[HISTORY: Adopted by the Board of Trustees of the Village
of Sloan 12-8-1980 by L.L. No. 1-1981 (Ch. 5 of the 1989 Code). Amendments
noted where applicable.]
GENERAL REFERENCES
Code of Ethics — See Ch. 38.
The purpose of this chapter is to provide legal and financial
protection for those individuals serving the Village of Sloan from
lawsuits which may be brought against them in their individual capacities
for actions taken while in the performance of their official duties
and responsibilities. In enacting this chapter, the Board of Trustees
finds that the State of New York has enacted similar provisions for
the legal and financial security of its officers and employees and
further finds that such security is also required for local personnel.
By enactment of this chapter, the Board of Trustees does not intend
to limit or otherwise abrogate any existing right or responsibility
of the Village or its employees with regard to indemnification or
legal defense. It is solely the intent of this chapter to provide
similar coverage for local employees as is presently provided for
state employees, so as to continue to attract qualified individuals
to local government service.
As used in this chapter, unless the context otherwise requires,
the following terms shall have the meanings indicated:
Any person holding a position by election, appointment or
employment in the service of the Village of Sloan, whether or not
compensated, or a volunteer expressly authorized to participate in
a municipality-sponsored volunteer program, but shall not include
an independent contractor. The term "employee" shall include a former
employee, his estate or judicially appointed personal representative.
A.
Upon compliance by the employee with the provisions of § 31-5
of this chapter, the Village shall provide for the defense of the
employee in any civil action or proceeding in any state or federal
court arising out of any alleged act or omission which occurred, or
is alleged in the complaint to have occurred, while the employee was
acting within the scope of his public employment or duties, or which
is brought to enforce a provision of 42 U.S.C. § 1981 or
1993. This duty to provide for a defense shall not arise where such
civil action or proceeding is brought by or on behalf of the Village
of Sloan.
B.
Subject to the conditions set forth in Subsection A of this section,
the employee shall be entitled to be represented by the Village Attorney
or his legal representative or agent; provided, however, that the
employee shall be entitled to representation by private counsel of
his choice in any civil judicial proceeding whenever the Village Attorney
determines, based upon his investigation and review of the facts and
circumstances of the case, that representation by the Village Attorney
would be inappropriate or whenever a court of competent jurisdiction,
upon appropriate motion or by a special proceeding, determines that
a conflict of interest exists and that the employee is entitled to
be represented by private counsel of his choice. The Village Attorney
shall notify the employee, in writing, of such determination that
the employee is entitled to be represented by private counsel of his
choice. The Village Attorney may require, as a condition to payment
of the fees and expenses of such representation, that appropriate
groups of such employees be represented by the same counsel. If the
employee or group of employees is entitled to representation by private
counsel under the provisions of this section, the Village Attorney
shall so certify to the Village Board. Reasonable attorneys'
fees and litigation expenses shall be paid by the Village to such
private counsel from time to time during the pendency of the civil
action or proceeding, subject to certification that the employee is
entitled to representation under the terms and conditions of this
section by the head of the department, commission, division, office
or agency in which such employee is employed and upon the audit and
warrant of the Village Treasurer. Any dispute with respect to representation
of multiple employees by a single counsel or the amount of litigation
expenses or the reasonableness of attorneys' fees shall be resolved
by the court upon motion or by way of a special proceeding.
C.
Where the employee delivers process and a request for a defense to
the Village Attorney as required by § 31-5 of this chapter,
the Attorney shall take the necessary steps, including the retention
of private counsel under the terms and conditions provided in Subsection
B of this section, on behalf of the employee to avoid entry of a default
judgment, pending resolution of any question pertaining to the obligation
to provide for a defense.
A.
The Village shall indemnify and hold harmless its employees in the
amount of any judgment obtained against such employees in any state
or federal court or in the amount of any settlement of a claim, provided
that the act or omission from which such judgment or settlement arose
occurred while the employee was acting within the scope of his public
employment or duties; the duty to indemnify and hold harmless prescribed
by this subsection shall not arise where the injury or damage resulted
from intentional wrongdoing or recklessness on the part of the employee.
B.
An employee represented by private counsel shall cause to be submitted
to the Board of Trustees any proposed settlement which may be subject
to indemnification by the Village, and if not inconsistent with the
provisions of this section, the Mayor shall certify such settlement
and submit such settlement and certification to the Village Attorney.
The Attorney shall review such proposed settlement as to form and
amount and shall give his approval if, in his judgment, the settlement
is in the best interest of the Village. Nothing in this section shall
be construed to authorize the Village to indemnify or hold harmless
an employee with respect to a settlement not so reviewed and approved
by the Village Attorney.
C.
Upon entry of a final judgment against the employee or upon the settlement
of the claim, the employee shall cause to be served a copy of such
judgment or settlement, personally or by certified or registered mail,
within 30 days of the date of entry or settlement upon the Mayor,
and if not inconsistent with the provisions of this section, such
judgment or settlement shall be certified for payment by such Mayor.
If the Attorney concurs in such certification, the judgment or settlement
shall be paid upon the audit and warrant of the Village Treasurer.
The duty to defend or indemnify and hold harmless provided by
this chapter shall be conditioned upon delivery to the Village Attorney
or his assistant, at his office by the employee, of the original or
a copy of any summons, complaint, process, notice, demand or pleading
within 10 days after he is served with such document and the full
cooperation of the employee in the defense of such action or proceeding
and in defense of any action or proceeding against the state based
upon the same act or omission and in the prosecution of any appeal.
Such delivery shall be deemed a request by the employee that the Village
provide for his defense pursuant to this chapter.
A.
The benefits of this chapter shall inure only to employees as defined
herein and shall not enlarge or diminish the rights of any other party,
nor shall any provision of this section be construed to affect, alter
or repeal any provision of the Workers' Compensation Law.
B.
The provisions of this chapter shall not be construed to impair,
alter, limit or modify the rights and obligations of any insurer under
any policy or insurance.
C.
The provisions of this chapter shall apply to all actions and proceedings
pending upon the effective date thereof or thereafter instituted.
D.
Except as otherwise specifically provided in this chapter, the provisions
of this chapter shall not be construed in any way to impair, impede,
alter, limit, modify, abrogate or restrict any immunity available
to or conferred upon any unit, entity, officer or employee of the
Village or any right to defense and/or indemnification provided for
any governmental officer or employee by, in accordance with or by
reason of any other provision of state or federal statutory or common
law.