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City of Baldwin v. Woodward & Curran Inc.

The contract between the plaintiff and the defendant city was ultra vires and void because it was not executed in accordance with the city's charter, and thus recovery under an equitable doctrine like quantum meruit was not allowed.

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Woodard & Curran, Inc. “W&C”, an environmental engineering company, sued the City of Baldwin, Georgia, seeking damages on claims of breach of contract and quantum meruit. After a trial, a jury awarded W&C $203,000 in a general verdict that did not specify the basis for the damages. The Court of Appeals affirmed. See City of Baldwin v. Woodard & Curran, Inc., 316 Ga. App. 768 730 SE2d 486 2012. We granted certiorari to consider two issues: 1 whether the Court of Appeals erred in holding that quantum meruit is an available remedy against a municipality when the claim is based on a municipal contract that is ultra vires; and 2 whether the Court of Appeals erred in determining that the jury was properly allowed to consider the breach of contract claim based on an agreement the parties entered in May 2009. We conclude that the Court of Appeals erred in both respects, and we therefore reverse its judgment.

1. a In the spring of 2009, the City of Baldwin was planning to apply for federal government stimulus funds to improve the headworks and other components of its wastewater treatment plant. W&C, which was operating the plant for the City, wanted to assist the City in applying for the funds and hoped to design the plant improvements and provide services during their construction. To obtain the stimulus funds, the project had to be “shovel-ready” no later than November 1, 2009.

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