5 ms·
I wonder how enforceable that indemnity is. It seems to me that Kraft wouldn't be able to protect their big pockets by passing off liability to a company with r
by stellar678 12y ago
I wonder how enforceable that indemnity is. It seems to me that Kraft wouldn't be able to protect their big pockets by passing off liability to a company with relatively little in the way of assets.
- pionar 12y agoIt's probably in a contract they have with the design company. I would think it's very common, kind of like a software vendor indmnifying purchasers of their software against patent lawsuits.
- otterley 12y agoIndemnification clauses have been enforceable in contract law for a very long time. (And contract law never takes one's assets into account when determining whether a clause is enforceable, unless the agreement is deemed unconscionable or contrary to public policy, which to my knowledge an indemnification clause never has been.) The clause in the contract doesn't mean that Kraft is immune to suit. But it does give Kraft the ability to file a cross-claim against the design firm if it is sued so that damages can be assigned to the design firm if necessary. See Fed. R. Civ. Proc. 13(g).