/'J WJ ilJiilii»IMBiyg«HilJII98g9lilSllililillli(JiPiiei|lilll!!llllllil!i8!:9!!illllSiai9»IISSgSEieiSilliSIISIIM!SllIi!^^ / ' Q)he I I Ontario Lands I CTiSE. ARGUMENT OF MR. BLAKE, Q.C.. BEFORE THE PRIVY COUNCIL. s 3 s sS E N.« ^ Press op The Budoet, 64 Bay Stfkst. 1888. 8 mi. 1 DM Ml From EDWARD BLAKE. gn tge (prit>g Counctf. CorxciL Chambhr, ^Vhithhall, Friday. 20th July, 1888. (}}re6cnf : The Ri(;ht Honblk. Thk Eakl ok Selburne. ThK KllJUT HdNBLK. LOKI) WaTSO.V. Tin: ItKaiT HoNBi.K. Lokd Hobhoise. 'I'm; HiiiiiT HoNBi.K. Sik Montague Smith. The IlicHT HoNBi.E. 8ik Barnes Peacock. The IvicHT HoNBi.K. Sir Richard C'oucn. THE ST. CATHARINE'S MILLING AND LUMBER COMPANY V. THE QUEEN. .\K(a;.mi:nt of .mk. jjlaki:. oi- colnsi:i. FOR ()\T.\RI(). TORONTO: I'KKSS W I'm. lil Dtil-.T, 64 llAY .SiKKirr. 18% X i PREFATORY NOTE. M^HE case of The Qukk\ and Thk 8t. Cathakink'w Millixc; Company ^^ was in substance a controversy between Canada and Ontario as to the ownership of a large portion of the soil of the Province, with its timber and minerals ; which were all claimed by the Dominion as its property under the Act of Union, or by virtue of an Indian Treaty made bv its government. The speech for Ontario, now printed, was delivered towards the close of a discussion which lasted seven days. It is hardly needful to inform the professional reader that at so late a stage many topics had been exhausted, much had become familiar, some points had been settled, and there were several indications of the opinions of the Bench. It was of course the advocate's duty to have regard to these condi- tions in the choice of methods and matter, and to touch or omit, state or reiterate, amplify or curtail, according to the exigencies of the cause. Therefore it is not pretended that this aigument is even an attempt to examine completely all the interesting questions involved. For convenience of reference extracts of the most material parts of the B.N, A. Act are appended. L-tctmbtr ..'4th, ISSS. EXTRACTS FROM B. N. A. ACT, 1867. S. 91. — It shall be lawful for the Queen, by and with tlie advice and consent of the Senate and House of Coninions, to make laws for tlie peace, order and good government of Canada, in relation to all matters not coming within the classes of subjects by this Act assigned exclusively to the legislatures of the provinces ; and, for greater certainty, but not so as to restrict the generality of tlie foregoing terms of tliis section, it is hereby de- clared that (notwithstanding anything in this Act) the exclusive legislative authority of tlie Parliament of Canada extends to all matters coming within the classes of subjects next hereinafter enu- merated ; that is to say : 1. The puldic debt and property. 8. The raising of Uioney by any mode or sj'stem of taxation. o. Postal service. 7. Militia, military and naval service and defence. 9. Beacons, buoys, lighthouses and Sable Island. 10. Navigation and shipping. 24. Inilians and lands reserved for the Indians. 29. Such classes of subjects as are expressly excepted in the enumeration of the classes of subjects by this Act as- signed exclusively to the legislatures of the provinces. S. 92. — In each province the legisla- ture may exclusively make laws in rela- tion to matters coming within the classes of subjects next hereinafter enumerated : that is to say : 10. Local works and undertakings other than sucli as are of the following classes : (a) Lines of steam or otlier sliips, railways, canals, telegrajihs, and other works and undertakings connecting the province with any other or others of the provinces, or extending beyond the limits of the province. S. IDS.— The pul)lic works and pro- perty of each province enumerated in the third schedule to this Act shall be the property of Canada. T1!K THIRD SCHEDI'LE. Provincial public works and property to be the property of Canada : 1. Canals with lands and water power connected therewith. 2. I'ublic haibors 8. Lighthouses and piers, and liable Island. 4. Steamboats, dredges and public vessels. .■). Rivers and lake improvements. 6. Railways and railway stocks, mort- gages, and other debts due l)y railway companies. 7. Military roads. 8. Custom houses, post offices and all other public buildings, except such as the government of Canada appropriate for the use of the provincial legislatures and governments. 9. Property transferred by the Im- perial government and known as ordnance property. 10. Armories, drill sheds, military clothing and munitions of war, and lands set apart for general public purposes. S. 109. — All lands, mines, minerals and royalties belonging to the several pro- vinces of Canada, Xova Scotia and New Biunswick at the Union, and all sums then due or payable for such lands, mines, minerals or royalties shall belong to the several provinces of Ontario, Quebec, Nova Scotia and New Brunswick In whicli the same are situate or arise, sub- ject to any trusts existing in respect thereof, and to any interest other than that of the province in the same. S. 1!7. — The several piovinces sliall retain their respective public property not tiierwise disposed of in this Act, subject to the right of Canada to assume any lands or public property retjuired for fortirications or for the defence of the countrv. ARGUMENT. Mk. Blake — It seems to me, my Lords, that three views have been sug- gested as to the character of the Indian interest. My learnemewhat indefinite aggregate called the British Constitutioi.. So further a few words in other cases comprehend vast and com- plicated subjects ; for example we have " laws for the peace, order and good government of Canada," touching "the regulation of trade and commerce, "" "navigation and shipping" "the criminal law," "municipal institutions," " property and civil riglitc," "the ad- ministration of justice." Upon a sound and comprehensive interpretation of these meagre phrases the most impor- tant interests depend. I submit then that in the interpretation of an Act like this a most important enquiry, if not the most important enquiry preliminary to the decision of the meaning of any word or clause is this, what is tlie general scheme of the Act, what is its general purpose and intent in those particulars which bear on the (juestion to be immediately decided ? and what possible construction — what fair construction if moie than one con- struction be open — will best round tlie scheme and