The Client Indemnity Form is a critical risk management instrument used in Canadian business relationships to establish clear obligations for protection against potential losses, damages, or liabilities. This document is typically employed when one party needs to protect itself from risks associated with engaging another party's services or entering into a business relationship. The form must comply with both federal Canadian law and relevant provincial legislation, particularly regarding contractual obligations and liability limitations. It includes detailed provisions on the scope of indemnification, claim procedures, notice requirements, and duration of protection. The Client Indemnity Form is essential in various business contexts, from professional services to construction projects, and can be customized to address specific industry requirements and risk profiles while maintaining its enforceability under Canadian law.
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1. Parties: Identifies and provides full legal details of the indemnifier and indemnitee
2. Background: Explains the context and purpose of the indemnity agreement
3. Definitions: Defines key terms used throughout the agreement for clarity and legal certainty
4. Scope of Indemnity: Clearly outlines what losses, damages, or liabilities are covered by the indemnity
5. Indemnification Obligations: Details the specific obligations of the indemnifying party
6. Conditions and Limitations: Specifies any conditions that must be met for the indemnity to apply and any limitations on the indemnity
7. Notice Requirements: Outlines how and when claims must be notified to the indemnifying party
8. Duration: Specifies how long the indemnity remains in effect
9. Governing Law: Specifies that Canadian law governs the agreement and identifies applicable province
10. Execution: Signature blocks and execution requirements
1. Insurance Requirements: Required when the indemnifying party must maintain specific insurance coverage
2. Third Party Claims: Added when the agreement needs to address how third party claims will be handled
3. Exclusions: Used when specific risks or circumstances need to be explicitly excluded from the indemnity
4. Security: Include when additional security (such as a parent company guarantee) is required
5. Dispute Resolution: Added when specific dispute resolution procedures are required
6. Force Majeure: Include when certain events should excuse performance of indemnity obligations
7. Assignment: Required when transfer rights need to be addressed specifically
1. Schedule A - Scope of Services: Detailed description of services or activities covered by the indemnity
2. Schedule B - Specific Risks: Itemized list of specific risks or circumstances covered by the indemnity
3. Schedule C - Insurance Requirements: Detailed insurance requirements including types of coverage and minimum amounts
4. Appendix 1 - Notice Details: Contact information and procedures for serving notices
5. Appendix 2 - Claim Procedures: Detailed procedures for making and processing indemnity claims
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