Commentary: Gavel to Gavel: Doing Business with Indian Tribes

Summary

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With all of the development being financed by the many Indian tribes in Oklahoma, it is very tempting to do business with them or even to go to work for one of the tribes. In addition to the usual cautions about any business deal or employment opportunity, there are a few important facts that you need to know. Initially and most importantly, you are dealing with a sovereign nation. What does this mean to you legally?

As sovereign nations, Indian tribes are not subject to a lot of the laws of other governments including the state or federal government. This means that the tribe is not subject to the jurisdiction of the courts in the state of Oklahoma or the U.S. federal court system when sued by a private party. In practical terms, if you are a business and contract with a tribe you need to know that if there is a problem, you are dealing with a government, not a private business. While a business that has a dispute with a private company or individual may generally seek redress in a state court, you cannot sue a tribe in a state or federal court. You must pursue your remedies in tribal court. There is a caveat, which is unless the tribe waives its sovereignty as the federal and state governments have done with their respective tort claims acts. Certain tribes even have prohibitions against suing the tribe unless you have a specific waiver from the tribe, which is not easy to obtain after a problem has developed.

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Extract

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Commentary: Gavel to Gavel: Doing Business with Indian Tribes

If you are negotiating a contract with a tribe, you must keep remedies in mind. While you may be able to get a private party to agree to the jur...

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