[HISTORY: Adopted by the Orangetown Town Board 6-8-1981 by L.L. No. 6, 1981; amended in its entirety 8-12-1996 by L.L. No. 5, 1996. Subsequent amendments noted where
applicable.]
GENERAL REFERENCES
Code of Ethics — See Ch. 1.
The Town Board of the Town of Orangetown has determined that
in order to ensure the continued and future service of responsible
and capable individuals as officials and employees of the Town of
Orangetown it is necessary and proper to assure that they are afforded
protection against individual liability for actions occurring within
the scope of their duties and employment.
The title of this local law shall be "Defense and Indemnification
of Public Employees."
As used in this local law, the following terms shall have the
meanings indicated:
Any person holding a position by election, appointment or
employment in the service of the Town, whether or not compensated,
including a volunteer authorized to participate in a volunteer program
sponsored by the Town, but shall not include an independent contractor.
The term "employee" shall include a former employee, his or her estate
or judicially appointed representative.
A.
The Town shall provide for the defense of an employee in
any civil action or proceeding in any municipal, state, federal or
other court or any administrative or judicial action or proceeding
arising out of any alleged act or omission which occurred or is alleged
in the complaint to have occurred while the employee was acting within
the apparent scope of his or her employment or duties, including an
action or proceeding which is brought to enforce a provision of 42
U.S.C. § 1981 or 1983. This duty to provide for a defense
shall not arise where such civil action or proceeding is brought by
or at the behest of the Town.
B.
Subject to the conditions set forth in § 19A-7 below, the employee shall be entitled to be represented by private counsel of his or her choice in any civil, judicial or administrative action or proceeding whenever the Town Attorney or other counsel designated by the Town Board determines that a conflict of interest exists or whenever a court, as provided by § 18 of the New York Public Officers Law, determines that a conflict of interest exists and that the employee is entitled to be represented by private counsel of his or her choice; provided, however, that the Town Attorney or other counsel designated by the Town Board may require, as a condition to payment of the fees and expenses of such representation, that appropriate groups of employees be represented by the same counsel. Reasonable attorneys' fees and litigation expenses shall be paid by the Town to such authorized private counsel from time to time during the pendency of the civil, judicial or administrative action or proceeding, subject to the usual audit. Any dispute with respect to representation of multiple employees and any other municipal defendants by a single counsel or the amount of litigation expenses or the reasonableness of attorneys' fees shall be resolved as provided in § 18 of the New York Public Officers Law.
If the claims or causes of action alleged against all defendants
in the action or proceeding pending against the employee are within
the coverage of any liability insurance policy issued to the Town,
the employee shall accept representation by counsel selected in accordance
with the terms of such policy.
A.
The Town shall indemnify and save harmless its employees
in the amount of any judgment or civil, administrative or judicial
charge or liability obtained against or imposed on such employees
in any municipal, state, federal or other court or administrative
or judicial forum or in the amount of any authorized settlement of
a matter or claim, provided that the act or omission from which such
judgment, charge, liability or settlement arose occurred while the
employee was acting within the apparent scope of his or her public
employment or duties. The duty to indemnify and save harmless prescribed
by this provision shall not arise where the injury or damage resulted
from intentional wrongdoing or recklessness on the part of the employee.
B.
In the case of settlement, the duty to indemnify and save
harmless shall be conditioned upon the approval of the settlement
by the Town Board.
C.
Nothing in this local law shall authorize the Town to indemnify
or save harmless an employee with respect to punitive or exemplary
damages, fines or penalties.
D.
Upon entry of a final judgment or imposition of a civil,
administrative or judicial charge or liability against or imposed
on an employee or upon the settlement of the matter or claim, the
employee shall cause to be served a copy of such judgment, the determination
imposing such charge or liability or the settlement, personally or
by certified or registered mail, within 30 days of the date of entry,
issue or settlement, upon the Supervisor's office, and if not
inconsistent with the provisions of this local law, such judgment,
charge, liability or settlement shall be paid by the Town.
The duty to defend or indemnify and save harmless prescribed
by this local law shall be conditioned upon delivery to the Town Attorney
or, if none, to the Town Supervisor by the employee of the original
or a copy of any summons, complaint, process, notice, demand or pleadings
within 10 days after he or she is served with such document and the
full cooperation of the employee in the defense of such action or
proceeding and in defense of any action or proceeding against the
Town based upon the same act or omission and in the prosecution of
any appeal. Such delivery shall be deemed a request by the employee
that the Town provide for his or her defense pursuant to this local
law, and the Town shall take the necessary steps on behalf of the
employee to avoid entry of a default judgment pending resolution of
any questions pertaining to the obligation to provide for a defense.
A.
The benefits of this local law shall inure only to employees
as defined herein and shall not enlarge or diminish the rights of
any other party, and no provision of this local law shall be construed
to affect, alter or repeat any provision of the Workers' Compensation
Law.
B.
The provisions of this local law shall not be construed
to impair, alter, limit or modify the rights and obligations of any
insurer under any policy of insurance.
C.
The provisions of this local law shall apply to all actions
and proceedings commenced on or after the effective date hereof or
hereafter instituted.
Except as otherwise specifically provided herein, the provisions
of this local law shall not be construed in any way to impair, alter,
limit, modify, abrogate or restrict any immunity available to or conferred
upon any unit, entity, officer or employee of the Town or any right
to defense and/or indemnification provided for any governmental officer
or employee by, in accordance with or by reason of any other provision
of Town, state or federal statutory or common law.
