Docket: T-2210-76
Citation:
2015 FC 918
Ottawa, Ontario, July 27, 2015
PRESENT: The Honourable Mr. Justice Phelan
BETWEEN:
|
GRAND CHIEF
MICHAEL MITCHELL, acting
personally and on behalf of and as representative of the Mohawks of Akwesasne
and the members of the Mohawk Council of Akwesasne
|
and
|
THE MOHAWK
COUNCIL AND MOHAWKS OF AKWESASNE
|
and
|
FORMER CHIEF
WILLIAM SUNDAY, former
band chief of St. Regis Reserve, Quebec, BENJAMIN
ROUNDPOINT, construction
worker of Cornwall Island Reserve, Ontario, JAMES
CALDWELL, mailman, of
Cornwall Island Reserve, Ontario, LAWRENCE FRANCIS, executive, of Cornwall Island
Reserve, Ontario, CATHERINE DAY, housewife, of Cornwall Island
Reserve, Ontario, CECILIA BUCKSHOT, self-employed, of St. Regis Reserve,
Quebec, FRANCIS SAM, administrator, of St. Regis Reserve, Quebec, GERALD SHARROW,
construction worker of St. Regis Reserve, Quebec, MICHAEL
FRANCIS, construction
worker of St. Regis Reserve, Quebec, REGINALD
MITCHELL, maintenance
worker of St. Regis Reserve, Quebec, JAMES LAZORE, electrician, of St. Regis Reserve,
Quebec, and MICHAEL DAVID, construction worker, of St. Regis Reserve, Quebec,
being all at one time councillors of the Iroquois of St. Regis Indian Band
|
and
|
THE MOHAWKS OF
AKWESASNE, formerly known
as THE IROQUOIS OF ST. REGIS, a recognized legal entity under the Indian Act,
herein acting through the band council and its councillors
|
Plaintiffs
|
and
|
THE ST.
LAWRENCE SEAWAY AUTHORITY,
a corporation established by Act of the Parliament of Canada having its head
office in the City of Ottawa and having branches in Quebec situated at the
St. Lambert Locks, St. Lambert, Quebec, and in Ontario situated in Cornwall,
Ontario at 202 Pitt Street
|
and
|
HER MAJESTY THE
QUEEN IN RIGHT OF CANADA
|
and
|
THE FEDERAL BRIDGE
CORPORATION LIMITED, a
corporation incorporated under the laws of Canada, having its head office in
Ottawa, Ontario at 55 Metcalfe Street, Suite 1210,
|
and
|
THE SEAWAY INTERNATIONAL BRIDGE CORPORATION, LTD., a corporation incorporated under the
laws of Canada, having its head office in Cornwall, Ontario, with an office
on Kawehnoke (Cornwall Island) and with its mailing address as P.O. Box 836,
|
Defendants
|
ORDER AND REASONS
I.
Introduction
[1]
This is a motion for summary judgment in favour
of the Defendants on that portion of a much more comprehensive Amended
Statement of Claim [Claim] as that Claim relates to an area of land on Cornwall
Island in the St. Lawrence River known to the parties as “Area M”.
[2]
The Order sought is one:
a)
Granting the within motion for partial summary
judgment dismissing that part of the Statement of Claim which seeks to advance
a claim in respect of the dumping of fill upon land located in Area M on
Cornwall Island;
b)
Declaring that all interests, including that of
the Mohawks of Akwesasne [Band], arising from the addition of fill to lots in
Area M on Cornwall Island were intended to and were fully and finally settled
by agreement with each of the Locatees whose lands had been effected; and,
c)
In the alternative, granting a declaration to the
effect set out in paragraph b) above but subject to legal impact, if any, that
might later be determined to arise should a treaty be found to apply to this
transaction as part of Phase 1 of these proceedings.
[3]
For the reasons outlined, this motion will be
dismissed. In summary, I have concluded:
a)
that material facts are in issue in respect to
Area M and also in respect to the whole of the Claim;
b)
that the law on aboriginal land title and possession
both generally, and in particular related to these facts, is not settled;
c)
that the issues in respect to Area M overlap
with issues in the balance of the Claim; the determination of which ought not
to be done at this stage;
d)
that alternatives to Summary Judgment such as
Summary Trial would not be sufficiently practical or beneficial now; and,
e)
that this litigation requires active case
management including a review of the Phasing Order in the light of legal
developments since its issuance and the developing position of the Plaintiffs.
II.
Background
A.
