This appeal addressed whether a Band Council Resolution (BCR) could be enforced as a by-law under the Indian Act.
Hiawatha First Nation sought a permanent injunction to stop three of its members from building a gas station on the reserve, relying on a BCR that imposed a moratorium on new businesses.
The application judge granted the injunction, treating the BCR as a by-law.
The Court of Appeal found that a BCR is distinct from a by-law and does not have the force of law to create rights and duties for band members or third parties under the Indian Act.
The court emphasized that law-making authority under the Indian Act, particularly when affecting proprietary rights, requires adherence to specific by-law formalities.
Consequently, the appeal was allowed, and the injunction based on the BCR was set aside.