Martin v. Board of Com'rs of Wake County
| Decision Date | 26 June 1935 |
| Docket Number | 465. |
| Parties | MARTIN v. BOARD OF COMMISSIONERS OF WAKE COUNTY et al. |
| Court | North Carolina Supreme Court |
Appeal from Superior Court, Wake County; Williams, Judge.
Action by W. Reid Martin, a citizen and taxpayer of Wake county, in behalf of himself and all other citizens and taxpayers of Wake county, against the Board of Commissioners of Wake County and others. From an adverse judgment, plaintiff appeals.
Affirmed.
See also, 180 S.E. 786.
Contract between county board of commissioners and hospital for care and maintenance of indigent sick and afflicted poor held not void as against public policy because it was to last for 30 years, where General Assembly had authorized contract for period not to exceed 30 years (Pub. Laws 1935, c. 65).
This is an action to enjoin the execution by the defendant, the board of commissioners of Wake county, on behalf of the defendant Wake county, of a contract with the trustees of Rex Hospital pursuant to resolutions duly adopted by the said board of commissioners and the said trustees, on the ground that the defendant board of commissioners has no lawful power to bind the defendant Wake county by the execution in its name of said contract, and that its execution by the said board of commissioners will result in irreparable damages to the plaintiff and all other citizens and taxpayers of Wake county.
The contract which the defendant board of commissioners proposes to execute on behalf of the defendant Wake county is in writing and is in words and figures as follows:
"North Carolina, Wake County.
This contract, made this ------ 1935, by and between Wake County, a quasi-municipal corporation of North Carolina, organized under the laws of said State, party of the first part, and Trustees of Rex Hospital, a corporation duly chartered under the laws of the State of North Carolina, party of the second part;
Witnesseth: That whereas, the Trustees of Rex Hospital, a corporation, party of the second part, has offered to provide adequate hospital care for the indigent sick and afflicted poor of Wake County for a period of thirty years, beginning July 1, 1935, and continuing for thirty years thereafter, for a consideration of Ten Thousand Dollars annually to be paid by Wake County, party of the first part, on the first day of July 1935, and the first day of July of each succeeding year thereafter for a period of thirty years from and after July 1, 1935; and whereas, the care and maintenance of the indigent sick and afflicted poor of Wake County is a necessary expense of the County; and whereas, the County is obligated by the Constitution of North Carolina, and the laws of the State to provide for the care and maintenance of its indigent sick and afflicted poor; and whereas, the County is expressly authorized and empowered to enter into this contract by an Act of the General Assembly of North Carolina, 1935, it being House Bill 289.
Whereas, Trustees of Rex Hospital, a corporation, proposes to build and construct a new, modern and up to date hospital with proper facilities for the adequate care and maintenance of the indigent sick and afflicted poor of the County through a loan to be obtained through the Federal Emergency Administration of Public Works of the United States;
Now Therefore, it is mutually agreed between the parties hereto as follows:
1. That the Trustees of Rex Hospital, a corporation, will construct, equip and maintain a modern, up to date hospital with proper and necessary facilities for the care and maintenance of the indigent sick and afflicted poor of the County of Wake; and hereby agree to care for and provide proper hospital facilities in said hospital for the indigent sick and afflicted poor of the County of Wake, for a period of thirty years, beginning July 1, 1935, and continuing for a period of thirty years thereafter, in consideration of Wake County paying to the Trustees of Rex Hospital the sum of Ten Thousand Dollars annually for said services, said consideration to be paid on July 1, 1935, and on the first day of July of each succeeding year thereafter for said thirty year period.
2. And the said party of the first part, Wake County, in consideration of said services to be rendered, hereby agrees and binds itself to pay to the Trustees of Rex Hospital, said party of the second part, the sum of Ten Thousand Dollars annually, for a period of thirty years, the first payment of Ten Thousand Dollars to be made on July 1, 1935, and the remaining twenty nine annual payments in the sum of Ten Thousand Dollars are to be paid on the first day of July of each succeeding year thereafter for said period of thirty years.
