Loading...
For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
DEFEND. To provide legal counsel to represent the person in a proceeding.
INDEMNIFY. To reimburse an officer or employee for expenses incurred related to a proceeding.
PERSON.
(1) Current and former officers, employees, Town Council members and members of committees, commissions and boards of the town; and
(2) The spouse of a current or former officer, employee, Town Council member or member of a committee, commission or board of the town to the extent such spouse in named in a proceeding solely because of the spouse’s marital relationship to such officer, employee, Town Council member or member of a committee, commission or board of the town who is named in a proceeding.
PROCEEDING. Any threatened, pending or completed action or suit, whether civil, criminal or administrative.
(Prior Code, § 3-7-1) (Ord. 13-05, passed - -2013)
(A) Any person made a party or threatened to be made a party to any proceeding because such person is an officer, employee, Council member or member of a committee, commission or board of the town shall be indemnified and defended in accordance with this subchapter.
(B) The indemnification and defense obligations set forth in this subchapter do not apply to acts of an officer, employee, Council member or member of a committee, commission or board for any conduct that exceeds the authority granted to the person by virtue of his or her position.
(C) The indemnification and defense obligations set forth in this subchapter do not apply to acts of an officer, employee, Council member or member of a committee, commission or board of the town being civilly or criminally prosecuted for acts constituting a violation of the town code.
(D) The town reserves the right not to indemnify any person with respect to an award of damages where such person is adjudged by a court as negligent or committing misconduct in the performance of his or her duty to the town.
(Prior Code, § 3-7-2) (Ord. 13-05, passed - -2013)
(A) As a prerequisite to indemnification of defense under this subchapter, a person shall notify the Town Manager as soon as he or she has knowledge that he or she is made a party or threatened to be made a party to any proceeding.
(B) If there is no Town Manager, the interim Town Manager or Town Clerk shall be notified.
(Prior Code, § 3-7-3) (Ord. 13-05, passed - -2013)
Except as provided in § 31.36 of this chapter, if the proceeding is one not initiated by the town:
(A) The person shall be indemnified against his or her expenses, including attorney’s fees, costs, judgments, fines and amounts paid in settlement actually and reasonably incurred by him or her in connection with the proceeding; and
(B) The town, either directly or through its insurance carrier, shall defend the person in connection with the proceeding.
(Prior Code, § 3-7-4) (Ord. 13-05, passed - -2013)
Except as provided in § 31.36 of this chapter, if the proceeding is a criminal proceeding, the person shall be indemnified and defended if he or she had no reasonable cause to believe his or her conduct was unlawful.
(Prior Code, § 3-7-5) (Ord. 13-05, passed - -2013)
With respect to the indemnification and defense obligations under §§ 31.38 or 31.39 of this chapter, a termination of the proceeding by judgment, order, settlement, conviction or upon a plea of nolo contendere or its equivalent, shall not by itself create a presumption that the person acted, or failed to act, other that in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interest of the town, and with respect to any criminal proceeding, shall not by itself create a presumption that the person had reasonable cause to believe that his or her conduct was unlawful.
(Prior Code, § 3-7-6) (Ord. 13-05, passed - -2013)
The indemnification and defense obligations set forth in this subchapter shall not apply to proceedings initiated by the town to procure a judgment against any person in the town’s favor unless a determination is made pursuant to § 31.43 of this chapter that the requirements of this subchapter have been met. Notwithstanding anything else set forth in this section, if a court enters a judgment that the person’s actions exceeded his or her authority, such person shall reimburse the town for all costs incurred by it in providing the indemnification and/or defense of the proceeding.
(Prior Code, § 3-7-7) (Ord. 13-05, passed - -2013)
Loading...