Consortium Agreement of the Specific Targeted Research Project

CAST Consortium Agreement [26-06-2006]V.1.3.1Common FundBy decision of the General Assembly in accordance with Sections III.3.2.4(a), the Parties can establish a Common Fund in order to secureindemnification according to Section V.2 hereof in the event of application ofArticle II.18 of the EU Contract by the Commission. In this decision, theGeneral Assembly shall:• determine the amounts or percentage to be withheld by the Co-ordinatorfrom advance payments by the Commission (pursuant to the EUContract);• determine the modalities for use of the Common Fund;• detail the rules for management of the fund;• detail the conditions and/or time for the release of the reserves in wholeor in part.Any interest accrued by the Common Fund shall be divided among all non-Defaulting Parties according to their share in the Common Fund, where suchshare is calculated without the share of any Defaulting Party.The Common Fund, if not dissolved sooner pursuant to a General Assemblydecision, shall be dissolved on termination or expiry of the EU Contract anddistributed between the Parties as agreed by the Parties.V.1.4Indemnification by the Defaulting PartyIn any case where the Commission claims reimbursement in accordance withArticle II.18 of the EU Contract from a Party other than the Defaulting Party(hereinafter "Compensating Party"), the Compensating Party shall be entitledto seek full indemnification by the Defaulting Party.V.2 Indemnification in the event of claims between theParties, without Commission claimsEach Party shall indemnify each of the other Parties in respect of the acts oromissions of itself and of its employees, agents and Subcontractors providedalways that such indemnity shall not extend to claims for indirect orconsequential loss or damages such as but not limited to loss of profit,revenue, contract or the like and provided that the total limit of liability ofthat Party to all of the other Parties collectively in respect of any and all suchclaims shall not exceed twice that Party's Project Share. Any excess shall beapportioned between all the Parties pro rata to their Project Shares.V.3 Force MajeureNotwithstanding any provisions on Force Majeure provided for in Article II.4of the EU Contract, a failure in the performance of this ConsortiumAgreement cannot be imputed or assumed to a Party to the extent it is due to“Force Majeure”.- Page 22 of 28 -