Document:

exv10w13

Form 2

Exhibit 10.13

INDEMNIFICATION AGREEMENT

     THIS INDEMNIFICATION AGREEMENT made and entered into as of this                      day of                     
2008 (the “Agreement”), by and between FEDERAL HOME LOAN BANK OF DALLAS, a federally chartered
corporation (“Bank”), and                      (the “Officer”).

RECITALS:

     WHEREAS, the Board of Directors of the Bank (the “Board”) believes that it is reasonable,
prudent, and necessary for the Bank contractually to obligate itself to indemnify the Officer to
the fullest extent permitted by applicable law in order to induce the Officer to serve or continue
to serve the Bank, including the Officer’s service as an officer, director, trustee, or other
official of organizations with which the Bank may have a contractual or other relationship, free
from undue concern that the Officer will not be so indemnified; and

     WHEREAS, Article VIII of the Bank’s Bylaws provides that the Bank will indemnify officers and
directors of the Bank in connection with their service as officers, directors, and trustees of
organizations on which they serve as officers, directors, or trustees on behalf of or for the
benefit of the Bank; and

     WHEREAS, the Officer is willing to serve, continue to serve, and take on additional service
for, or on behalf of, the Bank on the condition that the Officer be so indemnified as more fully
set forth herein:

     NOW, THEREFORE, in consideration of the promises and the covenants in this Agreement, and
intending to be legally bound, the Bank and the Officer do hereby covenant and agree as follows;

     SECTION 1. Definitions. For purposes of this Agreement:

          (a) “Agent” shall mean any person who (i) is or was a director, officer, employee or agent of
the Bank; or (ii) is or was serving at the request of, for the convenience of, or to represent the
interest of the Bank (including, without limitation, the Financial Institutions Retirement Fund,
the Financing Corporation, the Resolution Funding Corporation, the Office of Finance, Pentegra
Defined Benefit Plan for Financial Institutions (“Pentegra”), the Council of Federal Home Loan
Banks and any Federal Home Loan Bank System committee, including but not limited to the Bank
Presidents’ Conference, and their successors) as a director, officer, partner, employee, member,
manager, trustee or agent of another corporation, partnership, limited liability company, joint
venture, trust, agency, instrumentality or other enterprise (including service with respect to an
employee benefit plan).

          (b) “Business Day” shall mean any day that the Bank is open for business.

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          (c) “Disinterested Director” shall mean a director of the Bank who is not and was not a party
to the Proceeding in respect of which indemnification or advancement of Expenses is being sought by
the Officer or any similar Proceeding then pending.

          (d) “Expenses” shall be broadly construed and shall include all direct and indirect costs
(including, without limitation, attorneys’ fees and retainers, court costs, transcription costs,
fees of experts, witness fees, travel expenses, food and lodging expenses while traveling,
duplicating costs, printing and binding costs, telephone charges, postage, delivery service, and
freight or other transportation fees and expenses) actually and reasonably incurred, in connection
with the investigation of, defense of, settlement of, appeal of, or being or preparing to be a
witness in (including being deposed or preparing to be deposed) a Proceeding or the establishment
or enforcement of a right to indemnification under this Agreement, applicable law or otherwise;
provided, however, that “Expenses” shall not include any judgments, fines, or amounts paid in
settlement to the extent any amounts paid in respect of any thereof are prohibited to be
indemnified against by applicable law.

          (e) “Independent Counsel” shall mean a law firm or a member of a law firm that neither is
presently nor in the past three years has been retained to represent (i) the Bank or the Officer in
any matter material to either party or (ii) any other party to the Proceeding giving rise to a
claim for indemnification under this Agreement. Notwithstanding the foregoing, the term
“Independent Counsel” shall not include any person who, under the applicable standards of
professional conduct then prevailing, would have a conflict of interest in representing either the
Bank or the Officer in an action to determine the Officer’s right to indemnification under this
Agreement.

          (f) “Liabilities” shall mean liabilities of any type whatsoever, including, but not limited
to, judgments, assessments, fines, taxes and penalties (including those payable pursuant to the
Employee Retirement Income Security Act), and amounts paid in settlement (including, but not
limited to, all interest, assessments, fines, or other charges paid or payable in connection with
any of the foregoing).

          (g) “Proceeding” shall mean any threatened, pending or completed action, hearing, claim, suit,
arbitration, alternate dispute resolution mechanism, investigation, administrative hearing, or any
other proceeding, whether civil, criminal, arbitrative, administrative or investigative (including,
without limitation, any action, suit, or proceeding by or in the right of the Bank to procure a
judgment in its favor) and whether formal or informal, arising by reason of the fact that the
Officer is or was an Agent or by reason of anything done or not done by the Officer in the
Officer’s capacity as an Agent.

     SECTION 2. Service as an Officer. The Officer agrees to serve as an officer of the
Bank so long as the Officer is duly appointed and qualified in accordance with the applicable
provisions of the charter and bylaws of the Bank and the Federal Home Loan Bank Act and the
rules and regulations promulgated thereunder and until such time as the Officer resigns or is
removed from the Officer’s position or is disqualified to continue in the Officer’s position

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(subject to any other contractual obligation or other obligation imposed by operation of law). The
Bank shall have no obligation under this Agreement to continue the Officer in any position.

