Can You Sue a North Carolina Professional Licensing Board? Legal Options Explained
Clients often contact the firm even before a formal complaint arises, typically because one or more of North Carolina’s licensing boards or agencies has upset them, caused them harm, or treated them unfairly. The question most licensees ask is the same: Can I sue the Board?
As with most legal questions, the answer is: it depends. However, in most cases, a few guiding principles will help potential plaintiffs (the party considering a lawsuit) understand their chances of success. Chief among these principles is the doctrine of sovereign immunity, which can significantly limit or even prevent lawsuits against government entities, including licensing boards.
What is Sovereign Immunity?
Sovereign immunity is an ancient legal doctrine that originated before the American Revolution. Its simplest formulation is the old English maxim: “The king can do no wrong.” After adopting much of British common law, American courts preserved the concept. Sovereign immunity essentially prevents parties from suing the government unless the government consents to be sued.
In North Carolina, sovereign immunity extends to state agencies and licensing boards. A waiver of sovereign immunity only occurs if a statute explicitly authorizes it, and such waivers are strictly construed. In other words, unless there is a clear legal pathway allowing it, you generally cannot sue a North Carolina licensing board.
North Carolina Acupuncture Licensing Board v. North Carolina Board of Physical Therapy Examiners (2016)
A practical illustration of sovereign immunity occurred in 2016 when two independent North Carolina licensing boards sued each other over regulatory authority regarding “dry needling.” The case, North Carolina Acupuncture Licensing Board v. North Carolina Board of Physical Therapy Examiners, demonstrates how the courts apply sovereign immunity even in government-on-government litigation.
The North Carolina Supreme Court explained:
"[I]t is an established principle of jurisprudence that a state may not be sued unless by statute it has consented to be sued or has otherwise waived its immunity from suit." (Ray v. N.C. DOT, 366 N.C. 1, 4, 727 S.E.2d 675, 678 (2012)).
The Acupuncture Board argued that sovereign immunity should not apply because both parties were government entities. The Court rejected this, noting:
"The North Carolina Supreme Court views sovereign immunity as an 'absolute and unqualified' doctrine unless and until the State expressly consents to being sued." (Guthrie v. N.C. State Ports Auth., 307 N.C. 522, 534, 299 S.E.2d 618, 625 (1983)).
The Court ultimately granted the Physical Therapy Board’s Motion to Dismiss for lack of personal jurisdiction, but explained in its analysis that even when government entities sue one another, sovereign immunity is a valid defense unless explicitly waived by statute.
Application and Analysis
The takeaway for licensees is clear: suing a licensing board in North Carolina is extremely difficult. The doctrine of sovereign immunity creates a substantial legal barrier, making success unlikely unless there is a specific statutory waiver.
However, all is not lost. An experienced attorney may be able to:
Explore alternative remedies, such as administrative appeals, petitions for declaratory judgment, or injunctive relief, which often provide practical avenues to achieve your goals without directly suing the Board.
Negotiate or advocate within the Board’s procedures, potentially resolving disputes before they escalate into litigation.
In practice, understanding sovereign immunity helps licensees set realistic expectations and focus on effective strategies. While the law heavily favors the Board, careful legal guidance can help protect your license, reputation, and career.
Key Takeaways:
North Carolina licensing boards enjoy the protections of sovereign immunity.
Government-on-government litigation does not eliminate these protections.
Success in suing a licensing board generally requires a clear statutory waiver.
Alternative legal strategies often provide better outcomes than attempting to sue directly.
This is not legal advice. If you do need legal representation call the office at: 919-616-3317