Overview:
The respondents alleged that RMRF knowingly assisted their former CEO, Ron Barlas, in a fraudulent scheme that misappropriated over $11 million from companies affiliated with the Lutsël K’é Dene First Nation.

Legal Arguments and Issues:
The applicants filed a motion to strike the respondents’ Statement of Claim, arguing it was excessively long, included unnecessary evidence, and was designed to embarrass them. The respondents countered that the details were necessary to support allegations of knowing misconduct. The court considered whether the claim breached procedural rules requiring concision in pleadings and whether it improperly included extensive quotations from correspondence.

Court’s Decision:
Justice N.E. Devlin partially granted the motion, striking paragraphs related to the applicants’ litigation conduct but upheld the narrative format of the claim. The court found that while the claim was detailed, it functioned effectively and did not unfairly prejudice the applicants.

Costs and Awards:
Although the respondents largely succeeded in defending the motion, the applicants were awarded costs in the cause due to excessive quotations and certain aggressive claims. The respondents sought $30 million in damages and $2.5 million in punitive damages, but the ruling only addressed the pleadings, not the merits of the claim.