GENERAL ASSEMBLY OF NORTH CAROLINA
The General Assembly of North Carolina enacts:
Section 1. G.S. 160A-20 reads as rewritten:
"§ 160A-20. Purchase money security
Cities and counties are
authorized to Cities, counties,
and water and sewer authorities created under Article 1 of Chapter 162A of the
General Statutes may purchase real
or personal property by installment contracts which create in the property
purchased a security interest to secure payment of the purchase money. A
contract entered into under this section is subject to the applicable
provisions of Article 8 of Chapter 159 of the General Statutes. No deficiency
judgment may be rendered against any city or county city, county, or
water and sewer authority created under Article 1 of Chapter 162A of the
General Statutes in any action for breach of a contractual obligation
authorized by this section, and the taxing power of a city or county is not and
may not be pledged directly or indirectly to secure any moneys due to the
seller. Any contract made or entered into by a city or county before June 1, 1979,
which would have been valid hereunder is hereby validated, ratified and
Sec. 2. G.S. 162A-6 is amended by adding a new subdivision to read:
"(16) To purchase real or personal property as provided by G.S. 160A-20, in addition to any other method allowed under this Article."
Sec. 3. This act is effective upon ratification.
In the General Assembly read three times and ratified this the 27th day of June, 1988.