According to the syllabus of B.com 1st year

1. SPECIAL CONTRACTS
Course Co-Ordinator
Ms. Neetu Kushwaha

3. CONTRACT OF INDEMNITY
A contract by which one party promises to
save the other from loss caused by him by
the conduct of the promisor himself or by the
conduct of any other person is called a
contract of indemnity.

4. CONT……
• To indemnify means to compensate
or make good the loss. A Contract of
Indemnity refers to a promise made
by one person to make good any loss
or damage another has incurred or
may incur by acting at his request or
for his benefit.

5. Parties to the Contract of Indemnity
• The person who undertakes or agrees to compensate
the loss is called the Indemnifier, and the person
whose loss is to be made good is called the
Indemnity holder or Indemnified.

6. Essentials of Contracts of Indemnity
• Essentials of a Valid Contract.
• There must be loss either by the promisor’s
conduct or by any other person’s conduct.
• Contract may be expressed or implied.
• It is a Contingent Contract by nature.

7. CONT…………..
• A Contract of fire insurance or marine
insurance is always a contract
of indemnity.

8. Rights of Indemnity Holder (Sec. 125)

9. RIGHTS OF INDEMNIFIER