     SECTION 3. Indemnification. The Bank shall, to the fullest extent permitted by
applicable law and regulations, indemnify the Officer whenever the Officer is or becomes a party,
whether as a plaintiff acting with the approval of the Board, or as a defendant, or is threatened
to be made a party to or is involved (including, without limitation, as a witness) in any
Proceeding, including without limitation any Proceeding brought by or in the right of the Bank,
against all Liabilities, loss, and Expenses actually and reasonably incurred or suffered by the
Officer in connection with any Proceeding if, as determined in accordance with Section 5, the
Officer acted in good faith and in a manner the Officer reasonably believed to be in or not opposed
to the best interests of the Bank, and, with respect to any Proceeding, had no reasonable cause to
believe the Officer’s conduct was unlawful, except such Liabilities and Expenses as a court of
competent jurisdiction holds in a final, non-appealable judgment may not be indemnified against or
are incurred because of (a) the Officer’s breach of the Officer’s duty of loyalty to the Bank or
its stockholders, (b) any act or omission by the Officer which involves willful misconduct or
knowing violation of the criminal law, or (c) any transaction from which the Officer derived any
improper personal benefit. No initial finding by the Board or its counsel, Independent Counsel,
arbitrators, or the stockholders of the Bank shall be effective to deprive the Officer of the
protection of this indemnity, nor shall a court to which the Officer may apply for enforcement of
this indemnity give any weight to any such adverse finding in deciding any issue before it, as it
is intended that the Officer shall be paid promptly by the Bank all amounts necessary to effectuate
the foregoing indemnity in full. The rights of indemnification of the Officer provided under this
Agreement shall include, without limitation, those rights set forth in Sections 4, 7, and 8 below.

     SECTION 4. Advancement of Expenses. All reasonable Expenses incurred by or on behalf
of the Officer in defending a Proceeding, whether prior to or after final disposition of a
Proceeding (including without limitation any Proceeding brought by or in the right of the Bank),
shall be advanced by the Bank to the Officer within 10 Business Days after the receipt by the
Secretary of the Bank of (a) a written affirmation by the Officer of the Officer’s good faith
belief that the Officer acted in good faith and in a manner the Officer reasonably believed to be
in or not opposed to the best interests of the Bank, and, with respect to any Proceeding, had no
reasonable cause to believe the Officer’s conduct was unlawful and (b) a written undertaking by or
on behalf of the Officer to repay all amounts paid or reimbursed only if it shall ultimately be
determined that the Officer is not entitled to be indemnified by the Bank. The Officer’s
entitlement to advancement of Expenses shall include Expenses incurred in connection with any
Proceeding that seeks a determination, adjudication, or award in arbitration pursuant to this
Agreement. The Officer shall not be required to repay any amounts paid or reimbursed by the Bank
until a final, non-appealable determination has been made that the Officer is not entitled to be
indemnified by the Bank. The requests under this Section 4 shall reasonably evidence the Expenses
incurred by the Officer in connection therewith. The undertaking required by clause (b) of this
Section 4 (i) shall be an unlimited general obligation of such person, (ii) need not be secured,
and (iii) shall be accepted without reference to financial ability of the Officer to make
repayment. Notwithstanding any other provision in this Agreement, to the extent that the
Officer has been successful on the merits or otherwise in defense of any Proceeding, the Officer
shall be

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indemnified against, and entitled to reimbursement of, all Expenses actually and
reasonably incurred by the Officer in connection therewith.

     SECTION 5. Procedure for Determination of Entitlement to Indemnification.

          (a) Whenever the Officer believes that the Officer is entitled to indemnification pursuant to
this Agreement, the Officer shall submit a written request for indemnification to the Secretary of
the Bank. The request shall include all documentation or information necessary for the
determination of entitlement to indemnification that is reasonably available to the Officer.
Determination of the Officer’s entitlement to indemnification shall be made by the Board or
Independent Counsel not later than 30 Business Days after the date on which a written request from
the Officer was received by the Secretary of the Bank. The Secretary of the Bank shall, promptly
upon receipt of the Officer’s request for indemnification, advise the Board in writing that the
Officer has made such a request for indemnification.

          (b) The determination that indemnification of the Officer is proper in the circumstances shall
be made (i) by the Board by a majority vote of a quorum of the Disinterested Directors or (ii) if
such a quorum is not obtainable, or, even if obtainable, a quorum of Disinterested Directors so
directs, by Independent Counsel selected by the Board, which Independent Counsel shall make the
required determination in a written opinion, a copy of which shall be furnished to the Bank, the
Officer, and each member of the Board.

     The Bank agrees to bear all Expenses actually and reasonably incurred by the Officer and all
Expenses actually incurred by the Bank in connection with the Officer’s successfully establishing
the Officer’s right to indemnification or advancement of Expenses, in whole or in part.

     SECTION 6. Presumption and Effect of Certain Proceedings. Upon making a request for
indemnification, the Officer shall be presumed to be entitled to indemnification under this
Agreement and advancement of Expenses in connection with any Proceeding, and the Bank shall have
the burden of proof to overcome that presumption in reaching any contrary determination. No
initial finding by the Board or by Independent Counsel shall be effective to deprive the Officer of
the protection of this indemnity nor shall a court or other forum to which the Officer may apply
for enforcement of this indemnity give any weight to any such adverse finding in deciding any issue
before it. If the person or persons empowered to make the determination shall have failed to make
the requested determination within 30 Business Days after the date on which a written request from
the Officer was received by the Secretary of the Bank, the required determination of entitlement to
indemnification shall be deemed to have been made and the Officer shall be absolutely entitled to
indemnification and advancement of Expenses in connection with any Proceeding under this Agreement,
absent (i) misrepresentation by the Officer of a material fact in the request for indemnification
or advancement of Expenses in connection with any Proceeding or (ii) a specific finding that all or
any part of such indemnification or advancement of Expenses in connection with any Proceeding is
expressly
prohibited by law or this Agreement. The termination of any Proceeding by judgment, order,
settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself,
create a presumption that (i) the person did not act in good faith and in a manner which the

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person
reasonably believed to be in or not opposed to the best interests of the Bank or (ii) with respect
to any Proceeding, had reasonable cause to believe that the person’s conduct was unlawful.

     SECTION 7. Remedies of the Officer in Cases of Determination Not To Indemnify or To
Advance Expenses.