effect the purpose ': What then was tiie general sclieme of this Act? First of all, as I have sug- gested, it was to create a fetleral, as distinguished from a legislative union ; but a union composed of several existing and continued entities. It was not the intention of Parliament to mutilate, confound and destroy tlie provinces men- tioned in the preamble, and, having done so, from their mangled remains, stewed in some legislative caldron, to evoke by some legislative incantation absolutely new provinces into an absolutely new ex- istence. It was rather, I submit, the design and object of the act — so far as was consistent with the redivision of the then province of united Canada into its old political parts. Upper and Lower Canada, and with the federal union of the four entities. Nova Scotia, New- Brunswick and the reconstituted parts of old Canada, Ontario and Quebec — it was the design I say, so far as was con- sistent with these objects, by gentle and considei'ate treatment to preserve the vital bi eath and continue the political exister.ce of the old provinces. How- ever this may be, they were being made, as lias been well said, not fractions of a unit, but units of a multiple, -riie Dominion is a multiple, and eacii pro- vince is a unit of that multiple ; and I submit that undue stress lias been laid in the judgment of one of the learned judges below, upon the form whicli is said to have been adopted, of first unit- ing and then dividing the provinces. I submit that the motive and cause of that form was the very circumstance to which I have adverted, the necessity of the re- division of old Canaila. Three provinces there were ; four there were to be ; and the emphatic word in that clause is the word "four." But for tiie special cir- cumstance of the redivision of old Canada, there would have been no such phrase. A^ain, consistently witli and supporting the suggested scheme of tlie Act, there is to be found important lan- guage with reference to provincial institutions and rights of property, which are spoken of as "continued " and " retained," words entirely repugnant to the notion of a destruction and a fresli creation. Then, my Lords, without further elab- orating this point, which 1 have but touched, my next proposition as to the scheme of tliis Act is, that it was to place on an eijual footing, and to secure equal riglits and like conditions under like cir- cumstances to each of the provinces which were to constitute the federation. It is (|uite true tliat there were some special provisions which were perhaps needed, or which at any rate were in- serted by arrangement ; for example, in the cases of Nova Scotia and New Bruns- wick some provisions were made by con- tinuance, while in those of Ontario and Quebec they were necessarily made by fresh enactment : again, Ontario did not want a Lovjislative Council, Quebec did want one ; and in consequence you Hnd that dirt'erence in the original constitu- tion of each province, although each province has power to alter its constitu- tion if it pleases. There are some differ- ences of that description, but, subject to those exceptions, whicli only prove the rule, tliere was to be similarity and equal- ity of condition. Thus I ask your Lord- ships to say that the scheme was one for preserving and not for destroying the provinces, and for securing to them equal rights and similar conditions. And if so, we must seek an interpretation preserva- tive and not destructive, and a construc- tion efjualizing and not discriminating. My next proposition is, tliat the scheme of this Act is to leave the conti'ol, the tenure, tlie management, the owner- ship and the developnsent of the lands in which there is a public, state or Crown interest with tiie province in which those lands are situate ; and if one available construction would practically and satis- factorily accomplish that object as to all the four provinces, while anotlier con- struction, whicii for the moment I assume is also available, would leave those lands to three of tlie provinces, but would abstract from the fourth half its area, the extent of a mighty kingdom ; and would so destroy the similarity and eijuality of condition between the provinces, then I say we are to look for and to choose the construction which will accomplish the former and not the latter result. Next, the scheme of this Act is to deal with Indians and lands reserved for Indians in each province alike ; no distinction is suggested as to the treatment ; and therefore again I argue that, if one construction would accomplish this result, while the other, leaving in three of the provinces vast areas of unsurrendered lands as pi-ovin- cial property, would take away from tiie fourth half its land because unsurren- dered — in case we have a choice, it is not the latter construction which we should choose. Again the scheme of this Act is to pi'ovide provincial revenues for local ser\ices, wliich local services include, amongst the most important, the devel- opment of the lands of the province and the execution and maintenance of public works incidental to that development. These revenues are mainly provided from one potential and two actual sources. The actual sources are the Dominion subsidy, and the revenues from the lands. The potential source is the power of direct taxation — a power which Avas not expected to be much exercised, which it was tliought would not be required, and which in fact has hardly been used ; partly from an "ignorant impatience" of direct taxation, and partly from an un- informed conviction that whatever the province could secure bj' Dominion sub- sidy would be clear gain to the province, although in fact all would pay, and some of them would pay nioie than they re- ceived. So it has happened that in prac- tice the power of direct taxation has been but little used : the Dominion sub- sidies, though enlarged, are inadequate : and the main and essential supply for the deficiency has been and is tlie rev- enue from the Innds. I would beg your Lordships further to observe that, while unsettled timber lands do produce from the timber, so long as settlement is quite sparse, a very large revenue, the very instant you rise from that condition into a condition of substantial settlement and improxement, ttie ([uestions of develop- ment, of administration, of making roads and bridges and of municipal and other government, come to the