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T-2618-85
Chief Bernard Ominayak, Chief of the Lubicon Lake Band of Little Buffalo Lake, Alberta, suing personally and on behalf of the members of the Lubicon Lake Indian Band and The Lubicon Lake Band, a body of Indians recognized under the Indian Act, of Lubicon Lake and Little Buffalo Lake, Alberta (Plaintiffs)
v.
The Honourable William McKnight, Minister of Indian Affairs and Northern Development and The Queen in right of Canada (Defendants)
INDEXED AS: OMINAYAK V. CANADA (MINISTER OF INDIAN AFFAIRS AND NORTHERN DEVELOPMENT)
Trial Division, Strayer J.—Ottawa, March 3 and 24, 1987.
Judicial review — Prerogative writs — Mandamus — Motion to strike statement of claim seeking declaration and mandamus to compel defendants to fund plaintiffs' legal proceedings — Motion allowed concerning mandamus only — Mandamus not issuing against Her Majesty eo nomine — Mandamus lies against officer of government if by law automatically obliged to perform specific function upon occur rence of certain specific events, thereby creating duty owed to identifiable person and no discretion in respect thereof — Statement of claim not disclosing such duty — Statement of claim referring to general responsibilities under departmental Act and obligation of Crown under federal law including statutory and common law — Pleading alleging sufficient funds under Minister's control to assist plaintiffs but not alleging statutory obligation re: funds — Funding provisions in Appropriation Act and Estimates discretionary.
Practice — Pleadings — Motion to strike — Application to strike statement of claim for not disclosing reasonable cause of action — Statement of claim seeking declaration defendants legally obliged to fund plaintiffs' legal proceedings and man- damus against Minister and Her Majesty to pay amount — Application dismissed, except prayer for mandamus struck — Dismissal of prior motion for mandamus on ground that such matter properly subject of statement of claim, and grant of right for leave to apply to abridge times for exchanging pleadings not precluding Court from deciding statement dis closing no reasonable cause of action — Mandamus not issu ing against Her Majesty eo nomine — Statement of claim not disclosing specific duty of Minister to fund litigation in present circumstances — Mandamus not issuing against Minister — Remaining issues doubtful, but complex — Not so
plain and obvious that action for declaration cannot succeed that it should be struck out — Federal Court Rules, C.R.C., c. 663, R. 419(1)(a).
Native peoples — Motion to strike statement of claim seeking declaration defendants obliged to fund plaintiffs' legal proceedings and mandamus to compel performance of duty — Various court actions to secure plaintiffs' rights in certain lands — Prayer for mandamus relief only struck — Indian Act, R.S.C. 1970, c. I-6.
Crown — Practice — Mandamus not available against Crown eo nomine: Reg. v. Lords Commissioners of the Trea sury (1872), 7 Q.B. 387.
This is an application to strike out the statement of claim on the ground that it does not disclose a reasonable cause of action. The statement of claim seeks a declaration that the defendants are legally obliged to fund the plaintiffs' legal proceedings, and mandamus against both the Minister and Her Majesty to pay this amount. The plaintiffs have been involved in legal proceedings in various courts to secure their rights in certain lands. They have incurred liabilities of over $1,400,000 and anticipate that a further $2,000,000 will be required.
Held, the application should be dismissed apart from striking the prayer for mandamus relief.
Rouleau J. dismissed a motion for mandamus to require the Minister to fund legal proceedings on the ground that such a matter should be tried by way of a statement of claim. How ever, he granted the right for leave to apply to abridge the times under the Rules for exchanging pleadings. Those direc tions do not preclude a further decision of the Court that that statement discloses no reasonable cause of action. This is additionally obvious because the plaintiffs, notwithstanding the dismissal of their motion for mandamus proceeded to seek mandamus in their statement of claim.
