[HISTORY: Adopted by the Township Committee
of the Township of Carneys Point 1-26-1998 by Ord. No. 622. Amendments
noted where applicable.]
In accordance with the provisions of N.J.S.A.
59:10-1, et seq., the Carneys Point Township Committee, by adoption
of this chapter, agrees to provide for the defense of actions against
and the indemnification of Township employees against whom civil claims
have been made. The scope of the defense and indemnification to be
provided pursuant to this chapter shall be as extensive as permitted
by law.
EMPLOYEE — Any official, officer,
member of a board, agency or commission of the Township or employee
who is authorized by Carneys Point Township to perform any act or
service. "Employee," however, shall not include an independent contractor.
Except as provided in § 8-4, the Township shall provide for the defense of any action brought against an employee on account of any act or omission in the scope of his employment. This obligation shall extend to any cross actions, counterclaims or cross complaints against such an employee.
The provisions of § 8-3 shall not be applicable when the Township Committee determines that:
A.
The act or omission was not within the scope of employment;
B.
The act or failure to act was because of actual fraud,
willful misconduct or actual malice;
C.
The defense of the action or proceeding would create
a conflict of interest between the Township and the employee;
D.
The defense of the action or proceeding is provided
for by an insurance policy or policies, whether obtained by the Township
or by any other person;
E.
The employee failed to deliver to the Township Clerk,
within 10 calendar days after the time he is served with any summons,
complaint, process, notice, demand or pleading, the original or a
copy of the same;
F.
The employee has failed to cooperate fully with the
defense;
G.
The Township has brought the action against the employee;
or
H.
The action is a criminal or disciplinary proceeding.
The Township may provide any defense required
of it under this chapter through an attorney from its own staff or
by retaining other counsel.
Whenever the Township provides any defense required
of it pursuant to this chapter, the Township, through counsel, shall
assume exclusive control over the representation of the employee and
such employee shall cooperate fully with the defense.
A.
In any case where the Township is required to provide
a defense under this chapter, the Township shall pay or shall reimburse
the employee for:
(1)
Any bona fide settlement agreements entered into on
behalf of the employee.
(2)
Any judgments entered against the employee.
(3)
Exemplary damages and punitive damages resulting from
the employee's civil violation of state or federal law if the Carneys
Point Township Committee finds that the acts committed by the employee
upon which the damages are based did not constitute actual fraud,
actual malice, willful misconduct or an intentional act.
B.
In addition, in any case where the Township would
be required to provide a defense under this chapter, except for the
fact that such defense is provided for by insurance, the Township
shall provide indemnification as aforesaid, but only to the extent
not covered by insurance.
Nothing in this chapter shall authorize the
Township to pay for punitive or exemplary damages or damages resulting
from the commission of a crime.