Legislation
[4]
A central issue in this part of the Claim is the
rights of a Band as contrasted with those of an individual Band member holding
a Certificate of Possession; specifically, the issue of whether the Band holds
a collective interest separate from the interest of individual Band members. Therefore,
I have set out below the most applicable provisions of the Indian Act,
RSC 1985 c I-5 [Indian Act]:
18. (1) Subject to this Act, reserves
are held by Her Majesty for the use and benefit of the respective bands for
which they were set apart, and subject to this Act and to the terms of any
treaty or surrender, the Governor in Council may determine whether any
purpose for which lands in a reserve are used or are to be used is for the
use and benefit of the band.
|
18. (1)
Sous réserve des autres dispositions de la présente loi, Sa Majesté détient
des réserves à l’usage et au profit des bandes respectives pour lesquelles
elles furent mises de côté; sous réserve des autres dispositions de la
présente loi et des stipulations de tout traité ou cession, le gouverneur en
conseil peut décider si tout objet, pour lequel des terres dans une réserve
sont ou doivent être utilisées, se trouve à l’usage et au profit de la bande.
|
…
|
…
|
20. (1) No Indian is lawfully in
possession of land in a reserve unless, with the approval of the Minister,
possession of the land has been allotted to him by the council of the band.
|
20. (1)
Un Indien n’est légalement en possession d’une terre dans une réserve que si,
avec l’approbation du ministre, possession de la terre lui a été accordée par
le conseil de la bande.
|
(2) The Minister may issue to an Indian who is lawfully in
possession of land in a reserve a certificate, to be called a Certificate of
Possession, as evidence of his right to possession of the land described
therein.
|
(2) Le ministre
peut délivrer à un Indien légalement en possession d’une terre dans une
réserve un certificat, appelé certificat de possession, attestant son droit
de posséder la terre y décrite.
|
(3) For the purposes of this Act, any person who, on September 4,
1951, held a valid and subsisting Location Ticket issued under The Indian
Act, 1880, or any statute relating to the same subject-matter, shall be
deemed to be lawfully in possession of the land to which the location ticket
relates and to hold a Certificate of Possession with respect thereto.
|
(3) Pour
l’application de la présente loi, toute personne qui, le 4 septembre 1951,
détenait un billet de location valide délivré sous le régime de l'Acte
relatif aux Sauvages, 1880, ou de toute loi sur le même sujet, est
réputée légalement en possession de la terre visée par le billet de location
et est censée détenir un certificat de possession à cet égard.
|
(4) Where possession of land in a reserve has been allotted to an
Indian by the council of the band, the Minister may, in his discretion,
withhold his approval and may authorize the Indian to occupy the land
temporarily and may prescribe the conditions as to use and settlement that
are to be fulfilled by the Indian before the Minister approves of the
allotment.
|
(4) Lorsque le
conseil de la bande a attribué à un Indien la possession d’une terre dans une
réserve, le ministre peut, à sa discrétion, différer son approbation et
autoriser l’Indien à occuper la terre temporairement, de même que prescrire
les conditions, concernant l’usage et l’établissement, que doit remplir
l’Indien avant que le ministre approuve l’attribution.
|
(5) Where the Minister withholds approval pursuant to subsection
(4), he shall issue a Certificate of Occupation to the Indian, and the
Certificate entitles the Indian, or those claiming possession by devise or
descent, to occupy the land in respect of which it is issued for a period of
two years from the date thereof.
|
(5) Lorsque le ministre diffère son approbation conformément au
paragraphe (4), il délivre un certificat d’occupation à l’Indien, et le
certificat autorise l’Indien, ou ceux qui réclament possession par legs ou
par transmission sous forme d’héritage, à occuper la terre concernant
laquelle il est délivré, pendant une période de deux ans, à compter de sa
date.
|
(6) The Minister may extend the term of a Certificate of
Occupation for a further period not exceeding two years, and may, at the
expiration of any period during which a Certificate of Occupation is in force
|
(6) Le ministre
peut proroger la durée d’un certificat d’occupation pour une nouvelle période
n’excédant pas deux ans et peut, à l’expiration de toute période durant
laquelle un certificat d’occupation est en vigueur :
|
(a) approve the allotment by the council of the band and
issue a Certificate of Possession if in his opinion the conditions as to use
and settlement have been fulfilled; or
|
a) soit approuver l’attribution faite par
le conseil de la bande et délivrer un certificat de possession si, d’après
lui, on a satisfait aux conditions concernant l’usage et l’établissement;
|
(b) refuse approval of the allotment by the council of the
band and declare the land in respect of which the Certificate of Occupation
was issued to be available for re-allotment by the council of the band.
|
b) soit
refuser d’approuver l’attribution faite par le conseil de la bande et
déclarer que la terre, à l’égard de laquelle le certificat d’occupation a été
délivré, peut être attribuée de nouveau par le conseil de la bande.
|
21. There shall be kept in the
Department a register, to be known as the Reserve Land Register, in which
shall be entered particulars relating to Certificates of Possession and
Certificates of Occupation and other transactions respecting lands in a
reserve.
|
21. Il doit être tenu au ministère un
registre, connu sous le nom de Registre des terres de réserve, où sont
inscrits les détails concernant les certificats de possession et certificats
d’occupation et les autres opérations relatives aux terres situées dans une réserve.
|
22. Where an Indian who is in
possession of lands at the time they are included in a reserve made permanent
improvements thereon before that time, he shall be deemed to be in lawful
possession of those lands at the time they are included.
|
22. Un Indien qui a fait des améliorations à
des terres en sa possession avant leur inclusion dans une réserve, est
considéré comme étant en possession légale de ces terres au moment de leur
inclusion.