Mandamus cannot issue against Her Majesty eo nomine: Reg. v. Lords Commissioners of the Treasury (1872), 7 Q.B. 387. Therefore mandamus will not lie against Her Majesty the Queen in right of Canada. Mandamus can lie against an officer of the government if by law he is automatically obliged to perform a specific function upon the occurrence of certain specific events, such obligation giving rise to a duty which he thereby owes to some identifiable person and in respect of which he has no discretion to exercise for which he is answer able instead to the Crown or to Parliament. The statement of claim does not disclose such a specific duty. As for a statutory duty, the statement of claim only mentions the general respon sibilities which the Minister has under his departmental Act, and the obligation of the Queen under "federal law, including statutory and common law" in respect of a fiduciary duty she owes to the plaintiffs. Neither the Appropriation Act nor the
Estimates for the current fiscal year spell out a clear obligation of the Minister to fund litigation upon the occurrence of such events as have transpired here. Such funding provisions are clearly discretionary.
The rest of the statement of claim should not be struck out. The Court should not strike out any claim except "in plain and obvious cases": Attorney General of Canada v. Inuit Tapirisat of Canada et al., [1980] 2 S.C.R. 735. It is not so plain and obvious that the plaintiffs cannot succeed with respect to their action for a declaration that it should now be struck out. Their claim may be doubtful. Claims under the Charter and the Canadian Bill of Rights may well depend on their ability to establish that the fiduciary duty of the defendants extends to funding. Whether a general obligation of the Crown as fiduci ary to provide funding for Court actions whenever requested can be extrapolated from that principle is a complex question that remains unanswered.
CASES JUDICIALLY CONSIDERED
APPLIED:
Attorney General of Canada v. Inuit Tapirisat of Canada et al., [1980] 2 S.C.R. 735; Creaghan Estate v. The Queen, [1972] F.C. 732 (T.D.); Ominayak v. Canada (Minister of Indian Affairs and Northern Development), order dated December 12, 1985, Federal Court, Trial Division, T-2618-85, not yet reported.
CONSIDERED:
Guerin et al. v. The Queen et al., [1984] 2 S.C.R. 335; Kruger v. The Queen, [1986] 1 F.C. 3; (1985), 58 N.R. 241 (C.A.); Lubicon Lake Band (The) v. R., [1981] 2 F.C. 317 (T.D.); confd. 13 D.L.R. (4th) 159 (F.C.A.); Ominayak v. Norcen Energy Resources Ltd. (1983), 29 Alta. L.R. (2d) 151 (Q.B.); affd [1985] 3 W.W.R. 193; [1985] 1 S.C.R. xi; (1985), 58 N.R. 122.
REFERRED TO:
Operation Dismantle Inc. et al. v. The Queen et al., [1985] 1 S.C.R. 441; Minister of Finance of British Columbia v. The King, [1935] S.C.R. 278; [1935] 3 D.L.R. 316; Grand Council of the Crees (of Quebec) v. R., [1982] 1 F.C. 599; (1981), 124 D.L.R. (3d) 574 (C.A.); Reg. v. Lords Commissioners of the Treasury (1872), 7 Q.B. 387.
COUNSEL:
James A. O'Reilly and Mark G. Peacock for plaintiffs.
I. G. Whitehall, Q.C. for defendants.
SOLICITORS:
Byers, Casgrain, Montréal, for plaintiffs.
Deputy Attorney General of Canada for defendants.
The following are the reasons for order ren dered in English by
STRAYER J.: This is an application to strike out the statement of claim, amended as of November 27, 1986 in the above action on the ground that it does not disclose a reasonable cause of action.
By way of background to the present action, it should be noted that in April, 1980 the plaintiffs and others instituted legal proceedings in this Court against the Crown in right of Canada, the Crown in right of Alberta, and a number of oil companies for declarations that the plaintiffs had certain aboriginal rights in respect of a large area of Northern Alberta, including the mineral rights in such land, a declaration that any alienation of rights to hydro-carbons under such lands by the Crown in right of Alberta be declared unconstitu tional and void, a declaration that Treaty No. 8 of 1899 did not effect the surrender of rights of the plaintiffs, an order requiring the defendants in that action to pay to the plaintiffs royalties on revenues from all hydro-carbons extracted during a certain period, plus all the revenues from any leases, etc. of these hydro-carbons, and in the alternative that those defendants pay compensation to the plain tiffs of one billion dollars; declarations that the Crown in right of Canada and the Crown in right of Alberta are in breach of their constitutional and statutory duties and are ordered to take the neces sary steps to enable the Crown in right of Canada to fulfill its obligations.
