Reiter v. Maskwacis Health Services

Reiter v. Maskwacis Health Services

The funds in the Peace Hills accounts were paid under a funding agreement to the four Bands and administered by MHS as their unincorporated agent, and therefore the funds are the personal property of the Bands situated on reserve and exempt from garnishment pursuant to s.89 of the Indian Act; accordingly the ex parte garnishee order must be set aside.

Citation
2010 FC 881
Parties
Complainant: Russell Reiter; Respondent/applicant: Maskwacis Health Services (Samson, Montana, Ermineskin and Louis Bull First Nations operating as)
Court
Federal Court
Jurisdiction
Canada
Judgment Date
8 September 2010
Procedural Posture
Canada Labour Code, Part III (labour Standards); Garnishment Proceeding Arising From Judgment / Interlocutory Motion to Set Aside Ex Parte Garnishee Order and for Declaration of Exemption (motion Heard March 8, 2010; Reasons and Order Sept 8, 2010)
Outcome
Motion allowed in part: ex parte garnishee order set aside; declaration that present and future debts owing by Peace Hills to MHS are exempt from garnishment; monies paid into court returned; costs awarded to the Bands operating as MHS.
Legal Topics
Garnishment, Indian Act S.89 Reserve Property Exemption, Agency/unincorporated Association, Funding Agreements, Issue Estoppel
Source Language
English
Indigenous Law Civil Procedure Labour Law Garnishment Indian Act S.89 Reserve Property Exemption Agency/unincorporated Association Funding Agreements Issue Estoppel

Case Brief

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Parties

Russell Reiter

Complainant

Maskwacis Health Services (Samson, Montana, Ermineskin and Louis Bull First Nations operating as)

Respondent/applicant

Procedural Posture

Canada Labour Code, Part III (labour Standards); Garnishment Proceeding Arising From Judgment / Interlocutory Motion to Set Aside Ex Parte Garnishee Order and for Declaration of Exemption (motion Heard March 8, 2010; Reasons and Order Sept 8, 2010)

Legal Issues

  1. 1 Whether funds paid by Health Canada into accounts at Peace Hills held for Maskwacis Health Services are the property of the four Bands and therefore exempt from seizure under s.89 of the Indian Act or deemed on reserve under s.90(1)(b)
  2. 2 Whether MHS is a separate legal entity (corporation/partnership) or an unincorporated agent of the Bands for purposes of property ownership and exemption from garnishment
  3. 3 Whether prior adjudicator findings (employment) estop the Bands from asserting ownership of the funds

Ratio Decidendi

The funds in the Peace Hills accounts were paid under a funding agreement to the four Bands and administered by MHS as their unincorporated agent, and therefore the funds are the personal property of the Bands situated on reserve and exempt from garnishment pursuant to s.89 of the Indian Act; accordingly the ex parte garnishee order must be set aside.

Court Disposition

Motion allowed in part: ex parte garnishee order set aside; declaration that present and future debts owing by Peace Hills to MHS are exempt from garnishment; monies paid into court returned; costs awarded to the Bands operating as MHS.

Orders

  • Set aside the ex parte garnishee order issued January 22, 2010
  • Declare that all present and future debts owing by Peace Hills Trust Company to Maskwacis Health Services are exempt from garnishment