Court Clears Legal Path for First Nation Claim
A British Columbia Supreme Court judge has ruled that the Metlakatla First Nation can continue its lawsuit against the Prince Rupert Port Authority, rejecting the port’s bid to dismiss the case. The decision opens the door for the First Nation to seek compensation over its claims that the port unfairly granted an export monopoly that hurt its economic interests.
Origins of the Dispute
The legal battle started in July 2024 when Metlakatla First Nation filed a claim over a development agreement tied to a fuel export terminal on Ridley Island. Initially, the First Nation appeared to support the project, but relations soured as the lawsuit took shape.
At issue is whether the port authority failed to properly consult Metlakatla and neglected its obligations by allowing a privately operated export arrangement that allegedly restricted competition and devalued the First Nation’s business interests.
Judge Rejects Port’s Jurisdiction Argument
The port authority had argued that the lawsuit was essentially a challenge to a Crown approval for the project and should belong before the Federal Court. However, the judge disagreed, stating Metlakatla isn’t asking for the approval to be overturned but is instead seeking compensation for economic losses tied to alleged misrepresentation and unjust enrichment.
The ruling means the case can proceed in provincial court, with the First Nation able to pursue claims related to negligent misrepresentation, breach of fiduciary duty, and unjust enrichment. However, the judge struck one part of the claim that sought to force the port to undertake fresh consultations.
Metlakatla’s Rights and Economic Interests
Metlakatla maintains it holds unextinguished Aboriginal rights and title in and around the Prince Rupert port area. As part of its lawsuit, the nation points to its stake in Trigon Pacific Terminals Ltd., a local bulk commodities operator that it says was disadvantaged by the port’s exclusive arrangement with another company.
The First Nation says the monopoly on certain export activities prevented its own terminal from expanding or accessing certain export markets, diminishing its commercial value.
Wider Context of Indigenous Legal Actions
This lawsuit follows other legal actions by B.C. First Nations seeking greater recognition of land rights, consultation, and economic participation in major projects. In 2025, the Gitxaala Nation also filed a civil claim against the port authority and government entities, alleging inadequate consultation and breached duties tied to its traditional territories.
What Comes Next
With the court allowing the case to move forward, Metlakatla First Nation will now pursue its claims in B.C. Supreme Court. The matter highlights ongoing negotiations and legal struggles over consultation, economic opportunity, and Indigenous rights in major resource and infrastructure developments across British Columbia.
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