Michigan v. Bay Mills Indian Community
Facts
Under IGRA, Michigan and Bay Mills entered a compact allowing Bay Mills to conduct class III gaming on Indian lands but not outside that territory. Bay Mills later opened a class III gaming facility in Vanderbilt, Michigan, on land it had purchased with earnings from a congressionally created land trust, claiming the property qualified as Indian land. Michigan sued Bay Mills under IGRA and the compact, alleging the casino was outside Indian lands and therefore unlawful. The compact preserved both parties' sovereign immunity and included arbitration for contractual disputes.
Issue
Does tribal sovereign immunity bar Michigan's suit against Bay Mills to enjoin operation of a casino that Michigan alleges is located outside Indian lands? More specifically, did IGRA unequivocally abrogate tribal immunity for this kind of suit, or should the Court limit tribal immunity for off-reservation commercial activity?
Rule
Indian tribes possess common-law sovereign immunity from suit unless Congress unequivocally abrogates that immunity or the tribe waives it. IGRA's partial abrogation in 25 U.S.C. §2710(d)(7)(A)(ii) authorizes state suits only to enjoin class III gaming activity located on Indian lands and conducted in violation of an effective tribal-state compact; it does not authorize suits over gaming alleged to occur off Indian lands. Under existing precedent, tribal immunity applies even to suits arising from off-reservation commercial activity.
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