          (a) In the event that (i) the Bank denies the Officer’s written claim for indemnification,
(ii) the Bank has not paid in full within 10 Business Days after the requirements for the
advancement of Expenses set forth in this Agreement have been satisfied, (iii) the Bank has not
paid an indemnification claim in full within 10 Business Days after the Board or court determines
that indemnification of the Officer is proper, or (iv) the Officer otherwise seeks enforcement of
this Agreement, the Officer may at any time thereafter apply to any court of competent jurisdiction
for an order directing the Bank to provide indemnification or to make an advancement of Expenses.

          (b) If an initial determination is made or deemed to have been made pursuant to the terms of
this Agreement that the Officer is entitled to indemnification or advancement of Expenses or both,
the Bank shall be bound by such determination in the absence of (i) a misrepresentation of a
material fact by the Officer or (ii) a specific finding (by a court of competent jurisdiction that
has become final) that all or any part of such indemnification is expressly prohibited by law.

          (c) The Bank shall be precluded from asserting that the procedures and presumptions of this
Agreement are not valid, binding, and enforceable. The Bank shall stipulate in any court or before
any arbitrator that the Bank is bound by all the provisions of this Agreement.

          (d) All Expenses actually and reasonably incurred by the Officer in connection with the
Officer’s request for indemnification under, seeking enforcement of, or recovery of damages for
breach of this Agreement shall be borne and advanced by the Bank.

     SECTION 8. Other Rights to Indemnification. The Officer’s rights of indemnification
and advancement of Expenses provided by this Agreement shall not be deemed exclusive of any other
rights to which the Officer may now or in the future be entitled under applicable law, the charter
or bylaws of the Bank, agreement, vote of directors or members, insurance or other financial
arrangements of the Bank with respect to the matters that are the subject of this Agreement, or
otherwise.

     SECTION 9. Limitations on Indemnity. The Bank shall not be liable under this
Agreement to make any payment to the Officer to the extent that the Officer has already been
reimbursed pursuant to such liability insurance as the Bank may maintain for the Officer’s
benefit. Notwithstanding the availability of such insurance, the Officer also may claim
indemnification from the Bank pursuant to this Agreement by assigning to the Bank any claims under
such insurance to the extent the Officer is paid by the Bank. The Officer shall reimburse the Bank
for any sums the Officer receives as indemnification from other sources to the extent of

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any amount
paid to the Officer for that purpose by the Bank. In addition to the foregoing limitation, except
as otherwise expressly provided in this Agreement, in connection with all or any part of a
Proceeding that is initiated or maintained by, against, or on behalf of the Officer, or any
Proceeding by the Officer against the Bank or any of its Agents, the Bank shall not be liable under
this Agreement to make any payment to the Officer in connection with any such Proceeding, unless
such payment is expressly required to be made under applicable law, was authorized by a majority of
the Disinterested Directors or is provided by the Bank, in its sole discretion, pursuant to the
powers vested in the Bank under applicable law.

     SECTION 10. Duration and Scope of Agreement; Binding Effect. This Agreement shall
continue so long as the Officer shall be subject to any possible Proceeding by reason of the fact
that the Officer is or was an Agent and shall be applicable to Proceedings commenced or continued
after execution of the Agreement, except that the Agreement may be terminated or withdrawn by the
Bank upon 90 days’ prior written notice to the Officer, but then only as to Proceedings arising out
of acts taken or failed to be taken more than 90 days after such notice is actually received by the
Officer. If this Agreement is terminated or withdrawn, the Officer shall nevertheless be fully
entitled to the indemnification provided by this Agreement as to all actions taken or failed to be
taken prior to the expiration of such 90 days. This Agreement shall be binding upon the Bank and
its successors and assigns and shall inure to the benefit of the Officer and the Officer’s spouse,
assigns, heirs, devisees, executors, administrators, and other legal representatives whether or not
the Officer has ceased to be an officer of the Bank. The Bank shall require and cause any
successor (whether direct or indirect by purchase, merger, consolidation or otherwise) to all or
substantially all of the Bank’s business or assets expressly to assume and agree to perform this
Agreement in the same manner and to the same extent that the Bank would be required to perform if
no such succession had taken place.

     SECTION 11. Severability. If any provision of this Agreement (or any portion
thereof) shall be held to be invalid, illegal or unenforceable for any reason whatsoever: (a) the
validity, legality, and enforceability of the remaining provisions of this Agreement shall not in
any way be affected or impaired thereby; and (b) to the fullest extent possible, the provisions of
this Agreement shall be construed so as to give effect to the intent manifested by the provision
held invalid, illegal, or unenforceable.

     SECTION 12. Identical Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall for all purposes be deemed to be an original but all of which
together shall constitute one and the same Agreement. Only one such counterpart signed by the
party against which enforceability is sought need be produced to evidence the existence of this
Agreement.

     SECTION 13. Interpretation of Agreement. It is understood that the parties hereto
intend this Agreement to be interpreted and enforced so as to provide indemnification to the
Officer to the fullest extent now or hereafter permitted by law.

     SECTION 14. Headings. The headings of the sections and paragraphs of this Agreement
are inserted for convenience only and shall not be deemed to constitute part of this Agreement or
to affect its construction.

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     SECTION 15. Modification and Waiver. No supplement, modification, or amendment of
this Agreement shall be binding unless executed in writing by both of the parties to this
Agreement. No waiver of any provision of this Agreement shall be deemed to constitute a waiver of
any other provision hereof (whether or not similar), nor shall such waiver constitute a continuing
waiver.

