Errors and Omissions Insurance. 1.0 Introduction and Definition

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1 Errors and Omissions Insurance 1.0 Introduction and Definition 1.1 Under the terms of this policy the word employee means any trustee of the Board of Education, any employee of the Hicksville Board of Education, or any other person holding a position by appointment or assignment, paid or unpaid, with the Board of Education. This policy does not cover independent contractors or employees of other firms performing work on the property of the school district. The term employee also refers to a former employee, his/her estate or judicially appointed personal representative. 2.0 Applicability of Policy 2.1 The Hicksville Board of Education has agreed by the adoption of this policy to confer the benefits of Section 18 of the Public Officers Law on its employees and further agrees to be held liable for the costs incurred under these provisions. 3.0 Guarantee of Legal Defense 3.1 If the employee complies with the provisions of this policy which are outlined in the following section, the Board of Education will 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/her duties. This duty to provide for a defense will not arise where such civil action or proceeding is brought or at the request of the Board of Education employing the employee. 3.2 The employee is entitled to be represented by private counsel of his/her choice in any civil action or proceeding whenever the Board of Education Attorney or other counsel designated by the board determines that a conflict of interest exists, or whenever a court, on appropriate motion or by special proceeding, determines that a conflict on interest exists and that the employee is entitled to be represented by his /her own counsel, provided, however, that the board attorney or other counsel designated by the board may require, as a condition to payment of fees and expenses of any case, that appropriate groups of employees be represented by the same private counsel. Reasonable attorney s fees and litigation expenses will be paid by the Board of Education to such private counsel from time to time during the course of the legal action with the approval of the Board of Education. 3.3 Any dispute about representation of groups of employees by a single counsel or about the amount of attorney s fees or their reasonableness will be resolved by the court on motion or by special proceeding

2 3.4 When the employee delivers process and a written request for a defense to the board under the provisions outlined in the following section, the board will act on behalf of the employee to avoid entry of a default judgment pending resolution of any question pertaining to the obligation to provide for the employee s defense. 4.0 Indemnification 4.1 The board will indemnify and save harmless its employees in the amount of any judgment obtained against those 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 the judgment or claim arose occurred while the employee was acting within the scope of his/her duties. In the case of a settlement, the duty to indemnify and save harmless will be conditioned on the approval of the amount of settlement by the Board of Education. 4.2 Except as otherwise provided by law, the duty to indemnify and save harmless prescribed by this policy will not arise where the injury or damage resulted from intentional wrongdoing or recklessness on the part of the employee. 4.3 Nothing in this policy will authorize the board 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 section fifty-one of the general municipal law, provided, however, that the board will 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/her duties, has without willfulness or intent, violated a prior order, judgment, consent decree or stipulation of settlement entered in any court of the State of New York or of the United States. 4.4 Upon entry of a final judgment against the employee, or on the settlement of the claim, the employee will give a copy, delivered personally or by registered or certified mail, to the Superintendent of Schools within thirty days of the date of entry or settlement. If not inconsistent with the provisions of this policy, the amount of such a judgment or settlement will be paid by the Board of Education. 5.0 Conditions for Indemnification 5.1 The duty to defend or indemnify and save harmless prescribed by this policy depends upon the employee s meeting the following conditions: 5.11 The employee must deliver to the Superintendent of Schools a written request to provide for his/her defense, together with the original or a copy of any summons, complaint, process notice, demand or leading within ten days after the employee is served with the document

3 5.12 The employee must give his/her full cooperation in the defense of such action or proceeding and in defense of any action or proceeding against the Board of Education based on the same act or omission, and in the prosecution of any appeal. 6.0 Extent of Policy Benefits 6.1 The benefits of this policy belong only to employees as defined in this statement and do not enlarge or diminish the rights of any other party, nor do they affect in any way any provision of the worker s compensation law. 7.0 Notice by Claimant 7.1 This policy does not in any way affect the obligations of any claimant to give notice to the Board of Education under section ten of the Court of Claims Act, Section 50-e of the General Municipal Law, or any other provision law. 8.0 Insurance Coverage for Errors and Omissions 8.1 The Board of Education is hereby authorized and empowered to purchase insurance from any insurance company created by or order the laws of the State of New York, 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 for the purposes of this policy. 9.0 Errors and Omissions Payments 9.1 All payments made under the terms of this policy, whether for insurance or otherwise are considered to be for a public purpose and will be audited and paid in the same way as all other public charges Rights of the Insurer 10.1 The provision of this policy are not construed to impair, alter, limit or modify the rights and obligations of any insurer under any insurance policy Liability Limitation 11.1 Expect as otherwise specifically provided in this policy, the provisions of this policy are not construed in any way to impair, alter, limit, modify, abrogate or restrict any immunity to liability available to or conferred on any unit, entity, officer or employee of the Board of Education by, in accordance with, or by reason of, any other provision of state or federal statutory or common law

4 12.0 Benefits in Lieu of Other Protections 12.1 Except as otherwise provided in this policy, benefits accorded to employees herein are in lieu o and take the place of defense or indemnification protections accorded to the same employees by another enactment; unless the Board of Education determines that these benefits supplement, and are available in addition to, defense or indemnification protection conferred by another enactment Coverage of Library Employees 13.1 The provisions of this section are also applicable to the employees of the Hicksville Public Library Severability 14.1 If any provision of this policy or its application to any person or circumstance is held unconstitutional or invalid in whole or in part by any court, the holding of unconstitutionality or invalidity will in no way affect or impair any other provision of this policy or its application to any other person or circumstance. Legal Reference: Section 18, Public Officer s Law Board Approval Date: November 22,

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