Date: 20060406
Docket: T-2344-93
Citation: 2006 FC 435
BETWEEN:
CHIEF JOHN EAR acting on his own behalf and on
behalf
of all the
other members of the Bearspaw Band of the Stoney Band
and Tribe and
on behalf of the Stoney Tribe and all its members
-and-
CHIEF KEN SOLDIER acting
on his own behalf and on
behalf of all the other
members of the Chiniki Band of the
Stoney Band and Tribe
and on behalf of the Stoney Tribe
and all its members
-and-
CHIEF ERNEST WESLEY
acting on his own behalf and on
behalf of all the other
members of the Wesley Band of the
Stoney Band and Tribe
and on behalf of the Stoney Tribe and all its members
-and-
THE STONEY BAND AND
TRIBE
Plaintiffs
and-
HER MAJESTY THE QUEEN IN
RIGHT OF CANADA,
Parliament Buildings, Ottawa, Ontario
-and-
THE HONOURABLE PAULINE
BROWES, Minister of
Indian Affairs and
Northern Development,
Parliament Buildings, Ottawa, Ontario
-and-
THE HONOURABLE GILLES
LOISELLE, Minister of
Finance, Parliament Buildings, Ottawa, Ontario
Defendants
REASONS FOR
ORDER
GIBSON J.
[1]
On
the 12th of October, 2005, the Plaintiffs filed two motions for
summary judgment or alternative relief against the Defendants, each very
similar in form. One motion relates to a claim for damages and other relief by
reason of the alleged failure of the Defendants to collect all of the royalties
alleged to be due and payable to the Defendants, for the benefit of the
Plaintiffs, under certain oil and gas leases on certain of the Plaintiffs’
reserve lands, which leases were entered into by Canada with PanCanadian
Petroleum Ltd. (“PanCanadian”). The second motion seeks equivalent relief in
relation to oil and gas leases on the same reserve lands which were entered
into with Chevron Canada Resources Limited, Imperial Oil Resources Limited and
Shell Canada Limited.
[2] Both motions
are supported by the same evidence and raise common issues. The distinction
lies in the fact that the PanCanadian motion is directly related to judgments
of the Court of Queen’s Bench of Alberta and the Alberta Court
of Appeal against PanCanadian but not against the other lessees.
[3] The motions
were heard together. These reasons underlie the disposition of both motions.
The PanCanadian motion will be dealt with first and more comprehensively
reflecting the manner in which the two motions were presented before this
Court.
PART I – THE
PANCANADIAN MOTION
INTRODUCTION
[4] By motion
filed the 12th of October, 2005, the Plaintiffs, as Applicants, seek
the following relief:
1. An Order
for Summary Judgment in favour of the Plaintiffs against the Defendants (“Her
Majesty”), for damages suffered by the Plaintiffs resulting from Her Majesty’s
breach of Her trust, fiduciary, statutory or equitable duties and obligations
to the Plaintiffs when:
(a) Her
Majesty knowingly or negligently allowed PanCanadian Petroleum Ltd.
(“PanCanadian”) to deduct from royalties that were due and owing to Her
Majesty, in trust and on behalf of the Plaintiffs, Take or Pay financing
charges (“TOPGAS”) and operating, marketing and administrative charges (“OMAC”);
and
(b) Her
Majesty failed to collect from PanCanadian all such TOPGAS financing charges
and OMAC that were wrongfully deducted from the royalties that were reserved,
due and owing,
in the sum of
$1,992,399.00 plus interest as claimed under the summary judgment procedure
contained in Rules 213 through 219 of the Federal Court Rules, 1998;
2. In the
alternative, an Order:
(a)
specifying and defining which material facts are not in dispute and defining
which issues are to be tried;
(b) for
payment into Court of all or part of the claim;
(c) for
security for costs; and
(d) limiting
the nature and scope of the examination for discovery to matters not covered by
the affidavits filed on the motion for summary judgment or by any
cross-examinations on them and providing for their use at trial in the same
manner as an examination for discovery.
as
contemplated and allowed by Rule 218 of the Federal Court Rules, 1998.
3. Costs for
this application; and,
4. Such
further and other relief as this Honourable Court might permit.
[5] This motion
for summary judgment seeks judgment in respect of a relatively small but
significant element of a claim filed on behalf of the Plaintiffs/Applicants on
the 30th of September, 1993. The relevant extract from the statement
of claim is quoted below under the heading “The Grounds for the Motion”.
Progress towards trial on the statement of claim has, by agreement between the
parties and under monitoring by this Court through case management, been very
limited. Many of the issues raised in the statement of claim, and much of the
historical background, are parallel to the issues and historical background in
The Samson Indian Band and Nation litigation on court file T-2022-89 where the
trial to date has extended over more than four years and where a partial
judgment issued on the 30th of November, 2005. That
partial judgment is now under appeal.
Recommencement of the Samson trial has not been scheduled but when the trial is
recommenced, it is anticipated that it will once again entail very long
hearings. To the Court’s knowledge, it is not anticipated that this action
will go to trial prior to at least completion of the remaining portions of the
Samson trial.
[6] The element
of the claim in this action on which summary judgment is now sought is unique
to this action in that it has no direct equivalent in the Samson action. Thus,
argue the Plaintiffs, it would be unconscionable to further delay disposition
on the singular and unique issue on which summary judgment is sought.
[7] The style of
cause that appears above is, in some respects, not entirely clear and in some
elements is badly out of date. In brief, the Plaintiffs/Applicants are the
Stoney Nakoda First Nations comprising the Bearspaw First Nation, the Chiniki
First Nation and the Wesley First Nation. The Stoney Nakoda First Nations are
a “band” within the meaning given that term in subsection 2(1) of the Indian
Act.
[8] For the
purposes of this motion, the Defendants/Respondents are solely Her Majesty the
Queen in Right of Canada, as represented at all material times by Indian Oil
and Gas Canada, (“IOGC”), an
agency operating within the Department of
Indian Affairs and Northern Development responsible for discharging the Crown’s
statutory obligations pursuant to the Indian Oil and Gas Act and regulations
made thereunder.
THE GROUNDS FOR THE
MOTION
[9] In the
PanCanadian Notice of Motion before the Court, the grounds for the motion are
stated to include the following:
1. On or
about September 22, 1877 and December 4, 1877 Her Majesty the Queen of Great
Britain concluded and agreed to Treaty No. 7 with Blackfeet and other Indian
Tribes at the Blackfoot Crossing of Bow River and Fort Macleod (“Treaty No.
7”).
2. The
ancestors of the Plaintiffs concluded and agreed to Treaty No. 7 on or about
September 22, 1877 at Blackfoot Crossing.
3. Pursuant
to Treaty No. 7, Reserve Lands described below were set aside for the exclusive
use and benefit of the Plaintiffs with underlying title to the said Reserve
Lands vested in Her Majesty the Queen in Right of Canada. The Plaintiffs use
and occupy certain lands, including its natural resources, which have been set
apart for them by, inter alia, Order in Council P.C. 1151 and designated
as, inter alia, Indian Reserves Nos. 142, 143, 144, and 142B (the
“Reserve Lands”). The Reserve Lands are under the exclusive control,
administration and management of Her Majesty.
