Navajo Nation v. Dalley
Opinion
*1200
The Appellants, the Navajo Nation and its wholly-owned government enterprise the Northern Edge Navajo Casino (together, the "Tribe" or "Nation"), entered into a state-tribal gaming compact with New Mexico under the Indian Gaming Regulatory Act ("IGRA"),
The Tribe moved to dismiss the McNeals' complaint, arguing that the state court lacked jurisdiction because neither IGRA nor Navajo law permits the shifting of jurisdiction to a state court over such personal-injury claims. The state court rejected that motion. In response, the Tribe sought declaratory relief in federal court on the basis of the same arguments. The district court granted summary judgment for the McNeals and Judge Dalley, holding that IGRA permitted tribes and states to agree to shift jurisdiction to the state courts and that Navajo law did not prohibit such an allocation of jurisdiction. The Tribe timely appealed. Prior to oral argument, we ordered the parties to submit supplemental briefs as to whether the district court had jurisdiction.
Along with the jurisdictional issue, the parties also dispute (1) whether IGRA permits an Indian tribe to allocate jurisdiction over a tort claim arising on Indian land to a state court, and (2) assuming that IGRA does allow for such an allocation, whether the Navajo Nation Council ("NNC") was empowered to shift jurisdiction to the state court under Navajo Law.
After first concluding that we have jurisdiction to hear this appeal, we determine that IGRA, under its plain terms, does not authorize an allocation of jurisdiction over tort claims of the kind at issue here. Accordingly, we reverse the judgment of the district court and remand with instructions to grant the declaratory relief sought by the Nation.
I
A
In 1987, the Supreme Court decided
California v. Cabazon Band of Mission Indians
, in which it held that states could not regulate gaming activities on Indian land without Congressional authorization.
*1201
In response to that "bombshell" ruling, Franklin Ducheneaux,
The Indian Gaming Regulatory Act: Background and Legislative History
, 42 ARIZ. ST. L.J. 99, 154 (2010), Congress enacted IGRA in 1988 to create a framework for states and Indian tribes to cooperate in regulating on-reservation tribal gaming,
see
Pueblo of Pojoaque v. New Mexico
,
Under IGRA, tribes that seek to conduct gaming activities are incentivized to negotiate gaming compacts with states because, absent such compacts, the most "lucrative" form of gaming-Class III gaming-is forbidden.
N.M./DOI
,
Importantly, IGRA expressly prescribes the matters that are permissible subjects *1202 of gaming-compact negotiations between tribes and states. § 2710(d)(3)(C). In the tribal-state compact that the Tribe and New Mexico entered into, the Tribe agrees not only to waive its sovereign immunity as to personal-injury claims brought by visitors to its casinos but also to permit such claims to be brought in state court. See Aplt.'s App. at 26 (State-Tribal Compact, dated Nov. 6, 2003). 2 More specifically, the compact permits such state-court litigation, "unless it is finally determined by a state or federal court that IGRA does not permit the shifting of jurisdiction over visitors' personal injury suits to state court." Id .
B
The present dispute has its genesis in a slip-and-fall case that the McNeals brought in New Mexico state court. Mr. McNeal allegedly fell on a wet bathroom floor in the Navajo Northern Edge Casino. He and his wife sued the Nation, which owns and operates the casino, claiming negligent maintenance, res ipsa loquitur, and loss of consortium. In a motion to dismiss, the Tribe argued that the state court lacked subject-matter jurisdiction for two reasons. First, it contended that this was so because IGRA does not authorize states and tribes to enter into compacts that shift jurisdiction over tort claims stemming from events on Indian country to state court- viz. , IGRA does not contemplate that the shifting of jurisdiction over such claims is a permissible subject of compact negotiations. Second, it argued that NNC was not authorized to shift jurisdiction over tort claims against the Nation, *1203 like those of the McNeals, to state court.
The state court denied the Tribe's motion to dismiss on the basis that the New Mexico Supreme Court, in
Doe v. Santa Clara Pueblo
, had already decided the issue.
The Tribe then brought this suit for a declaratory judgment in the U.S. District Court for the District of New Mexico. The Tribe sought a declaratory judgment "that [the] Indian Gaming Regulatory Act does not permit the shifting of jurisdiction from tribal courts to state courts over personal injury lawsuits brought against tribes or tribal gaming enterprises, and that the New Mexico state courts do not have jurisdiction over lawsuits such as the McNeal Lawsuit ." Aplt.'s App. at 11-12. (Am. Compl., dated Sept. 21, 2015).