     SECTION 16. Notice and Defense of Claims. The Officer agrees to notify the Bank
promptly in writing upon being notified of any matter that may be subject to indemnification or
advancement of Expenses hereunder or upon being served with any summons, citation, subpoena,
complaint, indictment, information, or other document relating to any matter which may be subject
to indemnification or advancement of Expenses hereunder, whether civil, criminal, administrative,
or investigative; but the omission to notify the Bank will not relieve the Bank from any obligation
it may have to indemnify the Officer if such omission does not prejudice the Bank’s rights, and, if
such omission does prejudice the Bank’s rights, it will relieve the Bank from any obligation to
indemnify the Officer only to the extent of such prejudice; nor will such omission relieve the Bank
from any obligation it may have to the Officer other than under this Agreement. With respect to
any Proceeding about which the Officer notifies the Bank:

          (a) The Bank will be entitled to participate in the Proceeding at its own expense.

          (b) Except as otherwise provided below, the Bank jointly with any other indemnifying party
similarly notified will be entitled to assume the defense of any or all of the Proceeding, with
counsel reasonably satisfactory to the Officer. After notice from the Bank to the Officer of its
election to assume the defense of any or all of the Proceeding, the Bank will not be liable to the
Officer under this Agreement for any Expenses subsequently incurred by the Officer in connection
with the defense of the Proceeding other than reasonable costs of investigation or as otherwise
provided in clauses (i), (ii), and (iii) below.

          (i) The Officer shall have the right to employ the Officer’s own counsel in any
Proceeding, but the fees and expenses of such counsel incurred after notice from the Bank of
its assumption of the defense in such Proceeding shall be at the expense of the Officer
unless (A) the employment of counsel by the Officer has been authorized by the Bank, (B) the
Officer shall have reasonably concluded that (1) there is a conflict of interest between the
Bank and the Officer in the conduct of the defense of the Proceeding, (2) there is a
conflict of interest between the Officer and the other officers being represented by a law
firm as set forth in clause (ii) below, or (3) counsel is not adequately
representing the Officer, or (C) the Bank shall not in fact have employed counsel to
assume the defense in such Proceeding, in each of which cases the fees and expenses of the
Officer’s counsel shall be at the expense of the Bank. The Bank shall not be entitled to
assume the defense of any Proceeding as to which the Officer shall have reasonably made the
conclusion provided for in clauses (B)(1) and (B)(2) of the immediately preceding sentence.

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          (ii) If (A) the Officer together with a majority of all officers of the Bank that are a
party to the Proceeding or any similar Proceeding in respect of which indemnification or
advancement of Expenses is being sought by any of such officers are able to agree on the
selection of a law firm or a member of a law firm, the Bank will pay the fees and expenses
of such law firm or (B) the Officer is the only officer of the Bank that is a party to a
Proceeding in respect of which indemnification or advancement of Expenses is being sought by
an officer of the Bank, the Officer may select a law firm or a member of a law firm and the
Bank will pay the fees and expenses of such law firm; provided, however, the Officer agrees
that to the extent that the Officer is added as a party to a Proceeding to which another
officer of the Bank has already selected a law firm or a member of a law firm, the Officer
may choose to be represented by such law firm as well and the Bank will pay the fees and
expenses of such law firm but if the Officer chooses to be represented by other counsel the
fees and expenses of such other counsel shall be at the expense of the Officer.

          (iii) If the Bank or the Bank’s counsel shall determine that separate counsel should be
retained by the Officer, the Officer will retain such separate counsel, and the Officer
agrees that the Bank’s counsel may continue to represent the Bank in all matters.

          (c) The Bank shall not be liable to indemnify the Officer under this Agreement for any amounts
paid in settlement of any action or claim effected without the Bank’s written consent. The Bank
shall not settle any action or claim in any manner that would impose any penalty or limitation on
the Officer without the Officer’s prior written consent. Neither the Bank nor the Officer will
unreasonably withhold consent to any proposed settlement.

     SECTION 17. Contribution. In order to provide for just and equitable contribution in
circumstances in which the indemnification provided for in this Agreement is held by a court of
competent jurisdiction to be unavailable to the Officer in whole or part, the Bank shall, in such
an event, after taking into account, among other things, contributions by other directors and
officers of the Bank pursuant to indemnification agreements or otherwise, and, in the absence of
personal enrichment, acts of intentional fraud or dishonesty, or criminal conduct on the part of
the Officer, contribute to the payment of the Officer’s Expenses and Liabilities to the extent
that, after other contributions are taken into account, such Expenses and Liabilities exceed 5% of
the aggregate cash compensation paid to the Officer for serving as an officer of the Bank during
the 12 months preceding the commencement of the Proceeding.

     SECTION 18. Notices. All notices, requests, demands and other communications
hereunder shall be in writing and shall be deemed to have been duly given if (i) delivered by hand
and receipted for by the party to whom the notice or other communication shall have been directed
or (ii) mailed by certified or registered mail with postage prepaid, on the third business day
after the date on which it is mailed:

     (a) If to the Officer, to:

                                                                    
            

                                                                    
            

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     (b)   If to the Bank, to:

Federal Home Loan Bank of Dallas

8500 Freeport Parkway South, Suite 600

Irving, Texas 75063

Attention: Secretary

With a copy to (which shall not constitute notice):

Federal Home Loan Bank of Dallas

8500 Freeport Parkway South, Suite 600

Irving, Texas 75063

Attention: General Counsel

or to such other address as may have been furnished to either party by the other pursuant to this
Section 18.

     SECTION 19. Subrogation. The Bank shall be subrogated to the rights of the Officer
against third parties in respect of which (and to the extent) payments of Expenses are made by the
Bank hereunder for the benefit of the Officer.

     SECTION 20. Governing Law. The parties agree that this Agreement shall be governed
by, and construed and enforced in accordance with, the laws of the United States and, to the extent
state law may be applicable, the laws of the State of Texas.

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.