4. The
mineral rights at issue are part of Indian Reserves set aside for the
Plaintiffs under Treaty No. 7 as well as under, inter alia, Order in
Council P.C. 1151. Between 1926 and 1962, pursuant to Treaty No. 7, the
Plaintiffs granted nine surrenders (the “Surrenders”) of their mineral rights
in trust to His Majesty and Her Majesty in Right of Canada. These Surrenders
were on similar terms and provide in part:
TO HAVE AND
TO HOLD the same unto His said Majesty the King, his heirs and successors
forever, in trust to lease the same to such person or persons, and
upon such terms as the Government of the Dominion of Canada may deem
most conducive to our welfare and that of our people. (Emphasis added.)
5. Her
Majesty is, by virtue of, inter alia, Treaty No. 7, the Surrenders, the Indian
Act, the Indian Oil and Gas Act and the Indian Oil and Gas
Regulations, a trustee or fiduciary of the natural resources underlying the
Reserve Lands as well as the royalties reserved, due and owing therefrom.
6. Pursuant
to Treaty No. 7, the Surrenders, the Indian Act, the Indian Oil and
Gas Act and the Indian Oil and Gas Regulations, Her Majesty has, on
behalf of the Plaintiffs, entered into various mineral leases with a third
party oil and gas producer, PanCanadian Petroleum Limited (“PanCanadian”). By
operation of law, the mineral leases incorporate the provisions of the Indian
Oil and Gas Act and the Indian Oil and Gas Regulations.
7. The
“Regulations” in effect at the material time were the Indian Oil and Gas
Regulations, C.R.C. 1978, c. 963; as am. S.O.R. 81/340 passed in April 1977
(the “1977 Regulations”). These were enacted pursuant to section 4 of
the Indian Oil and Gas Act, R.S.C. 1985, c. 1-7.
8. The
royalty reserved for and collected by Her Majesty on behalf of the Plaintiffs
has been significantly less than what is provided for under the terms of the Indian
Oil and Gas Act, the 1977 Regulations and the terms of the mineral
leases. The underpayment of royalties arises, inter alia, by reason of
Her Majesty allowing unauthorized deductions from the selling price of the
royalty portion of the natural gas produced from the Reserve Lands. These
unauthorized deductions include, inter alia, TOPGAS financing charges
and OMAC.
9.
PanCanadian deducted TOPGAS financing charges from January 1, 1982 until
October 31, 1994 while OMAC had been deducted since November 1, 1986.
10. Her
Majesty first discovered that TOPGAS financing charges and OMAC were being
deducted from the Plaintiffs’ royalty interest in 1988 when Her Majesty
conducted audits of another lessee on the Reserve Lands, Gulf Canada Ltd.
11.
Following the receipt of a report and legal opinion on the deductibility of
TOPGAS financing charges and OMAC, Her Majesty issued to PanCanadian a demand
for the payment of the unpaid portion of the Plaintiffs’ royalty interest on
January 28, 1991. PanCanadian refused to comply with this demand.
12. The
Plaintiffs first became aware of the improper deductions from its royalty
interest, when informed and notified of same by its trustee or fiduciary, Her
Majesty, in or about February 1991.
13. When
PanCanadian refused to comply with Her Majesty’s directions to pay, Her Majesty
advised the Plaintiffs that if it wished to pursue this matter then it must do
so on its own.
14. Under
circumstances where Her Majesty, as trustee or fiduciary, had a genuine reason
for doubt as to what Her Majesty ought to do, Her Majesty had a duty to apply
to the Court for directions. Her Majesty failed or neglected to take such
steps or any other further steps to collect the unpaid portion of the
Plaintiffs’ royalty interest, or to prevent the continued deduction of TOPGAS
financing charges and OMAC, until February 26, 1999.
15. On
September 30, 1993, the Plaintiffs instituted the present proceedings. Among
other allegations, the Plaintiffs specifically allege at paragraph 33:
“The
Defendant Her Majesty has breached Her trust or fiduciary obligations and
duties to the Plaintiffs in respect of the administration, management and
supervision of the natural resources of the Stoney Reserves and of the said oil
and gas leases, particularly:
(a) in
failing to ensure that Plaintiffs received all the royalties to which they were
entitled under the oil and gas leases and in a timely manner; …
(e) in
failing to properly apply the Indian Act, the Indian Oil and Gas Act and the
Regulations respectively thereunder;
(f) in
failing to take action on deficiencies;
(g) in
allowing the improper, excessive and unjustifiable deductions, including gas
cost allowances, from the royalties payable to the Plaintiffs …”
Moreover, on
May 3, 1993, the Plaintiffs, on its own behalf, filed a Statement of Claim in
the Court of Queen’s Bench of Alberta against PanCanadian.
(“PanCanadian Action”)
16. Pursuant
to a Notice of Constitutional Question that was filed and served by the
Plaintiffs in the PanCanadian Action, Her Majesty the Queen in Right of Alberta
participated in and advanced its own arguments at the trial of the PanCanadian
Action. The Plaintiffs’ fiduciary and trustee, Her Majesty, elected to take no
position in either the oral or written arguments.
17. In a
judgment dated April 9, 1998, the trial judge held that since the Indian Oil
and Gas Act, 1977 Regulations and the mineral leases did not allow for
these deductions, TOPGAS financing charges and OMAC should not be taken into
account when royalty interest is being calculated.
18.
PanCanadian appealed this decision and the Alberta Court of Appeal, by judgment
dated July 24, 2000, held that TOPGAS and OMAC were not permitted deductions
under the legislation regulating oil and gas production on reserve lands and
that these changes should not have been deducted when calculating the royalties
due and owing to the Plaintiffs.
19. This
decision was not appealed to the Supreme Court of Canada.
20. Her
Majesty the Queen in Right of Alberta intervened at the Alberta Court of Appeal.
Her Majesty, though well aware of the appeal, did not participate either
through written or oral submissions.
21. The
trial judge held that pursuant to the Alberta Limitation of
Actions Act, R.S.A. 1980, c. L-15, the Plaintiffs were entitled to a
ten-year limitation period. At the Alberta Court of Appeal the applicable
limitation period was reduced to six years. Neither the trial judge nor the
Alberta Court of Appeal addressed the constitutional applicability of
provincial limitation legislation as it applies to lands reserved for Indians.
Further, neither the trial judge nor the Alberta Court of Appeal addressed
whether there is an applicable limitation period as between Her Majesty and the
Plaintiffs or as between Her Majesty and PanCanadian Petroleum Limited.
22. On
February 26, 1999, Her Majesty, on behalf of the Plaintiffs, filed a statement
of claim in the Court of Queen’s Bench of Alberta (“Q.B. Action No.
9901-03744”) against essentially all of the lessees operating on the Reserve
Lands, including PanCanadian, claiming recovery of improperly deducted TOPGAS
financing charges and OMAC deductions. At or about the same time, Her Majesty
filed eighteen similar actions on behalf of other First Nations.
23. Based on
the calculations of Her Majesty and PanCanadian, Her Majesty, by allowing
PanCanadian to deduct TOPGAS financing charges and OMAC, has failed to collect
at least $1,992,399.00, plus interest, of the Plaintiff’s royalties to which
the Plaintiff is entitled, during the period of January 1, 1982 and April 1,
1987.
24. The
Plaintiffs claim of $1,992,399.00 represents the difference between the net
amount of royalties that Her Majesty failed to collect, as a result of Her
Majesty’s breach of its fiduciary or trust obligations to the Plaintiffs, and
the amount of royalties recovered by the Plaintiffs in the PanCanadian Action.
