# The Sunnica Energy Farm Order 2024, Paragraph 69: Indemnity

Extent: E+W

(1) Subject to sub-paragraphs (2) and (3), if by reason or in consequence of the construction of any works authorised by this Part of this Schedule or in consequence of the construction, use maintenance or failure of any of the authorised development by or on behalf of the undertaker or in consequence of any act or default of the undertaker (or any person employed or authorised by him) in the course of carrying out such works, including without limitation works carried out by the undertaker under this Part of this Schedule or any subsidence resulting from any of these works, 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 the authorised development) or property of NGET or NGT, or there is any interruption in any service provided, or in the supply of any goods or energy, by NGET or NGT, or NGET or NGT become liable to pay any amount to any third party, the undertaker will—
(a) bear and pay on demand accompanied by an invoice or claim from NGET or NGT the cost reasonably and properly incurred by NGET or NGT (as appropriate) in making good such damage or restoring the supply; and
(b) indemnify NGET and NGT for any other expenses, loss, demands, proceedings, damages, claims, penalty or costs incurred by or recovered from it, by reason or in consequence of any such damage or interruption or NGET or NGT (as appropriate) becoming liable to any third party including STC Claims or an Incentive Deduction other than arising from any default of either NGET or NGT (as appropriate).
(2) The fact that any act or thing may have been done by NGET or NGT (as appropriate) on behalf of the undertaker or in accordance with a plan approved by NGET or NGT (as appropriate) or in accordance with any requirement of NGET or NGT (as appropriate) or under its supervision will not (unless sub-paragraph (3) applies), excuse the undertaker from liability under the provisions of this sub-paragraph (1) unless NGET or NGT (as appropriate) fails to carry out and execute the works properly with due care and attention and in a skilful and workman like manner or in a manner that does not accord with the approved plan.
(3) Nothing in sub-paragraph (1) imposes any liability on the undertaker in respect of—
(a) any damage or interruption to the extent that it is attributable to the neglect or default of NGET or NGT, its officers, servants, contractors or agents;
(b) any authorised development or any other works authorised by this Part of this Schedule carried out by NGET or NGT as an assignee, transferee or lessee of the undertaker with the benefit of the Order pursuant to section 156 of the Planning Act 2008 or article 32 (consent to transfer the benefit of the Order) subject to the proviso that once such works become apparatus (“new apparatus”), any authorised development yet to be executed and not falling within this sub-section (b) will be subject to the full terms of this Part of this Schedule including this paragraph; or
(c) any indirect or consequential loss of any third party (including but not limited to loss of use, revenue, profit, contract, production, increased cost of working or business interruption) arising from any such damage or interruption, which is not reasonably foreseeable.
(4) NGET or NGT (as appropriate) must give the undertaker reasonable notice of any such third party claim or demand and no settlement, admission of liability or compromise must, unless payment is required in connection with a statutory compensation scheme, be made without first consulting the undertaker and considering their representations.
(5) NGET or NGT (as appropriate) must, in respect of any matter covered by the indemnity given by the undertaker in this paragraph, at all times act reasonably and in the same manner as it would as if settling third party claims on their own behalf from their own funds.
(6) NGET must use its reasonable endeavours to mitigate and to minimise any costs, expenses, loss, demands and penalties to which the indemnity under this paragraph applies where it is within NGET’s reasonable ability and control to do so and which expressly excludes any obligation to mitigate liability arising from third parties which is outside of NGET’s control and if reasonably requested to do so by the undertaker NGET must provide an explanation of how the claim has been minimised, where relevant.
(7) NGT must use its reasonable endeavours to mitigate and to minimise any costs, expenses, loss, demands, and penalties to which the indemnity under this paragraph applies where it is within NGT’s reasonable ability and control to do so and which expressly excludes any obligation to mitigate liability arising from third parties which is outside of NGT’s control and if reasonably requested to do so by the undertaker NGT must provide an explanation of how the claim has been minimised, where relevant.

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Source: https://www.legislation.gov.uk/uksi/2024/802/schedule/12/paragraph/69 (the official version)
Page: https://openlegislation.uk/sunnica-energy-farm-order-2024/schedule-12/paragraph-69
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

