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FORM OF INDEMNITY
AGREEMENT
THIS INDEMNITY
AGREEMENT made as of the
5 th
day of August, 2003,
SYSTEMS
XCELLENCE, INC., a
corporation
amalgamated under the laws of Canada
(hereinafter
referred to as the “Company” )
[DIRECTOR]
(hereinafter referred to as the “Director”
)
WHEREAS
the Director is a member of board of directors of the
Company;
AND
WHEREAS pursuant to By-law No. 1(a) of the Company, the
Company may indemnify the directors of the Company in the manner
set out in such by-laws;
AND
WHEREAS pursuant to a resolution of the board of directors of
the Company passed on July ___, 2003, the duly authorized officers
of the Company have been authorized to enter into an agreement with
each of the directors of the Company evidencing the agreement of
the Company to indemnify each such director upon the terms and
conditions as set out herein;
NOW THEREFORE
THIS AGREEMENT WITNESSETH that in consideration of the premises
and other good and valuable consideration (the receipt and
sufficiency of which is hereby acknowledged by each of the parties
hereto), the parties hereto hereby covenant and agree as
follows:
1. Subject to
the limitations in the Canada Business Corporations Act, the
Company hereby irrevocably undertakes to indemnify the Director,
his heirs and legal representatives against all costs, charges and
expenses including any amount paid to settle an action or satisfy a
judgment, reasonably incurred by him in respect of any civil,
criminal or administrative action or proceeding to which he is made
a party by reason of being or having been a director of the Company
(including in respect of acting as a member on one or more
committees of the board of directors) or acting or having acted at
the Company’s request as a director or officer of any other
body corporate of which the Company is or has been a shareholder or
creditor, if:
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(a)
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he
acted honestly and in good faith with a view to the best interests
of the Company; and
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(b)
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in
the case of a criminal or administrative action or proceeding that
is enforced by a monetary
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