California | Compacts | Litigation

Pauma Band celebrates win for $36.2M in compact overpayments

Tuesday, October 27, 2015

Halloween 2014 at Casino Pauma in Pauma Valley, California. Photo from Facebook

The Pauma Band of Luiseño Indians is celebrating victory in its long-running gaming compact dispute with the state of California.

The tribe hopes to collect $36.2 million in revenue sharing payments made under a 2004 compact. The 9th Circuit Court of Appeals on Monday ruled that the tribe is entitled to the money because the state engaged in misrepresentation about the number of available licenses for gaming machines.

"The opinion means that states will be held accountable for misrepresentations made to tribes during gaming compact negotiations, and that states will not be able to reap the rewards of their own overreach," tribal attorney Cheryl Williams told Metropolitan News-Enterprise.

Indianz.Com SoundCloud: 9th Circuit Court of Appeals Oral Arguments in Pauma Band of Luiseno Mission v. State of California

The state, however, is considering an appeal, a spokesperson for Gov. Jerry Brown (D) said. Although he didn't sign the 2004 agreement -- that was his predecessor Arnold Schwarzenegger (R) -- his administration has been battling tribes over revenue sharing payments and gaming compact negotiations.

"We disagree with the majority’s conclusion—especially its broad interpretation of the limited waiver of sovereign immunity in the compacts—and are reviewing our appellate options," the spokesperson told Metropolitan News-Enterprise.

The state could ask for a rehearing before an en banc, or larger, panel of judges on the 9th Circuit. Or it could take the case to the U.S. Supreme Court.

Get the Story:
Panel Upholds Order That State Refund Tribe $36 Million (The Metropolitan News-Enterprise 10/27)
Tribe Owed $36.2M for Gaming-License Snafu (Courthouse News Service 10/26)

9th Circuit Decision:
Pauma Band of Luiseno Mission v. State of California (October 26, 2015)