Authority To Indemnify Government Physician for Damages Paid in Malpractice Suit

An advisory opinion was requested as to whether the Governor of the Canal Zone is authorized to indemnify a government physician for damages paid in connection with a malpractice suit brought against the physician in his personal capacity for acts occurring in the Republic of Panama. In the absence of specific protective legislation authorizing heads of government agencies to hold harmless or provide liability insurance for medical personnel for negligent acts arising out of the performance of their official duties in a foreign country, these employees are subject to personal liability for such acts. Payment or reimbursement by the government under these circumstances would constitute an unauthorized expenditure of public funds.