Bond of Indemnity Law and Legal Definition

Generally Indemnity bonds refer to an obligation in writing where one party agrees to reimburse the other for loss or injury that the party may suffer because of the occurrence of a specified event, or that one party will protect the other from harm or loss. It can also refer to an insurance policy that indemnifies a corporation, shareholder and/or transfer agent against any and all claims arising from the replacement of certificates or securities lost or stolen by the transfer agent. Under maritime and shipping laws it refers to an agreement made with a carrier that relieves them of any liability incurred under stated conditions