Première nation Carcross/Tagish c. Canada (C.A.) [2002] 1 C.F. 3
Date: 20010705
Docket: A-232-00
OTTAWA, Ontario, Thursday, July 5, 2001.
PRESENT: DÉCARY J.A.
EVANS J.A.
SHARLOW J.A.
BETWEEN:
CARCROSS/TAGISH FIRST NATION
Appellant
- and -
HER MAJESTY THE QUEEN
Respondent
JUDGMENT
The appeal is allowed with costs to the appellant in both Divisions of the Court.
"Robert Décary"
J.A.
Date: 20010705
Docket: A-232-00
Neutral citation: 2001 FCA 231
CORAM: DÉCARY J.A.
EVANS J.A.
SHARLOW J.A.
BETWEEN:
CARCROSS/TAGISH FIRST NATION
Appellant
- and -
HER MAJESTY THE QUEEN
Respondent
Heard at Calgary, Alberta, on Wednesday, June 6, 2001.
Judgment rendered at Ottawa, Ontario, on Thursday, July 5, 2001.
REASONS FOR JUDGMENT BY: DÉCARY J.A.
CONCURRED IN BY: EVANS J.A.
SHARLOW J.A.
Date: 20010705
Docket: A-232-00
Neutral citation: 2001 FCA 231
CORAM: DÉCARY J.A.
BETWEEN:
CARCROSS/TAGISH FIRST NATION
Appellant
- and -
HER MAJESTY THE QUEEN
Respondent
[1] On May 29, 1993, the Government of Canada (Canada), the Government of Yukon (Yukon) and the Council for Yukon Indians (the Council) representing fourteen Yukon First Nations, including the appellant First Nation, signed a comprehensive land claims Umbrella Final Agreement (UFA). The UFA contained a clause, clause 20.6.1, which stated that, at a given date, the tax exemption provided by section 87 of the Indian Act (R.S.C. 1985, c. I-5) would no longer apply to any Yukon First Nation. The UFA by itself was not intended to affect any legal rights or obligations of the parties. Rather, it was contemplated that the provisions of the UFA would be included in fourteen separate "Final Agreements", one for each of the fourteen First Nations represented by the Council. Each Final Agreement would also contain provisions applicable only to the First Nation signing it. The appellant First Nation has not yet signed a Final Agreement.
[2] The question in this appeal is whether the appellant First Nation has given up its exemption under section 87 of the Indian Act although it has not signed a Final Agreement. The Trial Judge, in a decision reported at (2000), 184 F.T.R. 184, found that clause 20.6.1 of the UFA had been incorporated into the Yukon First Nations Land Claims Settlement Act (the Land Claims Settlement Act) (S.C. 1994, c. 34) and was enforceable as against all Yukon First Nations, whether or not they had signed a Final Agreement.
The historical background and the relevant statutory and contractual provisions
[3] In 1973, Canada, Yukon and the Council commenced negotiation of a comprehensive land claims settlement. In May 1989, the parties signed an Agreement in Principle, which formed the basis for further negotiations and led to a draft of an Umbrella Final Agreement in 1991. The Umbrella Final Agreement (UFA) was signed on May 29, 1993.
[4] The following provisions of the UFA are particularly relevant:
Whereas:
[...]
the parties to the Umbrella Final Agreement intend to negotiate land claims agreements securing for Yukon First Nations and Yukon Indian People the rights and benefits set out therein;
the Yukon First Nations, Canada and the Yukon have authorized their representatives to sign this land claims agreement;
[...]
Chapter 1 - Definitions
[...]
"Council for Yukon Indians" includes any successor to the Council for Yukon Indians and, in the absence of any successor, the Yukon First Nations.
[...]
"Settlement Agreement" means a Yukon First Nation Final Agreement or a Transboundary Agreement.
"Settlement Legislation" means the Act of Parliament and the Act of the Yukon Legislative Assembly described in 2.4.2.
[...]
"Yukon First Nation" means one of the following:
Carcross/Tagish First Nation;
Champagne and Aishihik First Nations;
Dawson First Nation;
Kluane First Nation;
Kwanlin Dun First Nation;
Liard First Nation;
Little Salmon/Carmacks First Nation;
First Nation of Nacho Nyak Dun;
Ross River Dena Council;
Selkirk First Nation;
Ta'an Kwach'an Council;
Teslin Tlingit Council;
Vuntut Gwitchin First Nation; or
White River First Nation.
"Yukon First Nations" means all of the Yukon First Nations defined as a Yukon First Nation.
[...]
"Yukon First Nation Final Agreement" means a land claims agreement for a Yukon First Nation that includes provisions specific to that Yukon First Nation and incorporates the provisions of the Umbrella Final Agreement.
[...]
Chapter 2 - General Provisions
2.1.0 The Umbrella Final Agreement
2.1.1 Ratification of the Umbrella Final Agreement by the Yukon First Nations, through the Council for Yukon Indians, and by Canada and the Yukon signifies their mutual intention to negotiate Yukon First Nation Final Agreements in accordance with the Umbrella Final Agreement.
2.1.2 The Umbrella Final Agreement does not create or affect any legal rights.
2.1.3 A Yukon First Nation Final Agreement shall include the provisions of the Umbrella Final Agreement and the specific provisions applicable to that Yukon First Nation.
[...]
2.2.7 Except as provided in Chapter 4 - Reserves and Lands Set Aside and Chapter 20 - Taxation, nothing in Settlement Agreements shall affect any rights or benefits Yukon First Nations or Yukon Indian People may have or be entitled to under the Indian Act, R.S.C. 1985, c. I-5.
