Also known as:rights of indemnity · indemnity right
Written by attorneys · grounded in primary & secondary sources — see below
A right that permits one party to recover the full amount of a loss from another party that bears ultimate responsibility for that loss. The right arises by contract or by operation of law when the relationship between the parties requires one to bear the entire burden. When the right exists between two tortfeasors, neither may obtain contribution from the other for the same harm.
Sources & Authorities
How it applies
Common Examples
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Contractual Indemnity Bars Contribution
Rising Sun Electronics supplied safety guards to Riverstone Manufacturing under a contract requiring Rising Sun to indemnify Riverstone for any injuries caused by the guards. A worker lost a hand on a press and recovered a joint judgment against both companies. Riverstone paid the full judgment and then sued Rising Sun for contribution. Because the contract gave Riverstone a right of indemnity against Rising Sun for the same harm, the court denied the contribution claim.
Comparative Indemnity Among Tortfeasors
Rajesh Rao organized a motorcycle event and hired Ralph Richardson to provide safety services. A spectator was injured and obtained a joint judgment against both men. Rao paid the entire judgment and sought partial indemnity from Richardson based on their relative degrees of fault. The court allowed the indemnity claim to proceed because the common-law right of indemnity operates independently of the contribution statute.
Select any source to read its text and confirm it supports the definition.
Uniform Acts
Restatements
Casebooks
Study Supplements
American Motorcycle Association v. Superior Court20 Cal.3d 578, 590, 578 P.2d 899, 906, 146 Cal.Rptr. 182, 189
Government Contractor Indemnity Defense
Renee Rogers, a civilian employee, was injured by a military helicopter door manufactured by Riverfront Developments under a government contract. She sued the manufacturer, which raised a defense based on its compliance with federal specifications. The court considered whether any indemnity obligation arising from the government-contractor relationship affected liability allocation between the parties.
Boyle v. United Technologies Corp.487 U.S. 500 (1988)
Common questions
Frequently Asked
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Does the existence of a right of indemnity between two tortfeasors eliminate any right of contribution between them?+
Yes. When one tortfeasor holds a right of indemnity against another for the same harm, the law treats indemnity as displacing contribution entirely. The indemnitor must bear the whole loss as between the two parties, leaving no room for contribution to apportion the burden.
Supporting sources
How does a contractual indemnity clause affect a later contribution claim between the contracting parties?+
A contractual promise of full indemnity governs the allocation of loss between the parties and bars either from seeking contribution for the same harm. The indemnitee can enforce the indemnity obligation directly, but the contribution framework does not apply once indemnity rights exist.
…we recognize today is simply an evolutionary development of the common law equitable indemnity doctrine, the primacy of such right of indemnity is expressly recognized by the statutory provisions. In addition, the equitable nature of the comparative indemnity doctrine does not thwart, but enhances, the basic objective of the…
TortsNegligence · Problems relating to causationUBEFoundational