25. There is
no genuine issue to be tried as the Alberta Court of Queen’s Bench and the
Alberta Court of Appeal have held that TOPGAS financing charges and OMAC were
improper deductions from the royalties reserved for Her Majesty on behalf of
the Plaintiff. Her Majesty has adopted the said findings of the PanCanadian
Action when Her Majesty filed its own claim against PanCanadian Petroleum Ltd.
and other lessees in Q.B. Action No. 9901-03744.
26. There is
no genuine defence to the quantum of damages claimed by the Plaintiffs against
Her Majesty as the Plaintiffs rely upon Her Majesty’s and PanCanadian’s own
recalculations of the value of the royalties that Her Majesty failed to collect
and allowed to be withheld by PanCanadian.
27. As a
trustee or fiduciary of the Plaintiffs’ natural resources and the royalties
reserved on the sale of said natural resources, Her Majesty has no genuine
limitation defence as against its beneficiary, the Plaintiffs.
28. The
Plaintiffs’ claim is an appropriate case for disposition under the summary
judgment procedures contained in Rules 213 through 219 of the Federal Court
Rules, 1998 since:
a. The
issues of fact and law are not complex, are straight forward and have been
dealt with by the Alberta Court of Queen’s Bench and the Alberta Court of
Appeal in the PanCanadian Action;
b. There are
no genuine issues or defences to be tried;
c. There are
no issues of credibility;
d. It would
be unfairly prejudicial to the Plaintiffs to be delayed in the prosecution of
this one portion of its claim in these proceedings, which are easily and
conveniently severed from the main action, by the protracted proceedings
anticipated for the determination of the remainder of its claim against Her
Majesty;
e. Her
Majesty would not be prejudiced in any way if this portion of the Plaintiffs’ claim
were judged summarily.
29. The
present motion is without prejudice to the more comprehensive position of the
Plaintiffs respecting treaty and aboriginal rights in the principal action
herein.
30. Such
further grounds as this Honourable Court might permit.
[10] Much of the foregoing
that is background is essentially not in dispute. Not surprisingly, there was
a good deal of concern expressed by counsel for the Defendants/Respondents
regarding the appropriate characterization of the relationship between the
Crown and the Plaintiffs/Applicants in the management of the Plaintiffs’/Applicants’
royalty interests deriving from the oil and gas leases that are central to this
matter and, flowing from that relationship, the extent of the
Defendants’/Respondents’ duties and responsibilities. More will be said about
those issues later in these reasons.
[11] The following comments
relate to specific paragraphs in the foregoing quotation.
[12] With respect to
paragraphs 3 and 4, only lands comprising and gas resources underlying Reserves
Nos. 142, 143 and 144, and royalty revenue from those gas resources, are at
issue. Those Reserves comprise a large tract of land, more particularly 109
square miles, situated to the west of Calgary, Alberta, on both
sides of the Bow River which
runs through the reserves from west to east. A survey sketch of the reserves,
dated the 23rd of January, 1889, is attached as Schedule I to these
reasons.
The gas reserves at issue are all situated in an area of the Reserves known as
the Jumping Pound gas field.
[13] The allegation in
paragraph 12 as to when the Plaintiffs/Applicants first became aware of the
improper TOPGAS financing charges and OMAC deductions deducted in the
computation of their royalty interest is in dispute. Counsel for the
Defendants/Respondents urges that the Plaintiffs/Applicants may have been well
aware of the issues surrounding TOPGAS financing charges and OMAC deductions
perhaps years before February, of 1991 and that the evidence in this regard
that is before the Court is quite unsatisfactory.
[14] I am satisfied that
paragraph 13 does not tell a complete story. While it is clear on the evidence
before the Court that the Defendants/Respondents advised the
Plaintiffs/Applicants that if they wished to litigate the issue of TOPGAS
financing charges and OMAC deductions, they should institute litigation
themselves, at the same time, the Crown offered to provide the
Plaintiffs/Applicants “technical support” in relation to any such litigation
and, indeed, it was not in dispute that the critical evidence brought forward
at the trial of the action referred to in paragraphs 15, 16 and 17 was provided
through the testimony of a senior official of IOGC. It is also clear on the
evidence before the Court that, for some time before so advising the
Plaintiffs/Applicants regarding institution of litigation, certain officials in
IOGC, with or without authority, were advising the Plaintiffs/Applicants that,
if institution of litigation became necessary, the Crown would take that step.
[15] The substance of
paragraph 14 is at the heart of the motion before the Court.
[16] Paragraph 15 is an
extract from the Plaintiffs’/Applicants’ Statement of claim that is extracted
to form a basis of this motion.
[17] The quantum identified
in paragraphs 23 and 24 is very much in doubt. Counsel for the Defendants/Respondents
undertook before the Court to produce an up-to-date quantum with a rationale
for that quantum and to share it with counsel for the Plaintiffs/Applicants.
During the course of the hearing of this matter the Court expressed a wish that
counsel endeavour to reach agreement on the appropriate quantum and to jointly
provide advice to the Court in this regard. The Court is optimistic that any
dispute over quantum can be settled between the parties.
[18] The brief comments above
with respect to paragraphs 23 and 24 interrelate with the position taken on
behalf of the Plaintiffs/Applicants in paragraph 26.
[19] The Crown rejects the
allegation in paragraph 27.
[20] Counsel for the Defendants/Respondents
do not agree with the allegation in paragraph 28a. Counsel for the
Defendants/Respondents fundamentality disagree with the allegation in paragraph
28b that there are “…no genuine issues or defences to be tried…” underlying the
motion before the Court, and the allegation in paragraph 28e that the Defendants/Respondents
would not be prejudiced if the claim here at issue were dealt with summarily.
SUBSTANTIVE ISSUES
[21] Drawing on the foregoing
“Grounds for the Motion”, the memoranda submitted on behalf of the parties and
the representations of counsel at hearing, I am satisfied that on this motion
for summary judgment, the substantive issues before the Court are the
following:
(a) the
appropriate characterization of the relationship between the Crown on the one
hand and the Plaintiffs/Applicants on the other in respect to the
administration of the oil and gas leases between the Crown and PanCanadian and,
more particularly, the duties flowing from that relationship regarding
collection of the full amount of royalties payable;
(b) if a
duty on the part of the Crown to collect the full amount of royalties payable
is found to exist and to not have been fulfilled, whether the
Plaintiffs/Applicants are entitled to damages against the
Defendants/Respondents and, if so, whether a limitations defence is available
to the Defendants/Respondents;
(c) if a
limitations defence is available to the Defendants/Respondents, the date from
which that defence should run and the length of the limitation period;
(d) if the
Plaintiffs/Applicants are found to be entitled to damages, whether they are
also entitled to recover interest on those damages and, if so, the calculation
of such interest; and
(e) costs.
[22] As a preliminary matter,
the issue of whether this is an appropriate element of the
Plaintiffs/Applicants much broader claim to be dealt with on summary judgment
must be addressed.
