Journal of Contract Law, Vol. 24, No. 2, pp. 182-195, 2008
14 Pages Posted: 2 Dec 2010
Date Written: November 30, 2010
Indemnities can significantly alter the allocation of risk and responsibility in commercial contracts. Should they be the subject of different, and more stringent, principles of construction? Despite a broader trend towards commercial construction, the High Court of Australia in Andar Transport Pty Ltd v. Brambles Ltd appeared to indicate that indemnities, like guarantees, ought to be construed strictly and, in cases of ambiguity, against the indemnifying party. This article considers the effect of Andar and subsequent cases. It also considers whether, in Australia, the Canada SS rules may be relied upon in construing indemnities.
Keywords: Contract, Indemnity, Indemnities, Construction, Canada SS rules
JEL Classification: K10, K12, K30
Suggested Citation: Suggested Citation
Courtney, Wayne, Construction of Contractual Indemnities – Out with the Old, In with the New (November 30, 2010). Journal of Contract Law, Vol. 24, No. 2, pp. 182-195, 2008; Sydney Law School Research Paper No. 10/133. Available at SSRN: https://ssrn.com/abstract=1718115