§ 645. Limited liability. 1. As used in this section, the term\n"employee" shall mean the members of the board, president, officers,\nemployees, or a former employee, his or her estate or judicially\nappointed personal representative.\n 2. Neither the members of the board nor any officers or employee of\nthe trust acting on behalf thereof, while acting within the scope of\nsuch person's authority, shall be subject to any liability resulting\nfrom carrying out any of the powers expressly given in this article.\n 3. At the request of the employee, and upon compliance by the employee\nwith the provisions of this section, the trust shall provide for the\ndefense of an employee in any civil action or proceeding in any state or\nfederal court, arising out of any alleged act or omission which the\ntrust finds occurred while the employee was acting within the scope of\nhis or her public employment and in the discharge of his or her public\nduties and was not in violation of any rule or regulation of the trust\nat the time the alleged act or omission occurred. This duty to provide\nfor a defense and indemnification shall not arise where such civil\naction or proceeding is brought by or on behalf of the trust against the\nemployee.\n 4. The trust shall indemnify and hold harmless its employees in the\namount of any civil judgment obtained against such employees in any\nstate or federal court, or in the amount of any settlement of a claim\napproved by the trust provided that the act or omission from which such\njudgment or settlement arose occurred while the employee was acting\nwithin the scope of his or her public employment and in the discharge of\nhis or her public duties and was not in violation of any rule or\nregulation of the trust at the time the alleged damages were sustained.\nThe duty to indemnify and hold harmless prescribed by this section shall\nnot arise where the injury or damage resulted from an intentional\nwrongdoing, or recklessness on the part of the employee. Nothing in this\nsection shall authorize the trust to indemnify or hold harmless an\nemployee with respect to punitive or exemplary damages, fines or\npenalties.\n 5. The duty to defend and indemnify and hold harmless prescribed by\nthis section shall be conditioned upon (a) delivery by the employee to\nthe president or general counsel of the trust at the office of the trust\nof the original or a copy of any summons, complaint, claim, process,\nnotice, demand or pleading within ten days after the employee is served\nwith such document, and (b) the full cooperation of the employee in the\ndefense of such action or proceeding and in defense of any action or\nproceeding against the trust based upon the same act or omission, and in\nthe prosecution of any appeal. Such delivery shall be deemed a request\nby the employee that the trust provide for his or her defense pursuant\nto this section. In the event that the trust shall assume an employee's\ndefense and thereafter the employee fails or refuses to cooperate in the\nformation or presentation of his or her defense, the court shall permit\nthe trust to withdraw its representation ten days after giving written\nnotice to the employee of its intention to discontinue such\nrepresentation.\n 6. In the event that the act or omission upon which the court\nproceeding against the employee is based was or is also the basis of a\ndisciplinary proceeding by the trust against the employee,\nrepresentation and indemnification by the trust, as set forth in this\nsection, may be withheld (a) until such disciplinary proceeding has been\nresolved, and (b) unless the resolution of the disciplinary proceeding\nexonerated the employee as to such act or omission.\n 7. Subject to the conditions set forth in this section, such employee\nshall be entitled to representation by the general counsel of the trust\nor by any attorney or attorneys designated by the general counsel,\nprovided, however, that the employee shall be entitled t
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