|
23. An Indian who is lawfully removed
from lands in a reserve on which he has made permanent improvements may, if
the Minister so directs, be paid compensation in respect thereof in an amount
to be determined by the Minister, either from the person who goes into
possession or from the funds of the band, at the discretion of the Minister.
|
23. Un
Indien qui est légalement retiré de terres situées dans une réserve et sur
lesquelles il a fait des améliorations permanentes peut, si le ministre
l’ordonne, recevoir à cet égard une indemnité d’un montant que le ministre
détermine, soit de la personne qui entre en possession, soit sur les fonds de
la bande, à la discrétion du ministre.
|
24. An Indian who is lawfully in
possession of lands in a reserve may transfer to the band or another member
of the band the right to possession of the land, but no transfer or agreement
for the transfer of the right to possession of lands in a reserve is
effective until it is approved by the Minister.
|
24. Un
Indien qui est légalement en possession d’une terre dans une réserve peut
transférer à la bande, ou à un autre membre de celle-ci, le droit à la
possession de la terre, mais aucun transfert ou accord en vue du transfert du
droit à la possession de terres dans une réserve n’est valable tant qu’il
n’est pas approuvé par le ministre.
|
25. (1) An Indian who ceases to be
entitled to reside on a reserve may, within six months or such further period
as the Minister may direct, transfer to the band or another member of the
band the right to possession of any lands in the reserve of which he was lawfully
in possession.
|
25. (1)
Un Indien qui cesse d’avoir droit de résider sur une réserve peut, dans un
délai de six mois ou dans tel délai prorogé que prescrit le ministre,
transférer à la bande, ou à un autre membre de celle-ci, le droit à la
possession de toute terre dans la réserve, dont il était légalement en
possession.
|
(2) Where an Indian does not dispose of his right of possession in
accordance with subsection (1), the right to possession of the land reverts
to the band, subject to the payment to the Indian who was lawfully in
possession of the land, from the funds of the band, of such compensation for
permanent improvements as the Minister may determine.
|
(2) Lorsqu’un
Indien ne dispose pas de son droit de possession conformément au paragraphe
(1), le droit à la possession de la terre retourne à la bande, sous réserve
du paiement, à l’Indien qui était légalement en possession de la terre, sur
les fonds de la bande, de telle indemnité pour améliorations permanentes que
fixe le ministre.
|
26. Whenever a Certificate of
Possession or Occupation or a Location Ticket issued under The Indian Act,
1880, or any statute relating to the same subject-matter was, in the
opinion of the Minister, issued to or in the name of the wrong person,
through mistake, or contains any clerical error or misnomer or wrong
description of any material fact therein, the Minister may cancel the
Certificate or Location Ticket and issue a corrected Certificate in lieu
thereof.
|
26.
Lorsqu’un certificat de possession ou d’occupation ou un billet de location
délivré sous le régime de l'Acte relatif aux Sauvages, 1880 ou de
toute loi traitant du même sujet, a été, de l’avis du ministre, délivré par
erreur à une personne à qui il n’était pas destiné ou au nom d’une telle
personne, ou contient une erreur d’écriture ou une fausse appellation, ou une
description erronée de quelque fait important, le ministre peut annuler le
certificat ou billet de location et délivrer un certificat corrigé pour le
remplacer.
|
27. The Minister may, with the consent
of the holder thereof, cancel any Certificate of Possession or Occupation or
Location Ticket referred to in section 26, and may cancel any Certificate of
Possession or Occupation or Location Ticket that in his opinion was issued
through fraud or in error.
|
27. Le ministre peut, avec le consentement de
celui qui en est titulaire, annuler tout certificat de possession ou
occupation ou billet de location mentionné à l’article 26, et peut annuler
tout certificat de possession ou d’occupation ou billet de location qui,
selon lui, a été délivré par fraude ou erreur.
|
B.
Facts
[5]
Cornwall Island [Island] is one of several
islands in the St. Lawrence River between Prescott, Ontario and Montreal,
Quebec, and forms part of the Plaintiff Band’s reserve which straddles the Ontario/Quebec
border. The Ontario Reserve, formally Cornwall Island Reserve No. 59, is now
referred to as Akwesasne Reserve No. 59; the Quebec Reserve, formerly St. Regis
Indian Reserve No. 15, is now Akwesasne Reserve No. 15. These reserves are
divided into districts: Tsi-Snailhe (Chenail, Quebec), Kanatakon (St. Regis
Village, Quebec) and Kawehnoke (Cornwall Island, Ontario).
[6]
Members of the Band have lived and cultivated
the Island continuously since 1760. Members built homes on higher ground and
cultivated fruits, vegetables, hay and livestock, as well as engaged in hunting
and trapping activities.
[7]
The Plaintiffs alleged that the Akwesasne
Reserve has a long, unique and complex history and as a result, has to be
understood on its own terms. It is apparent that the nature of the relationship
with the Defendant Crown is a critical aspect of the Claim as a whole.
