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T-1858-84
Pacific Fishermen's Defence Alliance, Prince Rupert Fishermen's Co-operative Association, Co-op Fishermen's Guild, Pacific Trollers Asso ciation, Pacific Gillnetters Association, Pacific Coast Fishing Vessel Owners' Guild, Northern Trollers Association, Gulf Trollers Association, Fishing Vessel Owners' Association of British Columbia and Deep Sea Trawlers Association of B.C. and B.C. Wildlife Federation (Plaintiffs)
v.
The Queen in right of Canada, Minister of Indian Affairs and Northern Development and Fred Wal- chli (Interim Federal Negotiator, Nishga Land Claim) (Defendants)
and
Nisga'a Tribal Council (Intervenor)
INDEXED AS: PACIFIC FISHERMEN'S DEFENCE ALLIANCE V. CANADA
Trial Division, Dubé J.—Vancouver, February 4 and 12, 1987.
Native peoples — Aboriginal rights — Fishing rights — Negotiations — Interlocutory injunction denied — Plaintiffs having no right to intervene in negotiations between Crown and Indians — No serious issue to be tried — Fisheries and aboriginal rights within exclusive jurisdiction of Parliament — No duty of fairness to third parties — National government speaking for all interested parties — Consultations sufficient — Granting injunction would prejudice negotiations — Canadian Charter of Rights and Freedoms, being Part I of the Constitution Act, 1982, Schedule B, Canada Act 1982, 1982, c. 11 (U.K.), ss. 7, 25 — Constitution Act, 1867, 30 & 31 Vict., c. 3 (U.K.) (R.S.C. 1970, Appendix II, No. 51 (as am. by Canada Act 1982, 1982, c. 11 (U.K.), Schedule to the Constitution Act, 1982, Item 1), ss. 91(12), 92 — Constitution Act, 1982, Schedule B, Canada Act 1982, 1982, c. 11 (U.K.), s. 35(1),(3) (as added by Constitution Amendment Proclamation, SI/84-102) — Fisheries Act, R.S.C. 1970, c. F-14.
Fisheries — Associations of commercial fishermen seeking injunction to restrain conclusion of land claims agreement between tribal council and federal Crown — Whether Crown having power to abrogate right of access to sea fishery Whether transfer to Indians of federal right to manage fisher ies ultra vires — Aboriginal rights including fisheries — Public right to fish may be regulated on tidal waters by federal government — Plaintiffs cannot oppose settlement of aboriginal rights enshrined in Constitution — Minister authorized to issue and cancel fishing licences — No irrepa-
rable harm since reallocation of fishery to Indians to be by purchase of licences at fair market value.
Practice — Parties — Intervention — Associations of commercial fishermen having no right to intervene in negotia tions between Crown and Indians on aboriginal fishing rights — No serious issue to be tried — No irreparable harm — Balance of convenience against granting interlocutory injunc tion — Federal Court Rules, C.R.C., c. 663, R. 469.
The Crown in right of Canada and the Nisga'a Indians of British Columbia were in the process of negotiating native land claims. The negotiator indicated that he was proposing to grant a portion of the tidal fisheries to the Nisga'a as part of the settlement.
All but one of the plaintiffs are associations of licensed commercial fishermen operating on the tidal fisheries of British Columbia. To protect their interests before it is too late to do so, they seek an interlocutory injunction under Rule 469 to restrain the defendants from concluding an agreement with the Nisga'a until trial or further notice.
The plaintiffs allege that they have a right of access to the sea fishery which cannot be restricted by the Crown, that the rights to the sea fishery are vested in the Crown in right of British Columbia, that the federal Crown cannot abandon its sovereign legislative power over fisheries to the Nisga'a or that granting exclusive fishery rights to the Nisga'a would deprive the plaintiffs of liberty protected by section 7 of the Charter. They say that an agreement before trial would deprive them of their remedy but that an injunction would cause no prejudice to the defendants.