	 	 	 	 	 	 	 
	BANK:

	 	 	 	OFFICER:	 	 
	 
	 	 	 	 	 	 
	FEDERAL HOME LOAN BANK OF

DALLAS	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	By:

	 	 	 	Signature:	 	 
	Name:

	 	Terry Smith
	 	 	 	 

	Title:

	 	President and Chief Executive

Officer	 	 	 	 

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Exhibit 10.14

INDEMNIFICATION AGREEMENT

     THIS INDEMNIFICATION AGREEMENT made and entered into as of this                      day of
                     2008 (the “Agreement”), by and between FEDERAL HOME LOAN BANK OF DALLAS, a federally
chartered corporation (“Bank”), and                      (the “Director”).

RECITALS:

     WHEREAS, the Board of Directors of the Bank (the “Board”) believes that it is reasonable,
prudent, and necessary for the Bank contractually to obligate itself to indemnify the Director to
the fullest extent permitted by applicable law in order to induce the Director to serve or continue
to serve the Bank, including the Director’s service as an officer, director, trustee, or other
official of organizations with which the Bank may have a contractual or other relationship, free
from undue concern that the Director will not be so indemnified; and

     WHEREAS, Article VIII of the Bank’s Bylaws provides that the Bank will indemnify officers and
directors of the Bank in connection with their service as officers, directors, and trustees of
organizations on which they serve as officers, directors, or trustees on behalf of or for the
benefit of the Bank; and

     WHEREAS, the Director is willing to serve, continue to serve, and take on additional service
for, or on behalf of, the Bank on the condition that the Director be so indemnified as more fully
set forth herein;

     NOW, THEREFORE, in consideration of the promises and the covenants in this Agreement, and
intending to be legally bound, the Bank and the Director do hereby covenant and agree as follows:

     SECTION 1. Definitions. For purposes of this Agreement:

          (a) “Agent” shall mean any person who (i) is or was a director of the Bank; or (ii) is or was
serving at the request of, for the convenience of, or to represent the interest of the Bank
(including, without limitation, the Council of Federal Home Loan Banks and any Federal Home Loan
Bank System committee, and their successors) as a director, officer, partner, employee, member,
manager, trustee or agent of another corporation, partnership, limited liability company, joint
venture, trust, agency, instrumentality or other enterprise.

          (b) “Business Day” shall mean any day that the Bank is open for business.

          (c) “Disinterested Director” shall mean a director of the Bank who is not and was not a party
to the Proceeding in respect of which indemnification or advancement of Expenses is being sought by
the Director or any similar Proceeding then pending.

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          (d) “Expenses” shall be broadly construed and shall include all direct and indirect costs
(including, without limitation, attorneys’ fees and retainers, court costs, transcription costs,
fees of experts, witness fees, travel expenses, food and lodging expenses while traveling,
duplicating costs, printing and binding costs, telephone charges, postage, delivery service, and
freight or other transportation fees and expenses) actually and reasonably incurred, in connection
with the investigation of, defense of, settlement of, appeal of, or being or preparing to be a
witness in (including being deposed or preparing to be deposed) a Proceeding or the establishment
or enforcement of a right to indemnification under this Agreement, applicable law or otherwise;
provided, however, that “Expenses” shall not include any judgments, fines, or amounts paid in
settlement to the extent any amounts paid in respect of any thereof are prohibited to be
indemnified against by applicable law.

          (e) “Independent Counsel” shall mean a law firm or a member of a law firm that neither is
presently nor in the past three years has been retained to represent (i) the Bank or the Director
in any matter material to either party or (ii) any other party to the Proceeding giving rise to a
claim for indemnification under this Agreement. Notwithstanding the foregoing, the term
“Independent Counsel” shall not include any person who, under the applicable standards of
professional conduct then prevailing, would have a conflict of interest in representing either the
Bank or the Director in an action to determine the Director’s right to indemnification under this
Agreement.

          (f) “Liabilities” shall mean liabilities of any type whatsoever, including, but not limited
to, judgments, assessments, fines, taxes and penalties (including those payable pursuant to the
Employee Retirement Income Security Act), and amounts paid in settlement (including, but not
limited to, all interest, assessments, fines, or other charges paid or payable in connection with
any of the foregoing).

          (g) “Proceeding” shall mean any threatened, pending or completed action, hearing, claim, suit,
arbitration, alternate dispute resolution mechanism, investigation, administrative hearing, or any
other proceeding, whether civil, criminal, arbitrative, administrative or investigative (including,
without limitation, any action, suit, or proceeding by or in the right of the Bank to procure a
judgment in its favor) and whether formal or informal, arising by reason of the fact that the
Director is or was an Agent or by reason of anything done or not done by the Director in the
Director’s capacity as an Agent.

     SECTION 2. Service as a Director. The Director agrees to serve as a director of the
Bank so long as the Director is qualified in accordance with the applicable provisions of the
charter and bylaws of the Bank and the Federal Home Loan Bank Act and the rules and regulations
promulgated thereunder and until such time as the Director resigns or is removed from the
Director’s position or is disqualified to continue in the Director’s position (subject to
any other contractual obligation or other obligation imposed by operation of law). The Bank
shall have no obligation under this Agreement to continue the Director in any position.

