[HISTORY: Adopted by the Mayor and Council of the Borough of Stanhope 5-25-1982 as Ord. No. 1982-6. Amendments noted where applicable.]
As used in this chapter, the following terms shall have the meanings indicated:
- OFFICIAL or MUNICIPAL OFFICIAL
- A present or former municipal employee, appointee, official, elected official or member of the various boards, agencies and commissions of the Borough of Stanhope, Sussex County, New Jersey.
The Borough of Stanhope is hereby authorized to provide for the defense of actions brought against its officials and to indemnify such officials to the extent hereinafter set forth and shall save harmless and protect such persons from any financial loss resulting from litigation.
The obligation of the Borough of Stanhope to defend and indemnify its officials for acts or omissions arising out of or in the course of the performance of the duties of that person shall be limited to those circumstances under which the borough itself would be liable for the acts of its officials under the doctrine of respondeat superior.
The Borough of Stanhope shall defray the costs of defending any criminal action against any official, provided that:
It is authorized by state statute, municipal ordinance or by resolution and provided that the criminal proceedings have been dismissed or result in a final disposition in favor of the official.
The Mayor and Council determines that there is no good cause to dismiss the official arising out of the incident or related incidents of the criminal proceedings.
The Borough of Stanhope shall provide for the defense of any criminal action against any official, provided that it is authorized by state statute, municipal ordinance or by resolution and such defense is not herein otherwise limited.
The Mayor and Council shall not approve indemnification of the defense of any action if:
The act or omission complained of was not within the scope of employment or authority.
The act or omission complained of was because of actual fraud, willful misconduct or actual malice.
The defense of the action or proceeding would create a conflict of interest between the borough and the official involved.
There exist policies of insurance, either obtained by the borough or by another by virtue of which the municipal official is entitled to a defense of the action in question from the insurer.
The municipal official has failed to deliver to the Mayor and Council, within ten (10) days of the time he or she is served with any summons, complaint, process, notice, demand or pleading, the original or copy of such document or thereafter fails to cooperate with the borough in the defense of the matter.
The official fails to request the defense of any action.
The action was brought by the borough.
If the Mayor and Council determines to provide a defense as authorized in this chapter, it may do so by:
In addition to the provisions hereof, all officials of the borough shall be entitled to defense and indemnification as provided in N.J.S.A. 59:10-1 et seq. and N.J.S.A. 59:10A-1 et seq.