[HISTORY: Adopted by the Township Council
of the Township of Burlington 8-28-1984 (Sec. 3:3 of the 1975 General Ordinances). Amendments noted
where applicable.]
GENERAL REFERENCES
Administration of government — See Ch. 20.
Pursuant to N.J.S.A. 59:10-4, the Township of
Burlington does hereby authorize indemnification of any person now
or in the future holding office, position or employment, elective
or appointive, hereafter referred to as an "employee."
[Amended 9-12-2017 by Ord. No. 17-OR-024]
The Township, upon request, shall provide for
the defense of any action, suit or proceeding, commenced or threatened,
whether civil, criminal, administrative or investigative, including
a cross action, counterclaim or cross complaint, against any employee
on account of any act or omission in the scope of his or her office,
position or employment, and shall defray all costs of defending such
action, including reasonable counsel fees and expenses, together with
costs of appeal, if any, provided that the act or failure to act does
not arise out of actual fraud, actual malice, willful misconduct or
an intentional wrong.
[Amended 9-12-2017 by Ord. No. 17-OR-024]
The Township shall indemnify and save harmless
each employee from financial loss resulting from any action described
above, including claims, losses, expenses, judgments, fines, attorneys'
fees, court costs and expert or technical witness fees and any amount
paid in settlement thereof and actually and reasonably incurred in
connection therewith, to the extent permitted by law. Expenses thus
incurred may be paid in advance of final disposition of the action.
Indemnification for exemplary or punitive damages will not be provided
if in the opinion of the Council the acts committed by the employee
upon which damages are based constitute actual fraud, actual malice,
willful misconduct or an intentional wrong.
As used in this chapter, the following terms
shall have the meanings indicated:
The term:
Shall apply to all employees irrespective of
the number of hours worked per week.
Shall include such person, whether or not such
person holds a professional license or certificate, being paid a fixed
salary or hourly rate for the performance of his duties, but shall
not include any person furnishing professional or extraordinary unspecifiable
services under separate appointment, retainer, agreement or contract.
Shall include persons formerly holding office
or employment, provided that the events giving rise to a cause of
action or claim hereunder occur after the effective date of this chapter.
The Township may employ legal counsel and expert
or technical personnel to provide a defense pursuant to this chapter
and may purchase appropriate insurance as protection against any liability
arising under this chapter.
A.
An employee shall not be entitled to indemnification
or the cost of defense under this chapter unless, within 10 days of
the time such employee is served with any summons, order to show cause,
complaint, process, notice, demand or pleading, he delivers the same
or a copy thereof to the Township Clerk to forthwith notify the Mayor
and Township Attorney thereof, provided that such time period may
be extended for cause by the affirmative vote of a majority of the
full membership of the Township Council.
B.
An employee requesting defense of any action or claiming
indemnification under this chapter shall cooperate fully and in good
faith with the Township and with any attorneys, adjusters, investigators
or expert or technical personnel engaged for this purpose in the preparation
and presentation of a defense to such action or the settlement or
other disposition thereof. If the employee neglects, fails or refuses
to cooperate as aforesaid, the Township Council, after a hearing on
10 days' written notice to the employee and for cause, may declare
all rights forfeited and terminated by the affirmative vote of a majority
of the full membership of the Township Council.
