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7 <br /> <br /> <br />7. Indemnification. <br />(a) By Chmura. Chmura shall indemnify, defend and hold harmless Client and its <br />Affiliates and their respective officers, directors, employees, and agents (the “Client <br />Indemnitees”) from and against any loss, damages, expenses, and costs (including reasonable <br />attorney’s fees and court costs) (collectively, “Losses”) suffered or incurred by the Client <br />Indemnitees arising out of any threatened or actual claim, action or proceeding (“Claim”) that the <br />Products or Client Indemnitees’ use thereof infringes a patent or copyright, or misappropriates a <br />trade secret or otherwise violates the rights of a third party. The foregoing obligation does not <br />apply to the extent that the alleged infringement or misappropriation arises from: (i) Client <br />Systems or Client’s data or materials; (ii) third-party materials; (iii) access to or use of the <br />Products in combination with any hardware, system, software, network, or other materials or <br />service not provided by Chmura or specified for Client’s use in the Documentation; (iv) <br />modification of the Products other than by or on behalf of Chmura; (v) failure to timely <br />implement any modification, upgrades, replacements, or enhancements made available to Client <br />by or on behalf of Chmura; or (vi) any allegation of facts that, if true, would constitute Client’s <br />breach of this Agreement. Client shall promptly notify Chmura in writing of any Claim for which <br />Client believes it is entitled to be indemnified pursuant to this Section 7(a). Chmura shall control <br />the defense of any such Claim and, at its discretion, may enter into a stipulation of <br />discontinuance and settlement thereof; provided that Chmura shall not enter any settlement that <br />requires anything other than the payment of money without Client’s prior written approval. <br />Client shall cooperate, at Chmura’s expense, with Chmura in any such defense and shall make <br />available to Chmura all those persons, documents and things required by Chmura in the defense <br />of any such Claim. Client may, at its expense, also assist in such defense with counsel of its own <br />choosing. <br />(b) Mitigation. If Chmura is required to indemnify the Client Indemnitees pursuant <br />to Section 7(a) above, Chmura shall, at its option, either procure for Client the right to continue <br />using the respective Product(s) or modify the respective Product(s) to permit Client to exercise <br />its rights hereunder. If the foregoing options are not available, Chmura may terminate this <br />Agreement and in such event shall refund to Client the pro rata portion of the annual Fees for the <br />respective Product(s) for the remainder of the then-current term. <br />(c) Sole Remedy. SECTIONS 7(A) AND 7(B) SET FORTH CLIENT’S SOLE <br />REMEDIES AND CHMURA’S SOLE LIABILITY AND OBLIGATION FOR ANY ACTUAL, <br />THREATENED, OR ALLEGED CLAIMS THAT THE PRODUCTS OR ANY SUBJECT <br />MATTER OF THIS AGREEMENT INFRINGES, MISAPPROPRIATES, OR OTHERWISE <br />VIOLATES ANY INTELLECTUAL PROPERTY RIGHTS OF ANY THIRD PARTY. <br />(d) By Client. Client shall indemnify, defend and hold harmless Chmura and its <br />officers, directors, employees, and agents against any and all Claims and Losses suffered or <br />incurred by Chmura to the extent that they arise out of Client’s or an End User’s use of the <br />Products in a manner that violates the terms of this Agreement. Chmura shall control the defense <br />of any such Claim and, at its discretion, may enter into a stipulation of discontinuance and <br />settlement thereof; provided that Chmura shall not enter any settlement that requires anything <br />other than the payment of money without Client’s prior written approval. Client shall cooperate, <br />at Client’s expense, with Chmura in any such defense and shall make available to Chmura all <br />those persons, documents and things required by Chmura in the defense of any such Claim. <br />Client may, at its expense, also assist in such defense with counsel of its own choosing. <br />Docusign Envelope ID: 6BBB847F-36E0-4A96-957F-CE3D731DB17B