§ 31.002  EXCEPTIONS.
   The foregoing indemnity set forth in § 31.001 shall not extend to any of the following:
   (A)   Any liability or cost with respect to any matter as to which such official or employee is finally adjudged to be guilty of bad faith, or actual malice, or willful and wanton misconduct in the performance of his or her duties as such official or employee;
   (B)   Any payment, expense or cost arising out of a settlement of any claim, action, suit or proceeding, unless:
      (1)   Such settlement shall be approved by the court having jurisdiction over such claim, action, suit or proceeding, with express knowledge of the existence of the indemnification provided hereby; or
      (2)   Such settlement shall have been made upon the written opinion of independent legal counsel selected by the City Council, to the effect that there is no reasonable ground for any finding of bad faith, or of actual malice, or willful and wanton misconduct on the part of such official or employee and that the anticipated cost of such settlement will not substantially exceed the estimated cost and expense of defending such claim, action, suit or proceeding to a final conclusion.
   (C)   Any liability or judgment payable to the city itself;
   (D)   The cost of independent legal representation in any such action, suit or proceeding if the city offers or otherwise indicates its willingness to provide a legal defense with respect to such claim, action, suit, proceeding or investigation.
(Ord. 926, passed 1-9-1978)