Dekalb County School Districtv.Elaine Gold
DeKalb County teachers Elaine Gold and Amy Jacobson Shaye sued the DeKalb County School District, its Board of Education, and officials after the District suspended employer contributions to a tax-sheltered annuity plan intended as an alternative to Social Security. They alleged that the District’s 1979 resolution and related policies promised two years’ notice before reducing or ending funding. The trial court denied the District’s motion to dismiss on sovereign-immunity grounds. The Georgia Court of Appeals held that sovereign immunity barred claims for declaratory relief, money had and received, unjust enrichment, promissory estoppel, and conversion because Gold identified no applicable waiver. The Court refused to treat a constitutional allegation or a request for budgetary clarity as a sufficient waiver, and the Georgia Tort Claims Act did not save the conversion claim. The Court reached a different result on breach of contract and the implied covenant of good faith and fair dealing. Government benefit policies may become part of an employee’s contract, and the complaint plausibly alleged that the two-year notice promise conflicted with later amendment language in the plan. The judgment was affirmed in part and reversed in part.
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