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Samson Cree Nation v. Canada (Minister of Indian Affairs and Northern Development)

T-430-01

2002 FCT 1299, Hugessen J.

11/12/02

7 pp.

Representative for plaintiffs asked Court to make order for costs--Action started as representative action, but with coming into force of amendments to Federal Court Rules, 1998, action now treated as class action--Issue at stake regarding effect of purported settlement agreement entered into between Andrew Mark Buffalo and Band in 1995-- Others claimants in same position as Mr. Buffalo have apparently also entered into same or similar settlement agreements--Agreement entered into by Mr. Buffalo releases Band from all claims in respect of per capita distributions, waives right to claim per capita distributions from Band, agrees to indemnify and hold Band harmless--Clear agreement cannot defeat plaintiff's claim regarding funds held by Crown--First, agreement waives plaintiff's rights against Band but actual claim against Crown not Band--Second, Band did not have control of own membership--Third, Band under fiduciary obligation to deal with members fairly--Band must deal equally, fairly and in accordance with normal fiduciary principles with members--Band must show no violation of fiduciary obligation in entering agreement--Band has not made any such showing--Accordingly, Court concluded agreement cannot defeat plaintiff's claim regarding per capita distributions--In order to make order for costs, Court must find conduct of either Band or Crown as frivolous or vexatious or of nature to obstruct normal course of justice--In present case, Court could not make such finding-- Therefore, Court declined to make order for costs.

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