SUMMARY JUDGMENT
a) General
Principles
[23] The relevant Rules of
this Court with respect to summary judgment are Rules 213 to 219. Those Rules
are set out in full in Schedule II to these reasons. Rule 216(1) provides that
summary judgment may be granted where the Court is satisfied that there is no
genuine issue for trial with respect to a claim or defence. In Apotex Inc.
v. Canada,
my colleague, Justice Russell, wrote at paragraph 10:
The burden
lies with the moving party to establish that there is no genuine issue to be
tried, but both parties must “put their best foot forward” to enable the
Motions Judge to decide whether or not there is a genuine issue for trial, and
the judge is required to take “a hard look” at the merits and, if possible,
make findings of fact and law if the materials allow this.
The obligation of a respondent in this
regard is somewhat qualified. More will be said about this shortly.
[24] Seven general principles
derived from the case law pertaining to summary judgment that are often quoted
are set out in the reasons of my colleague Justice Tremblay-Lamer in Granville
Shipping Co. v. Pegasus Lines Ltd.
at paragraph 8. Those general principles are the following:
1. The
purpose of the provisions [of the Federal Court Rules] is to allow the Court to
summarily dispense with cases which ought not to proceed to trial because there
is no genuine issue to be tried…;
2. There is
no determinative test…but Stone J. A. [of the Federal Court of Appeal] seems to
have adopted the reasons of Henry J. in Pizza Pizza Ltd. v. Gillespie…
. It is not whether a party cannot possibly succeed at trial, it is whether
the case is so doubtful that it does not deserve consideration by the trier of
fact at a future trial;
3. Each case
should be interpreted in reference to its own contextual framework…;
4.
Provincial practice rules…can aid in interpretation…;
5. This
Court may determine questions of fact and law on the motion for summary
judgment if this can be done on the material before the Court…;
6. On the
whole of the evidence, summary judgment cannot be granted if the necessary
facts cannot be found or if it would be unjust to do so….;
7. In the
case of a serious issue with respect to credibility, the case should go to
trial because the parties should be cross-examined before the trial judge… .
The mere existence of apparent conflict in the evidence does not preclude
summary judgement; the Court should
take a “hard
look” at the merits and decide if there are issues of credibility to be
resolved… .
[citations
omitted]
[25]
The following more
recent cases from the Federal Court of Appeal are instructive.
[26]
In J.H.C. v. Canada (Minister of Citizenship and
Immigration), Justice Evans, for the Court, wrote at
paragraphs 10-12 and 14:
In our
opinion, it is clear from the materials before us that the appellants’ claim
should not be decided without a trial. Indeed, counsel for the appellants
concedes that a trial is necessary to quantify the damages. As for the issue
of liability, the appellants will have to prove much more than the fact that
Mr. C. was removed from Canada in breach of paragraph 50(1)(a), the only issue
decided by Brockenshire J.
Not every
administrative action taken in contravention of a statutory provision results
in a right to monetary compensation. Our law does not recognize a general tort
of causing loss by ultra vires acts or by conduct that violates a
person’s constitutional rights. In order to recover damages, the appellants
may have to prove, among other things, not only that Mr. C.’s removal was unlawful
(the question that is res judicata), but also that the officials
involved in the events surrounding his removal acted with malice, recklessness or
in breach of a duty of care that they owed to Mr. C., or that the removal
gave rise to a claim by the appellants, other than Mr. C. himself under
subsection 6(1) of the Family Law Act, … .
That the
appellants cannot simply base their claim for damages on the order of
Brockenshire J. appears to be acknowledged in their Statement of Claim. For
example, in paragraph 28, they assert that, in ordering Mr. C.’s removal, the
expulsions officer was “reckless and…[acted] without regard to his
constitutional rights” and that there was no reasonable basis on which the
warrant for his arrest could have been issued. Further, in paragraph 31, the
appellants state that an allegedly defamatory letter given to Jamaican
authorities when Mr. C. arrived was written by immigration officials “with
malice”. Moreover, difficult questions may arise on these issues as to whether,
if the officials were mistaken, their mistakes were mistakes of law or of fact,
and whether anything turns on that distinction in this context.
….
In our view,
however, the Motions Judge was correct to refuse to grant the appellants’
motion for summary judgment because the appellants’ statement of claim
evidently raises a multitude of difficult issues of law and fact that can
properly be decided only on the basis of the kind of full factual record that
is developed after a trial. ….
[one citation
omitted, emphasis added]
[27] The reference in the
second above quoted paragraph to “…or in breach of a duty of care that they
owed to Mr. C., …” is directly on point here and of course we are here
concerned with, once again in the terms of that paragraph, “…administrative
action taken [, or here allegedly not taken,] in contravention of a statutory
provision…”. Further, counsel for the Defendants/Respondents urges, in the
terms of the last quoted paragraph, that the claim here before the Court
“…evidently raises a multitude of difficult issues of law and fact that can
properly be decided only on the basis of the kind of full factual record that
is developed after a trial.”
[28] In MacNeil Estate v. Canada (Department
of Indian and Northern Affairs), Justice Sexton wrote at paragraphs 37 and
38:
…Indeed, rule
215 only requires that the party responding to the motion for summary judgment
put his best foot forward by setting out facts “showing that there is a genuine
issue for trial.” Nowhere in the Rules is a responding party required to bring
forward sufficient evidence so that genuine issues for trial may be resolved
on a motion for summary judgment. As a result, once the motions judge decides
that there is a genuine issue for trial, the discretion given to him to nevertheless
grant summary judgment by deciding the questions of fact could result in
unfairness.
The form of
evidence available during motions and at trials is also significantly
different. At a trial, the parties are provided with an opportunity to tell their
story to the court both by giving oral evidence themselves and by offering the
oral evidence of other witnesses. As a result of this viva voce
evidence, the Trial Judge is in the best position to properly assess
credibility and to sift through and weigh the evidence. On a motion for
summary judgment, the judge is presented with affidavit evidence and does not
have the opportunity to see and hear the evidence of witnesses. Without viva
voce evidence, a motions judge faced with a genuine issue for trial cannot
properly assess creditability or sift through and weigh the evidence.….
[emphasis in
original]
Justice Sexton continued at paragraph 39:
All of this
is not to say that summary judgment does not have a role to play in resolving subsidiary
issues which can result in a shorter trial and in some cases, where there
is no genuine issue for trial found, obviating the need for a trial at all. In
Irving Ungerman Ltd. v. Galanis …, Morden A.C.J.O. stated…:
A litigant’s “day
in court” in the sense of a trial, may have traditionally been regarded as the
essence of procedural justice and its deprivation the mark of procedural
injustice. There can however, be proceedings in which, because they do not
involve any genuine issue which requires a trial, the holding of a trial is
unnecessary and, accordingly, represents a failure of procedural justice. In
such proceedings, the successful party has been both unnecessarily delayed in
the obtaining of substantive justice and been obliged to incur added expense.
…
[emphasis
added, citations omitted]
[29] In Trojan
Technologies Inc. v. Suntec Environmental Inc., Justice
Pelletier, for the Court, wrote at paragraph 20:
It is not
necessary for the purposes of this appeal to define the outer limits of the
operation of the summary judgment rules since the limitation which is relevant
to this appeal is already well established. The jurisprudence is clear that
issues of creditability ought not to be decided on summary judgment
applications. …The Motions Judge was aware of this distinction and was at great
pains to point out that, in his view, no serious issues of credibility arose.
