Except as hereinafter provided, the Township of Ocean shall,
upon the request of any present or former official, employee or appointee
of the Township of Ocean, 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 Township Committee, 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 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 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 Township of Ocean 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 Township of Ocean; and
d) any person who as a condition of his or her appointment or contract
is required to indemnify and defend the Township of Ocean and/or secure
insurance.
The Township of Ocean shall provide for defense of and indemnify
any present or former official, employee or appointee of the Township
of Ocean 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
Township of Ocean 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 Township of Ocean 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 Township of Ocean may provide for the defense of a present or
former official, employee or appointee, if the Township Committee
concludes that such representation is in the best interest of the
Township of Ocean and that the person to be defended acted or failed
to act in accord with the standards set forth in this chapter.
Whenever the Township provides for the defense of any action
set forth herein and as a condition of such defense, the Township
of Ocean may assume exclusive control over the representation of such
persons defended, and such person shall cooperate fully with the Township
of Ocean.
The Township of Ocean 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 Township of Ocean under any appropriate
insurance policy that requires the insurer to provide defense.