2.2.8 The parties to the Umbrella Final Agreement shall negotiate the processes for ratification of the Umbrella Final Agreement and the ratification of those processes shall be sought at the same time as ratification of the Umbrella Final Agreement.
2.2.9 Each Yukon First Nation and Government shall negotiate the processes for ratification of that Yukon First Nation's Final Agreement and the ratification of those processes shall be sought prior to or at the same time as ratification of the Yukon First Nation Final Agreement.
[...]
2.2.15 Settlement Agreements shall be the entire agreement between the parties thereto and there shall be no representation, warranty, collateral agreement or condition affecting those Agreements except as expressed in them.
[...]
2.4.0 Settlement Legislation
2.4.1 Upon ratification of the Umbrella Final Agreement, and upon ratification of a Yukon First Nation Final Agreement, Canada shall recommend to Parliament, and the Yukon shall recommend to the Legislative Assembly, Settlement Legislation.
2.4.2 Prior to ratification of the Umbrella Final Agreement, the parties to the Umbrella Final Agreement shall negotiate guidelines for drafting the Act that Canada will recommend to Parliament and the Act that the Yukon will recommend to the Yukon Legislative Assembly, which shall, among other things:
2.4.2.1 approve, give effect to and declare valid those Settlement Agreements which have been ratified at the same time as the Umbrella Final Agreement and enable subsequently ratified Settlement Agreements to be approved, given effect and declared valid by order-in-council;
2.4.2.2 acknowledge that a Settlement Agreement is a land claims agreement within the meaning of section 35 of the Constitution Act, 1982;
2.4.2.3 provide that a Settlement Agreement is binding on third parties; and
2.4.2.4 provide that where there is any doubt in the meaning of Settlement Legislation, any Settlement Agreement may be examined as an aid to interpretation.
[...]
2.6.0 Interpretation of Settlement Agreements and Application of Law
2.6.1 The provisions of the Umbrella Final Agreement, the specific provisions of the Yukon First Nation Final Agreement and Transboundary Agreement applicable to each Yukon First Nation shall be read together.
[...]
Chapter 4 - Reserves and Land Set Aside
4.1.0 Reserves
4.1.1 Yukon First Nation Final Agreements shall set out whether a Reserve is to be:
4.1.1.1 retained as a Reserve to which all the provisions of the Indian Act, R.S.C. 1985, c. I-5 shall continue to apply, unless otherwise provided in the Legislation giving effect to that Yukon First Nation's self-government agreement, and except as provided in Chapter 2 - General Provisions and Chapter 20 - Taxation; or
4.1.1.2 selected as Settlement Land and cease to be a Reserve.
4.1.2 Settlement Legislation shall provide that the Indian Act, R.S.C. 1985, c. I-5, shall cease to apply to any Reserve identified pursuant to 4.1.1.2 as of the Effective Date of the Yukon First Nation Final Agreement of the Yukon First Nation for which the land had been set apart as a Reserve.
[...]
Chapter 20 - Taxation
[...]
20.2.0 General
[...]
20.2.4 The Income Tax Act shall be amended as required to provide for the implementation and enforcement of the provisions of this chapter.
[...]
20.6.0 Taxation Principles
20.6.1 As of the third anniversary of the effective date of Settlement Legislation, section 87 of the Indian Act, R.S.C. 1985, c. I-5, shall not apply to:
20.6.1.1 the interest in a Reserve or surrendered land in the Yukon or any Indian, Yukon First Nation or Band;
20.6.1.2 the personal property situated on a Reserve in the Yukon of any Indian, Yukon First Nation or Band; and
[...]
20.6.2 For all purposes of section 87 of the Indian Act, R.S.C. 1985, c. I-5, all settlement benefits and proceeds arising from the use and disposition of settlement benefits and any income of a Yukon Indian Person or a Yukon First Nation attributable directly or indirectly thereto shall be deemed not to be situated on a Reserve.
20.6.3 Settlement Legislation shall provide that Government after Consultation with the Council for Yukon Indians, may make such amendments to statutes or regulations as are necessary for the purpose of giving effect to and enforcing provisions of 20.6.1 and 20.6.2.
20.6.4 The provisions of 20.6.0 shall not be construed to affect the authority of Parliament to amend or repeal section 87 of the Indian Act, R.S.C. 1985, c. I-5.
Clauses 20.6.5 and 20.6.6 provide for a payment to be made to each of the fourteen First Nations upon the loss of the tax exemption in section 87 of the Indian Act. The total fund to be shared is approximately $26.5 million, adjusted for inflation after 1989.
[5] On May 29, 1993, four of the Yukon First Nations signed "Final Agreements" with Canada and Yukon. The Final Agreements incorporated the provisions of the UFA into their text and included provisions specific to the signatory First Nations.
