Template:Indemnity description: Difference between revisions

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 Now we have already established that you want to reallocate this risk away from the party who would naturally bear it. That person will ask itself, as should you, could my agreeing to this indemnity, in the immortal words of Cardozo J in [https://en.wikipedia.org/wiki/Ultramares_Corp._v._Touche ''Ultramares Corporation v. Touche'']  open the floodgates leading to "liability in an indeterminate amount for an indeterminate time to an indeterminate class"?
-Actually a little side bar here: The more open-ended the wording of your indemnity, the more prone the courts are to analogise its extent back to ordinary contractual principals of remoteness of damage - see ''[http://www.olswang.com/articles/2015/03/ocq-mar-2015-indemnities/ Total Transport Corporation v Arcadia Petroleum Ltd (The Eurus)]'' Good note that from Olswang, by the way.
+Actually a little side bar here: The more open-ended the wording of your indemnity, the more prone the courts are to restrict its extent along the lines of ordinary contractual principals of remoteness of damage - see ''[http://www.olswang.com/articles/2015/03/ocq-mar-2015-indemnities/ Total Transport Corporation v Arcadia Petroleum Ltd (The Eurus)]'' Good note that from Olswang, by the way. There, the Court of Appeal held that an obligation to pay "any time, costs, delays or loss" ''caused by a party's breach'' only covered losses flowing directly from the breach or that were in the contemplation of the parties when they made the contract.''
-{{box|''The Court of Appeal, interpreting the contract as a whole, held that the obligation to pay "any time, costs, delays or loss" caused by a party's breach only covered losses flowing directly from the breach or that were in the contemplation of the parties when they made the contract.''}}
 ===Indemnities and Guarantees===