City of Decatur v. Georgia Presbyterian Homes, Inc.

The Court of Appeals found that an implied contract between the City of Decatur and Georgia Presbyterian Homes, Inc., was ultra vires and void under OCGA § 36-30-3 (formerly Code § 69-202).1 Georgia Presbyterian Homes, Inc. v. City of Decatur, 165 Ga. App. 395 (299 SE2d 900) (1983).

We granted certiorari to determine the applicability of OCGA § 36-30-3 (Code Ann. § 69-202) to a contract fully executed by the city, where the only remaining obligations were owed to the city by the other party to the contract, and the party with obligations remaining relied upon the Code section which was enacted…