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Legal Indemnity Form

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LEGAL INDEMNITY AGREEMENT

This Legal Indemnity Agreement (the Agreement) is made and entered into as of by and between Indemnitor: with principal address , and Indemnitee: with principal address .

RECITALS

WHEREAS, Indemnitor has agreed to perform certain obligations, provide services, or to transfer certain property to Indemnitee as described in this Agreement; and

WHEREAS, Indemnitee requires contractual assurances and protections against loss, liability, expense and claims arising out of the matters described herein; and

WHEREAS, the parties desire to set forth the terms under which Indemnitor will indemnify, defend and hold Indemnitee harmless from certain claims, losses and costs.

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

1. DEFINITIONS

1.1 "Claim" means any demand, action, suit, arbitration, proceeding, inquiry or investigation asserted or made by a third party that seeks damages, losses, fines, penalties, liabilities, costs or expenses (including reasonable attorneys' fees and court costs).

1.2 "Losses" means any and all losses, damages, liabilities, deficiencies, costs and expenses (including reasonable attorneys' fees, expert fees, investigation costs and court costs) incurred by an Indemnitee arising out of or resulting from a Claim.

1.3 "Indemnified Parties" means Indemnitee and its officers, directors, employees, agents, affiliates and assigns.

2. INDEMNITY OBLIGATION

2.1 Subject to the terms and conditions of this Agreement, Indemnitor shall indemnify, defend and hold harmless the Indemnified Parties from and against any and all Losses that arise out of or relate to: (a) Indemnitor's negligent acts or omissions; (b) Indemnitor's breach of any representation, warranty or covenant in this Agreement; and (c) any Claim resulting from Indemnitor's performance of its obligations hereunder.

2.2 Indemnitor's duty to indemnify shall include payment of all judgments, settlement amounts, damages, interest, penalties, and reasonable costs of investigation and defense.

3. DEFENSE AND SETTLEMENT

3.1 Indemnitee shall provide prompt written notice to Indemnitor of any Claim for which indemnification is sought. Failure to provide timely notice shall not relieve Indemnitor of its obligations except to the extent that Indemnitor is materially prejudiced by such failure.

3.2 If Indemnitor elects to assume the defense of a Claim, Indemnitor shall, at its own expense, retain counsel reasonably acceptable to Indemnitee and shall diligently prosecute the defense. Indemnitee may participate in the defense with counsel of its own choosing at its own expense. Indemnitor shall not settle any Claim in a manner that imposes any obligation or admission of liability on Indemnitee without Indemnitee's prior written consent, which consent shall not be unreasonably withheld or delayed.

4. EXCLUSIONS

4.1 Notwithstanding any provision to the contrary, Indemnitor shall have no indemnification obligation for Losses to the extent such Losses result from the gross negligence, willful misconduct or fraud of the Indemnified Parties, as finally determined by a court of competent jurisdiction.

5. LIMITATION OF LIABILITY

5.1 Except as set forth in Sections 2 and 3 (and except for liability arising from fraud or willful misconduct), neither party shall be liable to the other for special, consequential, exemplary, punitive or incidental damages, even if such party has been advised of the possibility of such damages.

5.2 The aggregate liability of Indemnitor under this Agreement shall not exceed unless otherwise agreed in writing.

6. NOTICE AND CLAIM PROCEDURE

6.1 Written notice of a Claim must be delivered to the party from whom indemnity is sought as set forth above. Notice must be given as soon as reasonably practicable and, in any event, within days of the date the Indemnitee becomes aware of a Claim.

7. DURATION; SURVIVAL

7.1 This indemnity obligation shall survive termination or expiration of this Agreement and shall continue in full force and effect for a period of years following the termination or expiration of this Agreement, except with respect to Claims arising from fraud or intentional misconduct which shall survive as provided by law.

8. INSURANCE

8.1 Indemnitor shall maintain insurance coverage reasonably sufficient to cover its obligations under this Agreement, including commercial general liability and professional liability insurance with minimum limits of per occurrence, or such greater amounts as may be reasonably required by Indemnitee.

9. REMEDIES; MITIGATION

9.1 The remedies provided in this Agreement are cumulative and are in addition to any other rights or remedies available at law or in equity. Each party shall use commercially reasonable efforts to mitigate any Losses for which indemnity may be sought.

10. ASSIGNMENT

10.1 Neither party may assign its rights or delegate its obligations under this Agreement without the prior written consent of the other party, except that either party may assign this Agreement in connection with a merger, sale of substantially all of its assets, or a transfer to an affiliate.

11. GOVERNING LAW; JURISDICTION

11.1 This Agreement shall be governed by and construed in accordance with the laws of the State of , without regard to its conflicts of law principles. The parties submit to the exclusive jurisdiction of the state and federal courts located in that state for purposes of any dispute arising out of this Agreement.

12. ENTIRE AGREEMENT; SEVERABILITY

12.1 This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements and understandings, whether written or oral.

12.2 If any provision of this Agreement is held to be invalid, illegal or unenforceable, the remaining provisions shall continue in full force and effect to the fullest extent permitted by law.

13. AMENDMENT; WAIVER; COUNTERPARTS

13.1 This Agreement may be amended or modified only by a written instrument signed by authorized representatives of both parties. No failure or delay in exercising any right shall operate as a waiver of that right.

13.2 This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument. Signatures delivered by electronic means shall be binding.

