Community and business leaders in Fairbanks are very worried about the potential loss of the Flint Hills Resources refinery that operates at North Pole, east of the Interior city. Flint Hills has said that it will close the refinery this summer due to a variety of problems but has also been working on a possible sale. A sale to another owner has been complicated, however, by contamination that was discovered on the property and the financial liabilities that have been created.
It’s a story many Alaskan businesses are familiar with. The large, multinational company pushes a service contract onto the small, Alaskan owned and operated company with the simple undertone of: “Hey, you want to do business with us, sign the bottom line.” However, buried in these contracts is always an “Indemnity Clause.”