Common use of Other Tax Contests Clause in Contracts

Other Tax Contests. KAR shall have the sole responsibility and right to control the prosecution of any Tax Contest not covered under Section 6.2 or Section 6.3, including the exclusive right to communicate with agents of the applicable Taxing Authority and to control, resolve, settle, or agree to any deficiency, claim, or adjustment proposed, asserted, or assessed in connection with or as a result of such Tax Contest; provided, however, that to the extent that such Tax Contest relates to Taxes for which Spinco has an indemnification obligation pursuant to this Agreement, KAR shall (a) defend such Tax Contest diligently and in good faith, (b) keep Spinco informed in a timely manner of all actions proposed to be taken by KAR with respect to such Tax Contest (or, to the extent practicable, the portion of such Tax Contest that relates to Taxes for which Spinco is responsible pursuant to this Agreement) and (c) not settle any such Tax Contest without the prior written consent of Spinco, which shall not be unreasonably withheld, conditioned or delayed, to the extent such settlement relates to a material indemnification obligation of Spinco pursuant to this Agreement.

Appears in 4 contracts

Samples: Tax Matters Agreement (IAA, Inc.), Tax Matters Agreement (KAR Auction Services, Inc.), Tax Matters Agreement (IAA Spinco Inc.)

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