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The 11th Amendment

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    The 11th amendment of the constitution goes as follows:

    The Judicial power of the United States shall not be construed to extend to any suit in law or equity, commenced or prosecuted against one of the United States by Citizens of another State, or by Citizens or Subjects of any Foreign State.

    So, from what I gather, this means that an individual (or entity or corporation for that matter) cannot sue a state in the federal courts. Is that right? Does it just apply to people that don't live in that state, or even to the state residents as well? Is this a continuation of the 10th amendment? I am confused. Can someone clarify this for me?