Editorial
Indemnity
Definition
An undertaking to make good a loss suffered by another. Unlike damages for breach, an indemnity is a primary obligation: the sum is payable on the event occurring, without proof of breach and generally without a duty to mitigate.
In plain English: A promise to cover someone's losses if a particular thing happens.
A general definition, not tied to any jurisdiction. Check the meaning in the system that governs your matter before relying on it.
Usage
Because an indemnity avoids the usual limits on damages, its scope is construed carefully. Drafting it as broadly as possible is not always in the client's interest.