The question
Whether the Fair Credit Reporting Act clearly waives the federal government's sovereign immunity so that a consumer may sue a federal agency for money damages under the Act.
Department of Agriculture Rural Development Rural Housing Service v. Kirtz
What the Court decided
The Court affirmed the Third Circuit and held that a consumer may sue a federal agency for money damages under the Fair Credit Reporting Act. Sections 1681n and 1681o create a cause of action against "any person" who violates the Act, and Section 1681a defines "person" to include any governmental agency. Because Congress created a cause of action and authorized suit against the government on that claim, the statute clearly waives sovereign immunity, even without a separate provision addressing immunity.
How the justices split
UnanimousThe Court's opinion
Gorsuch, joined by Roberts, Thomas, Alito, Sotomayor, Kagan, Kavanaugh, Barrett, Jackson
Writing for a unanimous Court, Gorsuch held that the FCRA clearly waives federal sovereign immunity. Under the clear-statement rule, a waiver exists when a statute creates a cause of action and authorizes suit against the government on that claim. Sections 1681n and 1681o create a damages cause of action against any person who violates the Act, Section 1681a defines person to include any governmental agency, and the FCRA's requirements apply to persons who furnish information to consumer reporting agencies. Dismissing the claim would negate a cause of action Congress specifically authorized. That other provisions address sovereign immunity in more explicit terms does not make this waiver any less clear, and a separate waiver provision is not required.
How we know · 5 sourced claims
A consumer may sue a federal agency for money damages under the Fair Credit Reporting Act.
Source: syllabus, Held
Sections 1681n and 1681o create a cause of action for money damages against any person who willfully or negligently fails to comply with the FCRA, and Section 1681a defines person to include any governmental agency.
Source: syllabus, Held
Sovereign immunity is waived when a statute creates a cause of action and authorizes suit against the government on that claim, even without a separate provision addressing immunity.
Source: syllabus, Held
The Third Circuit had reversed the District Court and held that the FCRA authorizes suits for damages against any person, including a government agency; the Supreme Court affirmed.
Source: syllabus, Held
Gorsuch delivered the opinion for a unanimous Court.
Source: syllabus, lineup