Village of Orland Park, IL Chapter 1-15 Indemnification

§ 1-15-1 Indemnification.

[Ord. 3726, 1-20-2003]

A. The Village Board finds that it is the public policy of the State of Illinois that members of governmental bodies shall not be liable in damages for the exercise of their discretion in determining policies. This public policy is set forth in 745 ILCS 10/2-201 which provides as follows:

"Except as otherwise provided by Statute, a public employee serving in a position involving the determination of policy or the exercise of discretion is not liable for an injury resulting from his act or omission in determining policy when acting in the exercise of such discretion even though abused."

B. In light of subsection A above, if any claim or action not covered by insurance is instituted against any elected or appointed Village official, employee or authorized volunteer in connection with any act or omission in determining policy, the Village shall, to the fullest extent allowed by the law:

1. Appear and defend against the claim or action;

2. Indemnify the elected or appointed Village official, employee or authorized volunteer for his or her court costs and attorneys fees incurred in the defense of such claim or action;

3. Pay or indemnify the elected or appointed Village official, employee or authorized volunteer for a judgment based on such claim or action; and

4. Pay or indemnify the elected or appointed Village official, employee or authorized volunteer for a compromise or settlement of such claim or action, provided that the settlement is approved by a majority of the members of the Board of Trustees.

The term "elected or appointed Village official" shall mean any former or current Village President, Trustee or member of any Village board, committee and commission.

C. The foregoing indemnity shall not extend to any of the following:

1. Any liability, attorneys fees or costs with respect to any matter in which the elected or appointed Village official, employee or authorized volunteer is finally adjudged to be guilty of a criminal act. (To the extent that any criminal proceeding shall be pending at the time of indemnification or any criminal proceeding shall thereafter be instituted, any indemnification paid or promised shall be conditioned upon the termination of the criminal proceeding without a finding of guilt.);

2. Any liability or judgment against an elected or appointed Village official, employee or authorized volunteer which is payable to the Village itself or where the Village was injured and the elected or appointed Village official, employee or authorized volunteer either obtained personal benefit or financial gain as a result of his or her wrongful conduct;

3. Any liability, attorneys fees or costs incurred as a result of a Village-initiated or approved investigation into the misconduct of the elected or appointed Village official, employee or authorized volunteer;

4. Any liability, attorneys fees or costs incurred as a result of the elected or appointed Village official's, employee's or authorized volunteer's failure to reasonably cooperate or participate in the defense of any claim, action, suit or proceeding with any person, party or entity; or

5. Any liability excluded by a written waiver from the elected or appointed Village official, employee or authorized volunteer."

§ 1-15-2 Indemnification of Ethics Officer.

[Ord. 5510, 5-4-2020]

A. If any claim or action is instituted against the Ethics Officer based on an injury allegedly arising out of an act or omission occurring within the scope of his or her duties as such Ethics Officer, the Village may elect to do any one or more of the following:

1. Appear and defend against the claim or action;

2. Indemnify the Ethics Officer for his or her court costs and reasonable attorneys' fees incurred in the defense of such claim or action;

3. Pay or indemnify the Ethics Officer for a judgment based on such claim or action; and/or

4. Pay or indemnify the Ethics Officer for a compromise or settlement of such claim or action, provided that the settlement is approved by a majority of the members of the Board of Trustees.

B. Provided however that the foregoing indemnity shall not extend to any of the following;

1. Any liability, attorney fees or costs with respect to any matter in which the Ethics Officer is finally adjudged to be guilty of a criminal act; to the extent that any criminal proceeding shall be pending at the time of indemnification or any criminal proceeding shall thereafter be instituted, any indemnification paid or promised shall be conditioned upon the termination of the criminal proceeding without a finding of guilt;

2. Any liability or judgment against the Ethics Officer which is payable to the Village itself or where the Village was injured and the Ethics Officer obtained personal benefit or financial gain as a result of his or her wrongful conduct;

3. Any liability, attorney fees or costs incurred as a result of a Village initiated or approved investigation into the misconduct of the Ethics Officer;

4. Any liability, attorney fees or costs incurred as a result of the Ethics Officer failing to reasonably cooperate or participate in the defense of any claim, action, suit or proceeding with any person, party or entity.