Providence Volunteer Fire Dep't, Inc. v. Town of Weddington
Citation | 382 N.C. 199,876 S.E.2d 453 |
Docket Number | 47PA21 |
Decision Date | 19 August 2022 |
Parties | PROVIDENCE VOLUNTEER FIRE DEPARTMENT, INC., a North Carolina nonprofit corporation v. The TOWN OF WEDDINGTON, a North Carolina municipal corporation, Peter William Deter, in his individual and official capacity as Mayor, and Wesley Chapel Volunteer Fire Department, Inc., a North Carolina non-profit corporation |
Court | United States State Supreme Court of North Carolina |
Christopher Duggan, for plaintiff-appellant.
Andrew J. Santaniello, for defendant-appellee Town of Weddington.
Sumrell Sugg, P.A., by Scott C. Hart, New Bern, and Frederick H. Bailey, III, for defendant-appellee Peter William Deter.
No brief for defendant-appellee Wesley Chapel Volunteer Fire Department, Inc.
¶ 1 The issue before us in this case is whether actions taken by defendant Town of Weddington, which include entering into three contracts with plaintiff Providence Volunteer Fire Department, Inc., in order to (1) procure fire protection services for its residents; (2) effectuate renovations to Providence's fire station; and (3) purchase and lease the fire station back to Providence, constituted governmental, rather than proprietary, actions for purposes of the doctrine of governmental immunity with respect to the fraud-related claims that Providence has asserted against the Town. In addition, this case requires us to address whether actions taken by defendant Mayor Peter William Deter, which include the scheduling of a town council meeting and preparing the agenda for that meeting, at which the council voted to terminate the Town's contracts with Providence, were legislative in nature such that Mayor Deter is shielded from liability with respect to Providence's fraud-related claims based upon the doctrine of legislative immunity. After a careful review of the record that is before us in this case in light of the applicable law, we hold that the Town is protected from Providence's fraud-related claims based upon the doctrine of governmental immunity and that Mayor Deter is protected from those claims based upon the doctrine of legislative immunity, so that the trial court erred by failing to dismiss Providence's fraud-related claims. As a result, the decision of the Court of Appeals is affirmed, with this case being remanded to the Court of Appeals for further remand to Superior Court, Union County, for additional proceedings not inconsistent with this opinion.
The Fire Suppression Agreement further provided that Providence would provide fire protection and emergency medical services to the Town for a period of ten years beginning on 14 October 2013, with this period subject to extension for an additional five-year period in the event that Providence gave notice to the Town six months prior to the date upon which the agreement was to expire. The Fire Suppression Agreement could only be terminated "for cause," which was defined as "the failure of either party to perform the material provisions of this Agreement and [which] shall include, but not be limited to, the failure to meet the required service levels and transparency requirements of the Agreement."
¶ 3 In accordance with the Interlocal Agreement, substantial improvements were to be made to Providence's fire station, Providence was required to satisfy the Town's increased demand for fire protection services, and the Town would assume the debts incurred by Providence in connection with the improvements to be made to its fire station. Finally, the Sale and Lease-back Agreement provided that Providence's fire station would be sold to the Town for approximately $935,000.00 and leased back to Providence for use as a fire station for a fee of one dollar ($1.00) per year.
¶ 5 On 20 August 2014, the Town paid approximately $935,000.00 for the property upon which the fire station was located and obtained title to that property by means of a quitclaim deed. On 28 April 2015, a special meeting of the town council was held during which the council voted to terminate the Fire Suppression Agreement, a decision which had the effect of terminating the Interlocal Agreement as well. According to Providence, the Town "terminated the Lease, forced [Providence] from the [fire station] property, forced [Providence] out of business, and ... leased with an option to purchase the [fire station] by deed to Wesley Chapel Volunteer Fire Department."
¶ 6 On 4 June 2015, Providence filed a complaint asserting various claims for relief against the Town. On 25 August 2015, the trial court entered orders allowing Providence to amend its complaint; denying, in part, the Town's motion to dismiss Providence's complaint based upon governmental immunity; and granting a preliminary injunction in favor of Providence. The Town noted an appeal to the Court of Appeals from the trial court's orders.
¶ 7 On 18 April 2017, the Court of Appeals filed an opinion in which it affirmed the trial court's decision to allow Providence to amend its complaint; affirmed the trial court's decision to deny the Town's dismissal motion based upon governmental immunity; and reversed the trial court's decision to grant Providence's preliminary injunction motion. Providence Volunteer Fire Dep't v. Town of Weddington , 253 N.C. App. 126, 140–41, 800 S.E.2d 425 (2017). On 6 September 2017, Providence filed another motion to amend its complaint, which the trial court denied. On 26 March 2018, Providence voluntarily dismissed its complaint against the Town...
To continue reading
Request your trial