The Tribe moved for summary judgment, and the district court denied relief. The court first addressed whether the Nation inherently had the authority to permit state court jurisdiction over claims arising in Indian country, and held that it did. It then concluded that NNC was authorized under Navajo law to shift jurisdiction over tort claims against the Nation, like those of the McNeals, to state court. Lastly, the court addressed the IGRA question, holding that IGRA authorized such shifting of jurisdiction as to personal-injury tort claims either under
II
We first address our jurisdiction. Because federal courts have limited subject-matter jurisdiction, "we 'may only hear cases when empowered to do so by the Constitution or by act of Congress.' "
Gad v. Kan. State Univ.
,
Consistent with our independent obligation, we ordered the parties to submit briefing regarding,
inter alia
, whether, under
Specifically, in Lawrence , a non-Indian brought a breach-of-contract claim against the Ute Indian tribe in Utah state court. Seeking to halt the state proceeding, the Tribe filed suit in federal district court, *1204 "asserting ... that the state court lacked subject-matter jurisdiction to hear the case." Id . at 540. The district court, in turn, determined that it did not have jurisdiction to consider the Tribe's challenge to the state court's jurisdiction. Id . The Tribe appealed, and we reversed the district court's determination, holding that the Ute Tribe's "claim-that federal law precludes state-court jurisdiction over a claim against Indians arising on the reservation-presents a federal question that sustains federal jurisdiction." Id .
In reaching that conclusion, the panel first analyzed the "long history of federal law regarding Indian affairs," id . at 541, and observed both that "federal law regulates a tribe's right to exercise jurisdiction over non-Indians," id . at 542, and "that state adjudicative authority over Indians for on-reservation conduct is greatly limited by federal law," id . From those principles, we determined that "federal courts generally have jurisdiction to enjoin the exercise of state regulatory authority (which includes judicial action) contrary to federal law," id . at 543, and reasoned that the tribe's suit arose under federal law because it was "seeking injunctive and declaratory relief against state regulation (the state-court proceeding) that it claims is preempted by federal law," id . at 547.
Lawrence 's analysis is directly applicable here: the Nation here seeks declaratory relief under federal law against state regulation, viz. , the state-court proceeding, claiming that federal law preempts it. As such, we properly exercise jurisdiction over this appeal under § 1331. 3
III
Proceeding to the merits, this appeal presents two issues, one of federal law and one of Navajo law. First, the Nation asserts that the district court erred in concluding that IGRA authorizes an Indian tribe to allocate jurisdiction over a tort claim arising on Indian land to a state court. Second, even assuming that IGRA does allow a tribe to allocate jurisdiction of such claims to state courts, the Nation submits that the NNC was not empowered to shift jurisdiction to the state court as a matter of Navajo law. Because we decide the first issue in the Nation's favor, we need not reach the question of Navajo law.
A
It is axiomatic that absent clear congressional authorization, state courts lack jurisdiction to hear cases against Native Americans arising from conduct in Indian country.
See, e.g.
,
Williams v. Lee
,
Consequently, congressional approval is necessary-i.e., it is a threshold requirement that must be met-before states and tribes can arrive at an agreement altering the scope of a state court's jurisdiction over matters that occur on Indian land.
See
Kennerly v. Dist. Court of Ninth Judicial Dist. of Mont.
,
Congress has "authorized" the tribes and states to make such jurisdiction-altering agreements "in only a few specific circumstances"; the area of tribal-state gaming compacts represents one such circumstance. COHEN'S HANDBOOK ,
supra
, § 7.07[4], at 673 & n.92;
see
Bay Mills
,
All of that background leads us to the question presented: whether IGRA authorizes tribes to enter into gaming compacts with states that allocate jurisdiction to state courts with respect to state-law tort claims like the McNeals'. For the reasons that follow, we conclude it does not. 4
As noted, "IGRA authorizes states and Indian nations to enter into compacts associated with the operation of certain forms of tribal gaming known as Class III gaming." COHEN'S HANDBOOK , supra , § 6.04[3][d][iii], at 569. Specifically, subparagraph (A) of § 2710(d)(3) of IGRA provides that
Any Indian tribe having jurisdiction over the Indian lands upon which a class III gaming activity is being conducted, or is to be conducted, shall request the State *1206 in which such lands are located to enter into negotiations for the purpose of entering into a Tribal-State compact governing the conduct of gaming activities .
