Joe v. Marcum

Tom S. Joe (plaintiff) was a member of the Navajo Tribe (the tribe) who resided on the Navajo reservation (the reservation) in New Mexico. Pursuant to the Navajo Treaty of 1868 (the treaty) and related federal statutes, the tribe was a sovereign entity with its own government, laws (the tribal code), and court system. Joe worked on the reservation for Utah International, Inc., which was a Delaware corporation that operated a strip mine on the reservation. Joe obtained a loan from USLife Credit Corporation (USLife) (defendant) in a transaction that occurred off the reservation. Joe defaulted on the loan, and USLife sued Joe for breach of contract before Magistrate Judge Roy Marcum (defendant). Judge Marcum entered a default judgment against Joe. To enforce the default judgment, USLife instituted a garnishment proceeding before Judge Marcum to garnish Joe’s wages from Utah International. New Mexico law permitted garnishment of wages. The tribal code generally permitted enforcement of judgments against judgment debtors, but it did not permit wage garnishment. Joe brought suit in district court seeking declaratory and injunctive relief to prevent garnishment of his wages. Joe argued that, pursuant to the treaty and other federal laws, Judge Marcum lacked the jurisdiction to garnish Joe’s wages. The district court granted summary judgment in Joe’s favor, holding that Judge Marcum’s jurisdiction was preempted pursuant to the tribe’s right of self-government codified in the treaty and related federal statutes. Judge Marcum and USLife appealed.