The Kwanlin Dun First Nation in Whitehorse has won an injunction Friday that halts the opening of tenders for construction work at the city's airport.
Yukon Supreme Court Justice Leigh Gower issued the ruling at noon Friday, forcing the Yukon government to cancel its opening of bids for subcontracts, which was supposed to start later that afternoon.
The ruling has now delayed the $15-million airport expansion indefinitely, while lawyers for the Kwanlin Dun and the territorial government make their case before a trial judge.
Gower suggested that both sides schedule a trial on the matter as soon as possible.
The Kwanlin Dun First Nation has argued that it has a land-claim agreement with the territorial government that guarantees it benefits from contracts worth more than $3 million.
The First Nation is calling for a better benefits agreement than the one government officials imposed last week. That agreement, which includes a road contract, training for one worker and the promise of an additional $1-million contract, was not enough, lawyers for the First Nation said.
In his ruling, Gower said a treaty right is at stake in this case, specifically the Kwanlin Dun's right to benefit from the $15-million job.
Gower added that there are questions about whether the territorial government conducted its negotiations honourably with the First Nation.
He ruled that the government was not free to impose any agreement it wanted; rather, it must provide benefits that are commensurate or proportionate to the job.
The question of whether the government's benefits package was proportionate is not up to Gower; he said that would be up to the trial judge.