Then subparagraph (C) of this same section provides:
Any Tribal-State compact negotiated under subparagraph (A) may include provisions relating to-
(i) the application of the criminal and civil laws and regulations of the Indian tribe or the State that are directly related to, and necessary for , the licensing and regulation of such activity ;
(ii) the allocation of criminal and civil jurisdiction between the State and the Indian tribe necessary for the enforcement of such laws and regulations;
(iii) the assessment by the State of such activities in such amounts as are necessary to defray the costs of regulating such activity;
(iv) taxation by the Indian tribe of such activity in amounts comparable to amounts assessed by the State for comparable activities;
(v) remedies for breach of contract;
(vi) standards for the operation of such activity and maintenance of the gaming facility, including licensing; and
(vii) any other subjects that are directly related to the operation of gaming activities.
The district court held that a compact could be used to shift jurisdiction to state courts for tort claims stemming from conduct in an on-reservation gaming facility based on either clauses (i) and (ii), when read together; or clause (vii).
See
Aplt.'s App. at 191-97. No party suggests any other basis under IGRA for shifting jurisdiction over tort claims. Reviewing the district court's statutory interpretation de novo,
see
United States v. Porter
,
B
1
The Nation first contends that the district court erred in concluding that IGRA authorizes an Indian tribe to shift jurisdiction to state courts over tort claims stemming from conduct on Indian casino property based on clauses (i) and (ii) of subparagraph (C) of § 2710(d)(3). The Nation asserts that IGRA was not intended to allow for the shifting of jurisdiction from tribal courts to state courts for private tort lawsuits such as the one at bar, but permits the shifting of jurisdiction for only those activities that are " 'necessary for the enforcement' of laws and regulations that are 'directly related to and necessary for' the licensing and regulation of class III gaming activities." Aplt.'s Opening Br. at 15 (quoting § 2710(d)(3)(C) ).
The McNeals acknowledge that the language "gaming activity" in IGRA "refers to gambling, something that typically takes place in a casino," and more specifically Class III gaming, but stress that "[c]asinos house not only games of chance, but they are also entertainment venues where visitors come not only to gamble but also to eat and drink, and where like [Mr. McNeal], they may use the restroom." McNeal Aplees.' Br. at 20. Therefore, the McNeals reason that it is "unrealistic" to interpret IGRA's authorization for compacting regarding the application of state civil laws relating to the regulation of Class III gaming-i.e., to "such activity," § 2710(d)(3)(C)(i) -to be restricted to laws regarding gambling activities, McNeal Aplees.' Br. at 20 (noting that the regulation of Class III gaming is not restricted to "slot odds, maximum bets and the thickness of felt at the blackjack tables" but
*1207
rather relates generally to "activities that go on in a casino"). Judge Dalley takes a similar position: specifically, he argues that the agreement in the tribal-state compact to "regulate" with respect to injuries like those that the McNeals allegedly suffered, by applying "New Mexico tort law, enforceable in state court[,] is within the proper scope of a gaming compact under the IGRA." J. Dalley's Br. at 23;
see
The Nation counters that personal-injury claims sounding in tort do not involve civil laws "directly related to, and necessary for," the regulation of Class III gaming activities, § 2710(d)(3)(C)(i), and therefore IGRA does not authorize compacting with respect to the application of such laws under the circumstances here. We agree with the Nation.
At bottom, the parties' dispute relates to the scope of the term "class III gaming activity." In
Bay Mills
, the Supreme Court construed "class III gaming activity" to mean "just what it sounds like-the stuff involved in
playing
class III games," and in doing so, expressly interpreted § 2710(d)(3)(C)(i).
The Court's analysis in
Bay Mills
leads us to the clear conclusion that Class III gaming activity relates only to activities actually involved in the
playing
of the game, and not activities occurring in proximity to, but not inextricably intertwined with, the betting of chips, the folding of a hand, or suchlike.
See
Harris v. Lake of Torches Resort & Casino
,
This conclusion is ineluctable when the plain statutory text is viewed through the prism of
Bay Mills
.
See
United States v. Nichols
,
*1209
We acknowledge that, in thoughtful decisions, the New Mexico Supreme Court in
Doe
and the district court here came to contrary conclusions. In particular, the New Mexico Supreme Court concluded that "[t]ort suits are ... related to gaming activity in helping ensure that gaming patrons are not exposed to unwarranted dangers, something that inures to the benefit of the Tribes."
While we are comfortable assuming that tort, and more specifically personal-injury lawsuits, constitute a type of regulation, we are unable to discern how applying this form of regulation to a slip-and-fall event, like Mr. McNeal's, is "directly related to, and necessary for the licensing and regulation," § 2710(d)(3)(C)(i), of Class III gaming activity, as
Bay Mills
conceives of it. For example, whether a casino employee is negligent in cleaning up spilled water on the floor which results in a patron falling has nothing to do with the actual regulation or licensing of Class III gaming,
viz
., "each roll of the dice and spin of the wheel."
