[Ord. No. 2003-01]
Except as provided below, the City shall, upon a request of
an employee of the City, provide for the defense of any action brought
against such City employee on account of an act or omission in the
scope of his employment or official City duties. For purposes of this
section, the City's duty to defend shall extend to counterclaims or
cross claims against an employee.
[Ord. No. 2003-01]
The City may refuse to provide for the defense of an action
referred to in this section if it determines that:
a.
The act or omission was not within the scope of employment; or
b.
The act or the failure to act was because of actual fraud, willful
misconduct or actual malice; or
c.
The action is brought by the City itself against the employee; or
d.
The employee acted in violation of the Local Government Ethics Law,
N.J.S.A. 40A:9:22.1, et seq.
[Ord. No. 2003-01]
Nothing in this section requires the City to pay for punitive
or exemplary damage or damages resulting from the commission of a
crime. The City may indemnify a City employee for exemplary or punitive
damages resulting from the employee'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.
[Ord. No. 2003-01]
It shall be the duty of the employee to immediately notify the
City Clerk in writing as to any action threatened against the employee.
[Ord. No. 2003-01]
The City shall have exclusive control over the representation
of such person defended and such person shall cooperate fully with
the City, provided, however, that such person may at any time and
at such person's option take control over representation by waiving
all rights to indemnification and all rights to payment for costs
of defense.
[Ord. No. 2003-01]
The City may provide for the defense pursuant to this section by authorizing the City Attorney to act on behalf of the person being defended, or by employing other counsel for this purpose, or by asserting the City's right under any appropriate insurance policy which requires the insurance to provide the defense. Except as provided in subsection 2-12.7, the City shall not reimburse the employee for any legal costs incurred that were not authorized by the City in writing.
[Ord. No. 2003-01]
If the City refuses to provide for the defense of an employee
as required above, the employee shall be entitled to indemnification
from the City if he establishes that the act or omission upon which
the claim or judgment was based occurred within the scope of his duties
as an employee of the City and if he proves that the act or omission
was not the result of fraud, malice or willful misconduct.
[Ord. No. 2003-01]
For purposes of this section:
Shall mean an officer, employee or servant of the City, whether
or not compensated or part-time, who is authorized to perform any
act or service, provided, however, that the term shall not include
an independent contractor. Other terms shall have the meanings set
forth in the New Jersey Tort Claims Act.
