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MARCH 19, 2001

The Supreme Court today hears an argument which will determine under what circumstances a tribe might waive its sovereign immunity.

The Citizen Potawatomi Nation of Oklahoma entered into an agreement with C&L Enterprises, a construction company. When the tribe later declined to have the company complete work on a tribally-owned building located on non-trust land, the company sued.

The main issue is the nature of the contract. Should a dispute arise, it subjected the tribe to binding arbitration, which may or may not be a waiver of sovereign immunity.

Previous Supreme Courts have held that waivers of sovereign immunity must be expressly stated.

Several states have filed briefs supporting C&L. The United States and the San Manuel Band of Serrano Mission Indians filed briefs in support of the tribe.

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