diff --git a/lib/admin/Controller/peering.pm b/lib/admin/Controller/peering.pm
index ea7ad56..1241cb7 100644
--- a/lib/admin/Controller/peering.pm
+++ b/lib/admin/Controller/peering.pm
@@ -124,6 +124,8 @@ sub create_grp : Local {
     $settings{description} = $c->request->params->{grpdesc};
     $settings{peering_contract_id} = $c->request->params->{peering_contract_id}
         if $c->request->params->{peering_contract_id};
+    $messages{cpeererr} = 'Client.Voip.NoPeerContract'
+        unless (defined $settings{peering_contract_id} && $settings{peering_contract_id} =~ /^[0-9]+/);
 
     unless(keys %messages) {
         if($c->model('Provisioning')->call_prov( $c, 'voip', 'create_peer_group',
diff --git a/root/tt/peering.tt b/root/tt/peering.tt
index c4926e5..71c550b 100644
--- a/root/tt/peering.tt
+++ b/root/tt/peering.tt
@@ -172,7 +172,6 @@
               [% IF Catalyst.config.billing_features %]
                 <td>
                   <select size="1" name="peering_contract_id">
-                    <option value="0" [% UNLESS garefill.peering_contract_id %]selected="selected"[% END %]>&nbsp;</option>
                     [% FOREACH contract = contracts %]
                       <option value="[% contract.id %]"
                               [% IF garefill.peering_contract_id == contract.id %]selected="selected"[% END %]