front, and tend to absorb the whole of the net revenue, and practically to establish the proposi- tion that the fund is t(j be devoted to the purpose of fleveloping the lands from which it springs. Now if one construction would leave this great revenue intact in all the prov- inces, putting them all upon a like foot- ing, giving theai all similar appliances for the discharge of those duties which devolve upon them all alike ; while the other would deprive the principal prov- ince of the revenues of an area etjaal to the Kingdom of Irelandj many times larger than Nova Scotia or New liruns- wick, and threefold even these great di- mensions considering the whole tract in- volved, but would leave that province still cliiirged with its higli duties, still liable to the great expenditures their accom- plishment would involve, yet stripped of the means to meet them — can tliere be a doubt which of those two constructions should be preferred ': My next proposition is, that the scheme proceeds on opposite principles in accomplishing tlie two objects of dis- tributing the legislative powers and arranging tlie proprietary rights. As to to the legislative powers, a residuum — I do not say th<- residuum but a I'esitluum — a part not specifically reserved to the Provinces, is granted generally to the Dominion : I say "a part," l)ecause in- herent in the federal form there is, witii its advantages, great as they are, what may be deemed a defect — it has "the defe^'ts of its (jualities " ; and there are some things which Ctannot at all be done, or at any rate dime by the central author- ity i!i a federal union —which cannot at all be done '' moilo 4 fact uuist be treated as an eijually important factor in construing that ))rauch of the Act as the opposite fact is consiileieil in construing tliat part which relates to the distribution of legislative powers. TiiK Kaki. ov Ski.hoknk — In resjM-ct of wliich luanch ui the Act do \ou use this circUMistance t CocNsKi. Well, I use it now with reference to the question of proprietaiy riglits. FuK Kaki, ok Skmiorne— It struck me that sectitms (M and \(fi are the same. Counsel — I am speaking of 109 and 117. ^'our Lordship sees that 109 gives the lands, and 117 gives the residuum of proprietary rights to the Provinces ; whereas 91 and 92, dealing with legisla- tive jurisdiction, give to the Dominion all that is not specifically handed over to the Provinces. Thk Earl of Selboknk — You say you do not take 102. Counsel— That is the Revenue Clause ? The E*rl of Helbokne — Yes. Counsel — No ; for reasons which will appear later on. I was endeavouring just now so far as I could to state the various lines of argument which converge, in my mind, to one conclusion ; and 1 propose to enlarge on some of them later. SiK M. Smith — You do intend to en- large upon them ? Counsel — Yes, my Lord. I thought the general liearing of the propositions wliicli 1 wat> about to advance would be more plain i*^ I summarised them all in tlie first placi as I am attempting to do. My iifxt point is that the scheme of the Act is to specifically grant every item of property wliich is intended to go to the Dominion ; and tliis -even altliough legislative power f)ver ti'i't ir*.'in iias lieen already, by a previous clause, granted to the llominion ; and, that being, as 1 sliall presently shew more at large, the scheme, 1 ask is a construction to be favored which would in one isolated case trans- fer, by mere implication from tiie grant of legislative power, a vast territory, while in all other tra.ses items of even small value, over which legislative juris- diction is already given, are yet expressly transferred iiy grant '/ The next point is that the scheme of the Act is to secure to each individual his own proprietary rights, and not to transfer these under the operation (if law to any body politic or corjiorate ; and here again the same ipiestion must he put ; is a construction to lie adopted which would, contrary to the scheme, imply in one isolated case from the grant of legislative powei' the transfer of the proprietary lights of others. I say "of others" because, according to the Appel- lants cimtention, the Indians have pro- prietary riglits, and not merely proprie- tary rights, but the substantial pro)>erty in this land : and they certainly have proprietary right>» of an eipiitable nature in the specific reserNcs and the lands which are held in trust for tliem.M liich are vlearly includeil in the (bs(!i iption in con- troversy iii tliis case ; and since, whatever the construction of the words, " Lands reserved for Indians " may be, they com- prise at all events the Indian interest as distinguished from all other interests, the Appellant's construction would trans- fer to the Dominion })y implication, tluit proprietary interest, whicli he contends exists in the Indian. Tliat construc- tion, I sul)nnt, ougiit not to he adopted in preference to a simple, symmetrical and /larmonious constructi'^n whicii will avert all these dilticulties, and ominion ; but yet the property in them was not thought by such inclusion to be transferied, but tliey, like all the other subjects, are expressly transferred. Thus we find that the scheme, from the greatest to the snail- est, ."rom the largest to the most insig- nificant item, is carried out. Kvery one of these iten s. over each of which legis- lative power has been already given, is, when intended to be transferretl, trans- ferred liy express grant. And then hav- ing dealt with all such items, we come at last to " Indians antl lands reserved (or the Indians.' TiiK K\kt, OK Skliuiknk ^'<»u say where there is a ci'se in which it is expe- dient that it should be under Dominion control, there was an express stipulation to that ellect, and you say x* hen- that is not done, it is not transferred. Col NsK.i. Yes. We find by 91 Legis- lative |Miwer confei'red over "Indians any- (iriu ral V. Mercfr, and so expounded as to fully cover this cuse in any aspect, and at any rate upon that middle con- struction of the Indian title on which I am just now arguing the case, namely, the idea that there is a legal, established, recognised and permanent right in the Indians, the nature of which 1 have entleavoured to indicate. I say that the whole current of the autlutrities in the United States, thougli some of then) state the case of tlu- Indians in the strongest way, yet biings you to the con-lusion that the lord paramount was the state ; that the ilom'niiinn >(irerfnm was in the state ; that there was an allodial title in the state, and a seisin in fee in the grantee of the state : auved) the servitude ends. And in this connection one must remember that this is not a treaty with "2. (MM) Indians in bulk who claim common rights over .")