What is indemnity and what is the test for indemnity?

Newfoundland and Labrador, Canada


The following excerpt is from Ryan v. Dew Enterprises Limited, 2014 NLCA 11 (CanLII):

Referring to indemnity, Lamonte J.A. mentioned the case of Wynne v. Tempest, [1897] 1 Ch. 110, and said that a right to indemnity is a right to be saved from loss. In the great majority of cases the right arises from a contract, express or implied, but it may be statutory or it may arise out of a relationship existing between the parties which make[s] it equitable that one should save the other from loss.

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