[6] On July 7, 1994, the Land Claims Settlement Act was assented to. It came into force on February 14, 1995. Its relevant provisions read as follows:
| An Act to approve, give effect to and declare valid land claims agreements entered into between Her Majesty the Queen in right of Canada, the Government of the Yukon Territory and certain first nations in the Yukon Territory, to provide for approving, giving effect to and declaring valid other land claims agreements entered into after this Act comes into force, and to make consequential amendments to other Acts [Assented to 7th July, 1994] |
Loi approuvant, mettant en vigueur et déclarant valides les accords sur les revendications territoriales conclus entre Sa Majesté la Reine du Chef du Canada, le gouvernement du territoire du Yukon et certaines premières nations du Yukon, permettant d'approuver, de mettre en vigueur et de déclarer valides les accords ainsi conclus après l'entrée en vigueur de la présente loi et modifiant d'autres lois en conséquence [Sanctionnée le 7 juillet 1994] |
| WHEREAS representatives of Her Majesty the Queen in right of Canada, the Government of the Yukon Territory and the Council for Yukon Indians signed the Umbrella Final Agreement on May 29, 1993, the provisions of which are intended to be incorporated into final agreements for the settlement of land claims of first nations in the Yukon Territory; WHEREAS the Champagne and Aishihik First Nations, the First Nation of Nacho Nyak Dun, the Teslin Tlingit Council and the Vuntut Gwitchin First Nation have each entered into a final agreement with Her Majesty and the Government of the Yukon Territory, incorporating the provisions of the Umbrella Final Agreement and including provisions specific to each first nation; [...] AND WHEREAS the Government of Canada has undertaken to recommend to Parliament the enactment of legislation for approving, giving effect to and declaring valid final agreements and transboundary agreements; [...] interpretation 2. In this Act, "final agreement" means a land claims agreement for a first nation that includes provisions specific to the first nation and incorporates the provisions of the Umbrella Final Agreement, and includes any amendments made to it from time to time in accordance with its provisions; [...] "settlement land" means land identified in a first nation's final agreement as settlement land of the first nation; [...] land claims agreements 4. Each of the following final agreements entered into between Her Majesty the Queen in right of Canada, the Government of the Yukon Territory and the respective first nation, signed on May 29, 1993, is hereby approved, given effect and declared valid: (a) the Champagne and Aishihik First Nations Final Agreement; (b) the First Nation of Nacho Nyak Dun Final Agreement; (c) the Teslin Tlingit Council Final Agreement; and (d) the Vuntut Gwitchin First Nation Final Agreement. 5. (1) The Governor in Council may, by order, approve, give effect to and declare valid any final agreement or transboundary agreement entered into after this Act comes into force. [...] effect of agreements 6. (1) A final agreement or transboundary agreement that is in effect is a land claims agreement within the meaning of section 35 of the Constitution Act, 1982.
(2) For greater certainty, such an agreement is binding on all persons and bodies that are not parties to it. 7. For greater certainty, a first nation for which a final agreement is in effect has the rights, title, obligations and liabilities in respect of settlement land provided for in the final agreement. [...] application of laws and agreements 12. When a final agreement is given effect, the Indian Act ceases to apply in respect of any reserve, within the meaning of that Act, that is identified in the agreement as settlement land. 13. (1) Subject to subsections (2) and (3), federal and territorial laws, including the Yukon First Nations Self-Government Act, apply to a first nation for which a final agreement is in effect, to persons enrolled under such an agreement and in respect of settlement land of the first nation. (2) In the event of a conflict or inconsistency between a final agreement or transboundary agreement that is in effect and any federal or territorial law, including this Act, the agreement prevails to the extent of the conflict or inconsistency. [...] consultation 16. Consultations referred to in clause 20.6.3 of a final agreement in connection with measures necessary for the purpose of giving effect to clause 20.6.1 or 20.6.2 of the agreement shall be carried out in the manner provided by the agreement. |
Attendu: que les représentants du Conseil des Indiens du Yukon de Sa Majesté la Reine du chef du Canada et du gouvernement du territoire du Yukon ont signé, le 29 mai 1993, l'accord-cadre dont les dispositions sont destinées à être reprises dans les accords définitifs sur les revendications des premières nations sur des terres du territoire du Yukon; que les premières nations de Champagne et Aishihik, des Gwitchin Vuntut, des Nacho Nyak Dun et le conseil des Tlingits de Teslin ont conclu avec Sa Majesté et le gouvernement du territoire du Yukon des accords définitifs contenant, outre les dispositions de l'accord-cadre, des dispositions particulières à chacune de ces premières nations; [...] que le gouvernement du Canada s'est engagé à recommander au Parlement des mesures législatives permettant d'approuver, de mettre en vigueur et de déclarer valides les accords définitifs et transfrontaliers, [...] définitions 2. Les définitions qui suivent s'appliquent à la présente loi. "accord définitif" Accord sur les revendications territoriales d'une première nation qui contient, outre les dispositions de l'accord-cadre, des dispositions particulières à celle-ci, ainsi que toutes les modifications qui peuvent lui être apportées conformément à ses dispositions. [...] "terres désignées" Terres visées par le règlement, au sens de l'accord définitif. [...] accords visés par la présente loi 4. Les accords définitifs conclus entre Sa Majesté, le gouvernement du territoire du Yukon et les premières nations de Champagne et Aishihik, des Gwitchin Vuntut, des Nacho Nyak Dun et le conseil des Tlingits de Teslin, signés le 29 mai 1993, sont approuvés, mis en vigueur et déclarés valides. 