(A) Under the circumstances hereinafter set out, the city does hereby agree to hold harmless and indemnify all elected officials and employees from any and all liability that may arise out of and in the course of the performance of the duties of such elected officials and employees for and on behalf of the city.
(B) Such agreement of indemnification shall extend not only to the payment of money judgments and compensatory damages, but also to punitive damages, attorney fees, miscellaneous costs of defense and the like.
(C) As a condition of this indemnification agreement and its validity for the benefit of the elected officials and employees, the city reserves the right to choose and select the attorney to provide the defense against any such claim for damages on behalf of the elected official, appointed official or employee to be indemnified; further that, nothing herein contained shall prevent the elected official, appointed official or employee from securing counsel of his own choosing, but he or she shall do so at his or her own expense.
(D) This agreement of indemnification shall extend to and for the benefit of each elected official, appointed official and employee of the town so long as the claim or lawsuit presented or filed against such elected official, appointed official or employee shall arise out of and in the course of the performance of official duties on behalf of the city by the elected official, appointed official or employee, and at the time of the committing of the alleged acts, such elected official, appointed official or employee shall in good faith believe he or she acted within the scope of his or her authority on behalf of the city and consistent with the policy thereof. Even though acts alleged to have been committed by the elected official, appointed official or employee may constitute a violation of IC Chapter 35, this shall not act as an absolute bar to the effectiveness of this indemnification agreement, but if such acts are proven to be a violation of IC Chapter 35, that shall be prima facie evidence that such elected official, appointed official or employee was not acting in good faith within the scope of his or her duties and responsibilities for the city, which is, of course, rebuttable by the elected official, appointed official or employee.
(E) If an elected official, appointed official or employee shall be required to employ an attorney or incur other litigation expenses in the course of successfully securing an indemnification hereunder, the city shall further be liable for such attorney fees and litigation expenses of the elected official, appointed official or employee.
(‘85 Code, § 4.23) (Ord. 31-1984, passed - -84)