14. ADDITIONAL REPRESENTATIONS

14.1 Each party represents and warrants that: (a) it has the full corporate or individual power and authority to enter into this Agreement and to perform its obligations hereunder; and (b) the execution, delivery and performance of this Agreement have been duly authorized by all necessary action.

PARTY INFORMATION

Individual    Corporation    Limited Liability Company    Partnership    Other

Individual    Corporation    Limited Liability Company    Partnership    Other

SIGNATURES

Indemnitor

Print Name:

By:

Date:

Title/Capacity:

Indemnitee

Print Name:

By:

Date:

Title/Capacity:

Enter text✕

What a Legal Indemnity Form Is and when it’s used

A Legal Indemnity Form is a contract in which one party (the indemnitor) agrees to hold another party (the indemnitee) harmless from specified claims, losses, or liabilities. These forms are used across real estate, commercial contracting, mergers, and professional services to allocate risk and describe procedures for notice, defense, settlement, and limitation of liability. The form typically spells out covered claims, carve-outs, monetary caps, and the process for making and defending claims, and it becomes enforceable once executed by authorized signatories.

Why a clear indemnity form matters

A professionally drafted Legal Indemnity Form reduces ambiguity about who bears losses, limits exposure, clarifies insurance obligations, and defines claim-handling procedures.

Why a clear indemnity form matters

Who commonly prepares and signs Legal Indemnity Forms

Different roles encounter indemnity forms: contract managers, real estate closers, in-house counsel, lenders, contractors, and insured parties.

  • Contract managers and procurement teams who allocate vendor risk and verify insurance coverage.
  • Real estate attorneys and title agents handling transactional indemnities tied to property transfers.
  • Lenders, insurers, and corporate counsel who require contractual protection before funding or issuing coverage.

Knowing the typical users helps assign responsibility for drafting, approval, signature, and long-term retention.

Step-by-step completion process

Follow a simple sequence to prepare, review, execute, and store an enforceable Legal Indemnity Form.

  • 01
    Prepare: Identify parties, scope, and consideration.
  • 02
    Review: Have counsel confirm obligations and caps.
  • 03
    Execute: Obtain authorized signatures and dates.
  • 04
    Store: Retain original and PDF with audit trail.

Where to send and how the signed form is routed

Decide routing before execution so every stakeholder receives a copy and responsibilities are clear.

  • Primary Recipient: Send executed copy to the indemnitee's legal or risk team.
  • Insurer: Provide insurer copies if policy triggers or notice provisions require it.
  • Lender / Escrow: Deliver to lender or escrow agent if indemnity secures financing or closing.
  • File / Records: Store final PDF in contract management and backup systems.

Configuring an online signing workflow

Set up your electronic workflow to reflect signatory order, authentication, and document attachments for a clean audit trail.

Field Configuration
Signer Order Sequential or parallel routing
Authentication Email link, SMS code, or stronger
Attachments Add insurance certificates or exhibits
Reminders Set automatic reminders and expirations

Technical considerations for digital completion

Ensure the chosen platform can produce tamper-evident PDFs, maintain an audit trail, and support any required notarization or witness steps.

  • Integrations: Salesforce, NetSuite, Google Workspace
  • File formats: PDF, DOCX, Excel supported
  • Authentication: Email link, SMS, KBA options

Essential sections a professional Legal Indemnity Form contains

A complete indemnity form clearly identifies parties, defines covered losses, sets limits, and describes procedures for notice, defense, and settlement.

Parties

Full legal names and capacities for all indemnitors and indemnitees, including any parent companies or affiliates if the protection extends to them.

Recitals

Short background statements explaining the transaction context and why indemnity is being provided, anchoring obligations to a specific commercial relationship.

Indemnity Clause

Clear, specific language describing covered claims, triggering events, and the indemnitor's obligation to defend, indemnify, and hold harmless.

Exclusions & Limits

Specify damages excluded, monetary caps, and carve-outs such as willful misconduct, consequential damages, or punitive damages.

Notice & Defense

Procedures and timeframes for notice, defense control, settlement consent, and cooperation among parties when a claim arises.

Execution

Signature block with names, titles, dates, and any required notarization, witness lines, or electronic execution statements.

Key information elements and platform security checks

Full Entity Names: Exact legal names
Effective Date: MM/DD/YYYY format
Monetary Caps: Numerical limits stated
Signature Audit: Timestamp and IP recorded
Encryption: TLS 1.2/1.3 in transit
At-Rest Security: AES-256 encryption

Legal and commercial risks from errors

Unenforceable Language: Overbroad or vague clauses
Wrong Party: Incorrect entity names
Missing Signatures: Unsigned or undated form
Improper Notarization: Required notarization omitted
Undefined Notice: No claim notice procedure
Insurance Gaps: No required certificate proof

Common preparation mistakes to avoid

  • Failing to precisely identify the party capacity (e.g., signing as 'owner' rather than 'Manager of X, LLC') which can void enforcement.
  • Using vague indemnity scope language like 'all claims' without clear exclusions or monetary limitations creates litigation risk.
  • Neglecting to require insurer notice and certificates, leaving indemnitee without recovery sources for covered losses.
  • Skipping an explicit defense-control clause so both parties dispute who hires and pays defense counsel.

eSignature vendor comparison for executing Legal Indemnity Forms

Compare typical feature and pricing differences across common eSignature providers. signNow appears first per table conventions.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial Yes, 7-day trial No No No No
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently asked questions about Legal Indemnity Forms and e-signing

Answers to common questions about validity, execution, notarization, revisions, and storage when using electronic workflows.


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