5. (1) Le gouverneur en conseil peut, par décret, approuver, mettre en vigueur et déclarer valide tout accord définitif ou transfrontalier conclu après la date d'entrée en vigueur de la présente loi. [...] portée des accords 6. (1) Tout accord--définitif ou transfrontalier--en vigueur constitue un accord sur des revendications territoriales au sens de l'article 35 de la Loi constitutionnelle de 1982. (2) Il est entendu qu'il a force obligatoire pour toute personne et tout organisme qui n'y sont pas parties. 7. Il est entendu que le titre sur les terres désignées ainsi que les droits et les obligations qui s'y rattachent sont dévolus à la première nation selon les termes de l'accord définitif en vigueur qui la concerne. [...] interprétation 12. Dès l'entrée en vigueur d'un accord définitif, la Loi sur les Indiens cesse de s'appliquer aux terres qui font partie d'une réserve, au sens de cette loi, et qui deviennent, aux termes de l'accord, des terres désignées. 13. (1) Sous réserve des paragraphes (2) et (3), les règles de droit territoriales et fédérales, y compris la Loi sur l'autonomie gouvernementale des premières nations du Yukon, s'appliquent aux personnes inscrites aux termes d'un accord définitif en vigueur, à la première nation visée et à ses terres désignées. (2) Les dispositions d'un accord --définitif ou transfrontalier--en vigueur l'emportent sur les dispositions incompatibles d'une règle de droit territoriale ou fédérale, y compris la présente loi. [...] consultation 16. Les consultations mentionnées à l'article 20.6.3 de l'accord définitif concernant les mesures visant à donner effet aux articles 20.6.1 et 20.6.2 sont menées en conformité avec la procédure prévue par l'accord. |
[7] Like the Land Claims Settlement Act, the Yukon First Nations Self-Government Act (the Self-Government Act) (S.C. 1994, c. 35) was assented to on July 7, 1994 and came into force on February 14, 1995. Its relevant provisions are:
| WHEREAS representatives of Her Majesty the Queen in right of Canada, the Government of the Yukon Territory and the Council for Yukon Indians signed the Umbrella Final Agreement on May 29, 1993, the provisions of which are intended to be incorporated into final agreements for the settlement of land claims of first nations in the Yukon Territory; WHEREAS the Champagne and Aishihik First Nations, the First Nation of Nacho Nyak Dun, the Teslin Tlingit Council and the Vuntut Gwitchin First Nation have each entered into a final agreement with Her Majesty and the Government of the Yukon Territory, incorporating the provisions of the Umbrella Final Agreement and including provisions specific to each first nation; WHEREAS those final agreements provide that Her Majesty and the Government of the Yukon Territory are to enter into negotiations with those first nations for self-government agreements appropriate to the circumstances of each of them and in accordance with the Constitution of Canada; WHEREAS self-government agreements have been concluded with those first nations, and have been signed on behalf of each first nation, Her Majesty and the Government of the Yukon Territory; WHEREAS other first nations of the Yukon Territory may conclude self-government agreements; [...] interpretation 2. In this Act, [...] "final agreement" means a land claims agreement for a first nation that includes provisions specific to the first nation and incorporates the provisions of the Umbrella Final Agreement, and includes any amendments made to it from time to time in accordance with its provisions; "first nation" means a first nation named in column II of Schedule I; [...] "settlement land" means land identified in a first nation's final agreement as settlement land of the first nation; [...] purpose and effect of this act 4. The purpose of this Act and orders of the Governor in Council made pursuant to this Act is to bring into effect self-government agreements concluded with first nations. 5. (1) The self-government agreements of the Champagne and Aishihik First Nations, the First Nation of Nacho Nyak Dun, the Teslin Tlingit Council and the Vuntut Gwitchin First Nation, signed on May 29, 1993, are brought into effect on the day this Act comes into force. (2) Where a self-government agreement is concluded with a first nation after this Act comes into force, the Governor in Council may, by order, bring the agreement into effect and add the name of the first nation to Schedule II. [...] laws of general application 17. (1) Subject to subsections (2) and (3) and section 22, the Indian Act does not apply to a first nation named in Schedule II or to its citizens. (2) The provisions of the Indian Act respecting the registration of persons as Indians and entitlement to registration as such apply to citizens of a first nation. (3) Except as provided by the first nation's final agreement in relation to the application of section 87 of the Indian Act, the provisions of that Act, except sections 74 to 80, apply to a first nation named in Schedule II and to its citizens [...] disposition of reserve lands 21. (1) Notwithstanding sections 37 to 41 of the Indian Act, where the self-government agreement of a first nation named in Schedule II so provides, interests in lands previously held for the use and benefit of a predecessor band of the first nation shall be transferred to the first nation in accordance with the self-government agreement. (2) Notwithstanding sections 37 to 41 of the Indian Act, where (a) lands are identified, in a final agreement that is in effect, as the subject of a claim against Her Majesty by the first nation, and (b) a subsequent agreement between Her Majesty and the first nation declares those lands to have been previously held for the use and benefit of a predecessor band of the first nation, interests in those lands shall be transferred or recognized in accordance with the subsequent agreement. [...] (5) The final agreement of a first nation applies in respect of lands in which an interest is transferred or recognized under subsection (1) or (2) in the manner and to the extent provided in the self-government agreement. 