."), (MK) s(|uaie miles ; it is a treaty with numercuis small bands,! think about thiity, each of which claims its specific portion of the ').■), 00<) scjuare miles; and the snuiller the band the greater the chance, either of removal from the local- ity, or of extinction of the band; while, if there is either a removal from the local- ity or an extinction of the band. the right becomes abscdute and t!ie servitude ends. In the meantime, not further pursuing this branch of the argument, I say, upon these United States" autlK>ritie8, stating the law as they understood it to l>e appli- cable to the old colonial times as well as to their own, there was in the state a right comprehending a seisin in fee — and a jiower to giant in fee, while yet the lanil was unsuiTendered, although \>€- foH' surrender or extinguishment the oecupaticui of the huliaii oould not be disturlwd : and again I say that the Indian right f)f occnpatinn was not trans- ft l»» 11 extinguislied, eitlier by coiKjiiest or )jy surrender to the owner of tlie soil. That being so, I say tliat it is impossible witliiii the case of the Aftoriny-ditu ral V. Miirer to treat the interest of the old Province of Canada — putting it upon a lower ground tlian 1 believe it can fairly be put on — to treat that interest as otlier than "land" at the time when the Hritisli Xortli America Act was passed. \ow some of the phrases whicli ai-e used in the judgment in the Atlormy- (I't ncrai v. Merrer show thi'.t no technical or narrow signification is to be given to the word "land " in this Act. but (juite the coitrary. B^or example : " It was not disputed'" — let me ijuote these words —"in tlie argument for tlie Dominion at the Bar. that all territorial revenues arising within each Province from 'lamls' (ill irhi'h ti rni iiiii.sf he roiiifin htin/nl nit estatfx ill Iniiil )." Tliere is a o Prov- ince in whicii they are situate, oi- arise." So the whole subject matter of the whole section is described in comprehensive terms by yoni Lordships as " royal terii- torial rights. " Then towards the con- clusion of tiie Judgment your Lordships point out that "The larger interpreta- tion (which they regard as in itself the more proper anil natural) also seems to be that most consistent with the nature and general objects of this partion that I shall have to dilate a little further in another biniich of my argument : but I Htjtt>t> with asstiranee that the inteiest. whatever it was, was an interest lielonging to the old Province. Again, if the interest was not "land," surely it was " an interest in land," surely it was "an estate in land," and thus comes within tlie definition in Mercer's case. Hut if not, tlien it was at least " a royal right " in the land. 1 cannot argue that this is the best description, for it seems to me to be an inadecpiate description of an interest so large and substantial, being in truth the land. I>iit if it was no more, it was at least a royal right. Thk Eakl (IK .Sklhokne — The Crown apparently b:'d a fee simple in lands sub- ject to a burden. Co! NSKI- — Ves, bi'rdened by this ser vitude. LoKi) \V^.4TS()S — There are two events which may happen and one is a mere casualty . CorssKi. — One is a mere casualty which may never arise. This is the land, it is at any rate an interest or estate in the land ; but if, by some process of reason- ing which I confess 1 am unable to grasp, it is to be cut down to some point which I connot perceive, it is reducible at any rate no lower than the point f)f royalty ; there is a royal right ; there is a public interest ; it is a part of the "Jura rnjnlin "' ; and it is larger than the right of escheat because it comprehends the right of escheat. In this I'onnection just one reference to t)ie provincial statutes. 1 hope not to trouble yoni' Lordsliips with many such leferences ; but your Lordships will ob- serve that even in the case of the specific reserves, long before Confeder- ation, provision was made for the gi'adual enfranchisement of the Indian ; and as part of the emancipatory process he might receive to himself an estate in part of the land allotted to the tribe ; he was allowed to devise siicii j)art amongst his children, with certain rights to his wife : and if he die*l intestate, then it passed to the children ; but if he left no children, then there was an escheat to the Ci'owit. >io that there was a special extended escheat provided in the case, because the sjH'cial tenun- even of the enfranchised Indian was lower than the onlinary tenure of the white, 'i'he in- ference is obvious. Now there were other interests which itis admitted passed umler this word " land ' ; for example ( j'own lands sold before the union. 'J he ordinary i;ourse was to make a contract of sale, not as a rule for cash, but on cretiit ; and the land r»'mained vested in the Crown until |Niid for. Ni>w there is no doubt wliativer that the int4>rest of 12 the province at Confederation in such land as tliat wouM belong to the pro- vince after Confederation ; the legal estate, the allodial title in fact yould re: main in the Province — would remain in the Crown in tiie interest of the Province I suppose is the more accurate phrase — and the Prligation wliich had been previously undertaken l)y the Crown to convey to tlie purcliaser his property. }}ut this Act is so careful as to expreS'-sly provide that tiie vesting of the prop"rty in the lanrovince of Outai-io since ('onfederation las possessed the 'i//oiiiiiiii. subject to this Indian burden whatever it may be. Now one of their l^iordships below speaks of this clause as saving trusts only, and says that the word "trusts " was inap- propriate to the Indian interest. I think it was hardly inappi(»priate ; if it had stood alone, I tiiink, according tu the view which slu) dd be taken of the character of this interest, " trusts " was nnt a very inappropriate word ; in truth many reserves are very much like trusts, and in many cases the Acts of Piii'liaiueut spc- ik of such lands as being held in trust -see the Pith Victoria, ch.ipter 9, for