Lead Opinion
[¶ 1] Gary Winer appealed from an order and judgment dismissing, without prejudice, his personal injury action against Jerrid Mudgett, Sr., and Jerrid Mudgett, Jr., for lack of subject-matter jurisdiction, and against Penny Enterprises, Inc., for nonjoinder of the Mudgetts as indispensable parties. We conclude the district court correctly ruled it lacked subject-matter jurisdiction over this action brought by a non-Indian plaintiff against Indian defendants for damages resulting from a motor vehicle accident occurring on a state highway within the exterior boundaries of the Spirit Lake Indian Reservation. We affirm.
I
[¶ 2] Jerrid Mudgett, Sr., and his minor son Jerrid Mudgett, Jr., live in Benson County and are enrolled members of the Spirit Lake Tribe. Jerrid Mudgett, Sr., is employed by Penny Enterprises, Inc., which is a domestic corporation organized under North Dakota law with its principal place of business at St. Michael, within the exterior boundaries of the Reservation. Gary Winer is not an Indian but lives in St. Michael. On August 25, 2000, the Mudgetts and Winer were involved in a motor vehicle accident on North Dakota Highway 20 within the exterior boundaries of the Reservation.
[¶ 3] In December 2000, Winer sued Jerrid Mudgett, Sr., individually and as guardian of his son, and Penny Enterpris
[¶ 4] The Mudgetts and Penny Enterprises moved to dismiss for lack of subject-matter jurisdiction because the Mudgetts are enrolled members of the Spirit Lake Tribe and the incident occurred within the exterior boundaries of the Reservation. The court granted the motion in May 2001 and dismissed without prejudice the action against the Mudgetts, but did not dismiss the action against Penny Enterprises.
[¶ 5] Penny Enterprises moved for summary judgment in December 2001, arguing Jerrid Mudgett, Sr., was an independent contractor and was not acting within the scope of employment. In July 2001, the court denied the motion, but concluded Mudgett was an independent contractor and Winer had no claim of vicarious liability against Penny Enterprises. The court limited Winer’s recovery against Penny Enterprises to breach of duties arising from ownership of the semi truck tractor. In December 2002, Penny Enterprises moved to dismiss for nonjoinder of the Mudgetts as indispensable parties. Winer did not resist the motion to dismiss Penny Enterprises, and the district court dismissed the remainder of the action without prejudice in February 2003. Winer appealed.
II
[¶ 6] Ordinarily, an order dismissing a complaint without prejudice is not appealable because either side may commence another action after the dismissal. State v. Gwyther,
III
[¶ 7] Winer argues the district court erred in ruling it did not have subject-matter jurisdiction over his personal injury action against the Mudgetts. Winer does not argue the court erred in dismissing Penny Enterprises from the action, so we do not address that issue.
[¶ 8] There is no dispute about the jurisdictional facts relied upon by Win-er in this case. When the jurisdictional facts are not in dispute, we review the district court’s dismissal for lack of subject-matter jurisdiction de novo. Allied Mut. Ins. Co. v. Dir. of N.D. Dep’t of Transp.,
[¶ 9] Winer relied on the United States Supreme Court’s decision in Strate v. A-1 Contractors,
[¶ 10] Some basic Indian law background is helpful to understand the positions of the parties. “Within Indian country state jurisdiction is preempted both by federal protection of tribal self-government and by federal statutes on other subjects relating to Indians, tribes, their property, and federal programs.” F. Cohen, Handbook of Federal Indian Law 349 (1982) (footnotes omitted). Civil cases where a non-Indian plaintiff seeks to sue an Indian are subject to this rule. Id. “A major step toward the transfer of federal jurisdictional responsibility over Indian affairs to the States was the passage of Public Law 280 [codified at 18 U.S.C. § 1162, 25 U.S.C. §§ 1321-1326, 28 U.S.C. § 1360] in 1953,” which “transferred criminal and civil jurisdiction over Indian lands from the federal to state governments in five states and allowed for future assumptions of jurisdiction by the remaining states.” Airvator, Inc. v. Turtle Mountain Mfg. Co.,
[¶ 11] Although the United States Supreme Court has held North Dakota’s disclaimer of pre-existing jurisdiction for suits brought by Indian plaintiffs is preempted by federal law, the Court has said that state court assumption of jurisdiction in cases against Indian defendants arising in Indian country is impermissible. See Three Affiliated Tribes v. Wold Eng’n, P.C.,
*13 There are two categories of claims over which the United States Supreme Court has held tribal courts have exclusive civil jurisdiction under the infringement test. Included in the first category are those claims in which a non-Indian asserts a claim against an Indian for conduct occurring on that Indian’s reservation. See Williams [v. Lee,358 U.S. 217 , 223,79 S.Ct. 269 ,3 L.Ed.2d 251 (1959)]. In the second category, are those claims in which all the parties are members of the same Indian tribe and the claim involves conduct occurring on that tribe’s reservation. See Fisher v. District Court,424 U.S. 382 , 387-89,96 S.Ct. 943 ,47 L.Ed.2d 106 (1976) (per curiam).