22. (1) Subject to subsection (2), after a self-government agreement referred to in subsection 21(1) or a subsequent agreement referred to in subsection 21(2) is brought into effect, lands referred to in the self-government agreement that were previously held by Her Majesty for the use and benefit of a predecessor band of the first nation, or lands declared in the subsequent agreement to have been so held, are not subject to the Indian Act. (2) Where a first nation's self-government agreement provides that the Indian Act will continue to apply in respect of lands referred to in subsection (1), that Act continues to apply in respect of those lands as if the first nation were a band and as if citizens of the first nation registered or entitled to be registered as Indians were members of that band, within the meaning of that Act. (3) Notwithstanding subsection (1), section 87 of the Indian Act applies for a period ending three years after the commencement of this Act, in respect of (a) any interest of an Indian, a first nation or a band, as defined in that Act, in lands to which section 21 applies, or (b) any personal property of an Indian, a first nation or a band, as defined in that Act, situated on such lands, as if those lands were reserves of a band within the meaning of that Act and as if the first nation were such a band. [...] SCHEDULE II (Sections 5, 7 to 11, 14 to 21, 24, 27, 28 and 30) first nations having self-government agreements in effect Champagne and Aishihik First Nations First Nation of Nacho Nyak Dun Teslin Tlingit Council Vuntut Gwitchin First Nation |
Attendu: que les représentants du Conseil des Indiens du Yukon, de Sa Majesté la Reine du chef du Canada et du gouvernement du territoire du Yukon ont signé, le 29 mai 1993, l'accord-cadre dont les dispositions sont destinées à être reprises dans les accords définitifs sur les revendications des premières nations sur des terres du territoire du Yukon; que les premières nations de Champagne et Aishihik, des Gwitchin Vuntut, des Nacho Nyak Dun et le conseil des Tlingits de Teslin ont conclu avec Sa Majesté et le gouvernement du Yukon des accords définitifs contenant, outre les dispositions de l'accord-cadre, des dispositions particulières à chacune de ces premières nations; que ces accords définitifs font état de l'engagement de la part de Sa Majesté, du gouvernement du Yukon et de ces premières nations à négocier des accords sur l'autonomie gouvernementale adaptés à la situation de chacune de ces premières nations et conformes à la Constitution du Canada; que les représentants de ces premières nations ont conclu de tels accords avec Sa Majesté et le gouvernement du Yukon; que les premières nations du Yukon peuvent aussi conclure des accords sur leur autonomie gouvernementale; [...] définitions 2. Les définitions qui suivent s'appliquent à la présente loi. [...] "accord définitif" Accord sur les revendications territoriales de la première nation qui contient, outre les dispositions de l'accord-cadre, des dispositions particulières à celle-ci, ainsi que toutes les modifications qui peuvent lui être apportées conformément à ses dispositions. [...] "première nation" Première nation dont le nom figure à la colonne II de l'annexe I. [...] "terres désignées" Terres visées par le règlement, au sens de l'accord définitif. [...] portée de la présente loi 4. La présente loi et les décrets pris sous son régime visent à donner effet aux accords conclus avec les premières nations. 5. (1) Les accords visant les premières nations de Champagne et Aishihik, des Gwitchin Vuntut, des Nacho Nyak Dun et le conseil des Tlingits de Teslin signés le 29 mai 1993 prennent effet à la date d'entrée en vigueur de la présente loi. (2) Le gouverneur en conseil peut, par décret, donner effet à tout accord conclu après la date d'entrée en vigueur de la présente loi et ajouter, le cas échéant, le nom de la première nation à l'annexe II. [...] lois d'application générale 17. (1) Sous réserve des paragraphes (2) et (3) et de l'article 22, la Loi sur les Indiens ne s'applique ni à la première nation dont le nom figure à l'annexe II ni à ses citoyens. (2) Ses dispositions portant sur le droit à l'inscription des Indiens et la procédure afférente s'appliquent toutefois aux citoyens de la première nation. (3) Elle s'applique également, sauf pour ses articles 74 à 80, et sous réserve des dispositions de l'accord définitif concernant l'application de son article 87 [...] La première nation est, le cas échéant, réputée une "bande" et ses citoyens inscrits ou qui ont droit à l'inscription sont réputés des "membres de la bande" au sens de la même loi. [...] réserves 21. (1) Malgré les articles 37 à 41 de la Loi sur les Indiens, le droit de propriété sur les terres détenues à l'usage et au profit de la bande antérieure est transféré, s'il y a lieu, à la première nation dont le nom figure à l'annexe II conformément à l'accord qui la concerne. (2) Malgré les articles 37 à 41 de la Loi sur les Indiens, les droits sur les terres revendiquées auprès de Sa Majesté, délimitées dans un accord définitif en vigueur et pour lesquelles il est convenu ultérieurement que Sa Majesté les détenait à l'usage et au profit de la bande antérieure sont transférés à la première nation ou reconnus siens en conformité avec cette convention. [...] (5) L'accord définitif s'applique aux terres visées aux paragraphes (1) et (2) en conformité avec l'accord qui concerne cette première nation. 22. (1) Sous réserve du paragraphe (2), dès que prend effet l'accord visé au paragraphe 21(1) ou la convention visée au paragraphe 21(2), les terres visées par cet accord qui étaient détenues par Sa Majesté à l'usage et au profit de la bande antérieure ainsi que celles visées par cette convention qui sont réputées avoir été détenues de la sorte cessent d'être assujetties à la Loi sur les Indiens. (2) Malgré le paragraphe (1), la Loi sur les Indiens s'applique aux terres visées à ce paragraphe dans les cas prévus par l'accord. La première nation est réputée une "bande" et ses citoyens inscrits ou qui ont droit à l'inscription sont réputés des "membres de la bande" au sens de cette loi. (3) Malgré le paragraphe (1), l'article 87 de la Loi sur les Indiens s'applique à l'égard des droits d'un Indien, d'une bande ou d'une première nation tant sur une terre visée à l'article 21 que sur les biens qui y sont situés durant les trois années suivant la date d'entrée en vigueur de la présente loi. Pour l'application du présent paragraphe, la terre et la première nation sont réputées être une réserve et une bande, au sens de la Loi sur les Indiens. [...] ANNEXE II (articles 5, 7 à 11, 15 à 21, 24, 27, 28 et 30) premières nations visées par un accord en vigueur Les premières nations de Champagne et Aishihik La première nation des Gwitchin Vuntut La première nation des Nacho Nyak Dun Le conseil des Tlingits de Teslin |
