment thereof has been specifically authorized if requested by the Indemnifying Party in writingIndemnified Party, the Indemnifying Party has failed after a reasonable period of time to assume such defense agrees, at the sole cost and to employ counsel or in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position expense of the Indemnifying Party and the position of such Indemnified Party (a “Material Conflict”). If requested by the Indemnifying Party and there is no Material ConflictParty, the Indemnified Party agrees to cooperate with the Indemnifying Indemnified Party and his, her or its counsel in contesting any Third Party Claim or demand which the Indemnifying Indemnified Party elects to contest is contesting, or, if appropriate and related to the Third Party Claim in question, in making any Counterclaim counterclaim against the person asserting the third party Claim or demandThird Party Claim, or any cross-complaint against any person. No Claim for which indemnity is sought hereunder and for which Notwithstanding the foregoing provisions of this Section 10.03(c), if the Indemnifying Party has acknowledged timely notified the Indemnified Party that the Indemnifying Party disputes its liability for indemnification under to the Indemnified Party and if such dispute is resolved in favor of the Indemnifying Party by final, non-appealable order of a court of competent jurisdiction, the Indemnifying Party shall not be required to bear the costs and expenses of the Indemnified Party's defense pursuant to this Article 5 may be settled without the consent Section 10.03(c) or of the Indemnifying Party's participation therein at the Indemnified Party's request and the Indemnified Party shall reimburse the Indemnifying Party in full for all costs and expenses of such litigation. The Indemnifying Party may participate in, which consent but not control, any defense or settlement controlled by the Indemnified Party pursuant to this Section 10.03(c) (other than a dispute as to the Indemnifying Party's liability to the Indemnified Party) and the Indemnifying Party shall not be unreasonably withheld or delayedbear its own costs and expenses with respect to such participation. (bd) In the event If any Indemnified Party should have a Claim claim against any Indemnifying Party hereunder which does not involve a Claim or demand being asserted against or sought to be collected from him by a third partyThird Party Claim, the Indemnified Party shall give a Claim Notice with respect to such Claim to notify the Indemnifying PartyParty of such claim by the Indemnified Party in writing, specifying the nature of and specific basis for such claim and the amount or the estimated amount of such claim (the "INDEMNITY NOTICE"). If, after receipt of a Claim Notice, If the Indemnifying Party does not notify the Indemnified Party in writing within thirty (30) days from delivery of the Indemnity Notice Period that he, she or it disputes such Claim, then the Indemnifying Party shall be deemed to have admitted liability for disputes such Claim in claim, the amount set forth in or estimated amount of such claim specified by the Claim Notice. (c) The Indemnifying Indemnified Party shall be given conclusively deemed a liability of the opportunity to defend Indemnifying Party hereunder. If the respective ClaimIndemnifying Party has timely disputed such claim, as provided above, such dispute shall be resolved by litigation in an appropriate court of competent jurisdiction or as the parties otherwise at such time agree.

Appears in 1 contract

Samples: Asset Purchase Agreement (Hornbeck Offshore Services Inc /De/)

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