At & T Corporation v. Coeur D'Alene Tribe

283 F.3d 1156, 2002 Cal. Daily Op. Serv. 2480, 2002 Daily Journal DAR 3043, 2002 U.S. App. LEXIS 4351, 2002 WL 417250
CourtCourt of Appeals for the Ninth Circuit
DecidedMarch 19, 2002
Docket99-35088
StatusPublished
Cited by6 cases

This text of 283 F.3d 1156 (At & T Corporation v. Coeur D'Alene Tribe) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
At & T Corporation v. Coeur D'Alene Tribe, 283 F.3d 1156, 2002 Cal. Daily Op. Serv. 2480, 2002 Daily Journal DAR 3043, 2002 U.S. App. LEXIS 4351, 2002 WL 417250 (9th Cir. 2002).

Opinions

Opinion by BETTY B. FLETCHER; Partial Concurrences and Partial Dissent by Judge RONALD M. GOULD.

BETTY B. FLETCHER, Circuit Judge.

Having received conflicting determinations from tribal courts and the federal district court, the Coeur d’Alene Tribe appeals the district court’s determination that AT & T Corporation need not provide toll-free telephone service for the Tribe’s lottery. We find that the tribal court lacked jurisdiction to resolve the dispute, but vacate the district court’s determination that the lottery itself is illegal under the Indian Gaming Regulatory Act (IGRA). We conclude that AT & T was not the proper party to challenge the legality of the lottery.

I. BACKGROUND

The federally recognized Coeur d’Alene Tribe (“Tribe”) resides on the Coeur d’Al-ene Reservation in Idaho. Federal law permits tribes like the Coeur d’Alene to engage in gambling activities on Indian lands pursuant to the Indian Gaming Regulatory Act (IGRA), 25 U.S.C. § 2701 et seq. As IGRA requires of any tribe wishing to engage in gambling on its land, the Tribe entered into a compact with the State of Idaho. The compact permits the Tribe to offer Class III gaming, including a lottery. See 25 U.S.C. § 2710(d)(3). The Secretary of the Interior approved the compact. See 25 U.S.C. § 2710(d)(8); 58 Fed.Reg. 8478 (1993).

The Tribe created the National Indian Lottery (“Lottery”). The Lottery’s administration occurs entirely on the Reservation. However, off-Reservation participants may purchase tickets by telephone from outside Idaho.1 In order to participate in the Lottery, an off-Reservation player establishes an account on the Reservation and funds it either by credit card or by delivering funds. To purchase a ticket, the player authorizes a deduction from the account and either selects a sequence of numbers or requests randomly selected numbers. A player may request written confirmation of the transaction, but the lottery ticket itself remains on the Reservation. Once a week, lottery officials draw a sequence of winning numbers and distribute the prize pool to players whose tickets contain them. An off-Reservation winner receives a credit to his or her account that is redeemable in person or through the mail.

The federally approved compact itself did not specify that off Reservation telephone purchases would be permitted.2 [1160]*1160However, a management contract between the Tribe and UNISTAR Entertainment, Inc. made clear that off-Reservation players could participate telephonically. As required by 25 U.S.C. § 2710(d)(9), the Tribe submitted the management contract to the Chairman of the National Indian Gaming Commission (NIGC) for approval. The Chairman approved the management contract, a decision that constitutes a final agency action. 25 U.S.C. § 2714. The Chairman subsequently clarified in a letter — in response to an inquiry about the Lottery’s legality3 — that:

In the opinion of the NIGC, the Tribe’s lottery proposal, which involves customers purchasing lottery tickets with a credit card both in person and by telephone from locations both inside and outside the state of Idaho, is not prohibited by the IGRA.

Following the NIGC’s approval of the UN-ISTAR contract, the Tribe adopted a resolution and amended its Tribal Code to authorize the Lottery. Consistent with IGRA, the Tribe’s resolution was deemed approved by the NIGC Chairman ninety days after its submission pursuant to 25 U.S.C. § 2710(e).4

In order to attract Lottery participants, the Tribe sought to establish toll-free telephone service to its on-Reservation offices from callers in states that operate their own state-run lotteries. AT & T was among the carriers with whom the Tribe negotiated to provide such service.

Upon learning that the Tribe intended to offer toll-free “Tele-Lottery” service, several state Attorneys General sent letters to AT & T allegedly pursuant to 18 U.S.C. § 1084(d), warning AT & T that furnishing interstate toll-free service for the Lottery would violate federal and state laws. Title 18 U.S.C. § 1084(d) provides that:

When any common carrier, subject to the jurisdiction of the Federal Communications Commission, is notified in writing by a Federal, State, or local law enforcement agency, acting vnthin its jurisdiction, that any facility furnished by it is being used or will be used for the purpose of transmitting or receiving gambling information in interstate or foreign commerce in violation of Federal, State or local law, it shall discontinue or refuse, the leasing, furnishing, or maintaining of such facility, after reasonable notice to the subscriber, but no damages, penalty or forfeiture, civil or criminal, shall be found against any common carrier for any act done in compliance with any notice received from a law enforcement agency. Nothing in this section shall be deemed to prejudice the right of any person affected thereby to secure an appropriate determination, as otherwise provided by law, in a Federal court or in a State or local tribunal or agency, that such facility should not be discontinued or removed, or should be restored.

(emphasis added). Upon receiving the § 1084(d) letters, AT & T informed the Tribe that it would not provide toll-free [1161]*1161service until the Tribe resolved its legal differences with the States.

The Tribe filed an action in the Coeur d’Alene Tribal Court seeking to enjoin AT & T from denying toll free service based on the § 1084(d) letters. The Tribe argued that the Lottery is lawful under IGRA and that AT & T is therefore legally obligated to provide the requested service pursuant to the Federal Communications Act (FCA). See 47 U.S.C. § 201(a)(requir-ing common carriers engaged in interstate communication to furnish service upon reasonable request). AT & T challenged the personal and subject matter jurisdiction of the Tribal Court. The Tribal Court rejected AT & T’s arguments, declared the Lottery lawful under IGRA, and enjoined AT & T from refusing to provide the requested service. The Tribal Court of Appeals affirmed.

AT & T then filed suit in federal district court seeking a declaration that the Tribal Court lacked jurisdiction and that the § 1084(d) letters relieved AT & T from any obligation to provide service. The district court determined that IGRA requires a participant in a lottery to be present on Indian lands when purchasing a ticket; therefore, the district court held that the lottery was operating outside IGRA, which would otherwise preempt state law. AT & T Corp. v. Coeur D’Alene Tribe,

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Santa Ynez Band of Mission Indians v. Torres
262 F. Supp. 2d 1038 (C.D. California, 2002)
TPS Utilicom Services, Inc. v. AT & T CORP.
223 F. Supp. 2d 1089 (C.D. California, 2002)
At & T Corporation v. Coeur D'Alene Tribe
295 F.3d 899 (Ninth Circuit, 2002)
Tornquist v. Spirit Mountain Gaming, Inc.
4 Am. Tribal Law 135 (Grand Ronde Tribal Court, 2002)

Cite This Page — Counsel Stack

Bluebook (online)
283 F.3d 1156, 2002 Cal. Daily Op. Serv. 2480, 2002 Daily Journal DAR 3043, 2002 U.S. App. LEXIS 4351, 2002 WL 417250, Counsel Stack Legal Research, https://law.counselstack.com/opinion/at-t-corporation-v-coeur-dalene-tribe-ca9-2002.