United States v. Tribal Development Corp.

165 F.R.D. 83, 1996 U.S. Dist. LEXIS 2848, 1996 WL 88919
CourtDistrict Court, E.D. Wisconsin
DecidedFebruary 28, 1996
DocketNo. 93-C-494
StatusPublished
Cited by2 cases

This text of 165 F.R.D. 83 (United States v. Tribal Development Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Tribal Development Corp., 165 F.R.D. 83, 1996 U.S. Dist. LEXIS 2848, 1996 WL 88919 (E.D. Wis. 1996).

Opinion

OPINION AND ORDER

CURRAN, District Judge.

Plaintiffs Glen A. Hall, Michael A. Mapes and Fred Tribble have brought this action on behalf of the United States pursuant to the qui tam provisions of 25 U.S.C. § 81 and 25 U.S.C. § 201. In their amended complaint the Plaintiffs seek recovery of money or other things of value, as set forth in 25 U.S.C. § 81; for recovery of money and/or civil forfeiture of money or other things of value associated with merchandise offered for sale and/or lease as provided in 25 U.S.C. § 264 and 25 C.F.R. Part 140, § 140.3; for the recovery of money and/or a penalty, as provided by 25 U.S.C. § 264 and 25 C.F.R. Part 140, § 140.3; and for the recovery of money and/or a penalty, as provided in 25 U.S.C. § 2713.

It is alleged in the amended complaint that Defendant Tribal Development Corporation (TDC), a corporation existing and organized [85]*85under the laws of the State of Wisconsin, was engaged in the business of leasing and/or selling equipment, supplies, and goods to the Menominee Indian Tribe of Wisconsin in connection with the tribe’s gaming operations on its reservation located within the State of Wisconsin. The Plaintiffs further allege that TDC was not licensed as a trader to the Indian tribe in accordance with the provisions of 25 U.S.C. §§ 261-64 and the rules promulgated under 25 C.F.R. Part 140. The Plaintiffs further claimed that the agreements executed between TDC and the tribe were not executed nor approved and/or endorsed by the Secretary of the Interior and the Commissioner of Indian Affairs, as required by 25 U.S.C. § 81 and the Indian Gaming Regulatory Act (IGRA), 25 U.S.C. §§ 2701-21. Following the transfer of this case from the United States District Court for the Third District of Minnesota, this court dismissed the action because the Plaintiffs had failed to establish standing. Plaintiffs appealed and the United States Court of Appeals for the Seventh Circuit affirmed but, upon rehearing, reversed and remanded the action for further proceedings. United States Ex Rel Hall v. Tribal Development Corp., 49 F.3d 1208 (7th Cir.1995). Before the court is the Defendants’ motion to dismiss for failure to join an indispensable party under Federal Rule of Civil Procedure 19, namely, the Menominee Indian Tribe of Wisconsin, for failure to state a claim under 25 U.S.C. § 81, for failure to state sufficient facts to allege a cause of action under 25 U.S.C. § 264, for failure to state a claim pursuant to 25 U.S.C. § 2713, and for lack of standing to bring an action under 25 U.S.C. § 2713.

Federal Rule of Civil Procedure 19 provides in relevant part that a person who is subject to service of process and whose joinder will not deprive the court of jurisdiction over the subject matter of the action shall be joined as a party in the action if the person claims interest relating to the subject of the action and is so situated that the disposition of the action in the person’s absence may, as a practical matter, impair or impede the person’s ability to protect that interest. If, however, that person cannot be made a party, the court must determine whether in equity and good conscience the action should proceed among the parties before it or should be dismissed, the absent person being thus regarded as indispensable. The court must consider the following factors: (1) to what extent the judgment rendered in the person’s absence might be prejudicial to the person; (2) the extent to which by protective provisions in the judgment, by the shaping of relief or other measures, the prejudice can be lessened or avoided; (3) whether a judgment rendered in the person’s absence will be adequate; and (4) whether the plaintiff will have an adequate remedy if the action is dismissed for nonjoinder. Thus, the resolution of a question of joinder under Rule 19 involves a three step process. The court must first determine whether a person is necessary to the action and should be joined, if possible; second, whether the court has personal jurisdiction over the party; and third, whether the party is indispensable. Keweenaw Bay Indian Community v. State, 11 F.3d 1341, 1345 (6th Cir.1993).

It is quite clear that under Rule 19(a)(2)(i) the Menominee Indian Tribe is a necessary party. Because it is a party to the agreements alleged in the amended complaint, it “claims an interest relating to the subject of the action and is so situated that the disposition of the action in the [tribe’s] absence may ... as a practical matter impair or impede the [tribe’s] ability to protect that interest.” Rule 19(a)(2)(i). “No procedural principle is more deeply embedded in the common law than that, in an action to set aside a lease or a contract, all parties who may be affected by the determination of the action are indispensable.” Lomayaktewa v. Hathaway, 520 F.2d 1324, 1325 (9th Cir.1975), cert. denied, 425 U.S. 903, 96 S.Ct. 1492, 47 L.Ed.2d 752 (1976). Having found that the Menominee Tribe has a legally protected interest in the outcome of this litigation and is thus a necessary party, the court must determine whether the tribe should be joined. This lawsuit has been pending for a considerable amount of time and the Plaintiffs have been given an opportunity to amend their pleadings and to join additional parties but have not done so. It is further clearly established that the tribe cannot be [86]*86joined involuntarily because suits against Indian tribes are barred by sovereign immunity absent a clear waiver by the tribe or congressional abrogation.

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Related

United States v. Tribal Development Corporation
100 F.3d 476 (Seventh Circuit, 1996)
United States ex rel. Hall v. Tribal Development Corp.
100 F.3d 476 (Seventh Circuit, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
165 F.R.D. 83, 1996 U.S. Dist. LEXIS 2848, 1996 WL 88919, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-tribal-development-corp-wied-1996.