GENERAL INDEMNITY BOND
This Indemnity Bond (this "Bond") is made at __________ on __________.
BY
__________, __________, resident of __________, holding __________, executing this Bond within __________ (the "Indemnifier", which expression includes the Indemnifier's legal heirs, executors, administrators and legal representatives),
IN FAVOUR OF
__________ of __________ (the "Obligee", which expression includes its successors and permitted assigns).
RECITALS
A. __________
B. The Obligee has agreed to act as recorded in Recital A only against an indemnity in the terms of this Bond, and the Indemnifier has agreed to give it.
NOW THIS BOND WITNESSES as follows.
- THE INDEMNITY
1.1 The Indemnifier shall keep the Obligee fully indemnified and harmless, up to __________, against every loss, damage, claim, demand, liability, cost and expense, including reasonable legal costs, that the Obligee suffers or incurs arising out of or in connection with: __________
1.2 The indemnity in clause 1.1 is in addition to, and does not replace, any other right or remedy the Obligee has by law.
- DURATION
2.1 This Bond continues __________
- HOW A CLAIM IS MADE
3.1 The Obligee shall give the Indemnifier written notice of a claim, or of a demand or proceeding that may lead to one, as soon as reasonably practicable, with such particulars as the Obligee then has; a delay in giving notice does not by itself release the Indemnifier, except to the extent the delay actually prejudices the Indemnifier.
3.2 The Indemnifier shall pay the amount due under this Bond within fifteen days of a written demand from the Obligee, accompanied by a statement of how the amount is calculated.
3.3 The Obligee need not first exhaust any other remedy, or first suffer actual loss out of pocket, before making a demand under this Bond; it is enough that the Obligee's liability has been ascertained.
3.4 Any amount not paid within the fifteen days in clause 3.2 carries simple interest at 12% a year from the date of the demand until payment.
- REPRESENTATIONS
4.1 The Indemnifier confirms that this Bond is executed voluntarily, with a full understanding of its contents and effect, and not under any coercion, undue influence or misrepresentation.
4.2 The Indemnifier confirms having the full right, power and authority to execute this Bond and to undertake the obligations in it.
- GENERAL
5.1 This Bond does not create any charge, mortgage, lien or other interest in any immovable property; it is a personal obligation of the Indemnifier.
5.2 This Bond binds the Indemnifier's legal heirs, executors, administrators and legal representatives, and enures for the benefit of the Obligee's successors and permitted assigns.
5.3 This Bond is irrevocable and may not be cancelled or withdrawn by the Indemnifier unilaterally; it may be discharged only by the Obligee in writing, or by full performance of the matter recited in Recital A such that the Obligee's liability or risk has finally ceased.
5.4 If any provision of this Bond is held invalid or unenforceable, the rest continues in effect.
5.5 No change to this Bond is valid unless in writing and signed by the Indemnifier and the Obligee.
- STAMPING, DISPUTES AND GOVERNING LAW
6.1 The stamp duty on this Bond has been paid by the Indemnifier. If this Bond is later found to be insufficiently stamped, the Indemnifier shall pay the deficient duty and any penalty, and shall not take the point that this Bond is inadmissible for want of proper stamping.
6.2 Any dispute arising out of or in connection with this Bond is subject to the exclusive jurisdiction of the courts at __________.
6.3 This Bond is governed by the laws of India.
IN WITNESS WHEREOF the Indemnifier have executed this Bond at __________ on __________, and the Obligee has accepted it.
SIGNED AND DELIVERED by the INDEMNIFIER
__________
Signature: ______________________________
ACCEPTED BY THE OBLIGEE
__________
Signature: ______________________________
WITNESSES
- __________
__________
Signature: ______________________________
- __________
__________
Signature: ______________________________