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Standard Indemnity Agreement Template for Canada

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Key Requirements PROMPT example:

Standard Indemnity Agreement

"I need a Standard Indemnity Agreement for my Canadian technology company that will be providing cloud storage services to a large financial institution, with specific focus on data protection and cybersecurity risks, to be effective from March 1, 2025."

Document background
The Standard Indemnity Agreement is a crucial legal instrument used in Canadian business transactions to allocate risk and establish protection mechanisms between parties. This document is typically employed when one party wishes to protect another against specific losses, liabilities, or damages that may arise from defined circumstances or business activities. The agreement must comply with both federal Canadian law and provincial regulations, including specific considerations for Quebec's civil law system where applicable. It includes detailed provisions for claim procedures, notice requirements, and enforcement mechanisms, making it essential for various commercial relationships such as corporate transactions, service agreements, or construction projects. The Standard Indemnity Agreement's structure allows for customization while maintaining core protections and compliance with Canadian legal requirements for indemnification provisions.
Suggested Sections

1. Parties: Identification of the Indemnitor and Indemnitee with full legal names and addresses

2. Background: Context of the agreement and relationship between the parties

3. Definitions: Key terms used throughout the agreement including 'Indemnified Parties', 'Losses', and 'Claims'

4. Scope of Indemnification: Detailed description of what losses, damages, and claims are covered by the indemnity

5. Indemnification Procedure: Process for making claims, notice requirements, and handling of third-party claims

6. Duration of Indemnity: Term of the indemnification obligations and any survival provisions

7. Limitations and Exclusions: Specific exclusions, caps, or limitations on the indemnity obligations

8. Notice Requirements: Procedures and timeframes for providing notice of claims

9. Cooperation: Obligations of parties to cooperate in defense of claims

10. General Provisions: Standard contract clauses including governing law, assignment, and amendments

Optional Sections

1. Insurance Requirements: Requirements for maintaining specific insurance coverage - include when parties want to ensure financial backing for indemnity obligations

2. Security: Requirements for letters of credit or other security - include when additional financial assurance is needed

3. Third Party Rights: Rights of third parties to claim under the indemnity - include when there are affiliated entities to be protected

4. Set-off Rights: Rights to set off indemnity payments against other obligations - include in complex commercial relationships

5. Dispute Resolution: Specific procedures for resolving disputes - include when parties want alternative dispute resolution mechanisms

6. Subrogation: Rights of subrogation and related procedures - include when insurance recovery is likely

7. Multiple Indemnitors: Provisions governing joint and several liability - include when there are multiple indemnifying parties

Suggested Schedules

1. Schedule A - Defined Terms: Detailed definitions of key terms used in the agreement

2. Schedule B - Indemnified Parties: List of additional parties covered by the indemnity beyond the primary Indemnitee

3. Schedule C - Specific Risks: Detailed description of specific risks or circumstances covered by the indemnity

4. Schedule D - Insurance Requirements: Detailed insurance requirements including types, amounts, and specific coverages

5. Appendix 1 - Notice Information: Detailed contact information and procedures for providing notices

6. Appendix 2 - Claim Form: Standard form for making indemnity claims under the agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































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Relevant Industries

Construction

Manufacturing

Professional Services

Financial Services

Technology

Healthcare

Energy

Real Estate

Transportation

Insurance

Retail

Mining

Infrastructure

Telecommunications

Relevant Teams

Legal

Risk Management

Finance

Compliance

Operations

Corporate Affairs

Commercial

Procurement

Insurance

Business Development

Executive Leadership

Relevant Roles

Legal Counsel

Risk Manager

Chief Financial Officer

Contract Manager

Compliance Officer

Project Manager

Corporate Secretary

Business Development Director

Operations Manager

Insurance Manager

Chief Executive Officer

Commercial Director

Finance Director

Procurement Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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