[8] In the meantime, on March 17, 1993, an Act approving Yukon Land Claims Final Agreements had been adopted by the Yukon Legislative Assembly (Statutes of the Yukon 1993, chapter 19). That Act came into force on February 14, 1995, at the same time as the Land Claims Settlement Act. Of relevance are the following provisions:
| Definitions 1. In this Act, "Agreement" means the Yukon Land Claim Final Agreement between the Government of Canada, the Government of the Yukon and the Champagne and Aishihik First Nations ratified by these First Nations on September 15, 1992 and tabled in the Legislative Assembly on December 14, 1992, and includes any amendments to the Agreement; [...] "Subsequent Agreement" means a Yukon Land Claim Final Agreement entered into between the Government of Canada, the Government of the Yukon, and a Yukon First Nation and ratified by the Yukon First Nation subsequent to September 15, 1992 and includes any amendment to the Subsequent Agreement; [...] Agreement Approved 2. The agreement is hereby approved as a land claims agreement referred to in section 35 of the Constitution Act, 1982 and has the force of law. Subsequent Agreements 3. (1) The Commissioner in Executive Council may by order approve a Subsequent Agreement as a land claims agreement referred to in section 35 of the Constitution Act, 1982 and the Subsequent Agreement has the force of law. (2) An order under subsection (1), together with the Subsequent Agreement to which the order relates, shall be tabled and recorded before the Legislative Assembly not later than 15 days after its issue, or if the Legislative Assembly is not then sitting, within the first 15 days next thereafter that the Legislative Assembly is sitting. |
Définitions 1. Les définitions qui suivent s'appliquent à la présente loi. "Entente" Entente finale, dans son état éventuellement modifié, intervenue entre le gouvernement du Canada, le gouvernement du Yukon et les Premières nations Champagne et Aishihik, ratifiée par ces Premières nations le 15 septembre 1992 et déposée devant l'Assemblée législative le 14 décembre 1992. "Entente subséquente" Entente finale, dans son état éventuellement modifié, intervenue entre le gouvernement du Canada, le gouvernement du Yukon et une Première nation du Yukon et ratifiée par la Première nation après le 15 septembre 1992. [...] Entente approuvée 2. L'Entente est par les présentes approuvée à titre d'accord sur des revendications territoriales dont il est fait état à l'article 35 de la Loi constitutionnelle de 1982 et a force de loi. Ententes subséquentes 3. (1) Le Commissaire en conseil exécutif peut, par décret, approuver une Entente subséquente à titre d'accord sur des revendications territoriales dont il est fait état à l'article 35 de la Loi constitutionnelle de 1982. Cette entente a force de loi. (2) Le décret pris en vertu du paragraphe (1), accompagné de l'Entente subséquente visée par le décret, est déposé devant l'Assemblée législative et enregistré dans les quinze jours de son établissement ou, si l'Assemblée ne siège pas, dans les quinze premiers jours de la séance suivante. |
[9] As appears from the above recital, by February 14, 1995 four First Nations had negotiated and signed a Final Agreement with Canada and Yukon. The Court was informed at the hearing that three other First Nations have since signed a Final Agreement. One of the original four Final Agreements, namely the Final Agreement between Canada, Yukon and the Champagne and Aishihik First Nations (the Champagne Agreement), has been filed in the record to illustrate a typical Final Agreement (Appeal Book, vol. 2, p. 506). That Agreement was signed on May 29, 1993. While the "whereas" provisions introducing the UFA referred to the Yukon First Nations and the Yukon Indian People, the corresponding provisions in the Champagne Agreement refer exclusively to the Champagne and Aishihik First Nations, to their people, their lands and their history.
[10] The Champagne Agreement faithfully reproduces the terms of the UFA, interrupting their flow occasionally with an insert described as a "specific provision" applicable to the Champagne and Aishihik First Nations. No specific provisions are found in Chapter 20 (Taxation).
[11] Canada is of the view that clause 20.6.1 of the UFA confirms an agreement that the tax exemption in section 87 of the Indian Act would end with respect to all fourteen First Nations as of the third anniversary of the effective date of the Land Claims Settlement Act, i.e., as of February 14, 1998, if at that time one First Nation had signed a Final Agreement. The effective date of the end of the tax exemption was extended to December 31, 1998 by a remission order made pursuant to the Financial Administration Act, S.C. 1985 c. F-11 (Appeal Book, vol. 3, p. 1069). Strangely enough, as noted by counsel for the appellant, the remission order refers not to the Land Claims Settlement Act but to the Self-Government Act.
[12] In February and March of 1998, Canada made arrangements to pay each First Nation, including the appellant, the amounts stipulated in clauses 20.6.5 and 20.6.6. However, the appellant refused to accept its share of the payments.
[13] On May 21, 1999, the appellant brought a motion for a declaration that section 87 of the Indian Act continued to apply to it as it had not yet ratified a Final Agreement.
[14] The Trial Judge dismissed the motion. He did so, essentially, on the basis that the Land Claims Settlement Act was "intended to give statutory force to the terms of the Final Agreement, thereby directly applying to those bound by those agreements, but also directly applying to all Aboriginal People who agreed to the UFA" (Reasons, para. 28). In my respectful view, the Trial Judge erred in interpreting the Land Claims Settlement Act as implicitly amending the scope of section 87 of the Indian Act so as to affect First Nations who had not entered into a Final Agreement.
