Evans v. Hous. Auth. of City of Raleigh, 359 N.C. 50

Summary

The Supreme Court of North Carolina held that a housing authority organized under Chapter 157 of the North Carolina General Statutes performs a governmental function and is generally entitled to governmental immunity. The court further held that the authority could waive that immunity by purchasing liability insurance, but remanded for a determination of whether the insurance covered the plaintiff's lead-paint injury claims.

Holdings

1. A housing authority organized under Chapter 157 is a municipal corporation and is entitled to governmental immunity for acts undertaken by its agents and employees in the exercise of governmental functions, but not for proprietary functions.
2. A housing authority organized under Chapter 157 performs a governmental function when it provides safe and sanitary housing for low- and moderate-income families.
3. A Chapter 157 housing authority has statutory authority to accept liability for its governmental functions through the purchase of liability insurance.
4. Governmental immunity is waived only to the extent that the defendant's liability insurance provides coverage, and the case must be remanded to determine whether the insurance covered the alleged lead-paint injuries.

Questions Presented

1. Whether a public housing authority organized under Chapter 157 of the North Carolina General Statutes is a municipal corporation entitled to governmental immunity for governmental functions.
2. Whether the provision of affordable housing for low- and moderate-income families is a governmental or proprietary function.
3. Whether a Chapter 157 housing authority has statutory authority to waive governmental immunity by purchasing liability insurance.
4. Whether the defendant's insurance policies covered the plaintiff's alleged injuries and therefore waived immunity to the extent of that coverage.

Disposition

remanded