Letter of Indemnity

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Letter of Indemnity

A clause in a contract stating that payments must be made regardless of what happens. Specifically, a letter of indemnity mandates that if one party is unable to complete the contract, that party will pay reparation to the other. See also: Indemnity insurance, Hell or high water contract.
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In addition to current margining practices at NYMEX, delivery margining will be conducted through Letters of Credit (LCs) and Letters of Indemnity (LOIs) posted to the clearinghouse via each clearing member.
Breach of contract (defendants allegedly did not do the payoff paperwork as they had promised and been paid to do, but instead issued letters of indemnity to protect one another);
Jim Maher, executive director of the American Land Title Association, tagged mortgage lenders for not being more forthcoming with reconveyances and said tha without the use of letters of indemnity, "real estate would essentially come to a screeching halt.
Maritime Letters of Indemnity is the only comprehensive book that addresses the law and practice applicable to maritime letters of indemnity.
an introduction to the history of indemnity contracts and letters of indemnity
an in depth analysis of the shipping and international trade contexts where letters of indemnity are used
detailed legal analysis of the enforceability of maritime letters of indemnity
thorough analysis of the rights and liabilities for sellers, buyers, banks and ship owners which arise from the use of letters of indemnity