Title 31, Chapter 7, Section 81
( 31-7-81)
(a) Certificates of an authority shall be confirmed and validated in
accordance with the procedure of Article 3 of Chapter 82 of Title
36; and, when validated, the judgment of validation shall be final
and conclusive with respect to such certificates and against the
authority issuing the same. (b) In the event that the payments to be made by any city or county,
under contract entered into between the authority and the
subdivision, are pledged to the security or payment of revenue
certificates sought to be validated, the hospital authority, as an
integral part of the validation proceedings, shall have a right of
action against the contracting subdivision or subdivisions for a
declaratory adjudication of the validity and binding effect of the
contract, the actual controversy therein being whether or not the
contract is in all respects valid and binding upon the subdivision
or subdivisions. The subdivision or subdivisions shall be made a
party or parties to the action, and it shall be incumbent on the
subdivisions to defend against an adjudication of the validity of
such contract or be forever bound. Notice of the proceedings shall
be included in the notice of validation hearing required to be
issued and published by the clerk of the superior court in which
such validation proceeding is pending. Any citizen resident in any
subdivision which is a party to the contract may intervene in the
validation proceedings at or before the time set for the validation
hearing by order of the superior court and assert any ground or
objection to the validity and binding effect of the contract on his
own behalf and on behalf of the subdivision and all citizens,
residents, and property owners thereof. An adjudication as to the
validity of the contract, unexcepted to within the time provided for
exceptions in Article 3 of Chapter 82 of Title 36, shall be
conclusive and binding upon the subdivision or subdivisions and the
resident citizens and property owners thereof. |