[8]
The Plaintiffs specifically allege, and there is
some dispute on these assertions or at least their relevance, that:
•
the Band occupied Kawehnoke at the time of the
British conquest of New France;
•
on August 30, 1780, at Oswegatchy, the Seven
Nations entered into a treaty of neutrality with the British where the British
Crown promised that the lands of the Seven Nations would be protected; and,
•
a fiduciary relationship between the Band and
the Crown was established by the Treaty of Swegatchy of 1760, by the Crown’s
acquisition of the territory of New France as indicated by the Articles of
Capitulation and by the Royal Proclamation of 1763.
[9]
The St. Lawrence Seaway Authority [SLSA],
created under federal statute, was part of the joint Canada-USA construction of
the new canal and other works in the St. Lawrence River. It planned and
supervised the construction of navigation works and bridges from 1956 to 1963.
As part of its operation, it excavated large parts of the north and south of
the Island. To do so, it expropriated land and dumped fill in different
locations in and around the Island.
[10]
Area M was used to dispose of excavation fill
from the area. The parties disagree as to the reason Area M was used – the
Plaintiffs contend that the SLSA initiated the operation; the Defendants say
that the Band asked SLSA to fill in the low areas to make swampy land more
useful.
[11]
A Band Council Resolution [BCR] of 1957 consented
to the SLSA’s infill project which would add fill to the land held by
individual Band members under a Certificate of Possession. The Certificate is
referred to as a COP and the Band members as Locatees.
[12]
There is a significant dispute as to how this Area
M infill project came about; the role of SLSA, its engineers, and Department of
Justice counsel. There is a further issue of what the Band knew and understood
of the Area M project as it had neither engineering advice nor legal counsel.
However,
the Plaintiffs acknowledge that the Band Council was favourable to the Area M
project because of the opportunity to improve the land.
[13]
Area M was comprised of a number of lots; each
one held by a Locatee.
[14]
Another BCR in 1957 confirmed that Band Council
agreed to SLSA’s wishes “to pay for any compensation
claimed by individual owners for the loss of the use of the land and crops in
the fill area”.
[15]
From 1957 various Locatees complained about the
suitability of the filled in land. It is contended that SLSA recognized this
problem and agreed to pay for crop loss in 1959.
[16]
In 1960, without Band Council’s consent, SLSA
released the contractors doing the work in Area M despite the land being unfit
for occupation.
[17]
Thereafter, until 1967, Band Council continued
to complain to SLSA and various studies and efforts at remediation were
undertaken. Efforts appeared to dissipate over time. SLSA paid for crop losses
until and including 1964 when SLSA refused until Band Council agreed to a
settlement.
[18]
There was continuous interplay between Band
Council, SLSA and Indian Affairs. By mid-1967 the general basis of a settlement
was being worked out. The Defendants assert that only Locatees had a right to
advance a claim for damages. However, the May 29, 1967 BCR approving a
settlement process with the Locatees also included a 10% equity to the Band
Council on payments made to the Locatees. The specific words were:
1)
The Seaway Authority shall negotiate directly
with each Claimant and shall obtain good sufficient receipts for all claims
paid.
2)
The Seaway Authority shall deal with the Band
Council for all claims involving the Band as a whole including a 10% equity on
payments made to individual claimants who have occupation rights through
Location Ticket or Certificate of Possession.
[emphasis added]
3)
The Seaway Authority to report periodically to
Council on payments made to and the reason therefor.
4)
Compensation for payment made on behalf of the
Band shall be paid to the Receiver General of Canada for the credit of the St.
Regis Band.
5)
That the Seaway Authority shall perform to the
satisfaction of the Claimant such work as may be required and agreed upon in
writing involving restitution for loss of crop; fencing; seeding; drainage;
road repairs and the like or shall pay to the Claimant in lieu thereof such
amounts as may be agreed upon in writing.
6)
That the Claims covering Area M shall be
disposed of first.
[19]
There is a significant factual and legal issue
in this litigation as to whether only Locatees had the right to damages or
whether the Band also had a compensable interest, as well as what may be the
meaning and significance of the 10% equity.
[20]
A letter the following day from Chief Angus
Mitchell stated:
Notification has gone out to individual
claimants on Cornwall Island that the Authority will negotiate directly with
them covering claims to which they have a legal right to be compensated….The
Authority shall pay to the Receiver General of Canada for the credit of the St.
Regis Band, the full amount of all claims payable on behalf of the Band as a whole,
plus a 10% Band equity on the amount of each and every claim paid to an
individual Band Member.
[21]
Between 1967 and 1969 each of the 11 Locatees
settled their claims with the SLSA and executed releases. There is no issue
that these individuals have not been compensated and no claim is asserted on
their behalf.
[22]
While the Defendants object to the evidence of
Brian David, a member of the Band attesting to events of which he does not have
direct knowledge, they also rely on his evidence that the President of SLSA
could reasonably perceive that all matters were settled.
[23]
The Plaintiffs point out that the BCRs and
related correspondence refer to two separate groups of claimants – the Locatees
on the one hand and the Band on the other, under which the Band was to receive
compensation plus a 10% equity in payments to Locatees.
[24]
In 1972 the litigation process began with a
general demand letter followed by a formal claim to SLSA.
C.
