Waukegan Potawatomi Casino, LLC v City of Waukegan, No. 24-1751 (7th Cir. 2025)
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Waukegan Potawatomi Casino, LLC (WPC) alleged that its Fourteenth Amendment rights were violated when the City of Waukegan did not advance its casino proposal for licensing consideration. WPC claimed it experienced intentional discrimination during the application process as a "class of one." The City of Waukegan certified three other applicants but not WPC, which alleged that the process was rigged to benefit another applicant, Lakeside Casino, LLC. WPC pointed to the relationship between the City's mayor and a founding partner of Lakeside, as well as the City's handling of supplemental information from applicants, as evidence of discrimination.
The United States District Court for the Northern District of Illinois granted summary judgment for the City. The court concluded that WPC, as an arm of a sovereign Native American tribe, could not maintain a claim under 42 U.S.C. § 1983. Additionally, the court found that WPC's class-of-one equal protection claim failed because WPC was not similarly situated to the other applicants and there were multiple conceivable rational bases for the City's conduct.
The United States Court of Appeals for the Seventh Circuit affirmed the district court's decision. The appellate court held that WPC could not carry its heavy burden as a class-of-one plaintiff. The court noted that there were several rational bases for the City's decision, including differences in the casino proposals and the applicants' experience. The court also found that WPC failed to identify a similarly situated comparator who was treated more favorably. The court concluded that the City's conduct throughout the review process, including its handling of supplemental information, had rational justifications. Thus, WPC's class-of-one claim failed under both prongs of the analysis.
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