Bay Mills
,
In discerning whether IGRA authorizes tribes to allocate jurisdiction regarding tort claims like the McNeals' to state courts, we also look to the text of clause (ii) of subparagraph (C).
See
*1210
King v. St. Vincent's Hosp.
,
It necessarily follows that the allocation of civil jurisdiction referenced in clause (ii) pertains solely to the allocation that is "necessary for the enforcement of the laws and regulations," § 2710(d)(3)(C)(ii), that are "directly related to, and necessary for, the licensing and regulation of" the playing of Class III games, § 2710(d)(3)(C)(i) -and not for the enforcement of laws and regulations pertaining to such tangential matters as the safety of walking surfaces in Class III casino restrooms. Put another way, because tort law in the circumstances here does not directly relate to the licensing and regulation of gambling itself, clause (ii)-which depends upon clause (i) to define the scope of its allocation of civil jurisdiction-does not authorize tribes to agree in gaming compacts to shift (i.e., allocate) jurisdiction to state courts over tort claims like those here. 7
*1211 2
Appellees present two principal counterarguments, but neither is persuasive. First, they contend that IGRA's legislative history supports the conclusion that the statute was created with the intent of permitting tribes to allocate their jurisdiction when they deemed it in their favor to do so.
See
McNeal Aplees.' Br. at 9-13; J. Dalley's Br. at 19-23. However, we need not consider legislative history where, as here, we find the statutory language unambiguous.
8
See
Mohamad v. Palestinian Auth.
,
Appellee's second argument is one that we considered and rejected in our independent assessment of the meaning of clause (i)-that is, the argument that tort law is "directly related to, and necessary for, the licensing and regulation of" gaming activity, within the meaning of clause (i). § 2710(d)(3)(C)(i). Accordingly, we conclude that Appellees' two arguments come up short.
* * *
In sum, we conclude that clauses (i) and (ii), by their plain meaning, do not authorize tribes to allocate during the compacting process jurisdiction to state courts for tort claims such as the McNeals' arising on Indian land. We therefore turn to the second question of whether clause (vii)'s catch-all provision permits tribal-state compacts to serve as vehicles for shifting civil jurisdiction over such tort claims.
*1212 C
1
The Nation next challenges the district court's alternative holding that even if the first two clauses of § 2710(d)(3)(C) do not permit the allocating of jurisdiction during the compacting process, the Nation could have allocated jurisdiction over the McNeals' tort claims pursuant to clause (vii), the catch-all provision. Aplt.'s App. at 193 (district court reasoning that "[b]ecause tort liability resulting from 'the operation of gaming activities' is 'directly related to' the same [i.e., operation], the catchall provision ... also provides authority for Tribes and states to negotiate the allocation of jurisdiction of such tort claims"). As noted above, clause (vii) provides that a compact may include "any other subjects that are directly related to the operation of gaming activities." § 2710(d)(3)(C)(vii). We ultimately conclude that the district court's reading of clause (vii) is mistaken and thus sustain the Nation's challenge.
Given that we must "presume that [Congress] says in a statute what it means and means in the statute what it says there,"
Conn. Nat. Bank v. Germain
,
To be sure, clause (vii) functions as a catch-all provision, and, consequently, Congress expressed its scope in broad terms, to encompass "any other subjects that are directly related to the operation of gaming activities," § 2710(d)(3)(C)(vii). But the key word here is "other."
9
Typically,
*1213
statutory language is given its "ordinary, everyday" meaning, unless the context suggests otherwise.
Toomer v. City Cab
,
Nor could one persuasively argue that the term "other" in clause (vii) authorizes the allocation of jurisdiction with respect to subjects
other than
those covered by the jurisdictional-allocation language of clause (ii). In our view, a well-established canon of statutory construction-the negative-implication canon (i.e., the canon
expressio unius est exclusio alterius
) would fatally undercut such an argument. That canon provides that the "expressi[on] [of] one item of [an] associated group or series excludes another left unmentioned."
N.L.R.B. v. SW Gen., Inc.
