U.S. Supreme Court — Case Alert

 

Galette v. New Jersey Transit Corp. Decided March 4, 2026 | Justice Sotomayor | Docket 24-1021

In a significant ruling affecting public transportation liability, the U.S. Supreme Court unanimously held that New Jersey Transit Corporation is not an arm of the State of New Jersey and therefore cannot claim sovereign immunity to shield itself from personal injury lawsuits filed in other states.

The case arose from two separate incidents — one in New York, one in Pennsylvania — where individuals were struck by NJ Transit buses. NJ Transit sought dismissal of both suits by arguing it was entitled to New Jersey's sovereign immunity as a state entity. The two state courts reached opposite conclusions, creating a conflict that the Supreme Court agreed to resolve.

The Court's ruling turned on a straightforward but consequential point: NJ Transit is structured as a legally independent corporation that is responsible for its own debts and judgments. New Jersey's own founding statute for NJ Transit explicitly states that its liabilities are not the State's liabilities. That separation, the Court held, is decisive — you cannot claim a state's immunity if the state itself has disclaimed responsibility for your obligations.

Practical Impact: Injury victims struck by NJ Transit buses in other states may now pursue their claims in their home state courts without facing dismissal on sovereign immunity grounds. The New York ruling was affirmed and the Pennsylvania dismissal was reversed, with both cases sent back for further proceedings.