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Chief did not have actual or ostensible authority to bind Indian band to wrongful dismissal settlement agreement

Jurisdiction: - British Columbia
Sector: - First Nations

In Clayton v. Lower Nicola Indian Band, 2013 BCSC 162, the BC Supreme Court found, by way of a summary trial, that the then chief of the Lower Nicola Indian Band did not have actual or ostensible authority to bind the band to a wrongful dismissal settlement agreement with its former executive director.

In a previous reported decision involving these parties - Clayton v. Lower Nicola Indian Band, 2011 BCSC 525 - it was disclosed that the settlement agreement provided for a $100,000 payment to the former executive director, who had been in her position for just under two years (January 14, 2008 to January 8, 2010).