With the greatest of respect, I am unable to agree with the Motions Judge’s
assessment. [citation omitted]
[30] Finally, my colleague
Justice Snider wrote in Apotex Inc. v. Merck & Co. at
paragraphs 12 and 26:
While I agree
that the Court can deal with complex issues on motions for summary judgment,
the facts of each case must be examined closely to determine whether there are
genuine issues for trial or whether a question of law should be dealt with on a
summary basis. There are fundamental differences between preliminary motions
and trials. One effect of summary judgment is that a party will be precluded
from presenting any evidence to the trial judge in respect of the issue that is
the subject of a successful motion for summary judgment. The trial judge will
not hear viva voce evidence on the issue and will not be ruling on the
matter. In effect, one party will lose its “day in court”. While this cannot
be determinative, the severity of the impact on the losing party requires that
the motions judge proceed with a careful analysis.
…
The task of
the Court in interpreting legislation is comprised of more than one step. The
Court must first look at the words; do these words have a plain and ordinary
meaning or is there ambiguity or lack of clarity? Secondly, the context of
the legislation must be examined. What is the history of the provision in
question? What is the scheme of the statute? What is its object? What policy
considerations were in the mind of Parliament or, in the case of regulations,
the Governor in Council? This second part of the analysis could warrant a
variation from the grammatical or ordinary sense of the word. And, regardless of
how clear and unambiguous the words of a provision may be, the further analysis
must be carried out. Indeed, a failure to determine the intention of the
legislature in enacting a particular provision has been found, by the Supreme
Court of Canada, to be an error …. . It follows that, where there are
conflicting but not unreasonable interpretations available, the contextual
framework of the legislation becomes even more important.
[emphasis
added, citation omitted]
[31] While counsel before the
Court differed in their view of the complexity of the issues on this motion for
summary judgment, an example of a summary judgment motion that was dealt with
and
that involved at least an equivalent degree
of complexity to that on the motion now before the Court can be found in Semiahmoo
Indian Band v. Canada. On the
facts of this matter, the context surrounding the enactment of the Indian
Oil and Gas Act and regulations made thereunder is, I am satisfied,
relevant to a determination.
b) Application of
the foregoing principles to this motion
[32] I was the Motions Judges
to whom Justice Pelletier referred in the quotation from Trojan, supra.
Here, I am satisfied a distinction can be drawn. In Trojan, there was
expert evidence before the Court and there was a clear dispute on that
evidence, albeit, I had concluded, with respect to issues well within the
purview of a trial judge to adjudicate on the basis of the material before the
Court. Here, there is no expert evidence before the Court and, counsel for the
Defendants/Respondents to the contrary, I am satisfied that none is required. Nor,
on the non-expert evidence before the Court, and I will have more to say about
that evidence shortly, is there significant, indeed if any, contradiction.
i) Just, most
expeditious and least expensive determination
[33] None of the foregoing
authorities refer to Rule 3 of the Federal Court Rules that requires the
Rules as a whole to be interpreted and applied so as to secure the just,
most expeditious and least expensive determination of every proceeding on its
merits. The focus of the foregoing authorities would appear to be on securing
the most just determination of every proceeding on its merits and I agree with
the authorities that that principle cannot be compromised. That being said, I
am satisfied
that it is appropriate that it must be
weighed against expedition and expense. Here, expedition is a very serious
consideration.
[34] The factual situation
that gives rise to this motion dates back to the period from 1988 to 1993. As
earlier indicated, the litigation giving rise to this motion, in the opinion of
this judge, will be long coming to trial. In that regard, my opinion contrasts
with that of former Associate Chief Justice Jerome of the Trial Division of the
Federal Court of Canada who, in oral reasons from the bench, dismissing a
motion not unlike that here before the Court, estimated that it would be
possible to bring the Samson action earlier referred to to trial in one
(1) year.
Those reasons were delivered from the bench on the 6th of May,
1992. That matter first came to trial in May of 2000 and, as earlier
indicated, continued at trial for more than four (4) years and the trial is not
yet completed. I am concerned that the trial of this action will suffer a
similar fate. Further, dealing with this discrete issue in the context of a
trial would, I am satisfied, not lead to the “least expensive” determination of
the issue here before the Court.
[35] None of the foregoing is
to suggest that “just determination” should be left out of the equation but I
draw support for my view that this matter can reasonably be determined on a
summary judgment motion from the quotation from reasons of Associate Chief
Justice Morden that appears above in a paragraph quoted from MacNeil
to the effect that, where there is no genuine issue which requires a trial, the
holding of a trial is unnecessary and accordingly, represents a failure of
procedural justice. Here, on the evidence before the Court, such as it is, I
am satisfied that there is no genuine issue for trial save as to quantum of
damages, if any, and I am satisfied that that issue
will either be settled by agreement or
could be settled on a reference. The issues of fact are not overly complex.
The issues of law, while complex, have been the subject of substantial
jurisprudential guidance. There are, to this point, no issues of credibility.
Finally, to further delay determination of this discreet element would be
unfairly prejudicial to the Plaintiffs/Applicants and, I am satisfied, to
determine it summarily would not be significantly prejudicial to the Defendants/Respondents.
ii) Best
foot forward
[36] That is not the end of
the matter. The principles governing summary judgment cited above require that
each side, on a motion for summary judgment, put its best foot forward. That
is not to say that a respondent on such a motion need adduce all of the
evidence that it might bring forward at trial. Rather, it is to say that a
respondent must bring forward evidence available to it that tends to establish
that there is a genuine issue for trial.
[37] The “best foot forward”
principle is not merely a question of quantum of evidence. The evidence here,
in terms of quantum, is substantial and, in many respects, is satisfactory.
That being said, Rule 81 provides that affidavits should be confined to facts
within the personal knowledge of the deponent, except on motions where
statements as to the deponent’s belief with the grounds therefore, may be accepted.
Rule 81 further provides that an adverse inference may be drawn from the
failure of a party to provide evidence of persons having personal knowledge of
material facts. The exception allowing for information and belief evidence in
affidavits on motions should, I am satisfied, be narrowly interpreted on a
motion for summary judgment such as that here before the Court, where a party
is seeking a final disposition in respect of an issue or issues.
c) The
evidence here before the Court
[38] Only two affidavits were
placed before the Court on this application, one on behalf of the
Plaintiffs/Applicants and the other on behalf of the Defendants/Respondents.
Both of the affiants were cross-examined on their affidavits and provided
reasonably extensive responses to undertakings. The Defendants/Respondents, in
particular, provided very extensive documentary production. The PanCanadian reasons
for decisions in the Alberta Court of Queen’s Bench and in
the Alberta Court of Appeal,
as well as a partial transcript of the proceedings before the Alberta Court of
Queen’s Bench
were also before the Court and constituted highly relevant evidence as well as
judicial authority in the case of the two sets of reasons for decision. The
two decisions related directly to the propriety of TOPGAS financing charges and
OMAC deductions in the computation of royalties payable to the Crown on behalf of
the Plaintiffs/Applicants by PanCanadian where, I am satisfied, the Defendants/Respondents
were privies to the Plaintiffs/Applicants for the purpose of the issue
estoppel analysis in Danyluk v. Ainsworth Technologies Inc..
i) The
Plaintiffs’/Applicants’ affiant, his affidavit and exhibits and his cross
examination
[39] The
Plaintiffs’/Applicants’ affiant is Ian Getty who describes himself as Research
Director for the Plaintiffs/Applicants. He attests that from 1980 to the 21st
of January, 2004, the date on which his affidavit was sworn, he was employed by
the Plaintiffs/Applicants and that during that period of time he held various
titles and positions including Acting Tribal Administrator, Nakoda Institute
Learning Centre, University instructor in History, and Research Director. His
affidavit extends to ninety-six (96) paragraphs, a number of which attest to
historical facts which are not in dispute. A number of other paragraphs of his
affidavit are in the nature of submissions or argument. All of forty-three
(43) of the paragraphs of his affidavit are sworn on information and belief.