That action was commenced in this Court, which on November 19, 1980 [Lubicon Lake Band (The) v. R., [1981] 2 F.C. 317] (confirmed on appeal May 5, 1981 [13 D.L.R. (4th) 159]) dis missed the action against all defendants except
Her Majesty in right of Canada on the grounds that this Court lacked jurisdiction against any of the other defendants. What remained of that action in this Court is still pending.
In February, 1982 the present plaintiffs and others commenced action in the Court of Queen's Bench of Alberta against Her Majesty the Queen in right of Alberta and against a number of oil companies to assert their alleged aboriginal or treaty rights in respect to the same matters. They sought, and were refused, an interim injunction in the Alberta Court of Queen's Bench (Ominayak v.
Norcen Energy Resources Ltd. (1983), 29 Alta. L.R. (2d) 151, and this decision was upheld by the Alberta Court of Appeal ([1985] 3 W.W.R. 193), with leave to appeal being refused by the Supreme Court of Canada ([1985] 1 S.C.R. xi; (1985), 58 N.R. 122).
In November 1985, the present plaintiffs applied in this Court for a writ of mandamus to require the then Minister of Indian Affairs, the Honourable David Crombie,
... to provide Applicants by way of a grant, advance or loan forthwith a total amount of $2,250,000 to be used by Appli cants for the discharge of its debts incurred in connection with the court proceedings and for the future ...
That is, they sought funding to support their other proceedings in both this Court and the Alberta Court of Queen's Bench. On December 12, 1985 Rouleau J. of this Court dismissed that motion [Ominayak v. Canada (Minister of Indian Affairs and Northern Development), T-2618-85, not yet reported], essentially on the ground that man- damus was not an appropriate remedy and that such a matter should be tried by way of a state ment of claim. The plaintiffs then filed a statement of claim in this Court on April 15, 1986 seeking both a declaration and mandamus to the effect that the defendants are obliged to provide "by way of a grant, advance or loan" the amount of $2,250,000 and that the defendant the Honourable David Crombie should be ordered to so provide that amount. It will be noted that in that proceed ing, unlike the application for mandamus, Her Majesty the Queen in right of Canada was added as a defendant. This statement of claim was exten sively amended on November 27, 1986 and it is the
statement so amended which is in question before me. The relief sought continues to be a declaration that the defendants have the legal obligation to provide the plaintiffs "by way of a grant, advance or loan" funds to enable the plaintiffs to carry on their various legal proceedings, and mandamus against both the present Minister, the Honourable William McKnight, and her Majesty, to pay this amount. The amount sought has now grown from $2,250,000 to $3,400,000. Paragraph 26 of the statement of claim, which for present purposes I must assume to be true, states that the plaintiffs have so far incurred unpaid liabilities in these various proceedings in excess of $1,400,000 and anticipate that a further $2,000,000 will be required for them to carry on their actions.
Whereas the plaintiffs in the present action consist only of the chief and members of the Lubicon Lake Band and the Band itself which is stated to be "a body of Indians under the Indian Act", the original action in this Court, T-2048-80, was brought not only on behalf of the Band but also on behalf of "all the members . .. of the Cree Community of Little Buffalo Lake" and the state ment of claim in that case indicates that approxi mately one-half of the individual plaintiffs therein are persons not registered under the Indian Act [R.S.C. 1970, c. E-6] but are of Cree ancestry. The action in the Court of Queen's Bench of Alberta is brought, inter alia, on behalf of
all the 150 members of the Lubicon Lake Band and 100 other native members of the Cree community of Little Buffalo Lake
as well as on behalf of certain individual claim ants. What significance the variations in the plain tiffs from case to case may have is for future consideration but it should be noted that the right to funding from the federal treasury for the pros ecution of the other two cases is being asserted in the present case only on behalf of certain of the plaintiffs in those other two cases.
