[HISTORY: Adopted by the Mayor and Council of the Borough of Saddle River 2-11-2008 by Ord. No. 08-811-C.[1] Amendments noted where applicable.]
[1]
Editor's Note: This ordinance also repealed former Ch. 17, Defense and Indemnification, adopted 7-14-1986 by Ord. No. 446-C, as amended.
A. 
Except as hereinafter provided, the Borough of Saddle River, hereinafter known as the "Borough," shall, upon the request of any present or former official, employee or appointee of the Borough, provide for indemnification and legal defense of any civil action brought against said person or persons arising from an act or omission falling within the scope of their public duties.
B. 
The terms of this chapter and the definitions of "official," "employee" and "appointee" are to be construed liberally in order to effectuate the purposes of this chapter except that these terms shall not mean:
(1) 
Any person who is not a natural person;
(2) 
Any person while providing goods or services of any kind under any contract with the Borough except an employment contract;
(3) 
Any person while providing legal or engineering services for compensation unless said person is a full-time employee of the Borough; and
(4) 
Any person who as a condition of his or her appointment or contract is required to indemnify and defend the Borough and/or secure insurance.
C. 
The Borough shall provide for defense and indemnity of any present or former official, employee or appointee of the Borough who becomes a defendant in a civil action if the person or persons involved acted or failed to act in a matter in which the Borough has or had an interest; acted or failed to act in the discharge of a duty imposed or authorized by law; and acted or failed to take action in good faith. For purposes of this chapter, the duty and authority of the Borough to defend and indemnify shall extend to a cross-claim or counterclaim against said person.
D. 
The Borough shall indemnify a person for exemplary or punitive damages resulting from that person's civil violation of state or federal law if the acts committed by the person to be indemnified upon which the damages are based did not constitute actual fraud, actual malice, willful misconduct or an intentional wrong.
E. 
The Borough may refuse to provide for the defense and indemnification of any civil action referred to herein if the governing body determines that:
(1) 
The act or omission did not occur within the scope of a duty authorized or imposed by law;
(2) 
The act or failure to act was the result of actual fraud, willful misconduct or actual malice of the person requesting defense and indemnification; or
(3) 
The defense of the action or proceeding by the Borough would create a conflict of interest between the Borough and the person or persons involved.
F. 
In any other action or proceeding, including criminal proceedings, the Borough shall provide for the defense and indemnification (including exemplary and punitive damages), of a present or former official, employee or appointee, provided:
(1) 
None of the exceptions in § 17-1E apply;
(2) 
The alleged crime was not for monetary gain; or
(3) 
The alleged misconduct or crime occurred in furtherance of the officer or employee's duties.
G. 
Whenever the Borough provides for the defense of any action set forth herein and as a condition of such defense, the Borough may assume exclusive control over the representation of such persons defended and such person shall cooperate fully with the Borough.
H. 
The Borough may provide for the defense pursuant to this chapter by authorizing its attorney to act on behalf of the person being defended or by employing other counsel for this purpose or by asserting the right of the Borough under any appropriate insurance policy that requires the insurer to provide defense.
A. 
The Borough shall provide for the defense of and indemnify the defendant or defendants in a civil action if the person or persons involved:
(1) 
Acted or failed to act in a matter in which the Borough has or had an interest.
(2) 
Acted or failed to act in the discharge of a duty imposed or authorized by law.
(3) 
Acted or failed to take action in good faith.
B. 
In any other action or proceeding, including criminal proceedings, the Borough shall provide for the defense and indemnification (including exemplary and punitive damages) of a present or former official, employee or appointee, provided:
(1) 
None of the exceptions in § 17-1E apply;
(2) 
The alleged crime was not for monetary gain; or
(3) 
The alleged misconduct or crime occurred in furtherance of the officer or employee's duties.
The Borough may refuse to provide for the defense and indemnification of any civil or criminal action referred to herein if the governing body determines that:
A. 
The act or omission did not occur within the scope of a duty authorized or imposed by law.
B. 
The act or failure to act was the result of actual fraud, willful misconduct or actual malice of the person requesting defense and indemnification.
C. 
The defense of the action or proceeding by the Borough would create a conflict of interest between the Borough and the person or persons involved.
D. 
The alleged crime was for monetary gain.
E. 
The alleged misconduct or crime did not occur in furtherance of the officer or employee's duties.
A. 
Whenever the Borough provides for the defense of any action set forth herein and as a condition of such defense, the Borough may assume exclusive control over the representation of such person defended, and such person shall cooperate fully with the Borough.
B. 
The Borough may provide for defense pursuant to this chapter by authorizing the Borough Attorney to act on behalf of the person being defended or by employing other counsel for this purpose or by asserting the Borough's right under any appropriate insurance policy which requires the insurer to provide the defense.