GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2011

SESSION LAW 2011-299

HOUSE BILL 687

AN ACT to provide that when cities and counties act outside of the scope of their authority, the party successfully challenging that action may recover reasonable attorneyS' fees.

The General Assembly of North Carolina enacts:

SECTION 1.  Article 3 of Chapter 6 of the General Statutes is amended by adding a new section to read:

"§ 6-21.6.  Attorney fees; cities or counties acting outside the scope of their authority.

In any action in which a city or county is a party, upon a finding by the court that the city or county acted outside the scope of its legal authority, the court may award reasonable attorneys' fees and costs to the party who successfully challenged the city's or county's action, provided that if the court also finds that the city's or county's action was an abuse of its discretion, the court shall award attorneys' fees and costs."

SECTION 2.  This act becomes effective October 1, 2011, and applies to claims for relief which are brought or defended on or after that date.

In the General Assembly read three times and ratified this the 16^th day of June, 2011.

                                                                    s/  Walter H. Dalton

                                                                         President of the Senate

                                                                    s/  Thom Tillis

                                                                         Speaker of the House of Representatives

                                                                    s/  Beverly E. Perdue

                                                                         Governor

Approved 4:54 p.m. this 24^th day of June, 2011