Contract Authority

Question 1

A contract beyond the scope of a locality’s power is called ______________ and is ______________.

Answer 1

• “ultra vires” (beyond the allowed powers)

- unenforceable

Question 2

Arrangements that are within the locality’s powers are unenforceable if they have not been ______________ by vote of its governing body.

Answer 2

• properly approved

Question 3

Is the “apparent authority” of a mayor or CEO of a locality enough to create a binding contract?

Answer 3

NO

Question 4

T/F: Where a manner of making or awarding the contract is prescribed (by state law or local ordinance) that procedure must be followed or the contract will be held void.

Answer 4

True, unless the court finds that it was merely a suggested procedure and was not mandatory.