INDEMNIFICATION AGREEMENT
(Third Party Cheques)
Version December 2005
To: Bank of Montreal
(referred to as “you” and “your”)
(Insert full corporate name of Accountholder)
Date:
, 20
This Indemnification Agreement is entered into between you and Bank of Montreal (referred to as “we”, “us” and
“our”).
In consideration of the mutual promises herein, you agree as follows:
1.
You hereby request and authorize us to accept
for deposit to the account(s) you have with us listed in
Schedule A. (the “Accounts”), cheques and other items
(collectively “Instruments”) made payable to the third
parties listed in Schedule B.
2.
You represent and warrant to us that you have
the proper authority from such payees to have the
Instruments endorsed and deposited.
3.
You will obtain or provide, upon our request, any
endorsements requested by any person, including the
drawee or drawer of such Instruments on a timely basis
and agree to provide us with any further documentation
we reasonably request in respect of the Accounts, on a
timely basis. Without limiting the foregoing, you will
endorse every Instrument on your own behalf prior to
deposit with us.
4.
You will indemnify us against, and we may debit
any of your accounts with us including, but not limited to,
the Accounts listed in the attached Schedule A for, any
and all charges, costs (including, all legal costs and
expenses on a solicitor and client basis incurred in
connection with any such liabilities), damages, demands,
expenses, liabilities and losses whatsoever which we may
incur as a result of acting and operating the Accounts in
accordance with this Indemnification Agreement, including
accepting for deposit Instruments payable to parties other
than you, whether or not endorsed, any claims in
conversion and any claims relating to forged or fraudulent
Instruments.
5.
You authorize us to charge back any of your
accounts with us including, but not limited to, the
Accounts listed in the attached Schedule A, for the full
amount of any Instruments returned to us through the
clearing system or otherwise. In the event that there are
insufficient funds in the Accounts or any of your other
account(s) to cover the above-mentioned amounts, you
will pay the amount of any deficiency upon our request.
6.
All agreements in place between you and us
respecting the operations of accounts continue to apply
to the Accounts.
7.
This Indemnification Agreement:
 may not be amended or cancelled except by our
written consent;
 is binding on your successors and assigns;
 is governed by and construed in accordance with the
laws of Ontario and the laws of Canada applicable
therein.
This boxed text is applicable only if your head office
is in Quebec. The parties have requested that this
agreement and all documents contemplated by this
agreement be drawn up in English. Les parties aux
présentes ont exigé que cette entente et tous autres
documents envisagés par les présentes soient rédigés en
anglais.
This Indemnification Agreement has been signed by your authorized representatives as of the date set out above.
CUSTOMER
CUSTOMER
Signature:
Signature:
Name:
Name:
Title:
Title:
INDEMNIFICATION AGREEMENT
(Third Party Cheques)
SCHEDULE A
ACCOUNTS
Name of Account
Transit Number
SCHEDULE B
DESIGNATED PAYEES
Account Number