The Crown replies that fisheries are within the exclusive jurisdiction of the federal Parliament, that the plaintiffs' tem porary right to specific fisheries is subject to federal manage ment and control and that fisheries are included in the aborigi nal rights recognized and affirmed in the Constitution and which the federal government has the duty to negotiate with Indians in an attempt to settle them. The Crown points out that the plaintiffs' contention is a novel one and argues that it would be disruptive if the Crown were obliged to bring in as parties to the negotiations outside groups with private interests. Informa tion and consultation should be enough. Furthermore, the negotiator has no authority to finalize any agreement. It was further argued that, the negotiator not being a board or presid ing officer at a hearing, the plaintiffs have no right in law to a fair hearing at a negotiating procedure between two other parties. The Crown finally argues that stopping the negotia tions would cause irreparable harm.
Held, the application is dismissed.
Aboriginal rights include fisheries and both are within the exclusive jurisdiction of Parliament.
Since these negotiations have been in progress for ten years, the status quo requires that they continue. There is also no
assurance that if the plaintiffs are granted the injunction but are unsuccessful at trial, they could reimburse for the harm to the negotiations caused by the delay. Other negotiations with tribes would be disturbed by the spectre of an injunction hanging over all of them.
The arbitrator is not a tribunal and the negotiations are not a hearing, so no duty is owed to parties outside the negotiations. Consultation is not participation. Furthermore, only the nation al government can speak for all interested third parties.
In view of the affidavit evidence that any change in alloca tion of fisheries would be accomplished by the purchase of licences at fair market value, the situation was not one involv ing irreparable harm.
The plaintiffs had failed to establish that there is a serious issue to be tried or irreparable harm and the balance of convenience favours the defendants.
CASES JUDICIALLY CONSIDERED
APPLIED:
Kruger et al. v. The Queen, [1978] 1 S.C.R. 104; Spar row v. R. (1986), 9 B.C.L.R. (2d) 300 (C.A.); Attorney- General for the Dominion of Canada v. Attorneys-Gen eral for the Provinces of Ontario, Quebec, and Nova Scotia, [1898] A.C. 700 (P.C.); Attorney General of Canada v. Fishing Vessel Owners' Association of B.C., [1985] 1 F.C. 791 (C.A.); American Cyanamid Co. v. Ethicon Ltd., [1975] A.C. 396 (H.L.).
DISTINGUISHED:
Canadian Tobacco Manufacturers' Council v. National Farm Products Marketing Council, [1986] 2 F.C. 247; (1986), 65 N.R. 392 (C.A.); MacMillan Bloedel Ltd. v. Mullin; Martin v. R. in Right of B.C., [1985] 3 W.W.R. 577 (B.C.C.A.).
REFERRED TO:
Attorney-General for British Columbia v. Attorney- General for Canada, [ 1914] A.C. 153 (P.C.); Gulf Troll - ers Assn. v. Canada (Minister of Fisheries and Oceans), [1987] 2 F.C. 93 (C.A.).
COUNSEL:
C. Harvey for plaintiffs.
G. O. Eggertson for defendants.
J. R. Aldridge for intervenor.
SOLICITORS:
Russell & DuMoulin, Vancouver, for plain tiffs.
Deputy Attorney General of Canada for defendants.
Rosenbloom & Aldridge, Vancouver, for intervenor.
The following are the reasons for order ren dered in English by
Dust J.: This application is for an order pursu ant to Rule 469 [Federal Court Rules, C.R.C., c. 663] that the defendants be restrained from con cluding, initialling or announcing a land claims agreement with the Nisga'a Tribal Council until trial or further notice.
Apart from the B.C. Wildlife Federation, which represents numerous sports fishermen and clubs with interest in the fresh water fisheries of British Columbia, the plaintiffs are associations of li censed commercial fishermen who operate on the tidal fisheries of the west coast of Canada.
In their statement of claim, the plaintiffs allege that they have a right of access to the sea fishery which is in law a liberty not to be restricted or removed by any exercise of the prerogatives of the Crown. In the alternative, they claim that the rights to the sea fishery are vested in the Crown in right of the Province of British Columbia and cannot be abrogated by the exercise of any federal power. They allege that any purported allocation or grant of exclusive rights to apportion those fisheries is ultra vires and any purported transfer to the Nisga'a Tribe of the federal right to manage or regulate those fisheries is ultra vires the federal power, being an abandonment of the sovereign legislative power vested in Parliament by the Con stitution Act, 1867 [30 & 31 Vict., c. 3 (U.K.) [R.S.C. 1970, Appendix II, No. 5] (as am. by Canada Act 1982, 1982, c. 11 (U.K.), Schedule to the Constitution Act, 1982, Item 1)]. As a further alternative, they claim that any agreement with the Nisga'a granting them exclusive fisheries over these waters will deprive the plaintiffs of a liberty pursuant to section 7 of the 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.)].
