New opinion — divided panel upholds Eleventh Amendment dismissal

Karns v. Shanahan — civil — affirmance — Chagares

The Third Circuit today affirmed a district court ruling dismissing on Eleventh Amendment grounds a civil rights suit against NJ Transit. Although in a 1989 en banc ruling, Fitchik, the court held that NJ Transit is not an arm of the state entitled to Eleventh Amendment immunity, the court today observed that its analysis of such issues had since “fundamental[ly] shift[ed]” and its prior ruling was no longer binding.

Judge Roth dissented, beginning:

Were we writing on a blank slate, it would be within the prerogative of the Majority to decide this case as it does. But the slate is not blank. The precise question that we examine here, whether NJ Transit is an “arm of the state” entitled to Eleventh Amendment sovereign immunity,” we have already fully considered and resolved en banc in Fitchik v. N.J. Transit Rail Operations, Inc.1 Little has changed since we decided this question. Thus, stare decisis, principles of estoppel, and our own Internal Operating Procedures all require that we decline the invitation to overrule Fitchik. For this reason, I respectfully dissent from Part III of the majority opinion.

Joining Chagares was Restrepo. Arguing counsel were John Bloor of Drinker Biddle for the appellants and Jennifer McGruther of the NJ AG’s office for the appellees.