Paragraph 170 IndemnityI1

England, Wales and Scotland

(1)

Subject to sub-paragraphs (2) and (3), if by reason or in consequence of the construction of any of the works referred to in paragraph 164, any damage is caused to the PD Teesport operations, or there is any interruption in any service provided, or in the supply of any goods, by PD Teesport, the undertaker must—

(a)

bear and pay the cost reasonably incurred by PD Teesport in making good such damage or restoring the supply; and

(b)

indemnify PD Teesport for any other expenses, loss (including loss of profits), damages, penalty, claims, investigations, demands, charges, actions, notices, proceedings, orders, awards, judgments, damages, other liabilities and expenses (including legal fees, expenses and fines) or costs incurred of any kind or nature whatsoever by them, by reason or in consequence of any such damage or interruption.

(2)

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 PD Teesport , its officers, employees, servants, contractors or agents.

(3)

PD Teesport 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 which, if it withholds such consent, has the sole conduct of any settlement or compromise or of any proceedings necessary to resist the claim or demand.

(4)

If the undertaker becomes responsible for a claim or demand pursuant to sub-paragraph (3) it must—

(a)

keep PD Teesport fully informed of the developments and material elements of the proceedings;

(b)

take account of the views of PD Teesport before taking any action in relation to the claim;

(c)

not bring the name of the PD Teesport on any related company into disrepute and act in an appropriate and professional manner when disputing any claim; and

(d)

not pay or settle such claims without the prior written consent of PD Teesport, such consent not to be unreasonably withheld or delayed.

(5)

PD Teesport must use its reasonable endeavours to mitigate in whole or in part and to minimise any costs, expenses, loss, demands, and penalties to which the indemnity under this paragraph 169 applies. If requested to do so by the undertaker, PD Teesport must provide an explanation of how the claim has been minimised or details to substantiate any cost or compensation claimed pursuant to sub-paragraph (1). The undertaker shall only be liable under this paragraph 169 for claims reasonably incurred by PD Teesport.

Annotations

Commencement

I1: Sch. 12 para. 170 in force at 11.3.2024, see art. 1