As appears from affidavits filed in support of this motion, the plaintiffs wrote on May 3, 1984 to the then Minister of Indian and Northern Affairs ("the Minister") requesting a right to a fair hear ing in the Nisga'a land claims negotiations, which the plaintiffs feared involved a proposal to grant a portion of the fishery to the Nisga'a Tribal Coun cil. On June 8, 1984 the chief federal negotiator, John Bene, ("the negotiator") answered that no agreement had been reached and that negotiations were continuing. (The defendant Fred Walchli is the present negotiator.) On June 26, 1984 the then Minister advised that "at this exploratory stage, all discussions between the various parties, the Federal Government, the British Columbia Gov ernment and the Nisga'a Tribal Council, are being held in camera". Some three meetings were held between the Offices of Native Claims and repre sentatives of the plaintiffs. The latter were briefed in general terms but no documents were produced.
Further correspondence followed. In the course of injunction proceedings launched before the Supreme Court of British Columbia, a document was filed indicating that the negotiator was proposing to grant a portion of the fisheries to the Nisga'a Tribal Council as part of a claim settlement.
The plaintiffs say that they are alarmed at the prospect of the negotiator reaching an agreement with the Nisga'a Tribal Council granting away a portion of the fisheries and fear that once an agreement in principle is reached after a decade or more of negotiating, there will be very little room for further negotiation. They want their action before this Court to be resolved before the defend ants are allowed to come to an agreement without the plaintiffs' participation.
The plaintiffs also point to a recent address of the present Minister to the House of Commons, December 18, 1986 announcing "a comprehensive native land claims policy" and to a published policy paper wherein the Minister wished "to make it clear that the mandate of all federal
negotiators will explicitly require that third parties be consulted".
It is trite law that in order to obtain an inter locutory injunction, the applicant must show: (1) that there is a serious issue to be tried; (2) that he will suffer irreparable harm; (3) that the balance of convenience favours him.
In support of their application for an injunction, the plaintiffs argue that there is indeed a serious issue to be tried. They assert that there will be irreparable harm if an important portion of the western fisheries is taken away from them and allocated to the Nisga'a Tribe. They allege that the balance of convenience weighs in their favour as negotiations could still continue until trial, pro vided no agreement is signed before that date.
In MacMillan Bloedel Ltd. v. Mullin; Martin v. R. in Right of B.C., [1985] 3 W.W.R. 577, the British Columbia Court of Appeal granted an injunction to two Indian bands restraining Mac- Millan Bloedel from logging on an island lying off the west coast of Vancouver. The injunction raised two questions which the Court answered in the affirmative: whether there is a fair issue to be raised as to the existence of the right and whether the property should be preserved in its present actual condition until the question can be disposed of at trial. The Court held that if an injunction prevents MacMillan Bloedel from logging pending the trial, and the Court eventually decides that MacMillan Bloedel has the right to log, then the timber will still be there and MacMillan Bloedel will not have suffered an irreparable harm.
The plaintiffs claim that, similarly in the instant case, if the injunction is granted and the plaintiffs' action is dismissed at trial, the negotiations can still continue; whereas should an agreement be concluded between the government and the Nisga'a Tribal Council before trial, then it will be too late for the plaintiffs to make their case.
The plaintiffs allege that they are interested parties in the matter. They exercise a public right to fish on Canadian tidal waters. That right will be affected by a claim settlement. They have a right to a fair hearing and that right has been confirmed by government policy, so they claim.
