Can the procedural indemnity be combined with damages?

Yes — the procedural indemnity and any award of damages are entirely separate cost items.

Yes. The procedural indemnity is a lump-sum contribution toward the winning party's attorney costs and is completely independent of any damages the court awards on the merits of the case.

This means a winning party can receive both an award of damages (to compensate for actual harm suffered) and a procedural indemnity (to contribute toward attorney costs) in the same judgment. The two amounts do not influence each other.

Conversely, a losing party that is ordered to pay damages will also owe the procedural indemnity on top. When planning litigation, it is therefore important to factor in both potential damages and the procedural indemnity when estimating the total exposure.