example. I'liK. K\KI. OK .Ski.iiohnk— I supuose that means what we call a trust, which may Fie vi'Mted in some persons to lie used by them for the benefit of others? ("oiTNSKi. Ves, my Lord ; and there Were alsr) some express Hoyal trusts; there were some lands wiiich were held by the Crown royally in trust for the Indians ; howevei-, ' pass this by, because, though his Lordahip, by an extraordinary acci- dent, entirely omits to take notice of it, yet the fact is that the word " trusts " is not the only relevant word. He entirely overlooksthewords. "or any interest other than that of the Province," and, these words having escaped his attention, he fastens upon the inappropriate character of the word " trust," and points out that as a I'eason why this land should not be treated as vested in the Province, be- cause the Indian interest would not by the word "trust " be saved. His attention failed him or he would have observeil. only a line or two below, the worils "or any other interest other than that of the Province " ; and I say that phrase clear- ly, incontrovertibly, beyond cavil or criticism, must comprehend the Indian interest, whatever that may i)e. There- fore, I do not protract this part of the argument. I do not think it is necessary after theiliscussion here, to say much upon that on which the same learneil judge has placed great stress, namely, the use of the word "public," which he erroneously conceived to be in the clause which I am now discussing, but which, in truth, he imported from the Hinil clause. It is not found in the clause under discussion, lint the insertion of that word wovdd make no ilirt'ereuce whatevci'. " These lands," that is to say, " the interests of the Province, if any, in these lands," were /nih/iri Jnrix. The word " lands" ade(|U:itely and clearly expresses that, and I should feel as strong in my argument if the word " public " had been inserted here, as I do in its tib- seiice ; but I claim that ditl'eience ; it is not to be found here, and if tliere is an intentional omission, tliiit omissi<>ii must have been for the purpose of widening, and certainly not of narrowing, this clause. Then a suggestion was made 1 do not remember whether it was pressed here - but a suggestion was niaile that the word " pul)lii' ' should be I'Kustrnecl by the light ot the foruu'r provincial Acts. I think your Lordships' observation as to limiting the meaning of the words, " land reserved for tlie Indians," by reference to local legisliitiun, is directly applical to this t:onteiition: and I wonhl also recall an obsei x'atioii from I^ord Watson, who pointed (lut that which is perfectly true, that he who would seek to extract one uniform meaning fi-om the word " public' 13 in these Acts would have a very liard task. The Earl of Sklborne — Is it neces- sary to import the wonl ? CoTN^iEL — The misfortune is that a vei'y able dissentini^ .J uilge has imported it for us, and a large part of his argument was founded on its existence in a place where we do not find it. We must, however, give a construction to this word whicli will l)e applicable to the various Provinces. We cannot put a paiticular constiiietion on the wt)rd "public," becau.se that construction is useil in the case of old Canada ; while, turning to Nova Scotia and New iiruns- wick,we tind no uniform meaning, nor can extractanysiinilarconstruction. The word is not tlie sole, or even the governing word in the clau.ses in which it occurs. I do not trouble your Lordships further on tliis point, l)ecause it seems to me thai a fair and reasonable view of this word " lands " would be that if there was any distinction between it and " pulilic lands," as used in tiie 91 st section, it is to widen the phrase ; and even if your Lordships regard the two phrases as e(juivalent, tiie result is tlie same — that this interest is included in " public lands '" as well as in " lands." These were lands held for the State interest even in tha old ("rown Colonies : they were held under statute, and were under public con- trol. Now, I say that even if tiie words in section 91 , " lands reserved for the In- dians," include tiiis tract, that df)es not at all preclude this lainl belonging to the Province. The argument for the Appel- lants on this subject of the legislative power is wholly fallacious. Ihey say it excludes a proprietary interest in others than the Dominion, and therefore settles the (juestion against \18. But I submit that legislative power in tiie Dominion does not exclude a proprietary interest in the Indians. I do not think my friends would seriously contend, with respect to the special reserves and so forth, that the fact that the Dominion has exclusive legislative power, would pieclude a pro- pi ietary interest in tiie Indians, for wliose welfare tliey are so anxious : and if so. if the proprietary interest in the Inilians is to lie preserved notwitlistand- ing tiie grant of cxciiisive legishitive power to tiie l>ominion, wiiy siiould not tiie proprietary interest of tlie Province in tiie same lands, wliy siiould not the proprietary interest of anybody else in the same lands be also maintained, not- witiistanding the grant of that same ex- elusive legislative power? Each Prov- ince has exclusive power of legislation over all private lands, over tlie lands of everyliody situate in the Province, but the proprietary interest still resides in the private owner. And therefore I suij- niit with confidence that the legal estate and the beneficial estate, and the rigiits of old Canada are by 109 expressly declare assistance of that point. Hut I say tiie iiuestion is .settled l>v the rest of tlie clause, " siiii- ject to the right of Canada to assuine any lands or public j>rojM'rty required for fortifications or for the d lence of the country." That seems t clause touclies lands — any possible inteiest in lands which may remain after giving effect to the other clauses of the Act. The Eaki. ok Sklhoknk — Perhaps public property would not include such a riglit as that right to esciieat, I do not think in tlie Mercer case much stress was laid on that clause. Ct.