§ 68. Compromise of actions, proceedings or claims. 1. The town board
of any town may compromise or settle:

a. An action or proceeding against the town, with the approval of the
court in which such action or proceeding is pending.

b. Any claim presented pursuant to section sixty-five-a or sixty-seven
of this chapter, with the approval of a justice of the supreme court of
the judicial district in which such town is located.

2. The order of the court or the justice approving such settlement or
compromise may be granted upon the motion of an officer of the town
designated by the town board, supported by the affidavit of such officer
setting forth the cause of action or the claim against the town and also
such other information which, in his opinion, will enable the court or
the justice to arrive at a determination that such compromise or
settlement is just, reasonable and to the interest of the town. Such
officer may also present the affidavits of other persons in support of
his motion. The court or the justice, in order to arrive at such a
determination, may require such officer to present additional
information by a supplemental affidavit or affidavits or may require
other persons to present additional information by their affidavits.

3. Upon obtaining the approval of the court or the justice, the town
board may pay the amount of such compromise or settlement from funds or
sources authorized pursuant to section one hundred twelve of this
chapter.

4. Notwithstanding the foregoing provisions of this section, the town
board of any town may compromise or settle any action, proceeding or
claim against the town upon such terms as said board shall determine are
just, reasonable and to the interest of the town.