Under the infringement test of Williams v. Lee,
[¶ 12] This Court relied upon Williams v. Lee in Schantz v. White Lightning,
The Williams case involved an action by a non-Indian against a Navajo Indian for money on goods sold to the Indian on credit. The court ruled that such action would undermine the authority of the tribal courts over reservation affairs and infringe on the right of the Indians to govern themselves in accordance with the treaty between American Indian Tribes and the United States. We fail to understand how the Williams case can serve as a basis for this State to assume jurisdiction. If such supposition is correct it would follow that if an action to recover money for goods sold on credit would interfere and infringe on the right of the Indians to govern themselves, certainly an action to collect money for an injury sustained as a result of an accident would likewise infringe on the rights of the Indians to govern themselves.
In Gourneau v. Smith,207 N.W.2d 256 (N.D.1973), this court had under consideration an almost identical situation, except the parties to the action were both enrolled Indians residing on the Indian reservation in which the accident occurred. This court pointed out that highways within an Indian reservation still constituted Indian country as defined by Federal law. See 18 U.S.C.A. Section 1151. We held that the state courts did not have jurisdiction. We have no reason to conclude otherwise in the instant case.
Id. at 814-15 (footnote omitted).
[¶ 13] Winer essentially argues that the- Supreme Court’s decision in Strate has changed the law and supports state court jurisdiction under the circumstances. In Strate,
[¶ 14] In ruling the tribal court had no jurisdiction, the Supreme Court applied the test set forth in Montana v. United States,
Forming part of the State’s highway, the right-of-way is open to the public, and traffic on it is subject to the State’s control. The Tribes have consented to, and received payment for, the State’s use of the 6.59 mile stretch for a public highway. They have retained no gatek-eeping right. So long as the stretch is maintained as part of the State’s highway, the Tribes cannot assert a landowner’s right to occupy and exclude.... We therefore, align the right-of-way, for the purpose at hand, with land alienated to non-Indians. Our decision in Montana, accordingly, governs this case.
Id. at 455-56,
[¶ 15] We are not convinced that Strate heralds a new analysis' for determining whether a state court has jurisdiction over an action brought against an Indian arising from conduct occurring within the exterior boundaries of an Indian reservation. In W. Canby, Jr., American Indian Law in a Nutshell, 175-76 (3rd ed.1998), the author offered the following observations about the Supreme Court’s decision in Strate:
*15 Strate involved only nonmenabers on both sides, but it phrased the question for decision as whether a tribal court could “entertain a civil action against” nonmembers when the claim arose on a state right-of-way. Strate,117 S.Ct. at 1407 ,117 S.Ct. 1404 . It also described tribal interests very narrowly. Consequently, one court of appeals has held that a tribal court could not entertain an action by a tribal member against a nonmember when the claim arose on a state highway within the reservation. Wilson v. Marchington,127 F.3d 805 (9th Cir.1997), cert. denied,523 U.S. 1074 ,118 S.Ct. 1516 ,140 L.Ed.2d 669 (1998). The state accordingly had jurisdiction. If the tribal member were the defendant, however, Williams v. Lee would require the action to be brought in tribal court. It is not yet clear whether Strate forecasts erosion of that rule for non-fee lands and state rights-of-way.
[¶ 16] We believe Strate does not govern this case for several reasons. Foremost, Strate analyzed a tribal court’s jurisdiction, rather than a state court’s jurisdiction, involving an action between non-Indians. When stating the highway right-of-way was equivalent to alienated, non-Indian land, the Court was careful to limit its description as applicable only for “nonmember governance purposes.” Strate,
[¶ 17] Moreover, all of the cases relied upon by Winer which have applied the Strate analysis have involved situations testing tribal court jurisdiction over non-Indian defendants where the conduct occurred on a right-of-way. See Burlington N.R.R. Co. v. Red Wolf,
[¶ 18] If Strate signals a drastic departure from the state court jurisdictional principles enunciated in Williams v. Lee and its progeny, it is well hidden in the Strate decision. Strate is distinguishable from the situation in this case, and until the United States Supreme Court declares otherwise, we conclude Strate does not govern our analysis here.
[¶ 19] Winer also argues state jurisdiction over claims arising on Highway 20 within the Reservation exists because “Highway 20 runs on the section lines granted as public highways prior to there even being a reservation.” Winer relies on Faxon v. Lallie Civil Township,
It is clear that when the reservation was accepted by the Indians, the Highway Act had been in effect over eight years and had been accepted for three years. It is also clear that the right granted to the state was not in the nature of a license, revocable at the pleasure of the grantor, but that highways once established over the public domain under and by virtue of the act became vested in the public, who had an absolute right to the use thereof which could not be revoked by the general government, and that whoever thereafter took the title from the general government took it burdened with the highways so established. Township v. Skauge,6 N.D. 382 ,71 N.W. 544 .