>rNSEK — No, we did not get down to it. You use tlie ret,iduary clause only in case the principil clause does not art'ect the subject. I cannot lay mucli stress on it now, simply because I be- lieve we do not in reality reach it ; but I say if we do reach it, it disposes of the case. Your Lordships in Mercer's case dint if it be held that the words embrace an Indian interest in this tract of whatever natnre, and also the whole estate in the tract, as my learn- ed friends suggest, then how greatly is the ditticulty of implying a proprietary in- terest enlianced I Because in what character does Canada on this hypothesis become a transferee ? Somehow or other, somewhere or other, there is found sometliing or other wiiich vests in Can- ada the proprietary interest in the lands absolutely. Now in wiiat cliaracter ? Is it Ijeneticially as to tiie whole? Is it in trust fur the Indians as to their interest, and beneficially for Canada subject to their interest ? Lord Watso.v — They put it in this way : they do not read it as giving the Indians a reserved right, but it is read by .Mr. McCarthy as lands reserved by the Crown for the use of the Indians. CorxsKL — Quite so ; lands reserved for the use of the Indians. LoKii Watsox -Even in that view it is a mere right to legislate. CoUN'SKL — It is a mere right to legis- late. I am endeavoring to point out the difficulties that follow from anything more, because, as I was saying, in what character does Canada become the trans- feree of a proprietary interest ? Is it bene- ficially as to the wliole ? Is it in trust for the Indians as to their interest, and beneficially for Canachi subject to tlieir interest ? Is it in trust for the Indians as to the whole ? Or is it in trust for the Indians as to tlieir part, and for the province as to its part? It cannot be beneficially as to tlie whole. It must be in trust for the Indians in the special reserves at any rate. Yet there is no safeguarding of their interest. You do not find tliat added which is added in the otiier case where lands are trans- ferred, " subject to existing trusts or interests." You must then imply a trust as well as imply a grant, unless tlie Indians are to be robbed by the British North America Act. However, I sup- pose it will be admitted that it is not beneficially as to the whole ; that as to the Indian interest, at any rate, it is in effect in trust for tlie Indians. Bnt liow then as to the remainder ? The appel- lants claim a beneficial transfer of the remainder : but why in the world, if the Indian interest be transferred only in trust for tlie Indian, should the interest of the province be transferred bene- ficially to the Dominion ? why in the world should a different character be given to the transfer in one case from that which is given in the other ? LoKij Watsox — These headings, if I recollect right, are incorporated into the statute. Counsel — Y"es. LoKU Watsox — I mean the headings such as " Kxecutive power"' and "Legis- lative power" and "Distribution of Legislative power," and there is another which deals with " Revenues, debts, assets, and taxation." CouxsEL — I am not familiar with the ([uestion how far these are treated as parts of the Act. This is, of course, an Imperial Act, my Lord. But I know that they are not marginal notes. Lord Watsox — No, they are part of the statute. Sir Riohaku Couch— That has been considered in some cases in England. Marriaije v. The Eaxttni Coinitits Kail- way was one case. Sir Barnks Pkacock — In the printed copy which I have, in the Act, and I have no doubt it is copied from the Imperial Act. CotJXSEL — Yes, they are in the body of the Act. Here is the official copy, and your Lordships will find that the only difference is that they are in italics. Sir Richard Couch — There is no doubt they are printed in the Act. Sir Barnes Peacock — There is noth- ing in the Act to show that they are not part of it. Counsel — No. Lord Watsox — It has been held that these are parts of the statute. They are not marginal notes. They are the sub- ject matter of legislation. Counsel— Then, as I was observing, if in order to accomplish justice to the Indians you are to iMiply that the trans- fer of their interest is in trust for them, it seems impossible to contend success- fully that a transfer of the remaining interest should be implied to be in another character, beneficially for the transferee ; because all is contained or implied in one set of words, framed to accomplish one endeavour of the legis- lator — that of a grant of legislative power. The legislative power is single ; and if a proprietary grant is to be im- plied, it must be single too ; it can- not be a double grant — a grant in 21 part, on trust, &o as to preserve the rights of the Indians, and in part beneticial, so as to destroy the rights of tlie province. Xow all tliis maze and trouble into which a departure from the true path plunges us, seems to ha escaped by a return to that path. It was not intended to transfer to Canada eitlier the Indian interest or the interest of tlie province. Each still belongs, so to speak, to its owner. Canada has ample powers to protect and deal with the Indian interest. That is all that was necessary. It is all that was proper. It is all that was intended. Else we should have found words of grant, and words of lim- itation as well. Then as to the argument of eipuility also applicable in this aspect, and very notably witii regard to Uritish Columbia, J do no more than simply advert to it, because it seems to mc that my learned friend stateil it fully, with this single observation that as to British Columbia, which does possess territory which I think I shall be able to show, was clearly within the proclamation of 1763, it is perfectly plain that the local government had and exercised the discretion and power to deal with the Indians as if the proclama- tion was of none effect ; and that when the Imperial government, in settling the terms of union, coming to deal with this important question as affecting that large body of Indians, made a stipulation in their interest, that stipulation was not an affirmance of their right under the proclamation to an extinguishment, and to a bargain, and to a treaty ; but a stipulation that as liberal grants as, of its own policy, free will and discretion the British CoUnnbia Government had been in the habit of making to such of these Indians as it dealt with, should be continued. >So we find it treated as a question of policy ; we find an altogether diverse policy pursued ; we nnd recogni- tion of the pursuance of that policy ; and we find the limited safe-guarding of the Indians' interests which was thought adequate by the Imperial authorities and by