The Indemnity Agreement (Construction) is a crucial risk management tool in Irish construction projects, used to protect parties against potential losses, damages, and third-party claims arising from construction activities. This document is typically required when there are significant risks to be allocated between parties in construction projects, such as potential property damage, personal injury, or professional liability claims. It ensures compliance with Irish legislation, including the Construction Contracts Act 2013, Safety, Health and Welfare at Work Act 2005, and relevant building regulations. The agreement should be customized based on project size, complexity, and specific risk factors, while maintaining alignment with Irish construction industry practices and legal requirements.
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1. Parties: Identification of all parties to the agreement, including the indemnitor and indemnitee
2. Background: Context of the agreement, relationship to the main construction contract, and purpose of the indemnity
3. Definitions: Definitions of key terms used throughout the agreement, including 'Indemnified Parties', 'Claims', 'Losses', etc.
4. Scope of Indemnity: Detailed description of what risks, losses, and damages are covered by the indemnity
5. Indemnification Obligations: Specific obligations of the indemnitor, including defense obligations and payment terms
6. Exclusions: Clear statement of what is not covered by the indemnity
7. Claims Procedure: Process for making and handling indemnity claims, including notice requirements and time limits
8. Insurance Requirements: Mandatory insurance coverage to be maintained in support of the indemnity obligations
9. Duration and Survival: Term of the agreement and which provisions survive termination
10. General Provisions: Standard contractual provisions including governing law, notices, and amendment procedures
1. Step-In Rights: Optional provisions allowing the indemnitee to take over defense of claims, used in larger construction projects
2. Cross-Indemnification: Mutual indemnification provisions, used when both parties have significant risks to cover
3. Security: Requirements for bonds or other security to support the indemnity, used for high-value obligations
4. Subcontractor Provisions: Specific provisions relating to subcontractor indemnities, used in complex projects with multiple tiers
5. Environmental Indemnity: Specific provisions for environmental risks, used in projects with significant environmental exposure
6. Professional Liability: Specific provisions for design and professional services liability, used when design services are included
1. Schedule 1 - Defined Terms: Comprehensive list of defined terms and their meanings
2. Schedule 2 - Insurance Requirements: Detailed specification of required insurance policies, coverage limits, and terms
3. Schedule 3 - Form of Claim Notice: Template for submitting indemnity claims
4. Schedule 4 - Excluded Claims: Detailed list of specifically excluded claims or circumstances
5. Appendix A - Related Agreements: List of related construction contracts and agreements referenced in the indemnity
6. Appendix B - Authorized Representatives: List of parties' authorized representatives for claim notifications and proceedings
Authors
Relevant legal definitions
Clauses
Relevant Industries
Commercial Construction
Residential Construction
Infrastructure Development
Industrial Construction
Healthcare Construction
Educational Facilities
Retail Development
Mixed-Use Development
Public Works
Energy and Utilities
Transportation Infrastructure
Sustainable Building
Relevant Teams
Legal
Construction
Risk Management
Operations
Commercial
Procurement
Health and Safety
Insurance
Compliance
Contract Administration
Relevant Roles
Construction Director
Project Manager
Contract Manager
Legal Counsel
Risk Manager
Insurance Manager
Construction Manager
Site Supervisor
Quantity Surveyor
Commercial Director
Operations Director
Health and Safety Manager
Procurement Manager
Claims Manager
Company Secretary
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