, --- U.S. ----,
Here, clause (ii) is the only clause in subsection (C) that expressly addresses the allocation of jurisdiction between states and tribes. And, as our reasoning in Part III.B.1, supra , demonstrates, it does so in specific terms-albeit by cross-reference-to clause (i). That is, by its use of the language "such laws and regulations," clause (ii) expressly refers back to the "laws and regulations" of clause (i)-which are "directly related to, and necessary for, the licensing and regulation of" the playing of Class III games, § 2710(d)(3)(C)(i). And it contemplates tribal-state compacting regarding the allocation of criminal and civil jurisdiction "necessary for the enforcement" of the laws and regulations specified in clause (i). § 2710(d)(3)(C)(ii). Thus, the allocation of jurisdiction referenced in clause (ii) pertains solely to the allocation that is "necessary for the enforcement of the laws and regulations," id. , that are "directly related to, and necessary for, the licensing and regulation of" the playing of Class III games, § 2710(d)(3)(C)(i) -that is, "what goes on in a casino-[that is,] each roll of the dice and spin of the wheel ," Bay Mills , 134 S.Ct. at 2032 (emphasis added).
Therefore, clause (ii)'s specific textual expression (by cross-reference) of matters covered by its jurisdictional allocation reasonably indicates that Congress did not envision that any distinct subjects-such as tort claims arising from a casino's failure to safely maintain floors in its restrooms-would provide the grounds for a jurisdictional allocation.
See
Halverson v. Slater
,
Lastly, our conclusion is independently and distinctly bolstered by our "preference for avoiding surplusage constructions."
King v. Burwell
, --- U.S. ----,
Put more finely, such a reading would wholly swallow clause (ii)'s specific and narrow allowance for jurisdictional allocations that are "necessary for the enforcement of the laws and regulations," § 2710(d)(3)(C)(ii), that are "directly related to, and necessary for, the licensing and regulation of" the playing of Class III games, § 2710(d)(3)(C)(i). That is because such laws and regulations directly pertaining to, and necessary for, the licensing and regulation of Class III games, and the matters necessary for their enforcement, patently constitute one of the subjects that is "directly related to the operation of gaming activities." § 2710(d)(3)(C)(vii). In this regard, we have no doubt that (given its common, everyday meaning) the term "operation" in this context sweeps broadly.
See
WEBSTER'S ,
supra
, at 1581 (defining "operation" to mean,
inter alia
, "method or manner of functioning"); AMERICAN HERITAGE ,
supra
, at 871 (defining "operation" to mean,
inter alia
, "[a] process or series of acts performed to effect a certain purpose or result");
see also
NEW OXFORD ,
supra
, at 1193 (defining "operation" to mean,
inter alia
, "an activity in which" a "business or organization; a company" "is involved");
cf.
Chemehuevi Indian Tribe v. Brown
, No. EDCV161347JFWMRWX,
Put another way, if clause (vii)'s language were read to allow for compacts to allocate jurisdiction with respect to
any
*1216
subjects directly related to the
operation
of Class III games, the more specific and limited jurisdictional-allocation language of clause (ii) would be (in substance) duplicative, nugatory, and of no effect-i.e., surplusage. Consequently, we conclude that the statutory-construction canon that counsels courts to avoid interpretations that render statutory terms surplusage is an independent and distinct ground for rejecting the expansive reading of clause (vii) discussed herein.
See
Halverson
,
2
The Appellees present three counterarguments; none lands with any force. First, Appellees, again citing to the statute's legislative history, contend that the catch-all section (i.e., clause (vii) ) should be read broadly, consistent with their understanding of Congress's intent.
See
McNeal Aplees.' Br. at 9-13; J. Dalley's Br. at 16-23. This argument can gain no traction here, however, in light of our conclusion that the statute is unambiguous. Because it is so, we have no need (much less an inclination) to "resort" to the statute's legislative history.
