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Declaration Of Indemnity for Germany

Declaration Of Indemnity Template for Germany

A Declaration of Indemnity under German law (Freistellungserklärung) is a formal legal document where one party (the indemnifier) commits to protecting another party (the beneficiary) against specified losses, damages, or liabilities. Governed by the German Civil Code (BGB), this document establishes clear obligations for compensation and protection against potential risks or losses. It must comply with German legal requirements regarding form and content, including specific provisions about the scope of indemnification, duration, and conditions for enforcement. The declaration typically includes detailed provisions about trigger events, notice requirements, and any limitations on the indemnifier's obligations.

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What is a Declaration Of Indemnity?

A Declaration of Indemnity is a crucial risk management tool in German business transactions and relationships. It serves as a formal commitment where one party agrees to compensate or protect another against specified losses, damages, or liabilities. This document is commonly required in various scenarios, such as corporate restructuring, M&A transactions, construction projects, or financial arrangements. Under German law, these declarations must be carefully drafted to ensure enforceability and compliance with the German Civil Code (BGB) provisions regarding contractual obligations and liability. The document typically specifies the scope of protection, trigger events, duration, and any limitations on the indemnifier's obligations. Given its binding nature and potential financial implications, the Declaration of Indemnity often requires careful review by legal counsel and may need to be notarized depending on the circumstances.

What sections should be included in a Declaration Of Indemnity?

1. Declarant Information: Full legal name, address, and if applicable, company registration details of the party making the indemnification declaration

2. Beneficiary Information: Full legal name, address, and if applicable, company registration details of the party receiving the indemnification

3. Recitals: Background information explaining the context and circumstances leading to the indemnification

4. Definitions: Clear definitions of key terms used in the declaration

5. Scope of Indemnification: Detailed description of what losses, damages, or liabilities are covered by the indemnification

6. Trigger Events: Specific circumstances or events that activate the indemnification obligation

7. Duration: Period for which the indemnification remains valid

8. Notice Requirements: Procedures and timeframes for notifying the indemnifier of claims

9. Governing Law: Explicit statement that German law governs the declaration

10. Execution: Date and signature section for the declarant

What sections are optional to include in a Declaration Of Indemnity?

1. Limitations of Liability: Include when there are specific caps or exclusions to the indemnification obligation

2. Insurance Requirements: Include when the declarant must maintain specific insurance coverage

3. Assignment Provisions: Include when transfer rights of the indemnification need to be addressed

4. Dispute Resolution: Include when specific procedures for resolving disputes should be established

5. Currency Provisions: Include when payments might involve foreign currencies

6. Third Party Rights: Include when the indemnification affects or extends to third parties

7. Reporting Requirements: Include when the declarant must provide periodic updates or reports

8. Security Provisions: Include when additional security or guarantees are required to back the indemnification

What schedules should be included in a Declaration Of Indemnity?

1. Schedule of Covered Events: Detailed list of specific events or circumstances covered by the indemnification

2. Schedule of Excluded Events: List of specific exclusions from the indemnification coverage

3. Schedule of Insurance Policies: Details of insurance policies maintained to support the indemnification

4. Power of Attorney: If applicable, authorization documents for signing the declaration

5. Corporate Resolutions: If the declarant is a company, corporate approvals for making the declaration

Authors

Alex Denne

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

Jurisdiction

Germany

Publisher

Genie AI

Document Type

Declaration Form

Cost

Free to use
Relevant legal definitions



































Clauses

























Relevant Industries

Financial Services

Construction

Manufacturing

Real Estate

Insurance

Banking

Technology

Energy

Infrastructure

Healthcare

Professional Services

Transportation

Mining

Telecommunications

Relevant Teams

Legal

Finance

Risk Management

Compliance

Corporate Secretariat

Treasury

Project Management

Operations

Insurance

Corporate Governance

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Counsel

Legal Director

Risk Manager

Compliance Officer

Corporate Secretary

Project Manager

Contract Manager

Insurance Manager

Finance Director

Managing Director

Board Member

Senior Legal Counsel

Treasury 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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