Upon an indemnity against claims or demands, or damages or costs expressly, or in equivalent terms, unless a contrary intention appears, the person indemnified is not entitled to recover without payment thereof.

Source: SDC 1939, § 31.3107 (2); repealed SL 1966, ch 111 , § 5; re - enacted SL 1967, ch 235 , § 7 (2).