Except as hereinafter provided, the Borough of Highland Park
shall, upon the request of any present or former official, employee
or appointee of the Borough of 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.
Pursuant to N.J.S.A. 59:10-4, the indemnification and defense
provided for in this chapter shall include exemplary or punitive damages
resulting from the employee's civil violation of state or federal
law if, in the opinion of the Mayor and Council of the Borough of
Highland Park, the acts committed upon which the damages are based
did not constitute actual fraud, actual malice, willful misconduct
or an intentional wrong.
The terms of this chapter and the definition 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:
A. Any person who is not a natural person;
B. Any person while providing goods or services of any kind under any
contract with the Borough of Highland Park except an employment contract;
C. Any person while providing legal or engineering services for compensation
unless said person is a full-time employee of the Borough of Highland
Park; and
D. Any person who as a condition of his or her appointment or contract
is required to indemnify and defend the Borough of Highland Park and/or
secure insurance.
The Borough of Highland Park shall provide for defense of and
indemnify any present or former official, employee or appointee of
the Borough of Highland Park who becomes a defendant in a civil action
if the person or persons involved:
A. Acted or failed to act in a matter in which the Borough of Highland
Park has or had an interest;
B. Acted or failed to act in the discharge of a duty imposed or authorized
by law; and
C. Acted or failed to take action in good faith. For purposes of this
chapter, the duty and authority of the Borough of Highland Park to
defend and indemnify shall extend to a cross-claim or counterclaim
against said person.
In any other action or proceeding, including criminal proceedings,
the Borough of Highland Park may provide for the defense of a present
or former official, employee or appointee if the Mayor and Council
of the Borough of Highland Park concludes that such representation
is in the best interest of the Borough of Highland Park and that the
person to be defended acted or failed to act in accord with the standards
set forth in this chapter.
Whenever the Borough of Highland Park provides for the defense
of any action set forth herein and as a condition of such defense,
the Borough of Highland Park may assume exclusive control over the
representation of such persons defended, and such person shall cooperate
fully with the Borough of Highland Park.
The Borough of Highland Park may provide for the defense pursuant
to this chapter by authorizing its attorney to act in behalf of the
person being defended or by employing other counsel for this purpose
or by asserting the right of the Borough of Highland Park under any
appropriate insurance policy that requires the insurer to provide
defense.