Contract of Indemnity Case Laws

The phrase indemnity says ?security against loss?. A contract of indemnity is a part of ?contingent contract?. A form of contractual obligation made between the parties, in which one of the party (indemnifier) agrees to pay for the loss or damages suffered by the other party (indemnified) or may occur, is said to be indemnified. Indemnity is a mere motivational tool. The main objective of entering into is the such contract is the protecting the promisee against the anticipated loss. The whole contract of indemnity depends upon the contingency of the happening of the loss or damage. In contract of indemnity the primary liability falls upon the indemnifier (promisor). A contract of indemnity is one of the species of contract. The contract of indemnity or indemnity clause can often be seen in cases of agreement between the tenants and landlords, suppose, a house is given for rent to a tenant. Some electric and holding charges are not paid being the original owner (the landlord). Now, the tenant has paid the charges in good faith, here the indemnity is not applied but implied indemnity is done