When Can the State Be Sued?

CHARLOTTE — Under a legal principal called “sovereign immunity,” the state may be sued only when it has consented to be sued. North Carolina courts have held since the 1970s that the state waives its sovereign immunity when it enters into a contract authorized by law. A recent case before the N.C. Court of Appeals shows, however, that it is at times unclear exactly when the state exactly waives immunity. This is especially true when it enters into a partnership agreement with a private business.