Supreme Court of North Carolina

Cedarbrook Residential Ctr., Inc. v. N.C. Dep't of Health & Hum. Servs.

December 16, 2022

Summary

The court held that the State Tort Claims Act does not waive sovereign immunity for a regulated entity’s claim seeking damages based on allegedly negligent discretionary regulation. The Act’s “private person” limitation is substantive, and the plaintiffs also failed to allege a legally recognized duty owed to the facility or its owner. The court further explained that challenges to the validity of regulatory action must proceed through the applicable administrative-review framework rather than a tort damages claim.