This chapter is enacted pursuant to the authority of the New York State Municipal Home Rule Law and the New York Public Officers Law.
[HISTORY: Adopted by the Board of Trustees of the Village of Lowville 3-19-2025 by L.L. No. 4-2025. Amendments noted where applicable.]
This chapter shall be known and may be cited as the Village of Lowville "Defense and Indemnification Law."
The Village of Lowville enacts this chapter for the purpose of formally adopting the benefits of New York Public Officers Law § 18, as the same may be amended from time to time, and conferring the same upon "employees" of the Village of Lowville, as defined herein.
Any member of a public board or commission, trustee, director, officer, employee, volunteer expressly authorized to participate in a publicly sponsored volunteer program, or any other person holding a position by election, appointment, or employment in the service of the Village of Lowville, whether or not compensated, but shall not include the sheriff of any county or any independent contractor. The term "employee" shall explicitly include a former employee, his or her estate, or judicially appointed personal representative.
The Village of Lowville Board of Trustees.
The political subdivision of the State of New York comprising the Village of Lowville.
The Village Board of Trustees of the Village of Lowville, in accordance with New York Public Officers Law § 18, does hereby confer the benefits of defense and indemnification, as described in said Public Officers Law § 18, upon its employees and agrees to be held liable for the costs incurred under the provisions of said Public Officers Law § 18, as those provisions are more specifically stated herein.
A.
Upon compliance by the employee with the provisions of § 8-8 of this chapter, the Village shall provide for the defense of the employee in any civil action or proceeding, state or federal, arising out of any alleged act or omission which occurred or allegedly occurred while the employee was acting within the scope of his or her public employment and/or duties. This duty to provide for a defense shall not arise where such civil action or proceeding is brought by or brought at the behest of the Village.
B.
Subject to the conditions set forth in Subsection A of this § 8-6, the employee shall be entitled to be represented by private attorney of his or her choice in any civil action or proceeding whenever the Village Attorney, or other attorney designated by the Village, determines that a conflict of interest exists or whenever a court, upon appropriate motion or otherwise by a special proceeding, determines that a conflict of interest exists and that the employee is entitled to be represented by an attorney of his or her choice; provided, however, that the Village Attorney or other attorney designated by the Village may require, as condition to payment of the fees and expenses of such representation, that appropriate groups of such employees be represented by the same attorney. Reasonable attorneys' fees and litigation expenses shall be paid by the Village to such private attorney, from time to time, during the pendency of the civil action or proceeding, with the approval of the governing body.
C.
Any dispute with respect to representation of multiple employees by a single attorney or the amount of litigation expenses or the reasonableness of attorneys' fees shall be resolved by a court of competent jurisdiction upon motion or by way of a special proceeding.
D.
Where the employee delivers process and a written request for a defense to the Village under § 8-8 of this chapter, the Village shall take the necessary steps on behalf of the employee to avoid entry of a default judgment, pending resolution of the question pertaining to the obligation to provide for a defense.
A.
The Village shall indemnify and save harmless its employee in the amount of any judgment obtained against such employee in a state or federal court or in the amount of any settlement of a claim, provided that the act or omission from which such judgment or claim arose occurred while the employee was acting within the scope of his or her public employment or duties; provided, further, that in the case of a settlement, the duty to indemnify and save harmless shall be conditioned upon the approval of the amount of settlement by the governing body.
B.
Except as otherwise provided by law, the duty to indemnify and save harmless prescribed by this section shall not arise where the injury or damage resulted from intentional wrongdoing or recklessness on the part of the employee.
C.
Nothing in this section shall authorize the Village to indemnify or save harmless an employee with respect to punitive or exemplary damages, fines or penalties, or money recovered from an employee pursuant to § 51 of the General Municipal Law, Prosecution of Officers for Illegal Acts; provided, however, that the Village shall indemnify and save harmless its employee in the amount of any costs, attorneys' fees, damages, fines or penalties which may be imposed by reason of an adjudication that an employee, acting within the scope of his or her public employment or duties, has, without willfulness or intent on his or her part, violated a prior order, judgment, consent, decree or stipulation of settlement entered in any court of this state or of the United States.
D.
Upon entry of a final judgment against the employee or upon the settlement of the claim, the employee shall serve a copy of such judgment or settlement, personally or by certified or registered mail, within 30 days of the date of entry or settlement, upon the Mayor of the Village of Lowville, and if not inconsistent with the provisions of this § 8-7, the amount of such judgment or settlement shall be paid by the Village.
The duty to defend or indemnify and save harmless prescribed by this chapter shall be conditioned upon:
A.
Delivery by the employee to the Village Attorney and to the Mayor of a written request to provide for his or her defense, together with the original or a copy of any summons, complaint, process, notice, demand or pleading, within five days after he or she is served with such document.
B.
The full cooperation of the employee in the defense of such action or proceeding and in the defense of any action or proceeding against the Village based upon the same act or omission and in the prosecution of any appeal.
The benefits of this chapter shall inure only to employees as defined herein and shall not enlarge or diminish the rights of any other party; nor shall any provision of this chapter be construed to affect, alter, or repeal any provision of the Workers Compensation Law.
This chapter shall not in any way affect the obligation of any claimant to give notice to the Village under Court of Claims Act § 10(2), New York General Municipal Law § 50-e, or any other provision of law.
The Village, upon direction by the governing body, is hereby authorized and empowered to purchase insurance from any insurance company created by or under the laws of this state or authorized by law to transact business in this state against any liability imposed by the provisions of this chapter or to act as a self-insurer with respect thereto.
All payments made under the terms of this chapter, whether for insurance or otherwise, shall be deemed to be for a public purpose and shall be audited and paid in the same manner as other public charges.
The provisions of this chapter shall not be construed to impair, alter, limit, or modify the rights and obligations of any insurer under any policy of insurance.
Except as otherwise specifically provided in this chapter, the provisions of this chapter shall not be construed in any way to impair, alter, limit, modify, abrogate, or restrict any immunity to liability available to or conferred upon any unit, entity, officer, or employee of the Village by or in accordance with or by reason of any other provision of state or federal statutory or common law.
Except as otherwise provided in this chapter, benefits provided to employees under this chapter shall be in lieu of and take the place of defense or indemnification protections provided the same employees by another enactment.
This chapter shall be effective upon filing with the New York State Department of State.