The plaintiffs canvassed a 1913 Privy Council decision, Attorney-General for British Columbia v. Attorney-General for Canada, [1914] A.C. 153. The Court held therein that the right of fishing in the sea is a public right, not dependent upon any proprietary right, and that the Dominion has the exclusive right of legislating with regard to it. They rely mostly on these pronouncements of Viscount Haldane (at page 167):
But in the case of tidal waters (whether on the foreshore or in estuaries or tidal rivers) the exclusive character of the title is qualified by another and paramount title which is prima facie in the public.
and (at page 169):
But their Lordships are in entire agreement with him on his main proposition, namely, that the subjects of the Crown are entitled as of right not only to navigate but to fish in the high seas and tidal waters alike ... The right into which this prac tice has crystallized resembles in some respects the right to navigate the seas or the right to use a navigable river as a highway...
The plaintiffs submit, therefore, that they have a strong case and are entitled to a status quo pending trial. Should negotiations be concluded before trial, they say they will have been deprived of their remedy, whereas an injunction would cause no prejudice to the defendants. The injunc tion would merely postpone any announcement as to the fishing component of the negotiations and the negotiations will be free to proceed with agree ments on other elements being negotiated, viz. land, forests, etc.
On the other hand, I must accept the first proposition of the Crown, that aboriginal rights do exist and they include fisheries. Dickson J. (now Chief Justice of the Supreme Court of Canada) said as follows in Kruger et al. v. The Queen, [1978] 1 S.C.R. 104, wherein he said [at page 109] that:
Claims to aboriginal title are woven with history, legend, politics and moral obligations.
Another relevant decision is that of the British Columbia Court of Appeal, Sparrow v. R. (1986), 9 B.C.L.R. (2d) 300. At the outset the Court states that:
Before April 1982 it was clearly the law that fishing by Indians, even if in exercise of an aboriginal right to fish was subject to any controls imposed by the Fisheries Act, R.S.C. 1970, c. F-14, and the regulations made thereunder.
The issue in that appeal was whether that power to regulate is now limited by subsection 35(1) of the Constitution Act, 1982 [Schedule B, Canada Act 1982, 1982, c. 11 (U.K.)].
In a 1898 Privy Council decision, Attorney- General for the Dominion of Canada v. Attorneys- General for the Provinces of Ontario, Quebec, and Nova Scotia, [1898] A.C. 700, the Privy Council held inter alia that the enactment of fishery regu lations and restrictions is within the exclusive competence of the federal parliament and is not within the legislative powers of provincial legisla tors.
As to the 1913 Privy Council decision above referred to by the plaintiffs, although that judg ment recognizes to the public a general right to fish, that right may be regulated on tidal waters by the federal government. Viscount Haldane said (at page 169):
But to the practice and the right there were and indeed still are limits, or perhaps one should rather say exceptions.
and (at page 170):
... that no public right of fishing in such waters, then existing, can be taken away without competent legislation. (My underlining.)
The competent legislation is obviously the Fisher ies Act [R.S.C. 1970, c. F-14].
In a Federal Court of Appeal decision released on November 3, 1986, Gulf Trollers Assn. v. Canada (Minister of Fisheries and Oceans), [1987] 2 F.C. 93, wherein Marceau J., on behalf of the Court, held that in the exercise of the Parliament's legislative competence under subsec tion 91(12) of the Constitution Act, 1867, it may
establish close and open times for catching fish, not only for the purpose of conservation but also for a purpose of socio-economic nature. Referring to the distribution of legislative powers under sec tions 91 and 92 between the central Parliament and the provincial legislatures, he said that the distribution was made on the basis of classes of subjects, not of interests or concerns.
The Crown submits that Parliament may manage the fishery on socio-economic or on other grounds, including allocation to Indians. If, in the course of management, damages are caused to other parties, then compensation is available: in that sense allocation of quotas or licences does not cause irreparable damages to present holders of fishing licences.
Amended Part 1 of the Constitution Act, 1982 (i.e. the Canadian Charter of Rights and Free doms) now provides under section 25 that the guarantee in the Charter shall not be construed so as to abrogate or derogate from any aboriginal treaty or other aboriginal rights. Subsection 35(1) provides that the existing aboriginal and treaty rights of the aboriginal peoples of Canada are recognized and affirmed. Subsection 35(3) [as added by Constitution Amendment Proclamation, SI/84-102] defines "treaty rights" as including rights "that now exist by way of land claim agree ments or may be so acquired".
