Except as hereinafter provided, the Township of Saddle Brook,
hereinafter known as the "Township," shall, upon the request of any
present or former official, employee or appointee of the Township,
provide for indemnification and legal defense of any civil action
brought against said person or persons arising from an act or omission
falling within the scope of his or her public duties.
Pursuant to N.J.S.A. 59:10-4, the indemnification and defense
provided for in this chapter shall include exemplary or punitive damages
resulting from the employee's civil violation of state or federal
law if, in the opinion of the Township Council, the acts committed
upon which the damages are based did not constitute actual fraud,
actual malice, willful misconduct or an intentional wrong.
The terms of this chapter and the definition of "official, employee
and appointee" are to be construed liberally in order to effectuate
the purposes of this chapter, except that these terms shall not mean:
A. Any person who is not a natural person;
B. Any person while providing goods or services of any kind under any
contract with the Township, except an employment contract;
C. Any person while providing legal or engineering services for compensation,
unless said person is a full-time employee of the Township; and
D. Any person who, as a condition of his or her appointment or contract,
is required to indemnify and defend the Township and/or secure insurance.
Whenever the Township Council provides for the defense of any
action set forth herein and as a condition of such defense, the Township
Council may assume exclusive control over the representation of such
persons defended, and such person shall cooperate fully with the Township.
The Township may provide for the defense pursuant to this chapter
by authorizing its Attorney to act in behalf of the person being defended
or by employing other counsel for this purpose or by asserting the
right of the Township under any appropriate insurance policy that
requires the insurer to provide defense.