Outsource Services Management, LLC v. Nooksack Business Corporation

Summary

The Washington Supreme Court held that Washington state courts have subject matter jurisdiction over a contract claim against a tribal enterprise when the enterprise waived sovereign immunity and expressly consented to state-court jurisdiction. The court concluded that honoring the tribal enterprise's contractual choice of forum did not infringe tribal sovereignty or the tribe's right of self-rule. The court affirmed the Court of Appeals but declined to decide whether a waiver of sovereign immunity alone would confer state-court jurisdiction.

Holdings

1. Washington state courts have subject matter jurisdiction over a civil contract claim arising on an Indian reservation when the tribal enterprise waived sovereign immunity and expressly consented to jurisdiction in Washington state courts, because honoring that decision does not infringe tribal sovereignty or the tribe's right to self-rule.
2. Although parties cannot create subject matter jurisdiction by agreement or consent, a tribe's or tribal enterprise's consent to state-court jurisdiction may be considered when determining whether exercising jurisdiction would infringe tribal sovereignty.
3. The court declined to decide whether waiver of sovereign immunity alone is sufficient to confer subject matter jurisdiction on Washington state courts.

Questions Presented

1. Whether a Washington superior court has subject matter jurisdiction over a contract claim arising on tribal land when a tribal enterprise waived sovereign immunity and expressly consented to jurisdiction in Washington state courts.
2. Whether a tribal enterprise's consent to state-court jurisdiction may be considered in determining whether state jurisdiction would infringe the tribe's right to self-rule.
3. Whether waiver of sovereign immunity alone is sufficient to confer subject matter jurisdiction on Washington state courts.

Disposition

affirmed