Dist. Ct. did not err in dismissing plaintiff’s False Claims Act action, alleging that defendants-tribal hospital and several employees of hospital retaliated against plaintiff by terminating her from her hospital position after she had flagged irregularities in hospital’s billing practices that she believed reflected fraud. Dist. Ct. could properly have found that defendants were entitled to tribal sovereign immunity, since hospital could be viewed as arm of Tribe. Moreover, individual defendants could also assert tribal sovereign immunity because plaintiff essentially sued them in their official capacities. Ct. rejected plaintiff’s contention that tribal sovereign immunity did not apply, because: (1) according to plaintiff, anti-retaliation provisions of False Claims Act abrogated tribal sovereign immunity; and (2) defendants could not otherwise assert tribal sovereign immunity. Ct. of appeals, though, held that defendant-hospital could assert tribal sovereign immunity, where record showed that hospital was acting in tribal capacity, where relevant factors pointed to common understanding that hospital further Tribe’s self-sufficiency and self governance.
Federal 7th Circuit Court
Civil Court
Tribal Sovereign Immunity