In short, the plaintiffs cannot in principle oppose the settlement of aboriginal rights which are rec ognized by the courts and enshrined in the Consti tution. Obviously, settlement and negotiations are the better way to proceed and there is no room for all interested groups to be present. Their interests are represented by the Government of Canada.
Basically, the Crown's case is that the province has no right to regulate tidal water fisheries and that the federal government has the exclusive right so to do. Subsection 35(1) of the Constitution Act, 1982 recognizes and affirms the existing aborigi nal and treaty rights of the aboriginal peoples of Canada. It is, therefore, the duty of the federal
government to negotiate with Indians in an attempt to settle those rights. The plaintiffs have no absolute right to specific fisheries. They merely enjoy a temporary right, always subject to federal management and control. Under the Fisheries Act, R.S.C. 1970, c. F-14, the Minister is authorized to issue and cancel fishing licences and he may allo cate to the plaintiffs or to the Indians certain fishing areas and licences. The government's task is to determine, define, recognize and affirm what ever aboriginal rights existed. It may not ignore them under the guise of protecting so-called public fishing rights.
The Crown submits that the plaintiffs are trying to establish a novel position: never before have government negotiators in their dealings with Indian tribes with reference to aboriginal or treaty rights been obliged to bring in as parties to the negotiations outside groups with private interests. Obviously, if that principle is accepted with refer ence to fisheries, the same situation will prevail with reference to land or forestry or any other aspects of aboriginal rights. Those rights, by their very nature, attract or disrupt other established interests. The position of the Crown is that inter ested parties ought to be generally informed and consulted but not brought in as participants at the negotiating table.
The Crown's position is also that the negotiator has no authority to finalize any agreements. He is merely authorized to negotiate with the Nisga'a Indians to see if a settlement can be reached. Any tentative settlement negotiated by him would be subject to the approval of the Minister and other ministers of the Crown concerned under their respective jurisdictions and to final approval by the Cabinet. Should legislation be required to effect any settlement, as has happened in certain other settlements, then Parliament would be the final authority.
The current policy of the department, as expressed by the Minister and referred to earlier, is that there will be consultation with parties whose rights are affected. There will be separate negotiations with them. The Crown submits that if
any person or group of persons affected by the myriad of government negotiations taking place in the country would have a right in law to partici pate, such a principle would in effect paralyze the government. The negotiations with the Nisga'a Tribe have been going for some ten years and are not about to be completed.That process cannot be held up so as to invite all interested parties to the negotiating table.
According to the Regional Director General of the Department, the Nisga'a Indians would with draw from further negotiations with the Crown if third parties were included. That opinion, however, has not been confirmed by the Indians and counsel for the intervenor does not share it.
As to the right of fair hearing, the Crown states that the negotiator has no power to compel wit nesses, to call for documents, or to make decisions. He is not a board or a presiding officer at a hearing. He is merely a negotiator. The plaintiffs have no right in law to a fair hearing at a negotiat ing procedure between two other parties.
Since these confidential negotiations have been going on for the past ten years, the status quo calls for the negotiations to continue and not to be restrained before fruition. In a 1985 Federal Court of Appeal decision Attorney General of Canada v. Fishing Vessel Owners' Association of B.C., [1985] 1 F.C. 791, Pratte J., speaking on behalf of the Court, dealt with injunction matters and said at page 795 that it was wrong for the Trial Judge to assume that the grant of the injunction would not cause any damage to the government:
When a public authority is prevented from exercising its statu tory powers, it can be said, in a case like the present one, that the public interest, of which that authority is the guardian, suffers irreparable harm.
He found that the Trial Judge did not in that case take into consideration that the respondents' application sought, in a sense, to disturb rather than preserve the status quo.
I also note that there is no assurance that, if the injunction is granted and the plaintiffs are unsuc cessful at trial, the latter would be in a position to reimburse for the harm caused by the delay inflict-
ed upon the negotiation proceedings. This case cannot be isolated. Other negotiations are going on with other Indian tribes in other provinces with reference to other aboriginal rights. The spectre of an injunction suspended above all these negotia tion tables could gravely disturb and seriously harm the progress of those negotiations as well.
