Chapter 2.36
LEGAL REPRESENTATION OF EMPLOYEES
Sections:
2.36.020 When and by whom provided.
2.36.030 Exclusions--Designated.
2.36.040 Exclusions--Determination.
2.36.050 Representation and payment of claims--Conditions.
2.36.060 Effect of compliance with conditions.
2.36.070 Failure to comply with conditions.
2.36.080 Reimbursement of incurred expenses.
2.36.090 Conflict with provisions of insurance policies.
2.36.100 Applicability to pending claims.
2.36.010 Definitions.
Unless the context indicates otherwise, the words and phrases used in this chapter shall have the following meanings:
A. “Employee” means any person who is or has been employed by the town.
B. “Official” means any person who is serving or has served as an elected town official, and any person who is serving or has served as an appointed member of any town board, commission, or committee.
C. “Claim” means, in addition to those claims for damages as defined in Section 2.36.050, any proceeding brought by any state of Washington, county of Lincoln or federal agency wherein it is alleged that an employee has violated the provisions of any rules as promulgated by any administrative agency. The fact that the remedy sought in the administrative proceeding is a fine or other monetary assessment to be paid by the employee or involves the threatened loss of any license, certificate or permit issued by an administrative agency, shall not disallow the proceeding as a claim hereunder, so long as it is not otherwise excluded under Section 2.36.030. (Ord. 238 §1, 1991; Ord. 170-B §1, 1985)
2.36.020 When and by whom provided.
A. As a condition of service or employment with the town, the town shall provide to an official or employee, subject to the conditions and requirements of this chapter, and notwithstanding the fact that such official or employee may have concluded service or employment with the town, such legal representations as may be reasonably necessary to defend a claim or lawsuit filed against such official or employee resulting from any conduct, act, or omission of such official or employee performed or omitted on behalf of the town in their capacity as a town official or employee, which act or omission is within the scope of their service or employment with the town.
B. Except as may be provided in any applicable policy of municipal insurance, such legal representation shall be provided by the town attorney or by an attorney designated by the town attorney. (Ord. 170-B §2, 1985)
2.36.030 Exclusions--Designated.
A. The obligations assumed under this chapter by the town and the town attorney shall not apply to:
1. Any dishonest, fraudulent, criminal, or malicious act of an official or employee;
2. Any act of an official or employee which is not performed on behalf of the town;
3. Any act which is outside the scope of an official's or employee's service or employment with the town; or
4. Any lawsuit brought by or on behalf of the town.
B. The provisions of this chapter shall have no force or effect with respect to any accident, occurrence, or circumstance for which the town or the official or employee is insured against loss or damages under the terms of any valid insurance policy. (Ord. 170-B §3, 1985)
2.36.040 Exclusions--Determination.
The determination of whether an official or employee is entitled to a defense by the town under the terms of this chapter shall be made by the town attorney. There shall be no appeal from such determination, except to the superior court by means of an action for declaratory judgment. (Ord. 170-B §4, 1985)
2.36.050 Representation and payment of claims--Conditions.
The provisions of this chapter shall be applicable, provided that the following conditions are made:
A. In the event of any incident or cause of conduct potentially giving rise to a claim for damage, or the commencement of a suit, the official or employee involved shall, as soon as practicable, give the town attorney written notice thereof, identifying the official or employee involved, all information known to the official or employee involved, all information known to the official or employee with respect to the date, time, place, and circumstances surrounding the incident or conduct giving rise to the claim or lawsuit, as well as the names and addresses of all persons allegedly injured or other damaged thereby, and the names and addresses of all witnesses;
B. Upon receipt thereof, the official or employee shall forthwith deliver any claim, demand, notice, or summons or other process relating to any such incident or conduct to the town attorney, and shall cooperate with the town attorney or an attorney designated by the town attorney, and, upon request, assist in making settlements of any suits and enforcing any claim for any right of subrogation against any persons or organizations that may be liable to the town because of any damage or claim of loss arising from such incident or course of conduct;
C. Such officials or employees shall attend interviews, depositions, hearings and trials and shall assist in securing and giving evidence and obtaining attendance of witness; and
D. Such officials or employees shall not accept nor voluntarily make any payment, assume any obligation, or incur any expense other than for first aid to others at the time of any incident or course of conduct giving rise to any such claim, loss, or damage. (Ord. 170-B §5, 1985)
2.36.060 Effect of compliance with conditions.
If legal representation of an official or employee is undertaken by the town attorney, all of the conditions of representation are met, and a judgment is entered against the official or employee, or a settlement made, the town shall pay such judgment or settlement; provided, that the town may at its discretion appeal as necessary such judgment. (Ord. 170-B §6, 1985)
2.36.070 Failure to comply with conditions.
In the event that any official or employee fails or refuses to comply with any of the conditions of Section 2.36.050 of this chapter, or elects to provide his/her own representation with respect to any such claim or litigation, then all of the provisions of this chapter shall be inapplicable, and have no force or effect with respect to any such claim or litigation. (Ord. 170-B §7, 1985)
2.36.080 Reimbursement of incurred expenses.
A. If the town attorney determines that an official or employee does not come within the provisions of this chapter, and a court of competent jurisdiction later determines that such claim does come within the provisions of this chapter, then the town shall pay any judgment rendered against the official or employee and reasonable attorney's fees incurred in the defending against the claim. The town shall pay any attorney's fees incurred in obtaining the determination that such claim is covered by the provisions of this chapter.
B. If the town attorney determines that a claim against a town official or employee does come within the provisions of this chapter, and a court of competent jurisdiction later finds that such claim does not come within the provisions of this chapter, then the town shall be reimbursed for costs or expenses incurred in obtaining the determination that such claim is not covered by the provisions of this chapter. (Ord. 170-B §8, 1985)
2.36.090 Conflict with provisions of insurance policies.
Nothing contained in this chapter shall be construed to modify or amend any provision of any policy of insurance where any town official or employee thereof is the named insured. In the event of any conflict between this chapter and the provisions of any such policy of insurance, the policy provisions shall be controlling; provided, however, that nothing contained in this section shall be deemed to limit or restrict any official's or employee's right to full coverage pursuant to this chapter, it being the intent of this chapter and section to provide complete coverage outside and beyond insurance policies which may be in effect, while not compromising the terms and conditions of such policies by any conflicting provision contained in this chapter. (Ord. 170-B §9, 1985)
2.36.100 Applicability to pending claims.
The provisions of this chapter shall apply to any pending claim or lawsuit against an official or employee, or any such claim or lawsuit hereafter filed, irrespective of the date of the events or circumstances which are the basis of such claim or lawsuit. (Ord. 170-B §10, 1985)