(A) Grantee shall, at its sole cost and expense, fully indemnify, defend and hold harmless the town, its officers, boards and commissions, and town employees against any and all claims, suits, actions, liability and judgments for damages (including but not limited to costs and expenses for reasonable legal fees and disbursements and liabilities assumed by the town in connection therewith):
(1) To persons or property, in any way arising out of or through the acts or omissions of grantee, its servants, agents or employees, or to which grantee’s negligence shall in any way contribute unless caused solely by negligence or other fault of the town, its agents, servants or employees, or any other person indemnified hereunder;
(2) Arising out of any claim for invasion of the right of privacy, for defamation of any person, firm or corporation, or the violation or infringement of any copyright, trademark, trade name, service mark or patent, or of any other right of any person, firm or corporation (excluding claims arising out of or relating to town programming); and
(3) Arising out of grantee’s failure to comply with the provisions of any federal, state or local statute, ordinances or regulation applicable to grantee in its business hereunder.
(B) The foregoing indemnity is conditioned upon the following: the town shall give grantee reasonable notice of the making of any claim or the commencement of any action, suit or other proceeding covered by the provisions of this section. Nothing herein shall be deemed to prevent the town from cooperating with grantee and participating in the defense of any litigation by its own counsel at its sole cost and expense. No recovery by the town of any sum by reason of the liquidated damages required by this chapter shall be subject to litigation by the company, except that any sum so received by the town shall be deducted from any recovery which the town might have against the company under the terms of this section.