Justice Department sues New Mexico over military spouse law licenses

The Justice Department sued the New Mexico Supreme Court and the New Mexico Board of Bar Examiners on June 11, accusing the state of blocking qualifying servicemembers and military spouses from using out-of-state law licenses after military moves. The case centers on a military spouse transferred to Holloman Air Force Base who was already licensed in Texas, Washington and Maryland, yet still could not take a higher-paying job at the Las Cruces District Attorney’s Office because New Mexico would not accept the existing license.

The complaint, filed in U.S. District Court for the District of New Mexico as Civil Action No. 1:26-cv-01898, alleges a “pattern or practice” of Servicemembers Civil Relief Act violations beginning on December 23, 2024. It says New Mexico imposed requirements that went beyond what federal law allows, including transcripts, test scores, references and a full character-and-fitness review for military applicants. DOJ said the defendants failed to provide servicemembers and spouses with an application process consistent with 50 U.S.C. § 4025a, even though New Mexico already has a military spouse attorney limited-license pathway in its bar rules.

That makes the case a direct test of federal power against state licensing control. New Mexico Supreme Court rules define a military spouse attorney as the attorney spouse of an active-duty servicemember stationed in New Mexico who resides or intends to reside in the state within six months. The court’s admissions rules also place licensing authority under the Supreme Court’s superintending control. DOJ argues that those state requirements cannot be used to override federal portability rights for covered applicants.

The federal government says the stakes are particularly high in New Mexico because of its military footprint. First Assistant U.S. Attorney Ryan Ellison said the state has four major military installations and more than 14,000 active-duty servicemembers. White Sands Missile Range, near Las Cruces, is described by the Army as the nation’s largest military base, and Ellison said spousal unemployment is a major retention issue. He called license portability a “critical tool” for military families trying to maintain income and stability after repeated moves.

The case also lands amid a broader push to reduce licensing barriers tied to military service. DOJ said Congress significantly revised the SCRA’s license-portability provision on December 23, 2024, after the earlier version took effect on January 5, 2023. The department’s 2025 guidance says military spouses who make a permanent change of station face unemployment rates about 33% higher than spouses who do not move, while overall military spouse unemployment remains around 20%, compared with the national average of 4.4%. DOJ said it has secured more than $489 million in monetary relief for over 152,000 servicemembers since 2011, and Harmeet K. Dhillon said state supreme courts and bar associations should come into compliance immediately or risk similar lawsuits.