As to the duty of fairness in a hearing, a 1986 Court of Appeal decision, Canadian Tobacco Manufacturers' Council v. National Farm Prod ucts Marketing Council, [1986] 2 F.C. 247; (1986), 65 N.R. 392, held that the National Farm Products Marketing Council which conducted a public hearing on the advisability of recommend ing to the Minister that a national tobacco market ing agency be established, had a duty of fairness, notwithstanding that it had power merely to inquire and advise because its recommendations could affect the rights and interests of the manu facturers. The Court also held that fairness dictat ed that the study be produced and considered because it was a timely professional study relevant to an issue of critical importance to the Council's report to the Minister. Mahoney J. said at pages 257 F.C.; 398 N.R.:
A tribunal which inquires and recommends but does not decide may be required to observe procedural fairness. Whether or not the requirement exists in a given situation depends on either or both of two considerations: (1) the actual role of the enquiry in the decision-making process; and (2) the potential effect of the recommendation itself absent an ensuing decision.
In my view, the arbitrator is not such a tribunal. He is merely a negotiator attempting to bring together two parties interested in negotiating their respective rights and duties. He owes no duty to parties outside the negotiations.
In short, the duty of fairness applies to a hearing and not to negotiation proceedings. Consultation is not participation. There is consultation going on now with the interested third parties. If the process is not satisfactory, there might be cause for greater input by the interested third parties to the Minis-
ter and vice versa. That can be done at separate sessions without disturbing the negotiations.
In these negotiations, only the national govern ment can speak for all interested third parties. In British Columbia, there are 26 tribes and only the Nisga'a aboriginal rights are being negotiated. Others are flooding the Courts. Because of their socio-economic and political nature, it is indeed much preferable to settle aboriginal rights by way of negotiations than through the Courts.
It is true that in this matter Collier J. [order dated December 18, 1986, T-1858-84, not yet reported] has already dismissed an application to strike out the plaintiffs' action, as the learned Judge found that it was not "plain and obvious" that there was no cause of action. However, the threshold test for an injunction is much higher. The former test was that the applicant had to show a "prima facie case". Now, as a result of the American Cyanamid Co. v. Ethicon Ltd., [1975] A.C. 396 (H.L.) case, the applicant must only show that there is a "serious issue to be tried". That test is still more exacting than the "plain and obvious" criterion to be applied in strike-out procedures.
The plaintiffs seek an injunction restraining the defendants from concluding, initialling or announcing a land claims agreement with the Nis- ga'a Tribal Council until trial. Such conclusion, initialling or announcement does not constitute by itself an actual or imminent or apprehended harm. There is no conclusive evidence that the potential increase in the catch of fish to be allocated to Indians is harmful to existing commercial fisher men. There is affidavit evidence to the effect that any change in allocation of fisheries would be accomplished by the purchase, at fair market value, of existing licences and the transfer of such licences to Nisga'a fishermen. This would be done through voluntary transfers of licences on the part of existing commercial fishermen. If the transferor of a licence is not satisfied with the amount of the compensation tendered, he may, of course, seek remedy before the Courts. In other words, not only
is there no irreparable harm, there is no actual or imminent harm to be apprehended.
That was not the case in the MacMillan Bloedel injunction relied upon by the plaintiffs. There, bulldozers were present and advancing against the forest. I find sustenance for my view in the follow ing extract from the British Columbia Court of Appeal decision (at page 607):
The fact that there is an issue between the Indians and the province based upon aboriginal claims should not come as a surprise to anyone ... The federal government has agreed to negotiate some claims. Other claims are being advanced ... It is significant that no injunction has been sought in that action. I think it fair to say that, in the end, the public anticipates that the claims will be resolved by negotiation and by settlement. This judicial proceeding is but a small part of the whole of a process which will ultimately find its solution in a reasonable exchange between governments and the Indian nations. (My emphasis.)
In my view, therefore, while it may not be plain and obvious that the plaintiffs have no cause of action, they have not proved to my satisfaction that they have a serious issue to be tried. While this finding disposes of the instant application, I must add that even had the plaintiffs established a serious issue to be tried, I would still, in the exercise of my discretion, have refused to grant the injunction because the plaintiffs have not estab lished irreparable harm and, furthermore, the bal ance of convenience favours the defendants.
Consequently the application is denied with costs in the cause.
ORDER
The application is denied. Costs in the cause.
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