G.L. Mezzetta, Inc. v. City of American Canyon

In G.L. Mezzetta, Inc. v. City of American Canyon (2000) 78 Cal. App. 4th 1087, the appellate court concluded that similar municipal code provisions together with section 40602 precluded the general law City of American Canyon from entering into an oral agreement. The agreement obligated the city to provide the plaintiff with a wastewater discharge system. The court reasoned: "Implicit in the relevant statutes, when read together, is the requirement that contracts with the City be in writing, approved by the city council, approved as to form by the city attorney, and signed by either the mayor or the city manager. " (Mezzatta, at p. 1093) The court held that the oral agreement was void because it failed to meet this requirement: "Because the statutes in question specifically set forth the ways in which the City may enter into contracts, any other methods of contract formation--even though not explicitly prohibited by the statutes--are invalid. . . . To conclude otherwise would undermine the City's clear intent to ' "ensure that expensive decisions are not hastily made. These statutes create a broad base of authority by requiring contract approval by a number of different individuals. No single individual has absolute authority to bind the municipality; many parts of the city government must work together." ' " ( Id., at pp. 1093-1094.)