Supreme Court Sets Feb. 23 for Oral Arguments in U.S. v. Navajo

On Monday, February 23, the U.S. Supreme Court will hear oral arguments in U.S. v. Navajo Nation (07-1420), which examines the federal government’s duty to protect Indian tribe’s mineral rights. 

The Navajo Nation complained that the Secretary of the Interior, who supervises and regulates the development and sale of mineral resources on Indian reservations, acted in the interests of a coal mining company, and not in the interests of the Navajo Nation, when negotiating the rate of royalty payments owed on coal mined from Navajo land. The Court of Federal Claims dismissed the complaint, ruling that although the United States had breached its fiduciary obligations to the Navajo Nation, this breach was not actionable because the United States did not have a trust relationship with the Navajo Nation and monetary relief was not available. The court of appeals reversed, holding (1) that a trust relationship existed and exists with the Navajo Nation, and (2) monetary damages are an available remedy for breach of this trust.

On appeal the court will decide whether the court of appeals properly held that the United States is liable to the Navajo Nation for up to $600 million in damages for breach of fiduciary duty.