Paragraph 86 IndemnityI1
England and Wales
Subject to sub-paragraphs (2) and (3), if by reason or in consequence of the construction, maintenance or failure of any of the works referred to in paragraph 84(2) (retained property), any damage is caused to any apparatus or alternative apparatus (other than apparatus the repair of which is not reasonably necessary in view of its intended removal for the purposes of those works), or there is any interruption in the service provided by such apparatus or alternative apparatus, the undertaker must—
bear and pay the cost reasonably and properly incurred by TWUL in making good such damage or restoring the service; and
indemnify TWUL against all reasonable claims, penalties, demands, proceedings, costs, damages and expenses which are made or taken against or recovered from, or reasonably and properly incurred by, TWUL, by reason or in direct consequence of any such damage or interruption.
The fact that any act or thing may have been done by TWUL on behalf of the undertaker or in accordance with a plan approved by TWUL or in accordance with any requirement of TWUL or under its supervision does not, subject to sub-paragraph (3), excuse the undertaker from liability under the provisions of sub-paragraph (1) unless TWUL fails to carry out and execute the works properly with due care and attention and in a skilful and professional like manner or in a manner that does not accord with the approved plan.
Nothing in sub-paragraph (1) imposes any liability on the undertaker with respect to any damage or interruption to the extent that it is attributable to the act, neglect or default of TWUL, its officers, servants, contractors or agents.
TWUL must give the undertaker reasonable notice of any such claim or demand and no settlement or compromise is to be made without the consent of the undertaker who, if withholding such consent, has the sole conduct of any settlement or compromise or of any proceedings necessary to resist the claim or demand.
The undertaker must not commence any works of removal or diversion of TWUL’s apparatus carried out in accordance with paragraph 82 (removal of apparatus) or any works under paragraph 84 (retained property) unless and until TWUL is satisfied that the undertaker has first provided the bond and TWUL has confirmed the same to the undertaker in writing.
The undertaker must maintain such bond for the construction period of such works from the proposed date of commencement of construction of those works.
The total amount payable by the undertaker pursuant to this paragraph and paragraph 87 of this Part of this Schedule shall not exceed £20 million per event (and such cap will rise in line with the Consumer Prices Index rate of inflation).
Annotations
Commencement
- I1
Sch. 9 para. 86 in force at 12.10.2025, see art. 1