[HISTORY: Adopted by the Township Council of the Township
of Livingston 5-16-2005 by Ord. No. 13-2005. Amendments noted
where applicable.]
The Township shall hereby indemnify its officials, employees,
and appointees pursuant to N.J.S.A. 59:10-4.
As used herein, the terms "officials" and Township officials"
shall mean present or former elected members of the Township Council,
present and former constitutional officers, and present or former
appointees, employees, or members of various boards, agencies, and
commissions of the Township of Livingston.
The Township of Livingston shall provide for the defense of
actions or proceedings brought against its officials, employees, and
appointees and shall indemnify such officials to the extent hereinafter
set forth; the intent of this chapter is to save harmless and protect
such persons from financial losses resulting from litigation.
The indemnification provided by this chapter shall apply to
any act or omission of said official, employee, or appointee, whether
intentional or not, occurring within the scope of his or her employment
by the Township, or if said official, employee, or appointee were
or is a party to, or is threatened to be made a party to, any threatened,
pending or completed action, suit, or proceeding, whether criminal,
civil, administrative, or investigative, by reason of the fact that
he or she was an official, employee, or appointee of the Township.
The Township shall indemnify said official, employee, or appointee
against and shall save him or her harmless from any claim, loss, expense,
attorney fees, judgment, fine, and amount paid in settlement actually
and reasonably incurred by him or her in connection with such action,
suit, or proceeding to the full extent permitted by the laws of the
State of New Jersey, except as specifically modified herein.
Notwithstanding the prior provisions of this chapter, this policy
shall not provide any indemnification in the following circumstances:
A.
For any act or omission not within the scope of employment as a Township
official.
B.
For any act or failure to act constituting actual fraud, willful
misconduct, actual malice, or which constitutes a crime.
C.
For any situation in which the defense of an action or proceeding
is provided by an insurance policy or policies, whether obtained by
the Township or by any other person.
D.
Where the Township official fails to deliver to the Township Clerk,
within 15 days after he or she is served with any summons, complaint,
process, notice, demand, or pleading, the original or an accurate
copy of the same.
E.
Where the Township official fails to cooperate with the defense.
F.
Where the Township official fails to request the indemnity provided
by this chapter.
G.
Where the action or proceeding is instituted by the Township against
the official.
The Township shall defray the cost of defending any criminal
action or proceeding brought against the Township official, providing:
A.
The defraying of such cost is not prohibited by statute, ordinance,
or resolution where the criminal action has been dismissed or results
in a final disposition inconsistent with the guilt of the official.
B.
When providing for the defense of any official, the Township may
make such necessary demands as it deems reasonable, in its sole discretion,
to determine that the official is innocent of the charges brought
or to be brought against him or her. In this regard, the Township
Council may approve of such actions as it deems appropriate in written
form, the contents of which may be withheld from public dissemination
until the conclusion of the action or proceeding in the discretion
of the Council.
Nothing herein shall be deemed to authorize the Township to
pay or agree to pay punitive damages resulting from actual fraud,
willful misconduct, or actual malice.
Whenever the Township determines, pursuant to the authority
provided in this chapter, to provide any defense required of it hereunder,
the Township, through counsel, shall assume exclusive control of the
representation of the official and may designate defense counsel for
such official.
Whenever the Township provides a defense pursuant to the authority
provided hereunder, the Township may elect to, in its sole discretion:
A.
Hire an attorney (who may be Township Counsel) and pay that attorney
directly; or
B.
Approve an attorney selected by the official involved and reimburse
the official for reasonable attorney fees expended or obligated to
be expended in defense of such official, but not at a rate higher
than that paid to Township Counsel.
