1. Neither the Society nor any delegate of the Society (each a ‘‘service provider’’) shall have any liability (whether direct or indirect, in contract, tort or otherwise) to any participant or any principal or beneficiary of any participant or any of their respective shareholders or any other person (each such person a ‘‘claimant’’) for or in connection with the services except for direct losses suffered by the claimant to the extent that such losses are found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted directly and primarily from the negligence or wilful misconduct of that service provider and in no event shall that service provider be liable for any claimant’s loss of profits, business or anticipated savings or for any indirect or consequential loss whatsoever.
2. Without limiting any provision of [1. above], the Society shall not be responsible for the negligence or misconduct of, or any other loss or liability arising in connection with, the action or inaction of any delegate selected by the Society with reasonable care.
3. The Society will have no liability or responsibility, except as expressly provided in [Consolidated Requirements Part 2 > General Operational Matters > Central Accounting], for the good faith or acts or omissions, creditworthiness, performance or standing of any participant or any other person whomsoever or for admitting any participant to the System, making or failing to make any default declaration in respect of a participant or taking or failing to take any action to terminate or suspend the provision of any service to any participant.
4. The Society assumes no liability or responsibility for the consequences arising out of delay or loss in transmission of any messages, letters, cheques or documents, or for delay, mutilation or other errors arising in transmission of any telecommunication or other electronic notification and will not be liable or responsible for any delays resulting from the need to obtain clarification of any instructions received.
5. Each participant agrees to indemnify and hold harmless the Society from and against any and all claims, damages, losses, liabilities, costs and expenses (including, without limitation, legal fees and disbursements) that may be incurred by or asserted or awarded against the Society, in each case arising out of or in connection with any investigation, litigation or other proceeding commenced by any person against the Society which arises out of or in connection with the provision by the Society of any of the services to that participant or as a result of any breach by that participant of its obligations to the Society, except to the extent such claim, damage, loss, liability, cost or expense has resulted directly and primarily from the Society’s negligence or wilful misconduct. All amounts payable pursuant to this sub-paragraph by any participant carrying on an underwriting business shall be treated for all purposes as an expense of that underwriting business.