Procedural History – Relevant Portions
[25]
The original Statement of Claim was filed on
June 8, 1976, amended on June 22, 1988, and a Statement of Defence was filed on
November 15, 1990.
[26]
On January 28, 2000, the Amended Statement of
Claim No. 2 was filed naming the St. Lawrence Seaway Authority, Her Majesty the
Queen in Right of Canada, the Seaway International Bridge Corporation Ltd. and
the Federal Bridge Corporation Limited as Defendants.
[27]
The Claim includes the following:
1.
The Defendants were involved in the construction
and maintenance of the deep waterway, the St. Lawrence Seaway and all related works
structures facilities and changes to water levels and flow, defined as the
Seaway Project.
2.
The entire Seaway Project was unconstitutional
and illegal, or constitutionally inoperative to the Plaintiffs and a breach of
their aboriginal title, aboriginal rights, treaty rights and other rights.
3.
The construction and demolishment of identified
bridges and expropriation including trespass of the land was illegal (this is
described in great detail).
4.
The Plaintiffs have received no compensation or
benefits respecting the revenues from the Power Project comprising of the
electric power development in the St. Lawrence River at the International
Rapids section near Kawehnoke or its counterpart in the United States. The
Defendant, Canada, took no measures or inadequate measures to protect the
rights and interests of the Plaintiffs respecting the facilities of the Power
Project and the purported restructuring of Ontario Hydro in further breach of
trust, fiduciary and equitable obligations to the Plaintiffs.
5.
The Plaintiffs and their predecessors have
continuously occupied and used the St. Lawrence River between approximately
Prescott and Valleyfield, adjacent lands and waters and other lands and waters,
the islands in the St. Lawrence River and certain parts of Quebec, Ontario and
the United States and all natural resources and cultural properties on such
lands [the traditional lands].
6.
The Plaintiffs claim that they have aboriginal
title and treaty rights over the traditional lands and that these rights have
been breached.
7.
Damages from the Projects include, inter alia,
negatively altering the natural environment and ecosystem, changing the course
of the river, pollution, stagnation, loss of habitat and traditional knowledge,
damage to health, livelihood, subsistence and way of life. The losses described
amount to $105 million.
8.
The Plaintiffs seek $110 million for damages in
regard to the illegal expropriations, taking, occupation and trespass and
illegal revenues. The Plaintiffs further seek recovery totalling $70,257,250 for
compensation, injurious affection and other losses as a direct and immediate
result of the purported expropriations on Cornwall Island. Total compensation
sought is $315,257,250.
9.
Additional relief sought includes numerous
declarations in relation to land, certain acts and title.
[28]
The Amended Statement of Defence and Reply have
been filed. In the Defence, the Defendants, in addition to a series of details
of the allegations, raise the compensation paid to individuals on Cornwall
Island.
[29]
A critical piece of this case management process
is what is known as the Phasing Order granted by Justice Tremblay-Lamer on
February 13, 2007. The Phasing Order identified those issues arising from the
Claim that are suitable for earlier determination because they “are relatively straightforward when compared to the
complexity of the other proceedings taken as a whole”.
The
Court was satisfied that the creation of Phase 1 issues for determination would
“contribute to the just, expeditious and less expensive
determination of the proceedings on the merits and therefore is in the
interests of justice”. This Order was put in place over eight years ago.
[30]
The issue of aboriginal title was not to be
determined in Phase 1. The issues to be determined included:
•
the purported expropriation for the construction
of the hydroelectric project [Power Project] on the St. Lawrence River which
included the north shore of Cornwall Island expropriated for the tailrace of
the Power Project;
•
the purported expropriation related to the
construction of the Navigation Channel, which covered a number of islands
including Cornwall Island that was expropriated for the Seaway Project;
•
the purported expropriations related to the
construction of the International Bridge, which principally affected Cornwall
Island;
•
depending on the basis of liability,
determination of the applicable principles of compensation;
•
whether the Band as a collectivity and in
respect of all of their collective rights and interests in the relevant land,
received fair compensation for the purported expropriation in respect of “Reclamation and use of lands”; and,
•
whether the SLSA had due authorization to
deposit excavated materials including dredge spoils on lands on Cornwall Island
including Area M and if so, whether such authorization constituted a breach of
trust or breach of fiduciary duty by the Crown.
[31]
In respect of Area M, the Phasing Order
identified various issues including: obligations owed under the BCR by SLSA
and/or the Crown; potential breach thereof by rendering land unfit for agricultural
use; whether there was a loss of use of the lands by the Mohawks of Akwesasne; a
diminution in the value of those lands or costs of restoration; and,
remediation of Area M to a useable state, the quantum of compensation.
[32]
It is apparent that Cornwall Island and what
happened there in its many aspects is integral to the Claim, of which Area M is
an important part.
[33]
The Defendants’ motion for summary judgment
would attempt to carve out certain Area M issues from the Phasing Order.
III.
Analysis
[34]
The principal issue is whether Summary Judgment
is an appropriate procedure for the Area M issues raised by the Defendants.
