Local Government Act 2002

Governance and management of local authorities and community boards - Local authorities - Other governance matters

43: Certain members indemnified

You could also call this:

“Protecting local council members from legal problems when doing their job”

You are protected by your local authority if someone takes legal action against you for something you did as a member of the local authority, a committee, community board, or other group that makes decisions for the local authority. This protection applies whether you were elected or appointed to your position.

The local authority will cover your costs and damages if you are sued by someone else. However, this only applies if you were acting in good faith and trying to do your job for the local authority or its groups.

If you are accused of a crime related to your work as a member and you successfully defend yourself, the local authority will also cover those costs.

This protection doesn’t apply if you cause a loss that’s covered in section 46 of this law.

It’s important to know that if you’re a director of an organisation controlled by the council, the local authority can’t protect you for things you do or don’t do in that role.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM171861.

Topics:
Government and voting > Local councils
Rights and equality > Anti-discrimination

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“The council boss who runs things and helps make decisions”


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Part 4 Governance and management of local authorities and community boards
Local authorities: Other governance matters

43Certain members indemnified

  1. A member of a local authority (or a committee, community board, or other subordinate decision-making body of that local authority) is indemnified by that local authority, whether or not that member was elected to that local authority or community board under the Local Electoral Act 2001 or appointed by the local authority, for—

  2. costs and damages for any civil liability arising from any action brought by a third party if the member was acting in good faith and in pursuance (or intended pursuance) of the responsibilities or powers of the local authority (or committee, community board, or other subordinate decision-making body of that local authority); and
    1. costs arising from any successfully defended criminal action relating to acts or omissions in his or her capacity as a member.
      1. Subsection (1) does not apply to a member's liability for a loss under section 46.

      2. To avoid doubt, a local authority may not indemnify a director of a council-controlled organisation for any liability arising from that director's acts or omissions in relation to that council-controlled organisation.