Public Lands Council v. Babbitt
,
Second, the McNeals rely on the Ninth Circuit's opinion in
In re Indian Gaming Related Cases
,
Specifically, in analyzing and ultimately distinguishing In re Indian Gaming , we accept, without definitively opining on the matter, the proposition that labor issues fall within the broad scope of clause (vii)'s "operation of gaming activities," even when the term "gaming activities" is viewed through the prism of Bay Mills , to mean the actual playing of Class III games. See Bay Mills , 134 S.Ct. at 2032 (emphasis added) (defining "gaming activity" as "what goes on in a casino-[that is,] each roll of the dice and spin of the wheel"); Bryan H. Wildenthal, Federal Labor Law, Indian Sovereignty, and the Canons of Construction , 86 OR. L. REV. 413, 429-30 (2007) (Noting that many state-tribal compacts "address[ed] the issue of labor relations" pursuant to IGRA and that "it was anticipated by language in IGRA in which Congress-while not expressly *1217 referring to labor issues-broadly authorized states and tribes to include compact provisions on 'any ... subjects that are directly related to the operation of gaming activities' "); id . at 430 n.47 ("There may well be grounds to question the use of IGRA to impose labor relations requirements on Indian tribes, though it seems to be a well-established practice."). But that proposition does not directly offer any insight into the specific question we must decide, regarding whether the subject of jurisdictional allocation over claims (notably, tort slip-and-fall claims) is included within the scope of clause (vii). More specifically, nothing in In re Indian Gaming suggests that clause (vii) permits the allocation of jurisdiction at all; indeed, the McNeals seem to recognize this by failing to make any such argument. Cf . COHEN'S HANDBOOK , supra , § 12.05[3], at 894 (describing the case as dealing with "revenue-sharing" and "labor relations" disputes, and not discussing any jurisdictional concerns).
Furthermore, to the extent that the inclusion of labor-relations issues within the ambit of clause (vii) offers clues regarding the resolution of the question before us, they do not avail the McNeals. Specifically, assuming that labor-relations issues "directly relate[ ] to the operation of gaming activities," § 2710(d)(3)(C)(vii), it does not strike us as remarkable that such issues would fall squarely within the scope of clause (vii) because labor-relations issues are not expressly addressed in any of the preceding clauses of subparagraph (C) and, therefore, would be "other" in relation to the subjects addressed in those preceding clauses. In other words, labor-relations issues would naturally fall within clause (vii)'s catch-all category of "any other subject," id. (emphasis added), because that subject is not mentioned in the preceding clauses of subparagraph (C). In contrast, this logic undercuts the notion that the subject of jurisdictional allocation falls within the scope of clause (vii) because this subject is expressly addressed in the preceding clauses-specifically, in clause (ii). Therefore, to the extent that In re Indian Gaming informs our resolution of the question we must answer here, it actually belies the McNeals' argument.
Third, and lastly, Judge Dalley contends that the reading of § 2710(d)(3)(C) that we now endorse "would invalidate many provisions in this and other gaming compacts that have been negotiated by tribes and states." J. Dalley's Br. at 27. For example, he asserts that key provisions of the tribal-state compact before us-involving "the physical safety of patrons and employees," "wages on construction projects," and "criminal jurisdiction" over offenses committed by non-Indians on Indian land-will all be "invalidate[d]" because they do not "directly relate[ ] to" "gaming activities," as this statutory language is understood through the lens of Bay Mills . See id. We find Judge Dalley's argument unpersuasive, however.
First of all, Judge Dalley's brief fails to offer us much by the way of reasoning to explain the basis for his parade of horribles, relying instead on conclusory statements. See id . ("None of these provisions is likely sufficiently 'directly related to' 'gaming activities' under the Navajo Nation and Pueblo of Santa Ana's interpretations of the IGRA to survive scrutiny."). Second, at least in the absence of such reasoning, we are hard-pressed to see how the reading of the statutory language "directly related to ... gaming activities," § 2510(d)(3)(C)(vii); see also § 2510(d)(3)(C)(i) ("directly related to ... such [gaming] activity"), that we endorse here could have the widespread destructive effect that Judge Dalley predicts. This language is construed in the context of our limited procedural holding that relates solely to whether IGRA authorizes tribes *1218 to allocate jurisdiction over tort claims like the McNeals' to state courts. This holding does not address what substantive matters are proper subjects of compacting under IGRA, such as the physical safety of casino staff and visitors, and the proper wage rates on casino projects, much less invalidate compact provisions pertaining to such substantive subjects. As noted, the question before us is a procedural one involving the statutory authorization under IGRA to shift jurisdiction over tort claims like those of the McNeals. Furthermore, even assuming arguendo that the Tribe has allocated to New Mexico in the instant compact criminal jurisdiction over offenses committed by non-Indians on tribal land, the propriety of this procedural subject is not before us, and we have no obligation nor inclination to opine on the implications of our decision for the vitality of this compact provision.
In all events, our main concern here ultimately must be the faithful and true interpretation of IGRA's plain terms, not the ostensible collateral effects of our interpretation on existing compact provisions; generally, this is true at least so long as our interpretation would not yield absurd results, and it patently would not do so, nor does Judge Dalley argue to this effect.
See, e.g.
,
Sebelius v. Cloer
,
* * *
In sum, we hold that clause (vii) of IGRA does not authorize tribes to allocate to states jurisdiction over tort claims like the McNeals', based on our interpretation of the clause's plain language, in the context of the other clauses of subparagraph (C) of § 2710(d)(3).
