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foreign an Indemnity is an agreement by one party the indemnifying party to bear the cost of certain losses or liabilities incurred by another party the indemnified party in certain circumstances indemnities are used together with warranties and exclusion Clauses to apportion commercial risk an Indemnity will typically give rise to a right to an on-demand payment without the need to prove a bdocHub of contract in particular indemnitys apportion specific liabilities between the parties and are used in a variety of circumstances for example in relation to claims by Third parties for defective goods or services where liability May rest with the supplier of those goods or services