[40] Mr. Getty was
cross-examined on his affidavit on the 27th and 28th of
April, 2004. In response to a question as to his involvement with the
Plaintiffs’/Applicants’ ongoing oil and gas issues from the early 1980s, Mr.
Getty responded:
The -- when I
said direct knowledge, in this context, I was -- I would say my most direct
knowledge has been in the last few weeks or since I’ve been coordinator
of litigation where I’ve had to become informed with all of the affidavits and
materials and documents.
…
Prior to
that, as the research director, I was all -- I was often asked to attend
certain meetings, for example, with -- with IOGC,…so I notice in Mr.
Eickmeier’s affidavit there were some minutes of meetings between the Stoney chiefs
in 1991, and apparently I was at one of those meetings, ‘cause my name is down
as one of the attendees.
….
But, you
know, he [Mr. Eickmeir] had some notes from several meetings, and that was the
only one I was -- apparently I was only present at one. I was probably there
not because I was -- I was involved with the gas issue, I was probably there
because I needed to get the chiefs to sign something or I had to talk to the
tribal administrator about something, so I would sit in on the meeting and just
-- I’m here, I might as well listen in or I had to wait till -- till I had an
opportunity to -- to discuss with whoever I wanted to meet with.
So my direct
knowledge would -- I would call it peripheral knowledge. I was aware of the --
I was aware of the actions. I was aware of the importance of the actions. I
would sometime sit in on discussions about the actions, but I was never -- I
wasn’t involved in -- in directing anything or even compiling information at
that time. …
[emphasis
added]
[41] Mr. Getty acknowledged
that the Plaintiffs/Applicants dealt with the Defendants/Respondents on gas
issues from in or about 1987, through legal counsel. He continued:
…I am aware
there was an Oil and Gas Committee [of the Plaintiffs/Applicants], and
basically I believe they were the -- there was a councillor from each band
sitting on that Oil and Gas Committee, and they would be the ones who would sit
with -- with the tribal administrator and the lawyer and would sit down, for
example, with these meetings that I was noticing the minutes from in the early ‘90s
there, around 1990/’91.
There was a
Stoney Oil and Gas Committee. I couldn’t tell you exactly when it was formed.
It would probably would have been -- I suspect most of the committees -- we got
going structures -- committee structures going about 1985.
Mr. Getty continued:
We did create
an Oil and Gas Department in 1997 I believe, and this is headed up by John
Snow Jr., the eldest son of Chief John Snow, and so we have had an oil and gas
-- I won’t say department. He’s a one-man show, if I may put it that way.
He’s a well-educated Stoney. He has his masters degree and very knowledgeable,
has worked for various oil companies in Calgary in the ‘80s
or probably ‘90s. I guess he was still in school in the ‘80s, and he came from
one of the oil companies here in Calgary Husky or Shell or somebody like -- of
that caliber to head up our oil and gas -- call it a department, but basically
he’s -- he is the department, and he does -- is still employed with the Nation
in that capacity.
[42] Mr. Getty acknowledged
on cross-examination that he did not talk with members of, or people who may
have been members of, the Plaintiffs’/Applicants’ Oil and Gas Committee in
preparing his affidavit. He testified that the knowledge underlying his
affidavit was essentially drawn from “…what I’ve read.”
Following that acknowledgement, Mr. Getty identified Felix Poucette, a retired
councillor for the Wesley Band in the /70s and /80s and Lawrence Crawler as two
former members of the Oil and Gas Committee who “…stuck to my mind.” With
respect to Mr. Poucette, Mr. Getty testified:
But Felix
Poucette particularly is one I know who -- if I had a --I guess what I’m saying
is, if I wanted to find out what was going on, I would go to Felix, or if I was
directed to get information, he’s the one I probably would rely on.
…
He’s a very
intelligent gentleman and very knowledgeable councillor.
[43] As to his knowledge of
TOPGAS and OMAC issues, Mr. Getty testified:
A lot of the
-- of my knowledge -- the best explanation I obtained of TOPGAS and OMAC is
from Bill Currie’s [an IOGC officer] testimony at [the PanCanadian] trial. I found
that very, very informative, so a lot of what he recounts of how they became
aware of it in 1988 and the actions they took and so on are really from his
testimony, and so when I’m replying to you, was I personally aware back in ‘88 to
‘99? Although I was around then, I was not aware of this.
[44] A general review of
responses to undertakings provided by the Plaintiffs/Applicants following the
cross-examination of Mr. Getty, as well as a review of elements of the Defendants’/
Respondents’ documentary productions establishes that, in addition to Mr.
Poucette and Mr. Crawler, Chief John Snow, former chief of the Wesley Band, was
also familiar with oil and gas issues relevant to the Plaintiffs/Applicants
from at least as early as 1989.
ii) The
Defendants’/Respondents’ Affiant
[45] The Respondent’s sole
affiant was James R. Eickmeier who attests that, from October 19, 1987 when, or
shortly before, IOGC became operational, to October, 1991, he was the Executive
Director of IOGC and, as such, was responsible for its operation with his
accountability being to the Deputy Minister of the Department of Indian Affairs
and Northern Development, administratively, through the Assistant Deputy
Minister of Economic Development. Mr. Eickmeier describes IOGC as “…an agency
operating within the Federal Department of Indian Affairs and Northern
Development with responsibility for managing the disposition of non-renewable
oil and gas resources underlying Indian reserve lands.” In paragraph 5 of his
affidavit, Mr. Eickmeier testifies:
…In its
administration of Indian oil and gas resources, IOGC did not exert exclusive
control and authority over the Indian oil and gas resources. The Indian Oil
and Gas Act and the Regulations required IOGC to consult with or
obtain the approval of Indian Bands on many aspects of oil and gas resource
administration.
[46] At paragraph 33 of his
affidavit, Mr. Eickmeier attests to a meeting between IOGC representatives and
representatives of the Plaintiffs/Applicants on the 8th of January,
1991. Minutes of that meeting
record the following with respect to a discussion at the meeting of the TOPGAS financing
charges issue:
The TOPGAS
issue refers to a “Take or Pay” arrangement with TCPL [Trans Canada Pipe-line]
which resulted in a buried interest charge applied to gas price beginning in
approximately 1982. The presentation [presumably by IOGC participants]
included a handout which summarized the companies and the potential value of
the claims which are involved. It was pointed out that the courts may or may
not rule in favour of the claims so these should be addressed with caution.
IOGC, and Jim
Eickmeier committed to bring on-side a top legal firm which is knowledgeable on
the issue of TOPGAS in order to assist our own justice people.
The Bands
would like to further meet to discuss and clarify the TOPGAS issue before
sending out a letter to the companies outlining the claim, subsequent to
opening negotiations.