Interpretation of the Land Claims Settlement Act
[15] There are two flaws in the approach taken by the Trial Judge that led him to give to the Land Claims Settlement Act a meaning and effect it could not bear.
[16] The first flaw is that he failed to appreciate the weight of the burden resting upon the Crown to demonstrate that the section 87 tax exemption had been taken away from the appellant First Nation and its members.
[17] The second flaw is that he interpreted the Land Claims Settlement Act without first ascertaining the true purpose and effect of the Umbrella Final Agreement to which that Act was alleged to give the force of law.
a) Amendment of legislation
[18] What is at issue is the tax exemption set out in section 87 of the Indian Act (the section 87 tax exemption). That tax exemption was found by the Supreme Court of Canada to be "part of a legislative ‘package' which bears the impress of an obligation to native peoples which the Crown has recognized at least since the signing of the Royal Proclamation of 1763" (Mitchell v. Peguis Indian Band, [1990] 2 S.C.R. 85, LaForest J., at 130). It is always open to Parliament to amend section 87, or repeal it, but the Courts should be reluctant to find that such an important legal right has been removed merely by implication.
[19] As noted by Côté, The Interpretation of Legislation in Canada, 3rd Ed., Carswell, 2000, at 505:
All things being equal, when doubt subsists as to the interpretation of an enactment, the judge is justified in choosing the construction which encourages continuity with existing law over one that departs from it. As Cory J. explained for the majority of the Court in the Rawluk [Rawluk v. Rawluk, [1990] 1 S.C.R. 70, at 90] case:
It is trite but true to state that as a general rule a legislature is presumed not to depart from prevailing law "without expressing its intentions to do so with irresistible clearness" (Goodyear Tire & Rubber Co. of Canada v. T. Eaton Co., [1956] S.C.R. 610, at p. 614).
The greater the change, the stronger the presumption. [...]
[20] The setting aside of the section 87 tax exemption is said by the Crown to result not from direct legislation, but from the incorporation of an agreement (the UFA) in a federal statute (the Land Claims Settlement Act). As appears from the reasons of Iacobucci J., speaking for a majority of eight justices in British Columbia (Attorney General) v. Canada (Attorney General); and Act respecting the Vancouver Island Railway (Re), [1994] 2 S.C.R. 41, at 108 ff., it must be shown, to paraphrase his words at page 111, that there is something about the statute at issue "which compels the conclusion" that statutory force was actually conferred upon the agreement at issue.
[21] The UFA was not, properly speaking, incorporated in the Land Claims Settlement Act. Rather, the UFA was incorporated in a Final Agreement which, allegedly, was incorporated in the Land Claims Settlement Act. This is a case, therefore, of what I shall describe as "double incorporation". The Crown is in reality seeking to enforce against the appellant a Final Agreement to which the appellant is not a party, on the basis of an earlier Umbrella Final Agreement to which the appellant had subscribed through the Council that represented all Yukon First Nations.
[22] I venture to state at this stage that very persuasive wording in the Land Claims Settlement Act will be required to demonstrate that a First Nation has been deprived of a cherished tax exemption by a clause found in an umbrella agreement (which, as we shall see, was meant to have no legal effects) making its way first into a Final Agreement to which that First Nation is not a party and then into legislation said to give the Umbrella Final Agreement the force of law as against Yukon First Nations who have not signed a Final Agreement.
b) The true purpose and effect of the UFA
[23] In Cree Regional Authority v. Canada (Federal Administration), [1991] 3 F.C. 533 (F.C.A.), where this Court was asked to determine whether the James Bay and Northern Quebec Agreement had been incorporated into federal legislation, MacGuigan J.A. looked "initially to the Agreement rather than to the Federal Act as a background to the intention of Parliament in the Federal Act itself" (at 549). In failing to pursue this approach, the Trial Judge interpreted the Land Claims Settlement Act without regard to what in fact was allegedly incorporated into it.
[24] I shall turn first to the Umbrella Final Agreement, then to the other two statutes that form the Settlement Legislation, i.e. the federal Land Claims Settlement Act and the Yukon Land Claims Final Agreements Act, and, lastly, to the federal Self-Government Act.
i) The UFA
[25] It is apparent from the very terms of the Umbrella Final Agreement, particularly in the preamble and in Chapter 2 (General Provisions), that it is an agreement by which the Yukon First Nations, represented for the purpose of negotiating that agreement by the Council, agree to negotiate claims agreements pertaining to each First Nation.
[26] Clauses 2.1.1, 2.1.2, 2.1.3, 2.2.9 and 2.4.2 confirm in unequivocal terms a) that the UFA is essentially a collective agreement of a preliminary nature signifying the intention of each First Nation to negotiate a Final Agreement on an individual basis, b) that, being essentially an agreement to negotiate an agreement, the UFA "does not create or affect any legal rights" and c) that a Final Agreement relates to one First Nation only, is negotiated by that First Nation alone and is comprised of both the provisions of the UFA and the specific provisions that are applicable to that First Nation alone.
[27] There is no suggestion anywhere in the UFA that it might have a life of its own. It begins its life as a non-legally binding step in a collective negotiating process and ends it as an integral, necessary part of an individual Final Agreement. Unless and until it is incorporated in a Final Agreement, it has no legal significance except as an agreement to negotiate. If and when incorporated in a Final Agreement, it is to be read together with the provisions of that Final Agreement (clause 2.6.1) and the Final Agreement becomes "the entire agreement between the parties thereto" (clause 2.2.15).
