§ 33-15. Additional legal and financial protection.  


Latest version.
  • A. 
    Legislative intent. The purpose of this section is to provide legal and financial protection for those individuals serving the Incorporated Village of Bellerose (the "Village") from losses which may be brought against them in their individual capacity for actions taken while in the performance of their official duties and responsibilities. In enacting this section, the Board of Trustees finds that the State of New York has enacted similar provisions for the legal and financial security of its officers and employees and further finds that such security is also required for local personnel. By enactment of this section, the Board of Trustees does not intend to limit or otherwise abrogate any existing right or responsibility of Bellerose Village or its employees with regard to indemnification or legal defense. It is solely the intent of this section to provide similar coverage for Village employees as is presently provided for state employees, so as to continue to attract qualified individuals to local government service.
    B. 
    Pursuant to Public Officers Law § 18, Defense and indemnification of officers and employees of public entities:
    (1) 
    Definitions. As used in this section, unless the context otherwise requires, the following terms shall have the meanings indicated:
    EMPLOYEE
    Any commissioner, member of a public board, commission, trustee, officer, employee, volunteer expressly authorized to participate in a publicly sponsored volunteer program, or any other person holding a position by election, appointment or employment in the service of the Village of Bellerose, whether or not compensated, but shall not include any independent contractor. The term "employee" shall include a former employee, his/her estate or judicially appointed personnel representative.
    GOVERNING BODY
    The Board of Trustees.
    HIS
    Shall include masculine and feminine.
    PUBLIC ENTITY AND VILLAGE
    The Incorporated Village of Bellerose.
    (2) 
    The Board of Trustees hereby intends, by the adoption of this section, to confer the benefits of this section upon its employees and to have the Village held liable for the costs incurred under these provisions.
    (3) 
    Duty to provide defense.
    (a) 
    Upon compliance by the employee with the provisions of Subsection B(5) of this section, the Village shall provide for the defense of the employee in any civil action or proceeding, state or federal, arising out of any alleged act or omission which occurred or allegedly occurred while the employee was acting within the scope of his public employment or duties. 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 Village.
    (b) 
    Subject to the conditions set forth in Subsection B(3)(a), the employee shall be entitled to be represented by private counsel of his choice in any civil action or proceeding whenever the Village Attorney or other counsel designated by the Board of Trustees determines that a conflict of interest exists, or whenever a court, upon appropriate motion or otherwise by a special proceeding determines that a conflict of interest exists amid that the employee is entitled to be represented by counsel of his choice; provided, however, that the Village Attorney or other counsel designated by the Board of Trustees may require, as a condition to payment of fees and expenses of such representation, that appropriate groups of such employees be represented by the same counsel. Reasonable attorney's fees and litigation expenses shall be paid by the Village to such private counsel from time to time during the pendency of the civil action or proceeding with the approval of the Board of Trustees.
    (c) 
    Any dispute with respect to representation of multiple employees by a single counsel or the amount of litigation expenses or the reasonableness of attorney's fees shall be resolved by the court upon motion or by way of special proceeding.
    (d) 
    Where the employee delivers process and a written request for a defense to the Village under Subsection B(5) of this section, the Village shall take the necessary steps on behalf of the employee to avoid entry of a default judgment pending resolution of any question pertaining to the obligation to provide for a defense.
    (4) 
    Amount of indemnification; conditions; exceptions.
    (a) 
    The Village shall indemnify and save harmless its employees in the amount of any judgment obtained against such employees in a state or federal court, or in the amount of any settlement of a claim, provided that the act or omission from which such judgment or claim arose occurred while the employee was acting within the scope of his public employment or duties; provided, further, that in the case of a settlement, the duty to indemnify and save harmless shall be conditioned upon the approval of the amount of settlement by the governing body of the public entity.
    (b) 
    Except as otherwise provided by law, the duty to indemnify and save harmless prescribed by this subdivision shall not arise where the injury or damage resulted from intentional wrongdoing or recklessness on the part of the employee.
    (c) 
    Nothing in this subdivision shall authorize the Village to indemnify or save harmless an employee with respect to punitive or exemplary damages, fines or penalties, or money recovered from an employee pursuant to § 51 of the General Municipal Law; provided, however, that the Village shall indemnify and save harmless its employees in the amount of any costs, attorney's fees, damages, fines or penalties which may be imposed by reason of an adjudication that an employee, acting within the scope of his public employment or duties, has, without willfulness or intent on his part, violated a prior order, judgment, consent decree or stipulation of settlement entered in any Court of this state or of the United States.
    (d) 
    Upon entry of a final judgment against the employee, or upon the settlement of the claim, the employee shall serve a copy of such judgment or settlement, personally or by certified or registered mail, within 30 days of the date of entry or settlement, upon the Village Clerk; and the amount of such judgment or settlement shall be paid by the Village upon resolution of the Board of Trustees.
    (5) 
    The duty to defend or indemnify and save harmless prescribed by this section shall be conditioned upon:
    (a) 
    Delivery by the employee to the Village Attorney or Village Clerk of a written request to provide for his defense together with the original or a copy of any summons, complaint, process, notice, demand or pleading within 10 days after he is served with such document; and
    (b) 
    The full cooperation of the employee in the defense of such action or proceeding and in defense of any action or proceeding against the Village based upon the same act or omission, and in the prosecution of any appeal.
    (6) 
    The benefits of this section shall inure only to employees as defined herein and shall not enlarge or diminish the rights of any other party, nor shall any provision of this section be construed to affect, alter or repeal any provision of the Workers' Compensation Law.
    (7) 
    This section shall not in any way affect the obligation of any claimant to give notice to the public entity under the Court of Claims Act § 51 or any other provision of law.
    (8) 
    The Village is hereby authorized to purchase insurance from any insurance company created by or under the laws of this state, or authorized by law to transact business in this state, against any liability imposed by the provisions of this section or to act as a self-insurer with respect thereto.
    (9) 
    All payments made under the terms of this section, whether for insurance or otherwise, shall be deemed to be for a public purpose and shall be audited and paid in the same manner as other public charges.
    (10) 
    The provisions of this section shall not be construed to impair, alter, limit or modify the rights and obligations of any insurer under any policy of insurance.
    (11) 
    Except as otherwise specifically provided in this section, the provisions of this section shall not be construed in any way to impair, alter, limit, modify, abrogate or restrict any immunity to liability available to or conferred upon any unit, entity, officer or employee of the Village by, in accordance with, or by reason of, any other provision of state or federal statutory or common law.
    (12) 
    Except as otherwise provided in this section, benefits accorded to employees under this section shall be in lieu of and take the place of defense or indemnification protections accorded the same employees by another enactment, unless the Board of Trustees shall have provided that these benefits shall supplement, and be available to, defense or indemnification protection conferred by another enactment.
    (13) 
    If any provision of this section or the application thereof to any person or circumstance be held unconstitutional or invalid in whole or in part by any court, such holding of unconstitutionality or invalidity shall in no way affect or impair any other provision of this section or the application of any such provision to any other person or circumstance.
Added 6-28-2004 by L.L. No. 2-2004