Id. at 637,
[¶ 20] Faxon does not help Winer in this case. Contrary to Winer’s suggestion, the State did not receive fee simple title to the section line roads at issue. The Court specifically referred to the grant as an
[¶ 21] Moreover, as the Supreme Court explained in Three Tribes I,
Long before North Dakota became a State, this Court had recognized the general principle that Indian territories were beyond the legislative and judicial jurisdiction of state governments. Worcester v. Georgia,6 Pet. 515 ,8 L.Ed. 483 (1832); see generally Williams v. Lee,358 U.S., at 218-222 ,79 S.Ct., at 269, 271 . That principle was reflected in the federal statute that granted statehood to North Dakota. Like many other States in the Midwest and West, North Dakota was required to “disclaim all right and title ... to all lands lying within [the State] owned or held by any Indian or Indian tribes” as a condition for admission to the Union. Enabling Act of Feb. 22, 1889, § 4, cl. 2, 25 Stat. 677. The Act further provided that all such Indian land shall “remain subject to the disposition of the United States, and ... shall remain under the absolute jurisdiction and control of the Congress of the United States.” Ibid. North Dakota’s original Constitution contained, in identical terms, the required jurisdictional disclaimers. See N.D. Const., Art. XVI, § 203, cl. 2 (1889).
North Dakota has disclaimed jurisdiction over Indian reservation lands.
[¶ 22] We conclude, as did the district court, that Schantz remains valid law. The exercise of state court jurisdiction over Winer’s personal injury action against the Mudgetts would infringe on the rights of the Spirit Lake Tribe to govern themselves. The district court did not err in concluding it lacked subject-matter jurisdiction over the action against the Mud-getts.
IV
[¶ 23] The order and judgment are affirmed.
Notes
. "Indian country” is defined in 18 U.S.C. § 1151(a) as including "all land within the limits of any Indian reservation under the jurisdiction of the United States Government, notwithstanding the issuance of any patent, and, including rights-of-way running through the reservation.”
Concurrence Opinion
concurring specially.
[¶ 25] If we were visiting the issue for the first time I would probably agree with Justice Maring’s analysis and conclusions. However, we are not visiting the issue for the first time. On identical facts in Nelson v. Dubois,
[¶ 26] Having served on this Court during the saga of Three Affiliated Tribes v. Wold Eng’n, P.C.,
[¶ 27] Gerald W. Vande Walle, C. J.
Dissenting Opinion
dissenting.
[¶ 28] I respectfully dissent. Under the infringement test of Williams v. Lee, state court jurisdiction is not allowed over certain claims if it “would undermine the authority of the tribal courts over Reservation affairs and hence would infringe on the right of the. Indians to govern themselves.”
[¶ 29] “There are two categories of claims over which the United States Supreme Court has held tribal courts have exclusive civil jurisdiction under the infringement test. Included in the first category are those claims in which a non-Indian asserts a claim against an Indian for conduct occurring on that Indian’s reservation. In the second category are those claims in which all the parties are members of the same Indian tribe and the claim involves conduct occurring on that tribe’s reservation.” Roe v. Doe,
[¶ 30] In Strate v. A-1 Contractors, the United States Supreme Court held that a tribe’s adjudicatory jurisdiction over nonmembers does not exceed its legislative jurisdiction over nonmembers.
The distinction between the subject matter jurisdiction of a tribal court over a particular type of dispute and the personal jurisdiction over a particular person or entity has often been a murky one. This has been clarified somewhat by the recent United States Supreme Court Decision in A-1 Contractors v. Strate, wherein the Supreme Court postulated that Indian tribal courts can only exercise subject matter jurisdiction over disputes involving subject matter which the tribe can regulate under federal law. Therefore, when the tribal court exercises civil jurisdiction over non-Indians, that exercise of jurisdiction must comport with the United States Supreme Court’s pronouncements regarding the authority of a Tribe to regulate the conduct of a non-Indian within Indian country, especially Montana v. United States. Apparently, if the Tribe cannot regulate the activity, the tribal court cannot adjudicate a case questioning the activity.
[¶ 31] Strate concerned the adjudicatory authority of tribal courts over personal injury actions against defendants who are not tribal members when the accident occurs on a portion of public highway maintained by the state under a federally granted right-of-way over Indian reservation land.
[¶ 32] The majority opinion in this case cites Nelson v. Dubois,
[¶ 33] In Nevada v. Hicks,
[¶ 34] I am of the opinion that Winer can pursue his case in state court, “open to all who sustain injuries on North Dakota’s highway[s].” Strate,
[¶ 35] I would reverse and remand for further proceedings.