Canada, namely, to secure that that policy, or a policy as liberal, should be continued. Thus, if there had been no such stipulation, there would have been no obligation at all ; and the province of British Columbia might have left the Indians without any reserves. Thus again the reserves were to go in that case to the Dominion by a grant from the province ; and the lands otherwise were to remain with the province — ex- actly the contention that we make as to Ontario. That is what was recogniv;ed as the condition of things with refer- ence to these 300,000 square miles and 25,000 Indians in British Columbia -all policy ; and the policy maintained, Once again in the negotiations between the Hudson's Bay Company and the Imperial and C'anadian Governments, negotiations completed, not mere diplonuitic discus- sions, but actually consumnuited agree- ments, you find that the most maiked distinction is made between the ordinary rights of white subjects to lands and the Indian title so-called. Canada offers courts and machinery for ad- nnnisteiing justice with refeience to the i-ights ol the white suljjects; Can- ada otters the customary, libeial and humane policv with reference to the In- dians ; and upon that opening sugges- tion, marking the distinction between rigiit and policy, the negotiations are concluded ; and the last letter of the Secretary of State for the colonies, in announcing their conclusion, is an appeal to Canada to carry out a liberal policy towards the Indians. The same line of argument has been advanced by my learned frier 1 as to the conventional line between Ontario and Canada ; on which his point, as I understood it, was simply this : that there was the agreement and concession of both parties to that con- tract that the question of the title to this very land depended upon the single question within whose bounds it fell. At that time (not as when the case came before your Lordships, l)ecause in the meantime Manitoba had been introduced into the dispute), but at that time this disputed territory, if it was not Ontario, was Donunion territory ; and the Do- nunion Government and the Ontario Government both agreed by solemn acts, upon which titles passed — not merely negotiations but acts upon which titles passed — to the pi-oposition that the set- tlement of the boundary would settle the f>wnership of the soil. Wherever that line lay, within that line it was Ontario property ; outside that line it was Do- minion property. Then again tliis very treaty is framed, hardly as a bargain about rights, but rather as an act of bounty and good will ; and it does give a definition of reserves as there uniler- stood : and so far is it from the sugges- tion that the Indians had, so to speak, a paramount title, and that the reserves 22 were retained by them as of their original title, that your Lordships will rind that in this treaty, as in some other treaties, the reserves were not made at the time at all ; that everything passed, and that there is simply a stipulation that there should be carved at a subsequent time out of tlie whole property what are called reserves, after a consultation with tlie Indians. So that they were not in fact reserved. The phrase, indeed, is used, but it is not applicable. The whole passed ; anil afterwards they were to be appropriated out of tliat whole. TiiK E.VKL OK Sklkorne — Was that evfr done ? Cot'N.SEL — Yes, my Lord ; that has all been done. The Earl of Selburne— So that there have !>eeii reserves in the narrower sense of the word createvl out of these lands. Counsel — Yes, my lord. The public documents sliew tl»at beyond dispute. In fact it was done executive authority of the i)ominion. As I have already in- timated, my contention is that the Do- minion has not of itself the right to make the treaty. It has not. as I con- ceive, the power on its own account, and for itself and by itself, to treat with tiie Indians for the surrender to itself of Ontario lands. The Karl of SELBtmsE— In connec- tion with that subject yon will not foiget to take notice of the Act of I8H8. wliich was a legislative Act, and under which I suppose the treHty whs made. CouN.SEL — The Act of the Dominion ? Sir Barnes Peacock — Yes. The Earl of Selborne — On the sup- position that the Dominion had a right to legislate for " Indian and iands re- served for Indians " and that these were such lands, then we have in the next year actual legislation concerning Indians and their lands, which legislation, 1 assume, would apply to these lands. Counsel — Yes ; it may be so. The Earl of Selborne — It was under that legislation, as I understand, that this treaty was made. Coi'NsEL^I understand that has been suggested. The Earl of Selbo.ine — I call your attention to it because if. seems "o me it may be of some importance that we should thoroughly understand the bear- ing on the case of that Act and also of tlie treaty. Counsel— Yes, my Lord, I will state brietly the position that I will elaborate later. I think it may be found that that Act was an attempt to bring togetlier the powers that the old provinces for- merly had, and that the Dominion was thereafter to exercise with reference to the Indians all over tiie Dominion. The Earl of Selborne — Very likely. Counsel — I think it may be fniuul that in the intention of parliament the language would be applicable, and appli- cable only, to the (juestifm of obtaining surrenders of reserves in the sense in which we liave been using that term — specific reserves. The Earl of .^^elborne — Do you mean in the narrower sense? Counsel — Yes. The Earl of Selborne — You will liave to make that out. That is not the present impression of their Lordships, but you may satisfy them that it is so. Sir Harnes I'eacock Do you mean reserves which are created by express treaty ? Counsel — Yes, which had been cre- ateil. Then with your Lordships" per- mission, not having tiiat statute before me at the moment, I would defer that part. Sir Richarl. Comi— It is page 105 of these statutes. Lord Watsov — I should have thought that it was under the powers granted to the Secretary of State for Canada by this Act that the license came to be issued. Counsel -I'liat may be so. I was rather referring to the treaty power. 