Justia Georgia Supreme Court Opinion Summaries

Articles Posted in Government Contracts
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In 1969, the Cities of Atlanta and College Park entered into an agreement for purposes of expanding Atlanta Hartsfield-Jackson International Airport. One of the provisions of the granted Atlanta the exclusive right to collect and levy occupation taxes from businesses located at the Airport that were within the city limits of College Park. In 2007, after commissioning a study for the purpose of reassessing this relationship, College Park informed Atlanta and Airport businesses that it would no longer honor the 1969 Agreement and that it would seek to collect occupation taxes from the Airport businesses including Atlanta's proprietary business operations. Atlanta filed a declaratory action in seeking a judgment that the 1969 Agreement controlled the collection of occupation taxes from businesses operating at the Airport within College Park. Both Atlanta and College Park moved for partial summary judgment, and, in ruling on the cross motions, the trial court found that Atlanta and College Park's 1969 Agreement was unenforceable. The trial court further ruled that OCGA 48-13-13 (5), which prohibited local governments from levying an occupation tax on any "local authority," precluded College Park from levying an occupation tax on Atlanta's proprietary operations because Atlanta met the definition of a "local authority" under the statute. Both parties appealed, and the Court of Appeals affirmed the trial court's judgment invalidating the 1969 Agreement, but reversed the trial court's finding that the term "local authority" as used in OCGA 48-13-13 (5) included smunicipalities. Upon review, the Supreme Court concluded that the Court of Appeals was correct in its determination that the City of Atlanta was not a "local authority" as that term is used in the statute. View "City of Atlanta v. City of College Park" on Justia Law

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This case arose out of a contractual dispute between the city and its contractor and sub-contractor concerning the design and construction of an underground parking garage. At issue was whether the city's petition for a writ of certiorari to the court of appeals to decide whether that court erred when it determined the trial judge did not err when, having been presented with a motion to recuse him, he denied the motion rather than referred it to another judge. The court held that, since the affidavits at issue raised a reasonable question about the trial judge's impartiality that required the assignment of the motion to recuse to another judge, the court of appeals erred when it affirmed the trial judge's denial of the motion to recuse for failure to meet the requirement of USCR 23.5. Accordingly, the court reversed and remanded. View "Mayor & Alderman of the City of Savannah v. Batson-Cook Co., et al." on Justia Law

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Plaintiffs appealed from an order granting summary judgment to defendant for the alleged breach of an intergovernmental agreement (IGA) entered into by the parties for the distribution of funds generated by a special sales tax instituted pursuant to the Homestead Option Sales and Use Tax Act (HOST), OCGA 48-8-100 et seq. At issue was whether the IGA was unconstitutional as violative of the Intergovernmental Contracts Clause of the Georgia Constitution, 1983 Ga. Const., Art. IX, Sec. III, Par. I(a). The court held that the IGA was not a valid intergovernmental contract where the IGA was neither a contract for services or one for the use of facilities, but a revenue-sharing contract. Therefore, summary judgment was properly granted to defendant.

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Plaintiff, who was employed as the City of McDonough's ("city") chief building inspector, brought suit against the city when the city refused to pay him severance under an employment agreement contract. At issue was whether the contract was binding to a successor municipal council in violation of OCGA 36-30-3(a). The court held that the contract was ultra vires and void because the contract was renewed automatically and the severance package required the city to pay plaintiff his salary and benefits for an entire year after the year in which the contract was terminated.