In Testimony Whereof, Wake County, party of the first part, has caused these presents to be signed in its name by the Chairman of its Board of County Commissioners, and its corporate seal to be hereto affixed and attested by the Clerk to said Board of County Commissioners, all by order of a Resolution of its Board of County Commissioners, this day duly passed and carried, a copy of which is attached to this Contract, marked Exhibit 'A' and made a part hereof; and the Trustees of Rex Hospital, a corporation, party of the second part, has caused these presents to be signed in its corporate name by the Chairman of its Board of Trustees and its corporate name by the Chairman of its Board of Trustees and its corporate seal to be hereto affixed and attested by the Secretary to said Board of Trustees, all by order of a Resolution of its Board of Trustees, this day duly passed and carried, a copy of which is attached to this Contract, marked Exhibit 'B' and made a part of this Contract, the day and year first above written.
County of Wake,
By ----------, Chairman of the Board of County Commissioners.
Trustees of Rex Hospital,
By ----------, Chairman of the Board of Trustees of Rex Hospital.
Attest:
----------, Clerk to the Board of County Commissioners.
Attest:
----------, Secretary to the Board of Trustees of Rex Hospital."
The resolution adopted by the defendant board of commissioners of Wake county, and referred to in said contract as Exhibit A, is as follows:
"Whereas, Trustees of Rex Hospital, a corporation, have filed an application with the Federal Emergency Administration of Public Works for aid in the construction of a new, modern and up to date hospital, to be built in Wake County, North Carolina, by way of a loan and grant in the aggregate amount of not in excess of Three Hundred Fifty Thousand Dollars, of which not in excess of thirty per cent of the amount expended for the labor and material employed in the construction of the hospital shall be made by way of grant, and the balance by the purchase of the United States of America of bonds to be issued by the Trustees of Rex Hospital, a corporation; and
Whereas, the Federal Emergency Administration of Public Works has indicated that it will not make an allotment of funds for the construction of the hospital unless, and until the County of Wake shall have entered into a valid and enforceable contract with the Trustees of Rex Hospital, a corporation, in substantially the form attached to this Resolution, which form of contract is satisfactory to the Federal Emergency Administration of Public Works; and
Whereas, the hospital operated by Trustees of Rex Hospital has been extending charitable relief and service to the sick, afflicted and indigent poor of Wake County for many years, and whereas, the Commissioners of Wake County have for years made annual appropriations in part payment of services rendered by Trustees of Rex Hospital in the care and maintenance of the indigent sick and afflicted poor of Wake County; and
Whereas, under the Constitution and laws of North Carolina, the Commissioners of Wake County are obligated and in duty bound to provide for the maintenance and care of the indigent sick and afflicted poor of the County; and
Whereas, the present facilities of Rex Hospital, as has been found by the Supreme Court of North Carolina, are inadequate to properly care for the indigent sick and afflicted poor of the County; and whereas, it has become necessary to construct a new, modern and up to date hospital for the care and maintenance of the sick and afflicted poor of the County; and whereas, the care and maintenance of the indigent sick and afflicted poor of the County is a necessary expense of the County; and whereas, the Federal Emergency Administration of Public Works, acting upon the application of the Trustees of Rex Hospital, has indicated that it will lend to said corporation the sum of Three Hundred Fifty Thousand Dollars, of which not in excess of thirty per cent of the amount expended for labor and material employed in the construction of the hospital shall be by way of grant; and whereas, the Federal Emergency Administration of Public Works requires as a condition precedent to the closing of said loan and the making of funds available for the construction of said hospital, that the Commissioners of Wake County enter into a contract in substantially the form hereto attached, marked Exhibit 'A' and made a part of this Resolution, whereby the Commissioners of Wake County in consideration of the Trustees of Rex Hospital providing adequate and proper care and facilities for the indigent sick and afflicted poor of the County that may be sent to said hospital, agree to pay to the Trustees of Rex Hospital the sum of Ten Thousand Dollars annually over a period of thirty years for said services to be rendered in the care and maintenance of the indigent sick and afflicted poor of the County; and whereas, this agreement is satisfactory to the Trustees of Rex Hospital; and
Whereas the charge of Ten...
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