Ancillary to this is whether reliance on the expert report of Jean-Pierre
Sawaya on the Treaty of Swegatchy (or Oswegatchie) and the affidavit of Brian
David is appropriate.
[35]
This Court and the Court of Appeal have
commented upon the principles of the Supreme Court’s decision in Hryniak v
Mauldin, 2014 SCC 7, [2014] 1 S.C.R. 87, in the context of the Federal
Courts Rules, SOR/98-106 [Rules], and how there is little change to
the substantive content of the Rules. The Supreme Court of Canada’s
decision reaffirmed the principles in our Rules, particularly Rule 3.
This
litigation has been case managed in accordance with these Rules and the
proposed remedy of active case management continues the application of those
principles.
[36]
Justice Stratas in Manitoba v Canada,
2015 FCA 57, 250 ACWS (3d) 240 [Manitoba], summarized the principles of
Federal Court summary judgment proceedings:
[11] In my view, Hryniak does
bear upon the summary judgment issues before us, but only in the sense of
reminding us of certain principles resident in our Rules. It does not
materially change the procedures or standards to be applied in summary judgment
motions brought in the Federal Court under Rule 215(1).
[12] Hryniak considered the
summary judgment rules in Ontario’s Rules of Civil Procedure. The
summary judgment rules in the Federal Courts Rules are worded
differently from those in Ontario.
[13] The Federal Courts Rules
are a federal regulation and have the status of laws that the Federal Courts
cannot change. Care must be taken not to import the pronouncements in Hryniak
uncritically, thereby improperly amending the Federal Courts Rules.
[14] The summary judgment rules in the Federal
Courts Rules were amended just six years ago to take into account the sorts
of considerations discussed in Hryniak and the challenges posed by
modern litigation: see SOR/2009-331, section 3. Foremost among these amendments
was the introduction of an elaborate and aggressive summary trial procedure in
Rule 216, available in accordance with the specific wording of the Federal
Courts Rules. I turn now to the specific wording of Rules 215 and 216.
[15] Under Rule 215(1) of the Federal
Courts Rules, where there is “no genuine issue for trial” the Court “shall”
grant summary judgment. The cases concerning “no genuine issue for trial” in
the Federal Courts system, informed as they are by the objectives of fairness,
expeditiousness and cost-effectiveness in Rule 3, are consistent with the
values and principles expressed in Hryniak. In the words of Burns Bog
Conservation Society v. Canada, 2014 FCA 170, there is “no genuine issue”
if there is “no legal basis” to the claim based on the law or the evidence
brought forward (at paragraphs 35-36). In the words of Hryniak, there is
“no genuine issue” if there is no legal basis to the claim or if the judge has
“the evidence required to fairly and justly adjudicate the dispute” (at
paragraph 66). Hryniak also speaks of using “new powers” to assist in
that determination (at paragraph 44). But under the text of the Federal
Courts Rules those powers come to bear only later in the analysis, in Rule
216.
[16] Where, as the Federal Court found
here, there is a genuine issue of fact or law for trial, then the Court “may”
(i.e., as a matter of discretion), among other things, conduct a summary trial
under Rule 216: Rule 215(3). As is evident from Rule 216, summary trials supply
the sort of intensive procedures for pre-trial determinations that the Court in
Hryniak (at paragraph 44) called “new powers” for the Ontario courts to
exercise.
[17] For all of the foregoing reasons,
like the Alberta Court of Appeal in Can v. Calgary (Police Service),
2014 ABCA 322, 560 A.R. 202, I conclude that Hryniak does not change the
substantive content of our procedures. However it does remind us of the
imperatives and principles that reside in our summary judgment and summary
trial rules – imperatives and principles that, by virtue of Rule 3, must guide
the interpretation and application of our Rules.
A.
Sawaya Report/Affidavit of Brian David
[37]
The Defendants’ objection to the inclusion of
the Sawaya Report is that it runs counter to the Phasing Order which provided
that issues of aboriginal title were not to be decided in Phase 1. They
argue that it is evidence, which is neither necessary nor determinative of the
central question on the motion – did the Band Council intend to conclude a
settlement on all disputes arising out of Area M by resolving to have the SLSA
resolve the issues with each Locatee?
[38]
The Defendants also object to the argument and
supposition of fact upon which the documents presented by David’s affidavit were
made – the documents themselves are not objected to. David purports to offer insights
into intentions, historical action and general argument on the documents
despite having no contemporary knowledge of those facts.
[39]
While there was some argument on the motion, it
was not extensive; however, for completeness, the objection will be addressed.
[40]
Regarding the Sawaya Report, firstly, this motion
can be disposed of without reference to treaty rights. Secondly, the existence
of the Treaty is a live issue in this case. The legal principles that govern
Indian interests in reserve lands are the same as govern aboriginal title (Guerin
v The Queen, [1984] 2 S.C.R. 335 at 379). Issues of fiduciary duty may be
created or coloured by treaty considerations and the Treaty is relevant to the
intentions of the parties, particularly the Band Council’s.
