End of the Line: Winston Wins Unanimous Supreme Court Victory Against NJ Transit

In a unanimous decision authored by Justice Sotomayor, the U.S. Supreme Court held that NJ Transit is not an arm of the State of New Jersey and therefore is not entitled to sovereign immunity. The ruling means that plaintiffs injured by NJ Transit outside of New Jersey—such as in Pennsylvania and New York—may pursue claims in the courts of the states where their injuries occurred. The court adopted Winston’s position that state-created corporations that are formally liable for their own judgments are not arms of the state, reversing the Pennsylvania Supreme Court’s dismissal of Cedric Galette’s negligence suit while affirming the New York Court of Appeals’ decision allowing Jeffrey Colt’s case to proceed.

Despite opposition from the New Jersey Solicitor General and 23 Amici States urging deference to legislative labels, Winston grounded its argument in a centuries-old principle of corporate law: a corporation is a distinct legal entity with its own personhood. Where a state creates a public corporation that is responsible for its own liabilities, that entity is independent from the state itself. The court agreed, relying on the plain text of NJ Transit’s enabling statute and precedent dating back to 1824, delivering a decisive victory for Winston and its clients.

Galette v. New Jersey Transit Corp., 607 U.S. ---- (Mar. 4, 2026)