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Lax Kw'alaams Sues Ottawa to Void 2002 Land Deal, Citing Massive Underpayment

The band cites an eightfold gap with a 2023 Metlakatla settlement over the same railway lands to argue the 2002 deal undervalued its claim.

Overview

  • A Federal Court lawsuit filed this month says Lax Kw'alaams accepted a $17.75 million settlement in 2002 for lands later tied to a $150 million Metlakatla settlement in 2023.
  • The claim alleges Ottawa knew the band used an incorrect valuation of roughly $18.50 per hectare when the lands were worth more than $76.50 per hectare.
  • Lax Kw'alaams seeks to set aside the 2002 agreement, pursuing damages for misrepresentation and $150 million in equitable compensation.
  • The filing traces the dispute to an 1888 division of reserve lands and a 1907 sale to the Grand Trunk Pacific Railway that allegedly occurred unlawfully.
  • The lawsuit argues unequal bargaining power and notes reconciliation mechanisms were nascent in 2002; the Attorney General of Canada has not yet filed a response.