     SECTION 3. Indemnification. The Bank shall, to the fullest extent permitted by
applicable law and regulations, indemnify the Director whenever the Director is or becomes a

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party,
whether as a plaintiff acting with the approval of the Board, or as a defendant, or is threatened
to be made a party to or is involved (including, without limitation, as a witness) in any
Proceeding, including without limitation any Proceeding brought by or in the right of the Bank,
against all Liabilities, loss, and Expenses actually and reasonably incurred or suffered by the
Director in connection with any Proceeding if, as determined in accordance with Section 5, the
Director acted in good faith and in a manner the Director reasonably believed to be in or not
opposed to the best interests of the Bank, and, with respect to any Proceeding, had no reasonable
cause to believe the Director’s conduct was unlawful, except such Liabilities and Expenses as a
court of competent jurisdiction holds in a final, non-appealable judgment may not be indemnified
against or are incurred because of (a) the Director’s breach of the Director’s duty of loyalty to
the Bank or its stockholders, (b) any act or omission by the Director which involves willful
misconduct or knowing violation of the criminal law, or (c) any transaction from which the Director
derived any improper personal benefit. No initial finding by the Board or its counsel, Independent
Counsel, arbitrators, or the stockholders of the Bank shall be effective to deprive the Director of
the protection of this indemnity, nor shall a court to which the Director may apply for enforcement
of this indemnity give any weight to any such adverse finding in deciding any issue before it, as
it is intended that the Director shall be paid promptly by the Bank all amounts necessary to
effectuate the foregoing indemnity in full. The rights of indemnification of the Director provided
under this Agreement shall include, without limitation, those rights set forth in Sections 4, 7,
and 8 below.

     SECTION 4. Advancement of Expenses. All reasonable Expenses incurred by or on behalf
of the Director in defending a Proceeding, whether prior to or after final disposition of a
Proceeding (including without limitation any Proceeding brought by or in the right of the Bank),
shall be advanced by the Bank to the Director within 10 Business Days after the receipt by the
Secretary of the Bank of (a) a written affirmation by the Director of the Director’s good faith
belief that the Director acted in good faith and in a manner the Director reasonably believed to be
in or not opposed to the best interests of the Bank, and, with respect to any Proceeding, had no
reasonable cause to believe the Director’s conduct was unlawful and (b) a written undertaking by or
on behalf of the Director to repay all amounts paid or reimbursed only if it shall ultimately be
determined that the Director is not entitled to be indemnified by the Bank. The Director’s
entitlement to advancement of Expenses shall include Expenses incurred in connection with any
Proceeding that seeks a determination, adjudication, or award in arbitration pursuant to this
Agreement. The Director shall not be required to repay any amounts paid or reimbursed by the Bank
until a final, non-appealable determination has been made that the Director is not entitled to be
indemnified by the Bank. The requests under this Section 4 shall reasonably evidence the Expenses
incurred by the Director in connection therewith. The undertaking required by clause (b) of this
Section 4 (i) shall be an unlimited general obligation of such person, (ii) need not be secured,
and (iii) shall be accepted without reference to financial ability of the Director to make
repayment. Notwithstanding any other provision in this Agreement, to the extent that the
Director has been successful on the merits or otherwise in defense of any Proceeding, the
Director shall be indemnified against, and entitled to reimbursement of, all Expenses actually and
reasonably incurred by the Director in connection therewith.

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     SECTION 5. Procedure for Determination of Entitlement to Indemnification.

          (a) Whenever the Director believes that the Director is entitled to indemnification pursuant
to this Agreement, the Director shall submit a written request for indemnification to the Secretary
of the Bank. The request shall include all documentation or information necessary for the
determination of entitlement to indemnification that is reasonably available to the Director.
Determination of the Director’s entitlement to indemnification shall be made by the Board or
Independent Counsel not later than 30 Business Days after the date on which a written request from
the Director was received by the Secretary of the Bank. The Secretary of the Bank shall, promptly
upon receipt of the Director’s request for indemnification, advise the Board in writing that the
Director has made such a request for indemnification.

          (b) The determination that indemnification of the Director is proper in the circumstances
shall be made (i) by the Board by a majority vote of a quorum of the Disinterested Directors or
(ii) if such a quorum is not obtainable, or, even if obtainable, a quorum of Disinterested
Directors so directs, by Independent Counsel selected by the Board, which Independent Counsel shall
make the required determination in a written opinion, a copy of which shall be furnished to the
Bank, the Director, and each member of the Board.

     The Bank agrees to bear all Expenses actually and reasonably incurred by the Director and all
Expenses actually incurred by the Bank in connection with the Director’s successfully establishing
the Director’s right to indemnification or advancement of Expenses, in whole or in part.

     SECTION 6. Presumption and Effect of Certain Proceedings. Upon making a request for
indemnification, the Director shall be presumed to be entitled to indemnification under this
Agreement and advancement of Expenses in connection with any Proceeding, and the Bank shall have
the burden of proof to overcome that presumption in reaching any contrary determination. No
initial finding by the Board or by Independent Counsel shall be effective to deprive the Director
of the protection of this indemnity nor shall a court or other forum to which the Director may
apply for enforcement of this indemnity give any weight to any such adverse finding in deciding any
issue before it. If the person or persons empowered to make the determination shall have failed to
make the requested determination within 30 Business Days after the date on which a written request
from the Director was received by the Secretary of the Bank, the required determination of
entitlement to indemnification shall be deemed to have been made and the Director shall be
absolutely entitled to indemnification and advancement of Expenses in connection with any
Proceeding under this Agreement, absent (i) misrepresentation by the Director of a material fact in
the request for indemnification or advancement of Expenses in connection with any Proceeding or
(ii) a specific finding that all or any part of such indemnification or advancement of Expenses in
connection with any Proceeding is expressly prohibited by law or this Agreement. The termination
of any Proceeding by judgment, order,
settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of
itself, create a presumption that (i) the person did not act in good faith and in a manner which
the person reasonably believed to be in or not opposed to the best interests of the Bank or (ii)
with respect to any Proceeding, had reasonable cause to believe that the person’s conduct was
unlawful.

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     SECTION 7. Remedies of the Director in Cases of Determination Not To Indemnify or To
Advance Expenses.

