First Regular Session 112th General Assembly (2001)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
this style type, and deletions will appear in
this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
this style type. Also, the
word
NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in
this style type or
this style type reconciles conflicts
between statutes enacted by the 2000 General Assembly.
HOUSE ENROLLED ACT No. 1307
AN ACT to amend the Indiana Code concerning civil procedure.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 34-13-2-1; (01)HE1307.1.1. -->
SECTION 1. IC 34-13-2-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 1. A present or
former public employee, including a member of a board, a
committee, a commission, an authority, or another instrumentality
of a governmental entity, is not personally liable on contracts entered
into within the scope of the employee's employment for a governmental
entity unless it is clearly otherwise indicated in writing.
SOURCE: IC 34-13-3-5; (01)HE1307.1.2. -->
SECTION 2. IC 34-13-3-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 5. (a)
Civil actions
relating to acts taken by a board, a committee, a commission, an
authority, or another instrumentality of a governmental entity may
be brought only against the board, the committee, the commission,
the authority, or the other instrumentality of a governmental
entity. A member of a board, a committee, a commission, an
authority, or another instrumentality of a governmental entity may
not be named as a party in a civil suit that concerns the acts taken
by a board, a committee, a commission, an authority, or another
instrumentality of a governmental entity where the member was
acting within the scope of the member's employment. For the
purposes of this subsection, a member of a board, a committee, a
commission, an authority, or another instrumentality of a
governmental entity is acting within the scope of the member's
employment when the member acts as a member of the board,
committee, commission, authority, or other instrumentality.
(b) A judgment rendered with respect to or a settlement made by a
governmental entity bars an action by the claimant against an
employee, including a member of a board, a committee, a
commission, an authority, or another instrumentality of a
governmental entity, whose conduct gave rise to the claim resulting
in that judgment or settlement. A lawsuit alleging that an employee
acted within the scope of the employee's employment must be
exclusive to the complaint and bars an action by the claimant against
the employee personally. However, if the governmental entity answers
that the employee acted outside the scope of the employee's
employment, the plaintiff may amend the complaint and sue the
employee personally. An amendment to the complaint by the plaintiff
under this subsection must be filed not later than one hundred eighty
(180) days from the date the answer was filed and may be filed
notwithstanding the fact that the statute of limitations has run.
(b) (c) A lawsuit filed against an employee personally must allege
that an act or omission of the employee that causes a loss is:
(1) criminal;
(2) clearly outside the scope of the employee's employment;
(3) malicious;
(4) willful and wanton; or
(5) calculated to benefit the employee personally.
The complaint must contain a reasonable factual basis supporting the
allegations.
(c) (d) Subject to the provisions of sections 4, 14, 15, and 16 of this
chapter, the governmental entity shall pay any judgment, compromise,
or settlement of a claim or suit against an employee when:
(1) the act or omission causing the loss is within the scope of the
employee's employment, regardless of whether the employee can
or cannot be held personally liable for the loss; and
(2) the:
(A) governor in the case of a claim or suit against a state
employee; or
(B) governing body of the political subdivision, in the case of
a claim or suit against an employee of a political subdivision;
determines that paying the judgment, compromise, or settlement
is in the best interest of the governmental entity.
(d) (e) The governmental entity shall provide counsel for and pay all
costs and fees incurred by or on behalf of an employee in defense of a
claim or suit for a loss occurring because of acts or omissions within
the scope of the employee's employment, regardless of whether the
employee can or cannot be held personally liable for the loss.
(e) (f) This chapter shall not be construed as:
(1) a waiver of the eleventh amendment to the Constitution of the
United States;
(2) consent by the state of Indiana or its employees to be sued in
any federal court; or
(3) consent to be sued in any state court beyond the boundaries of
Indiana.
SOURCE: IC 34-13-3-20; (01)HE1307.1.3. -->
SECTION 3. IC 34-13-3-20 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 20. (a) A political
subdivision may purchase insurance to cover the liability of itself or its
employees, including a member of a board, a committee, a
commission, an authority, or another instrumentality of a
governmental entity. Any liability insurance so purchased shall be
purchased by invitation to and negotiation with providers of insurance
and may be purchased with other types of insurance. If such a policy is
purchased, the terms of the policy govern the rights and obligations of
the political subdivision and the insurer with respect to the
investigation, settlement, and defense of claims or suits brought against
the political subdivision or its employees covered by the policy.
However, the insurer may not enter into a settlement for an amount that
exceeds the insurance coverage without the approval of the mayor, if
the claim or suit is against a city, or the governing body of any other
political subdivision, if the claim or suit is against such political
subdivision.
(b) The state may not purchase insurance to cover the liability of the
state or its employees. This subsection does not prohibit any of the
following:
(1) The requiring of contractors to carry insurance.
(2) The purchase of insurance to cover losses occurring on real
property owned by the public employees' retirement fund or the
Indiana state teachers' retirement fund.
(3) The purchase of insurance by a separate body corporate and
politic to cover the liability of itself or its employees.
(4) The purchase of casualty and liability insurance for foster
parents (as defined in IC 27-1-30-4) on a group basis.
SOURCE: IC 34-13-4-1; (01)HE1307.1.4. -->
SECTION 4. IC 34-13-4-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 1. If a present or
former public employee,
including a member of a board, a
committee, a commission, an authority, or another instrumentality
of a governmental entity, is or could be subject to personal civil
liability for a loss occurring because of a noncriminal act or omission
within the scope of the public employee's employment which violates
the civil rights laws of the United States, the governmental entity shall,
subject to IC 34-13-3-4, IC 34-13-3-14, IC 34-13-3-15, and
IC 34-13-3-16, pay any judgment, compromise, or settlement of the
claim or suit when:
(1) the governor, in the case of a claim or suit against a state
employee; or
(2) the governing body of the political subdivision, in the case of
a claim or suit against an employee of a political subdivision;
determines that paying the judgment, compromise, or settlement is in
the best interest of the governmental entity. The governmental entity
shall also pay all costs and fees incurred by or on behalf of a public
employee in defense of the claim or suit.
SOURCE: ; (01)HE1307.1.5. -->
SECTION 5.
An emergency is declared for this act.
HEA 1307 _ Concur
Figure
Graphic file number 0 named seal1001.pcx with height 58 p and width 72 p Left aligned