IV
In light of the above, we conclude that IGRA, under its plain terms, does not authorize tribes to allocate to states jurisdiction over tort claims like those brought by the McNeals here. 11 Stated differently, the Appellees have failed to clear a threshold hurdle: they have not established that IGRA authorizes the allocation of jurisdiction to state courts for these tort claims. As such, we REVERSE the district court's judgment and REMAND with instructions to grant the Nation's request for declaratory relief.
Notably, Congress also sought to encourage states to come to the gaming-compact bargaining table by statutorily obliging them in IGRA to negotiate in good faith and abrogating their sovereign immunity if they did not do so. § 2710(d)(3)(A), (7)(A) ;
see
N.M./DOI
,
The relevant portions of the compact read:
SECTION 8. Protection of Visitors.
A. Policy Concerning Protection of Visitors. The safety and protection of visitors to a Gaming Facility is a priority of the Nation, and it is the purpose of this Section to assure that any such persons who suffer bodily injury or property damage proximately caused by the conduct of the Gaming Enterprise have an effective remedy for obtaining fair and just compensation. To that end, in this Section, and subject to its terms, the Nation agrees to carry insurance that covers such injury or loss, agrees to a limited waiver of its immunity from suit, and agrees to proceed either in binding arbitration proceedings or in a court of competent jurisdiction, at the visitor's election, with respect to claims for bodily injury or property damage proximately caused by the conduct of the Gaming Enterprise. For purposes of this Section, any such claim may be brought in state district court, including claims arising on tribal land, unless it is finally determined by a state or federal court that IGRA does not permit the shifting of jurisdiction over visitors' personal injury suits to state court.
....
D. Specific Waiver of Immunity and Choice of Law. The Nation, by entering into this Compact and agreeing to the provisions of this Section, waives its defense of sovereign immunity in connection with any claims for compensatory damages for bodily injury or property damage up to the amount of fifty million dollars ($50,000,000) per occurrence asserted as provided in this Section. This is a limited waiver and does not waive the Nation's immunity from suit for any other purpose. The Nation shall ensure that a policy of insurance that it acquires to fulfill the requirements of this Section shall include a provision under which the insurer agrees not to assert the defense of sovereign immunity on behalf of the insured, up to the limits of liability set forth in this Paragraph. The Nation agrees that in any claim brought under the provisions of this Section, New Mexico law shall govern the substantive rights of the claimant, and shall be applied, as applicable, by the forum in which the claim is heard, except that the tribal court may but shall not be required to apply New Mexico law to a claim brought by a member of the Nation.
Aplt.'s App. at 26-27.
Because we conclude that we may exercise jurisdiction under § 1331, we need not reach the parties' remaining jurisdictional arguments.
This background should provide a context for understanding why we need not reach the question of Navajo law noted above: because Congress, through IGRA, has not authorized tribes to enter into compacts with states allocating jurisdiction to state courts over tort claims arising on Indian land like those prosecuted by the McNeals, whether the NNC's actions under Navajo law would have permitted such a jurisdictional transfer is immaterial. In other words, because we conclude that Congress has not authorized the shifting of jurisdiction over the tort claims at bar by way of IGRA, our analysis is at an end; we need not decide more because "the negotiated terms of the Compact cannot exceed what is authorized by the IGRA."
Pueblo of Santa Ana v. Nash
,
We are not obliged to read the term "necessary" as meaning "absolutely necessary" or "indispensable."
See
Fish v. Kobach
,
The Appellees present various arguments seeking to distinguish
Bay Mills
; none are availing. Their first two arguments essentially contend that the
Bay Mills
Court did not directly assess what terms may be included in a compact,
see
McNeal Aplees.' Br. at 20-21; J. Dalley's Br. at 23 n.9, but instead addressed a different issue.
See
Bay Mills
, 134 S.Ct. at 2028 ("The question in this case is whether tribal sovereign immunity bars Michigan's suit against the Bay Mills Indian Community for opening a casino outside Indian lands. We hold that immunity protects Bay Mills from this legal action."). This argument, however, does not move the ball for them because we are bound to follow both the holding and the
reasoning
, even if dicta, of the Supreme Court.
See
Surefoot LC v. Sure Foot Corp.
,
The Appellees also present a third argument. Specifically, they observe that this case involves the interpretation of provisions that enhance tribal sovereign immunity, i.e., permit the Nation to use its jurisdiction as a bargaining chip, whereas the provisions at issue in
Bay Mills
abrogated tribal sovereignty; consequently, they reason that we should read the provisions here more broadly than the
Bay Mills
Court did because of the differing effects the constructions have on Indian sovereignty interests.
