20 U.S. Code § 6736 - Limitation on liability for teachers
ate  law that makes a limitation of liability inapplicable if the civil action was brought by an officer of a State or local government pursuant to State or local law.
Punitive damages may not be awarded against a teacher in an action brought for harm based on the act or omission of a teacher acting within the scope of the teacher’s employment or responsibilities to a school or governmental entity unless the claimant establishes by clear and convincing evidence that the harm was proximately caused by an act or omission of such teacher that constitutes willful or criminal misconduct, or a conscious, flagrant indifference to the rights or safety of the individual harmed.
Nothing in this section shall be construed to affect any civil action brought by any school or any governmental entity against any teacher of such school.
 So in original. Probably should be “(3) A State”.