It may also be noted that the claims submitted on behalf of the plaintiffs in the other actions are
somewhat varied, such as that their ancestors were not parties to Treaty No. 8 and thus their aborigi nal rights were not extinguished, or in the alterna tive that if they were parties they have yet to receive the lands that were to be reserved for them pursuant to that treaty.
Before dealing with the substance of the motion, I should deal with a point which was raised by counsel for the plaintiffs-respondents to the effect that Rouleau J. in the mandamus application had already dealt with the question of whether the plaintiffs have a reasonable cause of action and had recognized that they have such a cause. This argument was based on statements in the order of the learned Motions Judge in which he
granted the right to make application to this Judge with respect to abridging times provided for under the Rules for the exchange of pleadings and the conducting of examinations for discovery or cross-examination of affidavits.
Rouleau J. also in his order granted leave to the parties to submit a unilateral application for a special trial date.
I do not interpret those directions as precluding a further decision by this Court, after a statement of claim has been filed, to the effect that that statement discloses no reasonable cause of action. It is not necessary for me to consider the founda tion or scope of the leave given, upon dismissal of a motion for mandamus, to amend the proceedings into a statement of claim. But I think it is clear that it does not preclude the statement of claim being attacked, once its full dimensions are seen, on the ground that it discloses no cause of action. This is additionally obvious because the plaintiffs, notwithstanding the dismissal of their motion for mandamus on the ground that it was an inappro priate remedy, proceeded to seek mandamus as one of the forms of relief in their statement of claim.
The principles applicable to a motion under paragraph 419(1)(a) of the Rules [Federal Court Rules, C.R.C., c. 663], to strike out an action on the grounds that it discloses no reasonable cause of action, are well known. In Attorney General of Canada v. Inuit Tapirisat of Canada et al., [1980] 2 S.C.R. 735 the Supreme Court confirmed that
all the facts pleaded in the statement of claim must be deemed to have been proven and the Court should not dismiss the action or strike out any claim except "in plain and obvious cases" and where "the case is beyond doubt". As stated by Pratte J. in Creaghan Estate v. The Queen, [ 1972] F.C. 732 (T.D.), at page 736 the reference in the Rules of this Court to there being "no reasonable cause of action" means that the Court is not expected to decide whether the suit is truly found ed in law but simply whether the plaintiff has an "arguable case". See also Operation Dismantle Inc. et al. v. The Queen et al., [1985] 1 S.C.R. 441, at pages 450 and 487.
With respect to the claim for relief for man- damus, I am satisfied, for reasons similar to those of Rouleau J., that such a claim cannot succeed on the basis of these pleadings and should be struck out. It is of course well established law that man- damus cannot be issued against Her Majesty eo nomine: see e.g., Reg. v. Lords Commissioners of the Treasury (1872), 7 Q.B. 387, at page 394. Therefore mandamus will not lie against Her Majesty the Queen in right of Canada. It is equal ly clear that mandamus can lie against an officer of the government if by law he is automatically obliged to perform a specific function upon the occurrence of certain specific events, such obliga tion giving rise to a duty which he thereby owes to some identifiable person and in respect of which he has no discretion to exercise for which he is answerable instead to the Crown or to Parliament: see, e.g., Minister of Finance of British Columbia v. The King, [1935] S.C.R. 278; [1935] 3 D.L.R. 316; Grand Council of the Crees (of Quebec) v. R., [1982] 1 F.C. 599; (1981), 124 D.L.R. (3d) 574 (C.A.). The statement of claim here discloses no such specific duty owed to the plaintiffs. As for a statutory duty, the statement of claim only men tions the general responsibilities which the defend ant Minister has under his departmental Act, and the obligation of the defendant Her Majesty the Queen in right of Canada under "federal law, including statutory and common law" in respect of a fiduciary duty she owes to the plaintiffs. In paragraph 25 the statement of claim alleges that the defendant Minister has under his authority and control sufficient funds appropriated by Par liament to assist the plaintiffs financially in the
