It is the legislative intent of the Borough of Lindenwold to
indemnify all employees and appointed and elected officials of the
Borough of Lindenwold from claims resulting from their appointment
and service as officials of the Borough of Lindenwold in the course
of their service, appointment, election or employment thereof as per
N.J.S.A. 59:10-4.
The Borough of Lindenwold shall indemnify, defend, and hold
harmless municipal employees and appointed and elected municipal officials
for any claim made against them as a result of an alleged negligent
act or omission, provided that said claim and/or alleged act or omission
occurred or accrued during the course of their term of office or employment
with the Borough of Lindenwold, and arose out of and is directly related
to the official's or employee's lawful exercise of authority
in the furtherance of their official duties with the Borough of Lindenwold.
The Borough of Lindenwold shall pay on behalf of the aforesaid
and hereinbelow defined municipal employees and/or officials for all
losses which said officials and/or employees shall be legally obligated
to pay for any civil claim made against them as a result of a negligent
act or omission, provided that the claim is made for an occurrence
or claim which occurred or accrued during the period of their appointment
and/or employment with the Borough of Lindenwold. In the event that
a civil lawsuit is filed against said official and/or employee, legal
counsel shall be retained by the Borough at no expense to the said
employee and/or official.
The Borough of Lindenwold shall indemnify and pay any loss arising
from any civil claim resulting from a negligent act or omission made
against the estate, heirs, legal representatives or assigns of any
municipal employee or public official who are acting in the aforesaid
capacity at the time of their appointment or employment with the Borough
of Lindenwold.
As used in this article, the following terms shall have the
meanings indicated:
MUNICIPAL OFFICIAL and MUNICIPAL EMPLOYEE
Those persons appointed or employed by the Borough of Lindenwold,
including any board, commission or unit of the Borough of Lindenwold,
which is defined below. "Municipal employee" or "municipal official"
shall not mean and does not apply to any person working on a retainer
or contractual agreement generally known as an "independent contractor."
PUBLIC OFFICIAL and PUBLIC EMPLOYEE
All persons who were, now are or shall be lawfully elected
or lawfully appointed members of the Borough of Lindenwold, including
any board, commission or authority of the Borough of Lindenwold, and
shall include such members of such commissions, boards or other units
operated by and under the jurisdiction of such governing body and
within an appointed total operating budget, including but not limited
to the Joint Land Use Board, Lindenwold Park and Recreation Commission,
Lindenwold Library Advisory Board, Lindenwold Emergency Management
Committee or any future Lindenwold commission.
WRONGFUL ACTS
Any error, negligent act or omission, neglect, or unintentional
breach of duty by a municipal employee or official, acting in their
capacity as a public official or employee of the Borough of Lindenwold,
and which arose out of and is directly related to the official's
or employee's lawful exercise of authority in the furtherance
of their official duties.
In the event that a Borough employee or official, as defined in §
34-55 above, is indicted or otherwise charged with a criminal or quasi-criminal offense, and in the further event that said individual is acquitted or, in the alternative, if the charges are dropped or dismissed with prejudice by the prosecuting authority, then and only in these two events shall the Borough of Lindenwold indemnify said individual for legal fees in defending the criminal action and accrued back salary owed to the individual by virtue of a suspension, if applicable. This section creating indemnification shall only apply in those criminal or quasi-criminal matters which arise out of or occur in the course of the municipal employee's or official's appointment with the Borough of Lindenwold. In the event that any criminal or quasi-criminal charge is filed against said municipal official or municipal employee, as defined in §
34-55, which do not arise out of the employment or appointment with the Borough of Lindenwold, no indemnification coverage will be issued by the Borough of Lindenwold.
The provisions of this section shall not apply in the following
circumstances:
A. For any action, disciplinary proceeding, or other legal proceeding
brought, prosecuted, and or initiated by the Borough of Lindenwold
against the official or employee.
B. Where there has been a finding by a trier of fact in any civil or
criminal proceeding that the employee or official has committed an
act of fraud, acted with malice, or otherwise engaged in willful misconduct.
C. Where the official or employee is determined to have violated any
provision of the Local Government Code of Ethics, N.J.S.A. 40A:9-22.5.
D. Where the action or legal proceeding does not arise out of the official's
or employee's lawful exercise of authority in the furtherance
of their official duties.
E. Where any insurance coverage is available for payment or defense
of the claim.
F. For any judgment for punitive or exemplary damages unless the governing
body first determines that the official's or employee's
actions did not constitute actual fraud, actual malice, gross misconduct,
or an intentional tort.
G. In the event an official or employee engages an attorney without
the prior approval of the Borough, all attorney fees and costs so
incurred shall be the sole responsibility of that official or employee.