Common use of Extra-Contractual Liability Clause in Contracts

Extra-Contractual Liability. In no event shall the Reinsurer have any liability for any punitive, exemplary, extra-contractual or similar damages, fines or penalties which are assessed against the Company as a result of acts, omissions or course of conduct committed by the Company. The parties recognize that circumstances may arise in which the Reinsurer's conduct will require the Reinsurer to share proportionately in punitive and compensatory damages awarded, to the extent permitted by law. The parties agree that for this to occur, the Reinsurer must have expressly agreed to, or otherwise expressly ratified, in writing the conduct that gives rise to the extracontractual liability.