conduct of their legal proceedings. It is not even suggested that the Minister has a statutory obliga tion to deliver particular amounts of money to particular Indians or groups of Indians whenever they choose to commence litigation. It was brought to my attention by both counsel that in the Appro priation Act No. 2, 1986-87 [S.C. '1986, c. 28], Item L-55 of the Schedule is described as follows:
Loans to native claimants in accordance with terms and condi tions approved by the Governor in Council for the purpose of defraying costs related to research, development and negotia
tion of claims $14,303,000
Also in the Main Estimates for 1986-87 there was an item of $300,000 for "contributions to individu als, Indian Bands and associations for the funding of Indian test cases". I was further advised by counsel that the plaintiffs had in fact received funding for negotiations of their claim. Neither the Appropriation Act nor the Estimates for the cur rent fiscal year spell out a clear obligation of the defendant Minister to pay $3.4 million, or indeed any other sum, to the plaintiffs for funding litiga tion, upon the occurrence of such events as have transpired here. Such provisions as there are for funding are clearly discretionary, except that terms and conditions may be fixed by the Gover nor in Council for loans for research and negotia tion. The statement of claim does not even allege that the plaintiffs have complied with any such terms. I can therefore see no basis in the pleadings for the claim for mandamus in the prayer for relief and I strike it out.
I am not going to strike out the remainder of the statement of claim, however. I emphasize that it is not my function to decide as a matter of law whether the plaintiffs can make out their claim. If it is "plain and obvious" (to use the language approved by the Supreme Court of Canada) that they cannot succeed then I should strike out their statement of claim. But if it is possible that a trial judge might decide in favour of the plaintiffs then I should not strike it out. I am unable to say that it
is so plain and obvious that the plaintiffs cannot succeed with respect to their action for a declara tion that it should now be struck out. It is not impossible that a declaration in some form might be given. I would certainly admit to serious doubts about their claim. Essentially, they assert that the defendants have a fiduciary duty to advance them money for any litigation they choose to bring in protection of aboriginal or treaty rights. They also allege violation of Charter [Canadian Charter of Rights and Freedoms, being Part I of the Consti tution Act, 1982, Schedule B, Canada Act 1982, 1982, c. 11 (U.K.)] rights under sections 7 and 15 on the basis that they are denied access to the courts because of their poverty. For the same reason they invoke paragraph 1(a) of the Canadi- an Bill of Rights [R.S.C. 1970, Appendix III], alleging a denial of due process with respect to a deprivation of their property. It appears to me that the Charter and Canadian Bill of Rights claims may well be dependent on their ability to establish that the fiduciary duty of the defendants extends to funding their litigation. If it does not, then it seems to me that they stand in the same position as any other aspiring plaintiffs in our society who want public funding for litigation they may wish to bring in defence of alleged property rights.
With respect to the fiduciary duty itself, the plaintiffs rely heavily on the decision of the Supreme Court of Canada in Guerin et al. v. The Queen et al., [1984] 2 S.C.R. 335, and, to a•lesser: extent, the decision in Kruger v. The Queen, [1986] 1 F.C. 3; (1985), 58 N.R. - 241 (C.A.). It will be noted that these cases principally dealt with the obligation of the Crown to deal with Indian reserve land, surrendered to it or taken by expro priation, in the best interests of the Indians. Whether one can extrapolate from that principle a general obligation of the Crown as fiduciary or, to put it at its broadest, as trustee of the aboriginal title in lands whose fee simple is now owned by a province or by private parties, to provide funding whenever requested by the beneficiary for the
latter to bring actions for the protection of the trust res, remains to be seen. If such an obligation in law is found, it could then also arguably sustain the claim by the plaintiffs based on section 35 of the Constitution Act, 1982 [Schedule B, Canada Act 1982, 1982, c. 11 (U.K.)] which guarantees existing aboriginal rights.
Given the complexity of these questions it is not possible for me to say that it is "plain and obvious" that the plaintiffs have no reasonable cause of action. I will therefore dismiss the application apart from striking out the prayer for mandamus relief. Costs will be in the cause.
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