[41]
The David affidavit’s infirmities of hearsay and
the notion of expert/lay opinion can be dealt with by the Court in weighing the
credibility of the statements. The Court’s conclusion on this motion does not
turn on David’s narrative. The documents attached to the affidavit are relevant
even for the Defendants, who relied upon them.
[42]
Therefore, both the Report and the Affidavit
will not be struck.
B.
Summary Judgment
[43]
As confirmed in Wenzel Downhole Tools Ltd v
National-Oilwell Canada Ltd, 2010 FC 966, 373 FTR 306, and held in Society
of Composers, Authors and Music Publishers of Canada v Maple Leaf Sports &
Entertainments, 2010 FC 731, 191 ACWS (3d) 92, a motion for summary
judgment is to determine whether there is a “genuine
issue for trial”, and not to litigate the merits of the trial.
[44]
The Defendants’ principal grounds for the motion
are that the SLSA in 1969 settled the claims arising from the infill project at
Area M with each of the Locatees, and obtained releases confirming the final
resolution of these claims. The Defendants further argue that there is no
independent Band claim flowing from the infill project.
At
the core of the Defendants’ position is that the Locatees had all the rights,
by virtue of their COP, to any compensation and the Band had none.
[45]
With respect, I do not see the situation as
being so crystal clear that the Band does not have at the very least a “genuine issue for trial” in this regard. This matter
breaks down into the general legal proposition of the rights of COP holders
contrasted with those of the Band as well as the specifics of this case and its
provision for compensation.
[46]
The Defendants’ position is that COP holders
replace any interest a band may have in the land subject only to the right of
reversion in favour of the Band. They rely in particular on the Ontario Court
of Appeal’s decision in Tyendinaga Mohawk Council v Brant, 2014 ONCA 565,
121 OR (3d) 561 [Tyendinaga].
[47]
The Tyendinaga case involved the question
of whether a band member’s COP could be seized by the band for payment of debts.
That court refers to an argument made about the rights of a COP holder
vis-à-vis the band:
[49] Miracle then relies on commentary
of the application judge in the case of Seguin v. Pelletier (2001), 25
C.B.R. (4th) 90, and suggests that while individual possession of reserve land
is not equivalent to ownership in fee simple to land off reserve, it is the
closest possible comparison. In Seguin, at para. 22, the application
judge uses a quote from Jack Woodward’s Native Law text, which is still
in the present version of his looseleaf: Native Law, looseleaf (Toronto:
Carswell, 2014), at p. 278:
Individual possession of reserve land
is a unique form of land tenure not equivalent to any other type of land
ownership under Canadian law. It is not precisely the same as fee simple
ownership off reserve and it is entirely different from the Band's interest in
the unallocated land of a reserve ... An individual Indian has no right
of possession over the unallocated lands of the reserve, but when an individual
Indian is in possession of reserve lands under Section 20 of the Indian Act,
the rest of the band members lose their collective right to occupy that portion
of the reserve. The individual may then occupy and develop lands in
their possession without interference by the Band Council or the other Band
members. [Emphasis added.]
[48]
The Defendants also refer to Joe v Findlay,
[1981] BCJ No 366, 122 DLR (3d) 377, (BCCA), regarding the possessory right of
a COP holder:
[8] This right of the entire band in
common may be exercised for the use and benefit of an individual member of the
band by the band council, with the approval of the minister, allotting to such
individual member the right to possession of a given parcel of reserve lands:
see the Indian Act, s. 20.
[9] The subsequent provisions of the
statute relating to improvements on reserve lands and transfer of possession of
reserve lands are consistent only with this right of use and benefit being
exercised by the individual band member through an allotment to that individual
band member of reserve land on the part of the band council with the approval
of the minister. I emphasize that we are considering merely the right to
possession or occupation of a particular part of the reserve lands, which right
is given by statute to the entire band in common, but which can, with the
consent of the Crown, be allotted in part as aforesaid to individual members,
thus vesting in the individual member all the incidents of ownership in the
allotted part with the exception of legal title to the land itself, which
remains with the Crown: Brick Cartage Ltd. v. R., [1965] 1 Ex. C.R. 102.
In the absence of such allotment by the band council, there is no statutory
provision enabling the individual band member alone to exercise through possession
the right of use and benefit which is held in common for all band members.
[49]
In Tyendinaga, the Ontario Court of Appeal
made no finding as to individual rights and band rights. It recognized that
native title is communal and sui generis/different from normal property
interests.
[50]
In Joe v Findlay, above, the issue was
the right of an individual to sue for trespass. Similar to common law property
cases, where a tenant in possession may sue for trespass, so too can a band
member. However, the court accepted that a band had sufficient legal interests
to claim for trespass in allotted land (see paragraph 38).
[51]
Neither of these cases state specifically that a
band has no legal interest which is compensable when that land is held by an
individual under a COP.
The
Plaintiffs’ principal position is that the Band had a compensable interest in
addition to the compensable interest of the individual COP holders. The
Plaintiffs are asserting collective rights which have not been compensated.
[52]
The Defendants’ other authorities all relate to
private disputes on land with a COP holder. These cases do not consider the
interaction between provisions of the Indian Act and other legal sources
of collective interests in reserve lands, including such sources as treaties.