See
McNeal Aplees.' Br. at 21-22; J. Dalley's Br. at 26-27 ("Here, the state courts' interpretation of the IGRA as permitting jurisdiction promotes, and does not diminish, tribal self-determination."). This argument, at base, suggests that Congress must have intended the courts to construe IGRA in a broader sense in circumstances when the effect of the construction will be to enhance tribal sovereignty. The Appellees cite limited authority in support of their argument, but the authority they do cite indicates that they are relying on the well-established Indian canon of statutory interpretation-that is, the canon that provides that "statutes passed for the benefit of dependent Indian tribes ... are to be liberally construed, doubtful expressions being resolved in favor of the Indians."
Bryan v. Itasca Cty., Minn.
,
We pause to highlight that our holding only pertains to the circumstances presented here. More specifically, we do not intend by this holding to categorically negate the possibility that certain classes of tort or personal-injury claims stemming from conduct on Indian land might conceivably satisfy the statutory conditions for tribal allocation of jurisdiction to the states under our plain reading of clauses (i) and (ii) of IGRA. Consider, for example, a casino patron at a roulette table: during the course of the game, an errant ball flies and hits the patron in the eye, causing damage to the patron. Or, in a different situation, a patron is playing on a dysfunctional slot machine that electrocutes the patron, again resulting in some harm. In both of those instances, it is at least arguable that the patron's injuries resulted directly from gaming activity, within the meaning of Bay Mills , i.e., "what goes on in a casino-each roll of the dice and spin of a wheel." 134 S.Ct. at 2032. Assuming arguendo this is so, the harmed plaintiffs could argue-at least colorably-that the tort laws they plan to invoke in their claims are "civil laws and regulations ... directly related to, and necessary for, the licensing and regulation, of" the gaming activities that caused them harm, and that the allocation of jurisdiction was "necessary for the enforcement" of those tort laws. § 2710(d)(3)(C)(i), (ii). In short, the hypothetical plaintiffs could argue (at least colorably) that the tribe running the casino at issue would have been authorized under IGRA's plain terms to allocate jurisdiction to the state over their tort claims. We need not and do not express any opinion on whether such hypothetical plaintiffs-or similarly situated ones-could succeed on such an argument because the circumstances of those plaintiffs are not before us. The McNeals' circumstances are. And what is clear in a slip-and-fall case, like this one, is that a plaintiff's harm cannot plausibly be said to have resulted from gaming activity, within the meaning of Bay Mills -that is, from the playing of dice, the pulling of a slot machine, or other participation in Class III gambling. And such a plaintiff, like the McNeals, cannot argue that the tribe would have been authorized under IGRA's plain terms to shift jurisdiction over his or her tort claims to the state courts.
In this regard, we find common ground with Justice Minzner's dissent in
Doe
, in which she reasoned that "[h]ad Congress intended for such [tort] claims to be included, ... IGRA would have been more explicit, and we would not need to parse legislative history for indicia of legislative intent."
In reaching the opposite conclusion than the one we ultimately do regarding the import of clause (vii)-i.e., that the clause permits the allocation of jurisdiction-the district court, quite significantly, omitted the term "other" from its analysis: "This Section allows the Tribes and states to negotiate regarding 'any ... subjects that are directly related to the operation of gaming activities.' " Aplt.'s App. at 193 (quoting
This is in effect the reading of clause (vii) that the district court adopted here. As mentioned in note 9, supra , the court's reading failed to give effect to, and in fact misguidedly elided, the critical term "other" in clause (vii).
One argument that we do not rely upon in coming to this conclusion is the Nation's argument that we should resolve any ambiguity in IGRA in its favor based on the Indian canon of statutory interpretation.
See
Aplt.'s Opening Br. at 10. As we discussed in note 6,
supra
, this canon provides that "doubtful expressions" in statutes should be "resolved in favor of the Indians,"
Bryan
,
Reference
- Full Case Name
- NAVAJO NATION; Northern Edge Navajo Casino, Plaintiffs-Appellants, v. the Honorable Bradford J. DALLEY, District Judge, Eleventh Judicial District, New Mexico, in His Official Capacity; Harold McNeal; Michelle McNeal, Defendants-Appellees, New Mexico Trial Lawyers Association ; Pueblo of Santa Ana, Amici Curiae.
- Cited By
- 39 cases
- Status
- Published