[47] Paragraphs 34 and 35 of
Mr. Eickmeier’s affidavit read in part as follows:
In October
1990, I was a speaker at the “All Chiefs Oil and Gas Conference” in Edmonton. The
Plaintiffs’ Chief, John Snow Sr., was present. He asked for comments on
TOPGAS. I provided a brief explanation of TOPGAS at the All Chiefs’
Conference. It is my recollection that I had earlier discussed the TOPGAS
issue during a quarterly meeting with the Indian Resource Counsel of which
Chief John Snow Sr. was a member. …
…
An All Chiefs
Oil and Gas Assembly established the Indian Resource Council in 1987 to
represent Band interests in discussions with the Department on the question of
increased control of oil and gas resources. …
[48] Paragraphs 66 to 74 and
80, 81 and 85 of Mr. Eickmeier’s eighty-seven (87) paragraph affidavit are
based on information and belief or understanding. Each attests to events or
communications after Mr. Eickmeier left his employment at IOGC. Among those
was a communication to the “…Stoney Indian Band” on the 13th of
January, 1993 of the fact that “…it had been decided in Ottawa that the Department
of Indian Affairs would not pursue the TOPGAS issue.” Mr.
Eickmeier attests on information and belief that the same message was delivered
by IOGC representatives to the Indian Energy Corporation, formerly the Indian
Resource Council. There would appear to be no evidence before the Court as to
whether the Plaintiffs/Applicants were represented at that meeting.
[49] Mr. Eickmeier was
extensively cross-examined on his affidavit. During the course of that
cross-examination, some forty-six (46) undertakings were given. The responses
to those undertakings
reflect extensive claims of privilege and notations that the Defendants’/Respondents’
document production continued to be “ongoing” in 2004. At the hearing of this
matter, counsel for the Defendants/Respondents advised that document production
remained “ongoing” in February of 2006.
iii)
Conclusion with respect to the evidence before the Court
[50] Neither party has “…put
its best foot forward…” either generally as noted in the quotation in paragraph
[23] above, or against the less stringent standard applying to respondents that
is noted in the quotation in paragraph [28] above. Neither side was limited to
a single affiant. Each side chose to self-limit.
[51] The Plaintiffs’/Applicants’
affiant has long experience in the employ of the Plaintiffs/ Applicants. He is
an historian by training. That training, given his lack of any first-hand
knowledge of gas resource issues, and more particularly, TOPGAS financing
charges and OMAC issues faced by his employer in the relevant time period,
stood him in good stead in the preparation of his affidavit and during his
cross-examination on that affidavit. He clearly familiarized himself in depth
with the relevant documentation, much of which was provided by or on behalf of
the Defendants /Respondents. He would appear to have had little help flowing
from discussions with and documentary records available from those members of
the Stoney First Nations who were most knowledgeable at the relevant time in
respect of gas production from and resultant royalties from the relevant Stoney
First Nations Reserves. No explanation was provided to the Court, and none was
asked for, as to why a member or members of the First Nations with as much
first-hand knowledge as possible was or were not put forward as a further
affiant or affiants. It would appear that memories may well have grown dim,
despite the importance to the First Nations of the TOPGAS financing charges and
OMAC issues, and written records of the First Nations themselves may well have
been sparse. But the research would appear to have been well done by Mr. Getty
and the opportunity for a further affiant or affiants to refresh his, her or
their knowledge could have been well supported.
[52] In the last analysis,
the Plaintiffs/Applicants chose to go with only the affidavit of Mr. Getty. In
the result, counsel for the Defendants/Respondents advised the Court at hearing
that examination of Mr. Getty on his affidavit was, not surprisingly, an
exercise in frustration. I conclude that, on the totality of the evidence
before the Court, despite the best efforts of Mr. Getty and the substantial documentary
evidence put forward on behalf of the Defendants/Respondents, the Plaintiffs/Applicants
simply cannot meet the onus on them to succeed on this motion for summary
judgment. Too many questions are left unanswered. Too much is left to
inference and supposition. That being said, on further and better evidence, I
am satisfied that the issues put before the Court for summary judgment are
appropriate for such a disposition.
[53] I am equally satisfied
that the Defendants/Respondents have failed to put their best foot forward.
While the Defendants/Respondents have provided substantial documentary
production, Mr. Eickmeier’s replies to undertakings are rife with references to
the fact that the Defendants’/Respondents’ documentary production is not
complete and those references were reiterated before me by counsel for the Defendants/Respondents
at hearing almost thirteen (13) years after the commencement of this action.
[54] Mr. Eickmeier’s
affidavit would appear to be full and complete to the time of his retirement
from the position of Executive Director of IOGC. From that time on, he was
forced to turn to documentation and to attestations on information and belief
when it is hard to believe that another official who remained with IOGC
throughout the balance of the relevant time period could not have been made
available to put forward an affidavit on personal knowledge. Similarly, another
affiant who could speak with authority to critical decisions made outside of
IOGC, could undoubtedly have been provided. While I acknowledge that the onus
was not on the Defendants/Respondents on this motion for summary judgment, the Defendants/Respondents
were under an obligation to put their best foot forward to establish a genuine
issue for trial. Given the nature of their relationship to the
Plaintiffs/Applicants, however it might be described, they failed to do so. In
the result, particularly in light of the nature of the relationship between the
Defendants/Respondents and the Plaintiffs/Applicants, the Defendants/Respondents
left themselves at risk if I had determined the Plaintiffs’/Applicants’
evidence sufficient in a quantitative and qualitative sense to meet their burden
on this motion.
CONCLUSION
[55] Based on the foregoing
analysis, and taking into account the Court’s conclusion on the extensive
materials before the Court and the long hearing on this application that, on
further and better evidence, the issues here before the Court are appropriate
for summary determination in that there would be no genuine issue left for
trial, this application for summary judgment will be dismissed with leave to
reapply on the materials before the Court supplemented by such further and
better evidence as each of the parties deems appropriate.
COSTS
[56] At the close of hearing,
counsel for the Plaintiffs/Applicants urged that, given the “fundamental and
important issues” at stake on this application, the Plaintiffs/Applicants
should be entitled to their costs, on the ordinary scale, in any event of the
cause. In the alternative, counsel urged that costs should be in the cause.
[57] By contrast, counsel for
the Defendants/Respondents urged that the Defendants/Respondents should be
entitled to their costs, payable forthwith and in any event of the cause.
[58] Given the Court’s
conclusions, the Court will reserve on the question of costs to await, for a
reasonable period of time, further developments. Before issuing an Order as to
costs, the Court will convene a teleconference with counsel to hear any further
representations on that issue.
PART II – THE
CHEVRON CANADA RESOURCES LIMITED, IMPERIAL OIL RESOURCES LIMITED AND SHELL
CANADA LIMITED MOTION
[59] As indicated in
paragraph 2 of these reasons, both this motion and the PanCanadian motion are
supported by the same evidence and raise essentially common issues. In their
relatively brief memorandum of fact and law filed on this motion, the
Plaintiffs/Applicants identify the following issue unique to this motion:
Is the
decision in the PanCanadian Action determinative of whether the TOPGAS and OMAC
charges deducted from the Royalty Interest reserved to Her Majesty, on behalf
of the
Plaintiffs,
in regard to the Chevon, Imperial and Shell Leases, an unlawful deduction?