          (a) In the event that (i) the Bank denies the Director’s written claim for indemnification,
(ii) the Bank has not paid in full within 10 Business Days after the requirements for the
advancement of Expenses set forth in this Agreement have been satisfied, (iii) the Bank has not
paid an indemnification claim in full within 10 Business Days after the Board or court determines
that indemnification of the Director is proper, or (iv) the Director otherwise seeks enforcement of
this Agreement, the Director may at any time thereafter apply to any court of competent
jurisdiction for an order directing the Bank to provide indemnification or to make an advancement
of Expenses.

          (b) If an initial determination is made or deemed to have been made pursuant to the terms of
this Agreement that the Director is entitled to indemnification or advancement of Expenses or both,
the Bank shall be bound by such determination in the absence of (i) a misrepresentation of a
material fact by the Director or (ii) a specific finding (by a court of competent jurisdiction that
has become final) that all or any part of such indemnification is expressly prohibited by law.

          (c) The Bank shall be precluded from asserting that the procedures and presumptions of this
Agreement are not valid, binding, and enforceable. The Bank shall stipulate in any court or before
any arbitrator that the Bank is bound by all the provisions of this Agreement.

          (d) All Expenses actually and reasonably incurred by the Director in connection with the
Director’s request for indemnification under, seeking enforcement of, or recovery of damages for
breach of this Agreement shall be borne and advanced by the Bank.

     SECTION 8. Other Rights to Indemnification. The Director’s rights of indemnification
and advancement of Expenses provided by this Agreement shall not be deemed exclusive of any other
rights to which the Director may now or in the future be entitled under applicable law, the charter
or bylaws of the Bank, agreement, vote of directors or members, insurance or other financial
arrangements of the Bank with respect to the matters that are the subject of this Agreement, or
otherwise.

     SECTION 9. Limitations on Indemnity. The Bank shall not be liable under this
Agreement to make any payment to the Director to the extent that the Director has already been
reimbursed pursuant to such liability insurance as the Bank may maintain for the Director’s
benefit. Notwithstanding the availability of such insurance, the Director also may claim
indemnification from the Bank pursuant to this Agreement by assigning to the Bank any claims
under such insurance to the extent the Director is paid by the Bank. The Director shall reimburse
the Bank for any sums the Director receives as indemnification from other sources to the extent of
any amount paid to the Director for that purpose by the Bank. In addition to the foregoing
limitation, except as otherwise expressly provided in this Agreement, in connection with all or any
part of a Proceeding that is initiated or maintained by, against, or on behalf of the Director,

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or
any Proceeding by the Director against the Bank or any of its Agents, the Bank shall not be liable
under this Agreement to make any payment to the Director in connection with any such Proceeding,
unless such payment is expressly required to be made under applicable law, was authorized by a
majority of the Disinterested Directors or is provided by the Bank, in its sole discretion,
pursuant to the powers vested in the Bank under applicable law.

     SECTION 10. Duration and Scope of Agreement; Binding Effect. This Agreement shall
continue so long as the Director shall be subject to any possible Proceeding by reason of the fact
that the Director is or was an Agent and shall be applicable to Proceedings commenced or continued
after execution of the Agreement, except that the Agreement may be terminated or withdrawn by the
Bank upon 90 days’ prior written notice to the Director, but then only as to Proceedings arising
out of acts taken or failed to be taken more than 90 days after such notice is actually received by
the Director. If this Agreement is terminated or withdrawn, the Director shall nevertheless be
fully entitled to the indemnification provided by this Agreement as to all actions taken or failed
to be taken prior to the expiration of such 90 days. This Agreement shall be binding upon the Bank
and its successors and assigns and shall inure to the benefit of the Director and the Director’s
spouse, assigns, heirs, devisees, executors, administrators, and other legal representatives
whether or not the Director has ceased to be a director of the Bank. The Bank shall require and
cause any successor (whether direct or indirect by purchase, merger, consolidation or otherwise) to
all or substantially all of the Bank’s business or assets expressly to assume and agree to perform
this Agreement in the same manner and to the same extent that the Bank would be required to perform
if no such succession had taken place.

     SECTION 11. Severability. If any provision of this Agreement (or any portion
thereof) shall be held to be invalid, illegal or unenforceable for any reason whatsoever: (a) the
validity, legality, and enforceability of the remaining provisions of this Agreement shall not in
any way be affected or impaired thereby; and (b) to the fullest extent possible, the provisions of
this Agreement shall be construed so as to give effect to the intent manifested by the provision
held invalid, illegal, or unenforceable.

     SECTION 12. Identical Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall for all purposes be deemed to be an original but all of which
together shall constitute one and the same Agreement. Only one such counterpart signed by the
party against which enforceability is sought need be produced to evidence the existence of this
Agreement.

     SECTION 13. Interpretation of Agreement. It is understood that the parties hereto
intend this Agreement to be interpreted and enforced so as to provide indemnification to the
Director to the fullest extent now or hereafter permitted by law.

     SECTION 14. Headings. The headings of the sections and paragraphs of this Agreement
are inserted for convenience only and shall not be deemed to constitute part of this Agreement or
to affect its construction.

     SECTION 15. Modification and Waiver. No supplement, modification, or amendment of
this Agreement shall be binding unless executed in writing by both of the parties to this

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Agreement. No waiver of any provision of this Agreement shall be deemed to constitute a waiver of
any other provision hereof (whether or not similar), nor shall such waiver constitute a continuing
waiver.

     SECTION 16. Notice and Defense of Claims. The Director agrees to notify the Bank
promptly in writing upon being notified of any matter that may be subject to indemnification or
advancement of Expenses hereunder or upon being served with any summons, citation, subpoena,
complaint, indictment, information, or other document relating to any matter which may be subject
to indemnification or advancement of Expenses hereunder, whether civil, criminal, administrative,
or investigative; but the omission to notify the Bank will not relieve the Bank from any obligation
it may have to indemnify the Director if such omission does not prejudice the Bank’s rights, and,
if such omission does prejudice the Bank’s rights, it will relieve the Bank from any obligation to
indemnify the Director only to the extent of such prejudice; nor will such omission relieve the
Bank from any obligation it may have to the Director other than under this Agreement. With respect
to any Proceeding about which the Director notifies the Bank:

          (a) The Bank will be entitled to participate in the Proceeding at its own expense.

