An Indemnification clause may be contained in a standard commercial Lease. It might appear as follows:
“Section X – Third-Party Indemnity
In consideration of the Landlord entering into this Lease Agreement with the Tenant, the undersigned (the “Indemnifier”) agrees to indemnify and save harmless the Landlord from and against any and all losses, liabilities, damages, costs (including legal fees on a full indemnity basis), and expenses whatsoever arising directly or indirectly from:
(a) any act or omission of the Tenant, including any default, failure to perform, or non-observance of any covenant, obligation, or term of the Lease;
(b) any failure by the Tenant to pay rent or any other sums due under the Lease as and when due;
(c) any damage to the Premises or the building in which the Premises are located, caused by the Tenant or by any person for whom the Tenant is responsible at law;
(d) any claim made against the Landlord by any third party in connection with the Tenant’s occupation, conduct, or use of the Premises; and
(e) any lack of performance by the Tenant of any obligation imposed under the Lease or applicable law.
This indemnity shall be primary and unconditional, and the Landlord shall not be required to first proceed against the Tenant or exhaust any remedies before proceeding against the Indemnifier.
This indemnity shall survive the termination or expiration of the Lease, and shall be binding upon the Indemnifier and their respective heirs, executors, administrators, successors, and assigns.”
Indemnifier Signature: _________________________
Name (Print): _________________________
Date: _________________________
Address: _________________________
CAUTION: Always consult with a lawyer currently practicing in the Province before using any type of clause in an agreement.
Brian Madigan LL.B., Broker