[HISTORY: Adopted by the Township Committee of the Township of Chesterfield 8-10-1989 by Ord. No. 1989-11, which ordinance also superseded former Ch. 27, Indemnification of Officers and Employees, adopted 3-12-1981 by Ord. No. 1981-1. Amendments noted where applicable.]
Whenever any civil action has been or shall be brought against any person holding any office, position or employment within the Township of Chesterfield for any act or omission arising out of and in the course of the performance of the duties of such office, position or employment, the township shall defray all costs of defending such action, including reasonable counsel fees and expenses, together with costs of appeal, if any, and shall save harmless and protect such person from any financial loss resulting therefrom to the extent that any damages obtained against said person are deemed to be incidental or compensatory damages, and the township may arrange for and maintain appropriate insurance to cover all such damages, losses and expenses.
Whenever any civil action has been or shall be brought against any person holding any office, position or employment within the Township of Chesterfield for any act or omission arising out of and in the course of the performance of the duties of such office, position or employment, the Township Committee may, at its sole discretion, indemnify such person against exemplary or punitive damages resulting from the employee's or officer's civil violation of state or federal law if, in the opinion of the governing body, the acts committed by the employee upon which the damages are based did not constitute actual fraud, actual malice, willful misconduct or an intentional wrong.
A. 
The Township Committee retains the right to determine, in its sole discretion, whether to appoint an attorney to represent any officer or employee against whom an action described in §§ 15-1 and 15-2 above has been brought or to permit said officer or employee to choose his/her own attorney and retains the right to decide the amount of compensation to be paid to said attorney, in its sole discretion, the amount of money to be paid to said attorney in the defense of such employee or officer. Moreover, the governing body shall retain, in its sole discretion, the right to decide when said moneys shall be paid to the designated defense counsel and under what circumstances.
B. 
Where an action has been brought against an employee for both compensatory and punitive damages, counsel who are assigned to represent the officer or employee shall be required to delineate, on any bill for services rendered, those services which reflect efforts directed to the defense of the compensatory aspect of the action and to further delineate those services rendered in defending the punitive aspect of the claim. The governing body shall retain the right to conduct its own investigation into the merits of the punitive damage claim and, thereafter, to render its opinion as to whether or not it will indemnify the employee or officer on the punitive aspect of the claim.
This chapter shall become effective upon proper passage and publication in accordance with the law and it shall apply to any and all suits filed against municipal employees or officers on and after January 1, 1989.