Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana

965 So. 2d 930, 6 La.App. 3 Cir. 1542, 2007 La. App. LEXIS 1522, 2007 WL 2255368
Louisiana Court of Appeal·Decided August 8, 2007·No. No. CW 2006-1542·Published·Cited by 2 cases

Opinion

SULLIVAN, Judge.

|TIn this writ application, the Coushatta Tribe of Louisiana (Coushatta) urges that the trial court erred in determining that it had subject matter jurisdiction in this matter and that its Tribal Court, not the trial [932] court, should determine whether the Tribal Council’s Chairman and/or his designee had authority to waive Coushatta’s sovereign immunity in a series of contractual agreements. For the following reasons, we stay this matter to allow the Tribal Court to make this determination.

Facts

Coushatta is a federally recognized Indian tribe with its reservation located approximately three miles north of Elton in Allen Parish, Louisiana. It is governed by a Tribal Council, consisting of a Chairman and four Council members.

In 2001, Coushatta entered into a contractual relationship with Meyer and Associates, Inc. (Meyer). Meyer, a general consulting engineering firm, contracted to provide professional services to Coushatta in connection with a capital improvement program it had instituted. Their agreement was initially set forth in an Agreement for Professional Services.

On January 14, 2003, Coushatta arid Meyer entered into an Interim & Definitive Supplemental Agreement to Existing Agreement for the development of a Power Program (Supplemental Agreement). In furtherance of Coushatta’s stated interest in developing potential energy projects and a related industrial park to diversify its economic welfare, the Supplemental Agreement provided; for the design, construction, maintenance, and operation of an electric-power-generating facility (Power Plant Project). It revised the Agreement for Professional Services in a number of respects. Thereafter, Memoranda of Agreement were executed which also ^amended the Supplemental Agreement. Pursuant to the terms of the contracts, Coushatta committed to invest millions of dollars in the Power Plant Project.

After disputes arose in the execution of these joint venture contracts, Coushatta filed suit in its Tribal Court on April 26, 2006, against Meyer and Richard T. Meyer, seeking a declaratory judgment, injunc-tive relief, and damages for actions arising out of these contracts. On June 6, 2006, Meyer filed suit in the Fourteenth Judicial District Court for the Parish of Calcasieu against Coushatta. Meyer then filed motions to dismiss Coushatta’s suit with the Tribal Court, challenging that court’s jurisdiction.

Thereafter, on July 7, 2006, Coushatta sought to stay the trial court proceedings on the basis of lis pendens and the exhaustion of tribal remedies doctrine. It also filed an Exception of Lack of Subject Matter Jurisdiction. Coushatta contended that this state court proceeding should be stayed because its suit was pending in Tribal Court before Meyer filed suit in state court and that, pursuant to the federal jurisprudential doctrine of exhaustion of tribal remedies, the Tribal Court should be allowed to determine whether or not Cous-hatta waived its sovereign immunity. Coushatta further asserted that the trial court did not have subject matter jurisdiction because its January 14, 2003 Resolution did not waive sovereign immunity as required by Tribal ordinance.

Meyer urged in opposition that the above-cited contract provisions waived Coushatta’s sovereign immunity, that the Tribal Council representatives who signed the contracts had authority to do so, that the Tribal Court does not have jurisdiction to proceed, and that this litigation is properly before the Fourteenth Judicial District.

Is At a hearing held on October 31, 2006, the trial court denied Coushatta’s request to stay these proceedings on the basis of lis pendens and took the other issues under advisement. In its Reasons for Judgment, the trial court held that the exhaustion of tribal remedies doctrine does not [933] apply to this matter and denied Coushat-ta’s Exception of Lack of Subject Matter Jurisdiction.

Coushatta filed this writ application, urging that the trial court erred in failing to stay this proceeding to allow the Tribal Court the first opportunity to determine whether it validly waived its sovereign immunity and in finding that the trial court had subject matter jurisdiction.

Discussion

Appeal versus Writ

Meyer argues that this writ application should be denied because Coushatta has an adequate remedy through an appeal. We do not agree. If Coushatta’s writ application is not considered, it must participate in these proceedings to a final judgment before it can appeal, and its defense of sovereign immunity will be effectively lost. Guidry v. Shelter Ins. Co., 535 So.2d 393 (La.App. 3 Cir.1988).

Sovereign Immunity of Indian Tribes

Pursuant to federal law, Indian tribes are subject to suit only where authorized by Congress or the tribe has waived its sovereign immunity. Kiowa Tribe of Ok. v. Mfg. Techs., Inc., 523 U.S. 751, 118 S.Ct. 1700, 140 L.Ed.2d 981 (1998). In Kiowa, the Court reiterated its long-held position that “[tjribes enjoy immunity from suits on contracts, whether those contracts involve governmental or commercial activities and whether they were made on or off a reservation.” Id. at 760, 118 S.Ct. at 1705. Unless | ¿Congress abrogates this immunity or the tribe waives it, immunity governs contractual claims against the tribe. Id.

An Indian tribe’s waiver of sovereign immunity must be clear and express but need not employ the specific words “waive” and “sovereign immunity” to be effective. C & L Enters., Inc. v. Citizen Band Potawatomi Indian Tribe of Ok., 532 U.S. 411, 121 S.Ct. 1589, 149 L.Ed.2d 623 (2001). A tribe’s agreement “by express contract, to adhere to certain dispute resolution procedures” and to be bound by those resolution procedures has been held to constitute an explicit waiver of sovereign immunity. Id. at 420, 121 S.Ct. at 1595.

At the heart of this matter are various provisions in the agreements executed by Coushatta and Meyer which they contend address sovereign immunity. The Agreement for Professional Services provided that it would be “governed by the law of the state in which the principal office of the CMC [Coushatta] is located” and that binding arbitration would be utilized to resolve any disputes that arose with' én-forcement of the arbitration being enforced in the Coushatta Tribal Court.

The Supplemental Agreement was the subject of a lengthy and detailed Resolution passed by the Tribal Council the same date which authorized the Tribal Chairman “to negotiate and execute all necessary Agreements with Meyer and .Associates, Inc.” and “to negotiate and execute ... all Other Agreements as may be necessary to Develop and Implement the [Power Plant Project].” It also authorized the Tribal Chairman to designate someone to act in his stead in conjunction with the Power Plant Project. The Resolution did not, however, specifically waive sovereign immunity.

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

Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana, 965 So. 2d 930, 6 La.App. 3 Cir. 1542, 2007 La. App. LEXIS 1522, 2007 WL 2255368 (La. Ct. App. 2007).

965 So. 2d 930 (Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Meyer & Associates, Inc. v. Coushatta Tribe of La.
992 So. 2d 446 (Supreme Court of Louisiana, 2008)
State v. Joshua
973 So. 2d 963 (Louisiana Court of Appeal, 2008)