Counsel for the
Defendants/Respondents, in their Memorandum of Fact and Law, identify the same
additional issue, albeit in somewhat different terminology, and further issues
relating to the lack of evidence and inadequacy of the evidence to support
specific aspects of the motion.
[60] I am satisfied that the
additional substantive issue raised on this motion is appropriate for
determination on summary judgment and that the concerns expressed earlier in
these reasons regarding the inadequacy of the evidence before the Court apply
equally on this motion. In the result, a separate order will issue disposing
of this motion in a manner identical to that in which the PanCanadian motion
will be disposed of.
“Frederick
E. Gibson”
Ottawa,
Ontario
April
6, 2006.
SCHEDULE II
FEDERAL COURT RULES, SOR/98-106
213. (1) A plaintiff may, after the defendant has
filed a defence, or earlier with leave of the Court, and at any time before
the time and place for trial are fixed, bring a motion for summary judgment
on all or part of the claim set out in the statement of claim.
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213. (1) Le demandeur peut, après le dépôt de
la défense du défendeur -- ou avant si la Cour l'autorise -- et avant que
l'heure, la date et le lieu de l'instruction soient fixés, présenter une
requête pour obtenir un jugement sommaire sur tout ou partie de la
réclamation contenue dans la déclaration.
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2) A defendant may, after
serving and filing a defence and at any time before the time and place for
trial are fixed, bring a motion for summary judgment dismissing all or part
of the claim set out in the statement of claim.
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(2) Le défendeur
peut, après avoir signifié et déposé sa défense et avant que l'heure, la date
et le lieu de l'instruction soient fixés, présenter une requête pour obtenir
un jugement sommaire rejetant tout ou partie de la réclamation contenue dans
la déclaration.
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214. (1) A party may bring a motion for summary judgment
in an action by serving and filing a notice of motion and motion record at
least 20 days before the day set out in the notice for the hearing of the
motion.
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214. (1) Toute partie peut présenter une requête pour obtenir un jugement
sommaire dans une action en signifiant et en déposant un avis de requête et
un dossier de requête au moins 20 jours avant la date de l'audition de la
requête indiquée dans l'avis.
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(2) A party served with a
motion for summary judgment shall serve and file a respondent's motion record
not later than 10 days before the day set out in the notice of motion for the
hearing of the motion.
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2) La partie qui
reçoit signification d'une requête en jugement sommaire signifie et dépose un
dossier de réponse au moins 10 jours avant la date de l'audition de la
requête indiquée dans l'avis de requête.
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215. A response to a motion for summary judgment shall
not rest merely on allegations or denials of the pleadings of the moving
party, but must set out specific facts showing that there is a genuine issue
for trial.
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215. La réponse à une requête en jugement sommaire ne peut être fondée
uniquement sur les allégations ou les dénégations contenues dans les actes de
procédure déposés par le requérant. Elle doit plutôt énoncer les faits précis
démontrant l'existence d'une véritable question litigieuse.
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216. (1) Where on a motion for summary judgment the
Court is satisfied that there is no genuine issue for trial with respect to a
claim or defence, the Court shall grant summary judgment accordingly.
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216. (1) Lorsque, par suite d'une requête en jugement sommaire, la Cour
est convaincue qu'il n'existe pas de véritable question litigieuse quant à
une déclaration ou à une défense, elle rend un jugement sommaire en
conséquence.
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(2) Where on a motion for
summary judgment the Court is satisfied that the only genuine issue is
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(2) Lorsque, par
suite d'une requête en jugement sommaire, la Cour est convaincue que la seule
véritable question litigieuse est :
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(a) the amount to
which the moving party is entitled, the Court may order a trial of that issue
or grant summary judgment with a reference under rule 153 to determine the
amount; or
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a) le montant auquel le requérant a droit, elle
peut ordonner l'instruction de la question ou rendre un jugement sommaire
assorti d'un renvoi pour détermination du montant conformément à la règle
153;
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b) a question of law,
the Court may determine the question and grant summary judgment accordingly.
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b) un point de droit, elle peut statuer sur
celui-ci et rendre un jugement sommaire en conséquence.
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3) Where on a motion for
summary judgment the Court decides that there is a genuine issue with respect
to a claim or defence, the Court may nevertheless grant summary judgment in
favour of any party, either on an issue or generally, if the Court is able on
the whole of the evidence to find the facts necessary to decide the questions
of fact and law.
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(3) Lorsque, par
suite d'une requête en jugement sommaire, la Cour conclut qu'il existe une
véritable question litigieuse à l'égard d'une déclaration ou d'une défense,
elle peut néanmoins rendre un jugement sommaire en faveur d'une partie, soit
sur une question particulière, soit de façon générale, si elle parvient à
partir de l'ensemble de la preuve à dégager les faits nécessaires pour
trancher les questions de fait et de droit.
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4) Where a motion for
summary judgment is dismissed in whole or in part, the Court may order the
action, or the issues in the action not disposed of by summary judgment, to
proceed to trial in the usual way or order that the action be conducted as a
specially managed proceeding.
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(4) Lorsque la
requête en jugement sommaire est rejetée en tout ou en partie, la Cour peut
ordonner que l'action ou les questions litigieuses qui ne sont pas tranchées
par le jugement sommaire soient instruites de la manière habituelle ou elle
peut ordonner la tenue d'une instance à gestion spéciale.
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217. A plaintiff who obtains summary judgment under
these Rules may proceed against the same defendant for any other relief and
against any other defendant for the same or any other relief.
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217. Le demandeur qui obtient un jugement
sommaire aux termes des présentes règles peut poursuivre le même défendeur
pour une autre réparation ou poursuivre tout autre défendeur pour la même ou
une autre réparation.
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218. Where summary judgment is refused or is granted
only in part, the Court may make an order specifying which material facts are
not in dispute and defining the issues to be tried, including an order
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218. Lorsqu'un jugement sommaire est refusé ou n'est accordé qu'en
partie, la Cour peut, par ordonnance, préciser les faits substantiels qui ne
sont pas en litige et déterminer les questions qui doivent être instruites,
ainsi que :
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(a) for payment into
court of all or part of the claim;
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a) ordonner la consignation à la Cour
d'une somme d'argent représentant la totalité ou une partie de la
réclamation;
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(b) for security for
costs; or
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b) ordonner la remise d'un cautionnement
pour dépens;
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c) limiting the nature and scope of the examination
for discovery to matters not covered by the affidavits filed on the motion
for summary judgment or by any cross-examination on them and providing for
their use at trial in the same manner as an examination for discovery.
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c) limiter la nature et l'étendue de
l'interrogatoire préalable aux questions non visées par les affidavits
déposés à l'appui de la requête en jugement sommaire, ou limiter la nature et
l'étendue de tout contre-interrogatoire s'y rapportant, et permettre
l'utilisation de ces affidavits lors de l'interrogatoire à l'instruction de
la même manière qu'à l'interrogatoire préalable.
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219. In making an order for summary judgment, the Court
may order that enforcement of the summary judgment be stayed pending the
determination of any other issue in the action or in a counterclaim or third
party claim.
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219. Lorsqu'elle rend un jugement sommaire,
la Cour peut surseoir à l'exécution forcée de ce jugement jusqu'à la
détermination d'une autre question soulevée dans l'action ou dans une demande
reconventionnelle ou une mise en cause.
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