A band member leased lands from the Walpole Island First Nations Band Council to operate a hunting camp and made substantial improvements including constructing a lodge.
The central dispute concerned whether the band member was entitled to credit against outstanding rental payments for the cost of improvements made.
The trial judge awarded credit of $532,500 for improvements plus a $40,000 deposit, less $430,000 in rent owing, resulting in a judgment of $142,500 in the band member's favour.
The band appealed, arguing that the trial judge failed to apply section 2(3) of the Indian Act, which requires Band Council resolutions for binding arrangements.
The appeal court upheld the trial judgment, finding that the Band Council had undertaken to credit the band member for leasehold improvements and that the band member was entitled to aggravated damages for an improper eviction.
