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8.17 Employee Indemnification Policy

8.17 Employee Indemnification Policy

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This online version is for convenience; the official version of this policy is housed in the University Secretariat. In case of discrepancy between the online version and the official version held by the Secretariat, the official version shall prevail.

Approving Authority: Board of Governors

Original Approval Date: October 11, 2023

Date of Most Recent Review/Revision: February 13, 2025

Office of Accountability: University Counsel and Chief Legal Officer

Administrative Responsibility: Legal Services and Fair Practices Office

1.00 Purpose

1.01 This Policy outlines the scope of the indemnity against costs arising from legal action brought against Eligible Employees of the University. The Policy describes who is eligible for an indemnity, the conditions under which the indemnity will apply, and the procedures that an Eligible Employee must follow. The Policy also provides for specific requirements and procedures for the indemnification of Special Constable Services (SCS) Employees. The Board of Governors By-Law No. 2 outlines the scope of indemnification of members of the Board of Governors of the University.

2.00 Definitions 

2.01 Indemnify: To make compensation for loss, damage, or expenses incurred.

2.02 Employee: a person who performs work for wages in any capacity for the University.

2.03 Eligible Employee(s): Employees and former Employees, and their heirs and legal representatives, who satisfy the conditions for eligibility outlined in this Policy and Procedures.

2.04 Necessary and Reasonable Legal Costs: those costs based on the account rendered by the lawyer performing the work, subject to the approval of the University Counsel and Chief Legal Officer and, in the case of dispute between the lawyer performing the work and the University Counsel and Chief Legal Officer, assessment of the account pursuant to the Rules of Civil Procedure of Ontario.

3.00 Jurisdiction/Scope

3.01 This Policy applies to all Eligible Employees of the University.

3.02 Nothing in this Policy is intended to amend or supersede any grievance procedure or other aspect of any applicable collective agreement or employment contract, as the case may be.

4.00 Policy

4.01 Subject to the provisions of this Policy and Procedures, Eligible Employees will be indemnified and saved harmless, in whole or in part, from and against all Necessary and Reasonable Legal Costs, charges and expenses whatsoever. This includes amounts paid to settle an action or satisfy a judgment.

4.02 Eligible Employees are covered for any such costs that they sustain or incur in, or because of any civil, criminal, or administrative action, suit or proceeding brought, commenced or prosecuted against them. This applies to acts, deeds, matters or things whatsoever, made, done or permitted by the Eligible Employee in the course of their employment with the University.

4.03 Coverage is extended provided they acted honestly and in good faith, with a view to the best interests of the University and operated within the scope of their employment duties and responsibilities. For criminal cases or administrative actions or proceedings enforceable by a monetary penalty, such Eligible Employee must have had reasonable grounds for believing that their conduct was lawful.

4.04 Notwithstanding Sections 4.01 to 4.03, the University may refuse to indemnify and cover necessary and reasonable expenses where:

a. the Eligible Employee initiates, maintains, or takes part in a claim against the University with respect to the same event(s) or incident(s) that are at issue in the matter for which they are relying upon the indemnity provided for under this Policy. For greater clarity, this provision does not prevent or restrict an Eligible Employee’s rights to seek remedies through grievance procedures or applicable human rights policies and legislation; or

b. the Eligible Employee fails to cooperate fully with the University in the defense of any such proceedings.

4.05 When one or more Eligible Employees require representation with respect to the claim or claims, legal representation may be shared where appropriate.

4.06 Eligible Employees shall not be indemnified for legal costs arising from the actions or omissions of the Eligible Employee acting in their capacity as private citizens.

4.07 The decision to indemnify an Eligible Employee does not preclude the University from taking internal corrective or disciplinary action, if and where appropriate.

Relevant Legislation

Related Policies, Procedures and Documents

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