[HISTORY: Adopted by the Mayor and Council of the Borough of Stanhope
5-25-1982 as Ord. No. 1982-6. Amendments noted where applicable.]
As used in this chapter, the following terms shall have the meanings
indicated:
A present or former municipal employee, appointee, official, elected
official or member of the various boards, agencies and commissions of the
Borough of Stanhope, Sussex County, New Jersey.
A.Â
The Borough of Stanhope is hereby authorized to provide
for the defense of actions brought against its officials and to indemnify
such officials to the extent hereinafter set forth and shall save harmless
and protect such persons from any financial loss resulting from litigation.
B.Â
The obligation of the Borough of Stanhope to defend and
indemnify its officials for acts or omissions arising out of or in the course
of the performance of the duties of that person shall be limited to those
circumstances under which the borough itself would be liable for the acts
of its officials under the doctrine of respondeat superior.
A.Â
The Borough of Stanhope shall defray the costs of defending
any criminal action against any official, provided that:
(1)Â
It is authorized by state statute, municipal ordinance
or by resolution and provided that the criminal proceedings have been dismissed
or result in a final disposition in favor of the official.
(2)Â
The Mayor and Council determines that there is no good
cause to dismiss the official arising out of the incident or related incidents
of the criminal proceedings.
B.Â
The Borough of Stanhope shall provide for the defense
of any criminal action against any official, provided that it is authorized
by state statute, municipal ordinance or by resolution and such defense is
not herein otherwise limited.
The Mayor and Council shall not approve indemnification of the defense
of any action if:
A.Â
The act or omission complained of was not within the
scope of employment or authority.
B.Â
The act or omission complained of was because of actual
fraud, willful misconduct or actual malice.
C.Â
The defense of the action or proceeding would create
a conflict of interest between the borough and the official involved.
D.Â
There exist policies of insurance, either obtained by
the borough or by another by virtue of which the municipal official is entitled
to a defense of the action in question from the insurer.
E.Â
The municipal official has failed to deliver to the Mayor
and Council, within ten (10) days of the time he or she is served with any
summons, complaint, process, notice, demand or pleading, the original or copy
of such document or thereafter fails to cooperate with the borough in the
defense of the matter.
F.Â
The official fails to request the defense of any action.
G.Â
The action was brought by the borough.
If the Mayor and Council determines to provide a defense as authorized
in this chapter, it may do so by:
In addition to the provisions hereof, all officials of the borough shall
be entitled to defense and indemnification as provided in N.J.S.A. 59:10-1
et seq. and N.J.S.A. 59:10A-1 et seq.