[53]
While the other cases relied on dealing with
interference with possession by individuals, this case deals with collective
rights of a band and the relationship with the Crown.
[54]
Aside from the distinctions already drawn
between the Defendants’ authorities and the nature of this Claim, there is no
final pronouncement by the Supreme Court or the Federal Court of Appeal on the
validity of the position that the Band has compensable collective rights in
addition to the rights of the COP holders.
[55]
The decision in Behn v Moulton Contracting
Ltd, 2013 SCC 26 at paras 33-35, [2013] 2 S.C.R. 227, shows that this matter
of aboriginal collective and individual rights is a live issue.
[33] The Crown argues that claims in
relation to treaty rights must be brought by, or on behalf of, the Aboriginal
community. This general proposition is too narrow. It is true that Aboriginal
and treaty rights are collective in nature: see R. v. Sparrow, [1990] 1
S.C.R. 1075, at p. 1112; Delgamuukw, at para. 115; R. v. Sundown,
[1999] 1 S.C.R. 393, at para. 36; R. v. Marshall, [1999] 3 S.C.R. 533,
at paras. 17 and 37; R. v. Sappier, 2006 SCC 54, [2006] 2 S.C.R. 686, at
para. 31; Beckman, at para. 35. However, certain rights, despite
being held by the Aboriginal community, are nonetheless exercised by individual
members or assigned to them. These rights may therefore have both collective
and individual aspects. Individual members of a community may have a vested
interest in the protection of these rights. It may well be that, in appropriate
circumstances, individual members can assert certain Aboriginal or treaty
rights, as some of the interveners have proposed.
[34] Some interesting suggestions have
been made in respect of the classification of Aboriginal and treaty rights.
For example, the interveners Grand Council of the Crees and Cree Regional
Authority propose in their factum, at para. 14, that a distinction be made
between three types of Aboriginal and treaty rights: (a) rights that are
exclusively collective; (b) rights that are mixed; and (c) rights that are
predominantly individual. These interveners also attempt to classify a variety
of rights on the basis of these three categories.
[35] These suggestions bear witness to
the diversity of Aboriginal and treaty rights. But I would not, on the occasion
of this appeal and at this stage of the development of the law, try to develop
broad categories for these rights and to slot each right in the appropriate
one. It will suffice to acknowledge that, despite the critical importance
of the collective aspect of Aboriginal and treaty rights, rights may sometimes
be assigned to or exercised by individual members of Aboriginal communities,
and entitlements may sometimes be created in their favour. In a broad sense,
it could be said that these rights might belong to them or that they have an
individual aspect regardless of their collective nature. Nothing more need
be said at this time.
[Emphasis added]
[56]
Before any determination of the collective
versus individual rights can be resolved, a court must determine what happened
and what was intended when the Locatees’ claims were settled. This requires a
consideration of all the facts and their context.
[57]
Whether there was a final settlement with the
Band is a significant issue for trial. It is arguable that the BCR of May 29,
1967, and Chief Mitchell’s letter of the next day recognized the two groups of
payees – the individual Band members, and the Band.
[58]
A determination of whether there are collective
rights and individual rights in reserve lands also impacts other Band members
beyond the Area M claimants and it may impact various aspects of the
multi-faceted claims. A decision on Area M collective/individual rights has the
potential for dealing with critical issues in the Claim and relates to other
Band members on a piecemeal basis.
[59]
In Carew v Goose, 2005 BCSC 949 at para
84, 141 ACWS (3d) 399, the Court expressed concern for the potential
embarrassment if decisions made would change when all the evidence is in. A
court can be placed in a difficult position where it decides or comments upon
matters in the context of one part of a claim, which may not be as pertinent or
correct when the issues are seen on a wider canvass of facts.
[60]
There are strong facts on each side. There is a
live issue of fact and law between the parties. In my view, the Plaintiffs have
shown that there are genuine issues for trial including the scope of any
collective rights, the intention of the agreements and BCRs, and the settlement
of the underlying breach between Band Council, the SLSA and the Crown related
to Area M.
[61]
As Justice Stratas pointed out in Manitoba,
where the Court has found that there is a genuine issue for trial, the Court
has a discretion to conduct a summary trial.
[62]
In my view, at this stage of the litigation, a
summary trial should not proceed. Pursuant to Rule 216(3), on the record, I
cannot find the facts necessary to decide the case. Even if I could, the Court
must be concerned with the impact of a piecemeal or issue by issue
determination of a much broader dispute.
[63]
The better approach in this case is to have the
parties engage in active case management in which deadlines are set, and met,
and the litigation proceed expeditiously. Litigation, unlike wine, does not
improve with age and this dispute is becoming overly aged.
The
matter of bifurcating certain events and issues can be assessed at a later
date.
IV.
Conclusion
[64]
For all these reasons, the motion for summary
judgment will be dismissed. This is, however, not a case where one wonders if
the time spent on motions would have been better spent on moving the litigation
along. This motion has had the effect of clarifying or beginning to clarify the
key issues in this multi-faceted claim. Therefore, the costs of this motion
will be in the cause.