Vermont Statutes Title 12 Sec. 5606
Terms Used In Vermont Statutes Title 12 Sec. 5606
- Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
- employee: means any person defined as a State employee by 3 V. See
- Indemnification: In general, a collateral contract or assurance under which one person agrees to secure another person against either anticipated financial losses or potential adverse legal consequences. Source: FDIC
- Person: shall include any natural person, corporation, municipality, the State of Vermont or any department, agency, or subdivision of the State, and any partnership, unincorporated association, or other legal entity. See
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- State: when applied to the different parts of the United States may apply to the District of Columbia and any territory and the Commonwealth of Puerto Rico. See
- Statute: A law passed by a legislature.
§ 5606. Indemnification of employees
(a) In any action defended by the Attorney General or the Attorney General’s designee in which a judgment is rendered against an employee of the State for acts or omissions within the scope of his or her employment, or a settlement requires payment by such a person, and the right of action is based upon 42 U.S.C. § 1983, or under a similar federal statute where State law is incapable of establishing employee immunity, the State shall indemnify the employee for the amount of the employee’s liability.
(b) The maximum liability of the State under this section shall be $500,000.00 to any one person and the maximum aggregate liability shall be $2,000,000.00 to all persons arising out of each occurrence.
(c) Notwithstanding subsection (a) of this section, no indemnification shall be paid:
(1) for a judgment or settlement which results from gross negligence or willful misconduct; or
(2) for a settlement not approved by the Attorney General or the Attorney General’s designee; or
(3) if the employee did not ensure that the Attorney General had timely notice of the action or the employee did not cooperate in the defense of the action.
(d) Upon certification by the Attorney General to the Commissioner of Finance and Management that an employee is eligible for indemnification under this section, the Commissioner shall issue a warrant for payment against funds available to the employee’s department or agency. If the Attorney General believes there is reasonable doubt about whether the officer or employee is eligible for indemnification, the Attorney General shall refer the matter to the Labor Relations Board which may decide the matter. The decision of the Board shall not be subject to appeal. (Added 1989, No. 114, § 5, eff. June 20, 1989; amended 1989, No. 114, § 11(b); 2011, No. 40, § 36a, eff. May 20, 2011.)