Arm of the State

Definition

A legal classification for entities that are so closely tied to a state government that they are treated as the state itself for purposes of sovereign immunity. Courts examine factors like state control, financial relationship, and the entity's function to determine whether an entity qualifies.

Examples

• •NJ Transit argues it is an arm of New Jersey because the governor controls its board, vetoes its actions, and the state funds its deficits annually.

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