[28] Clauses 4.1.1 and 4.1.2 clearly set out that the legal status of any existing Reserve will be determined with respect to each First Nation by the Final Agreement negotiated by that First Nation. It is up to each First Nation to "identify" what land it selects as settlement land, which land in turn ceases to be governed by the Indian Act.
[29] The intention of the parties, as expressed in clause 20.6.1 of the UFA, was that section 87 of the Indian Act would cease to apply on the third anniversary of the coming into force of the "Settlement Legislation", which was defined in the UFA to mean the Land Claims Settlement Act and the corresponding Yukon legislation. But the parties were clearly aware that clause 20.6.1 could not, in and by itself, trigger the "disapplication" of section 87. Legislation would be required to accomplish that, and the parties agreed that the required legislation would be included in the Land Claims Settlement Act. The parties did not expressly agree, however, on whether the Land Claims Settlement Act would result in the disapplication of section 87 to all First Nations in the Yukon, or only those First Nations that signed a Final Agreement. That is the question raised in this appeal. The answer depends upon the correct interpretation of the Land Claims Settlement Act.
ii) The Yukon First Nations Land Claims Settlement Act (Canada)
[30] The Land Claims Settlement Act's very title sets out the purpose of the Act as being three-fold: to approve, give effect to and declare valid certain Final Agreements; to provide for approving, giving effect to and declaring valid forthcoming Final Agreements; and to make consequential amendments to other federal statutes.
[31] There is no suggestion in the terms of the Act that it gives any effect to the UFA otherwise than by giving effect to a Final Agreement which, by its very definition, incorporates the provisions of the UFA. There is no suggestion, either, that the Act applies to any land in the Yukon other than a "settlement land", i.e. by definition "a land identified in a first nation's final agreement as settlement land of the first nation". There is no suggestion, finally, that the Act applies to any First Nation other than the four that are listed in section 4 and that have signed a Final Agreement. Contrary to the view advanced by the Trial Judge, subsection 6(2), which provides that a Final Agreement "is binding on all persons and bodies that are not parties to it", merely confirms that whenever and wherever it applies, a Final Agreement binds everyone who happens to come within its purview. Section 7 makes it abundantly clear that the rights, title, obligations and liabilities provided for in a Final Agreement are those of the very first nation that signed the agreement and are in respect of the settlement land of that First Nation.
[32] Section 12 of the Act, which, presumably, is the method chosen by Parliament to set aside the section 87 tax exemption, only applies by its very terms to settlement land identified in a specific Final Agreement.
[33] Section 16 is also relevant. It states that the consultation process leading to amendments to section 87 of the Indian Act is the one referred to in clause 20.6.3 of a Final Agreement. It can be inferred from the words used by Parliament that what is incorporated is not clause 20.6.3 of the UFA, but clause 20.6.3 of a Final Agreement and that the "measures necessary for the purpose of giving effect to" the "disapplication" of section 87 are to be carried out in the manner provided by that Final Agreement.
iii) The Yukon Land Claims Final Agreements Act (Yukon)
[34] The Yukon legislation ignores for all practical purposes the Umbrella Final Agreement, thereby implicitly confirming that Settlement Legislation is only aimed at specific Final Agreements.
[35] I note in passing that the Yukon Act expressly states, in section 2, that a Final Agreement "has the force of law" in addition to being a land claims agreement referred to in section 35 of the Constitution Act, 1982. These words do not appear in the parallel federal statute.
iv) The Yukon First Nations Self-Government Act (Canada)
[36] While this Act is not part of the "Settlement Legislation" referred to in clause 2.4.2 of the UFA, it is part of the larger legislative context.
[37] The Act, it seems to me, is even more specific than the Land Claims Settlement Act is with respect to the section 87 tax exemption. By the use of the words "except as provided by the first nation's final agreement in relation to the application of section 87 of the Indian Act", subsection 17(3) establishes a direct linkage between the "disapplication" of the section 87 tax exemption and a Final Agreement. Further, subsection 22(3) provides that the section 87 tax exemption will cease to apply on February 14, 1998 in respect of any interest of a First Nation "in lands to which section 21 applies", i.e. to lands identified in a Final Agreement.
Conclusion
[38] In the end, it seems to me that the terms of the Umbrella Final Agreement, of the Settlement Legislation (the Yukon First Nations Land Claims Settlement Act (Canada) and the Yukon Land Claims Final Agreements Act (Yukon)) and of the Yukon First Nations Self-Government Act (Canada) all point in the same direction: it might have been the intention of Canada, Yukon and the Council to have the "disapplication" of section 87 in force on February 14, 1998 with respect to each First Nation, but that intention was not carried out in the legislation.
[39] Whether or not the Yukon First Nations Land Claims Settlement Act gives force of law through incorporation to the Umbrella Final Agreement becomes irrelevant, because even if it did, it would do so only with respect to those First Nations who have signed a Final Agreement. I need not therefore go further: the Crown has failed to demonstrate that the "disapplication" of section 87 of the Indian Act ever came into effect with respect to the appellant and its members.
[40] The appeal should be allowed, the decision of the Trial Division should be set aside and the application by the Carcross/Tagish First Nation granted. A declaration should issue that section 87 of the Indian Act applies, after 1998, to the Carcross/Tagish First Nation and its members until such time as it ratifies a Final Agreement as contemplated by the comprehensive land claims Umbrella Final Agreement signed on May 29, 1993 by the Government of Canada, the Government of Yukon and the Council for Yukon Indians.
[41] The appellant should have its costs in both Divisions of this Court.
"Robert Décary"
J.A.
"I agree.
John M. Evans, J.A."
"I agree.
K. Sharlow, J.A."