Indemnification Provision

A standard provision in every Property Settlement Agreement (PSA). This provision requires the spouse who is taking on a debt or obligation to “indemnify and hold harmless” the other spouse. In other words, if the PSA awards Wife a vehicle with a car loan on it and Wife defaults, and the creditor comes after Husband, Husband must pay, unfortunately. (The Decree is binding between the parties; it is not binding on third parties). But, under the indemnification clause, Wife is required to reimburse Husband.

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