          (b) Except as otherwise provided below, the Bank jointly with any other indemnifying party
similarly notified will be entitled to assume the defense of any or all of the Proceeding, with
counsel reasonably satisfactory to the Director. After notice from the Bank to the Director of its
election to assume the defense of any or all of the Proceeding, the Bank will not be liable to the
Director under this Agreement for any Expenses subsequently incurred by the Director in connection
with the defense of the Proceeding other than reasonable costs of investigation or as otherwise
provided in clauses (i), (ii), and (iii) below.

          (i) The Director shall have the right to employ the Director’s own counsel in any
Proceeding, but the fees and expenses of such counsel incurred after notice from the Bank of
its assumption of the defense in such Proceeding shall be at the expense of the Director
unless (A) the employment of counsel by the Director has been authorized by the Bank, (B)
the Director shall have reasonably concluded that (1) there is a conflict of interest
between the Bank and the Director in the conduct of the defense of the Proceeding, (2) there
is a conflict of interest between the Director and the other directors being represented by
a law firm as set forth in clause (ii) below, or (3) counsel is not adequately representing
the Director, or (C) the Bank shall not in fact have employed counsel to assume the defense
in such Proceeding, in each of which cases the fees and
expenses of the Director’s counsel shall be at the expense of the Bank. The Bank shall
not be entitled to assume the defense of any Proceeding as to which the Director shall have
reasonably made the conclusion provided for in clauses (B)(1) and (B)(2) of the immediately
preceding sentence.

          (ii) If (A) the Director together with a majority of all directors of the Bank that are
a party to the Proceeding or any similar Proceeding in respect of which indemnification or
advancement of Expenses is being sought by any of such directors are

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able to agree on the
selection of a law firm or a member of a law firm, the Bank will pay the fees and expenses
of such law firm or (B) the Director is the only director of the Bank that is a party to a
Proceeding in respect of which indemnification or advancement of Expenses is being sought by
a director of the Bank, the Director may select a law firm or a member of a law firm and the
Bank will pay the fees and expenses of such law firm; provided, however, the Director agrees
that to the extent that the Director is added as a party to a Proceeding to which another
director of the Bank has already selected a law firm or a member of a law firm, the Director
may choose to be represented by such law firm as well and the Bank will pay the fees and
expenses of such law firm but if the Director chooses to be represented by other counsel the
fees and expenses of such other counsel shall be at the expense of the Director.

          (iii) If the Bank or the Bank’s counsel shall determine that separate counsel should be
retained by the Director, the Director will retain such separate counsel, and the Director
agrees that the Bank’s counsel may continue to represent the Bank in all matters.

          (c) The Bank shall not be liable to indemnify the Director under this Agreement for any
amounts paid in settlement of any action or claim effected without the Bank’s written consent. The
Bank shall not settle any action or claim in any manner that would impose any penalty or limitation
on the Director without the Director’s prior written consent. Neither the Bank nor the Director
will unreasonably withhold consent to any proposed settlement.

     SECTION 17. Contribution. In order to provide for just and equitable contribution in
circumstances in which the indemnification provided for in this Agreement is held by a court of
competent jurisdiction to be unavailable to the Director in whole or part, the Bank shall, in such
an event, after taking into account, among other things, contributions by other directors and
officers of the Bank pursuant to indemnification agreements or otherwise, and, in the absence of
personal enrichment, acts of intentional fraud or dishonesty, or criminal conduct on the part of
the Director, contribute to the payment of the Director’s Expenses and Liabilities to the extent
that, after other contributions are taken into account, such Expenses and Liabilities exceed 5% of
the aggregate cash compensation paid to the Director for serving as a director of the Bank during
the 12 months preceding the commencement of the Proceeding.

     SECTION 18. Notices. All notices, requests, demands and other communications
hereunder shall be in writing and shall be deemed to have been duly given if (i) delivered by hand
and receipted for by the party to whom the notice or other communication shall have been
directed or (ii) mailed by certified or registered mail with postage prepaid, on the third
business day after the date on which it is mailed:

	 	 	 	 	 
	     (a)

	 	     If to the Director, to:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

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	 	(b)	 	     If to the Bank, to:

Federal Home Loan Bank of Dallas

8500 Freeport Parkway South, Suite 600

Irving, Texas 75063

Attention: Secretary

With a copy to (which shall not constitute notice):

Federal Home Loan Bank of Dallas

8500 Freeport Parkway South, Suite 600

Irving, Texas 75063

Attention: General Counsel

or to such other address as may have been furnished to either party by the other pursuant to this
Section 18.

     SECTION 19. Subrogation. The Bank shall be subrogated to the rights of the Director
against third parties in respect of which (and to the extent) payments of Expenses are made by the
Bank hereunder for the benefit of the Director.

     SECTION 20. Governing Law. The parties agree that this Agreement shall be governed
by, and construed and enforced in accordance with, the laws of the United States and, to the extent
state law may be applicable, the laws of the State of Texas.

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     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.

	 	 	 	 	 	 	 
	BANK:	 	 	 	DIRECTOR:	 	 
	 
	 	 	 	 	 	 
	FEDERAL HOME LOAN BANK OF DALLAS	 	 	 	 
	 
	 	 	 	 	 	 
	By:

	 	 	 	Signature:	 	 
	 

	 	 
	 	 	 	 
	Name:

	 	Terry Smith	 	 	 	 
	Title:

	 	President and Chief Executive Officer	 	 	 	 

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Page 10 of 10

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