Tennessee Student Assistance Corporation v. Hood

Summary

The Court held that a debtor's proceeding to determine whether a state-guaranteed student loan is dischargeable for undue hardship is not a suit against the State for Eleventh Amendment purposes. The bankruptcy court exercises jurisdiction over the debtor and her estate rather than personal jurisdiction over the State, and the procedural requirement of a summons and complaint does not change that conclusion. The Court affirmed and remanded without deciding whether Congress may abrogate state sovereign immunity under the Bankruptcy Clause. Justice Souter, joined by Justice Ginsburg, concurred while withholding approval of Seminole Tribe. Justice Thomas, joined by Justice Scalia, dissented, reasoning that the adversary proceeding constituted a suit against the State and that Congress lacked authority under the Bankruptcy Clause to abrogate state sovereign immunity.