23 Lord Watson — But it was under the powers given by this Act that the sanc- tion was given. CoussKL — It is perliaps fitting that, before discussing wliat tlie effect of this Act may be, and whether it wouhl apply to these lands if the Dominion had tlie power to deal wit!i them, I should do do what I was about to do, namely, dis- cuss the (juestion whether it has any such power, whether it has any such right. My suggestion is not at all limited to the proposition that the executive has not the power without some legislation, but my proposition is TnK Karl of Selbokse — That they are iiiei)iu[)etent to legislate. CoussKL — Yes ; that not the executive and tlie legislative pciwers together can make the Dominion competent by itself to arrange this treaty for tiie benefit of tl'.e Doiainion itself. Thk Kakl ok Ski.bohnk — I (juite follow that : Init tlie first (piestiun is to see under wiuit autliority the treaty was made, and then when we have seen that to see wliether it is validly made, and then after that comes the important (juestion you have stated as to what is its e fleet. Coi'NSKL — Yes. I was endeavouring to ascertain whether it could be validly made. Thk Earl of Selbornk — There is no magic in tlie word '" treaty " of course. CoirNSKL — Xo ; it is simply a liargain. We say indeed that tlie language wliich my learned friend has pointed out is ratlier tlie language of bmnity and good will : but putting it in the other ligiit, it is a liargain for the surrender, or, rather, as my learned friends on the otiier side put it, for the transfer of the Indian interest. It is nothing more than a bargain ; although it is called a treaty. Now my proposition is, tiiat tiie I)omiii- ion executive has not the power, mu' could the D.iininion Parliament confer on that executive the power, to treat with the Indiana for the surremler or transfer to the Dominion of lands m liith are (Jntario lands. Hut if your Lordships should hold that tlio executive has tiie power, or that the power can be conferred upon it to treat, then that such power is to be exercised for the benefit of tlie province, and does not include any right in the Dominion to accjuire tn itself Ontario lands which aro subject to this claim ; that no such right as that exiotB ; and, if it does not exist, of course the Dominion legislation, being beyond the competence of the Dominion, can make no difference. The supposed power, if it exists, is to be used as 1 sub- mit for the benefit of whom it may con- cern. Canada has the power to legislate for the Jitdians ; but that does not mean that it has the right to deal with them as it now alleges that it has dealt with them. It does not imply a right to acquire their property. Still less tloes it imply a right to appropriate the property of Ontario. Now in order to decide this point we must ascertain what the prin- ciple was with reference to the suriendei . or extinguishment of the Indian interest : in whom the right to deal existed, upon whom it devolved. Conformably to precedent and to authority, invariably so far as I can make out, this Indian title or interest, which is in its various forms an arbitrary creation, subject to diverse limitations and stipulations of the governing and creating power, this Indian interest was invariably subject to this limitation, namely, that it was not transferable by the Indians, that it was not alienable by the Indians, that it was surrenderable or extingiiishable only in favor of the allodial owner, whether the Crown, or a lord proprietor, or a chart- ered colony, or in favor of the individual owner of the fee, who became such in some early instances liy the grant or license of the crown or its grantees with- out any prior extinguishment of the Indian title. L"Hi> Watson — I should like to hear your arguments on both these points. *rhe first (|uestioii I wish you to answer is: Can tlu- Dominion executive take a surrender fr<')m the Indians, the latter stipulating that the lands which they have surrendered should be settled for and the price given by the settlers paid to them, or retained for tluir benefit. That is not the case which is said to have occurred ? ClM'NSEL — No. Lord Watmos — That is one kind of case. That is one view of it. Then there is anotln-r ; whether they could by any possibility arrange with the Indians to take a cession, the Indians not receiving the full benefit of the prices derived from the ceded land ? (^ifTNSKL To take a cession of a por- tion of the lainl. LoKD Watson -Could they so deal with the Indians as to take an advantafie to themselves, assuming that the prop- 24 erty would pass ? That is not precisely the same (jiiestion. Coi'NSEL — No. One question is, whether they could so arrange as to utilise tlie whole beneticial interest in the property for the henetit of the In- dians ; the other (jiiestion is whether they could divide the spoils. •Sir Hahnes Pkacock — Then there is another (juestion as to the effect of tliis treaty, which you will come to. The treaty hahtmlnm is, " To hold it to Her Majesty the Queen, and her successors for ever."' Not to hold it to the Do- minion. Cor.NSEL — Quite so. I am al)out to argue that these words produce the etiect of a surrender to Ontario, notwithstand- ing all the difficulties raised on the other side. Sir Bvunes Pe.U'Oik— And there is the question, wlien it is ceded to the Queen, to whose benefit did it enure, whether to the Queen as represented by tlie Uominion. Coi'NSEL — Quite so. I luq)e to reach that point in a little wlule. Now, witli reference to Lord \Vatsou"s (juestions, of course my argument is entirely in negation of tlie rigiit of tlu; l)oiijiuiun to do either of those two tldngs, because the right of the Dominion to do tlie hrst of those two things, wiiich is to so arrange with the Indians as tliat they sliall enjoy the wliole beneficial interest in the propertj', is eiiuivaleiit to saying tliat, while tlie province has, according to my argument, a substantial lieiieficial interest in tlie property, it is in the power of the Dominion autiiorities at their will to anniliilate lliat interest. I do not see liow these two positions are reconcileable with the sound line of argument which, with a retiiiement of »ul)tiety I liave not been al)le to reach, lias lu'cn applied in the court below, on thcasHiimed incon- sistency of legislative powers existing as to the land in botl> legislatures in a cer- tain sense. Sir IIarnks Pkacock— It is not quite so, l)ecause it may be that the Dominion niiglit -I do not mean to say that it ooiiltl take what was tlie iutei'est of the Indians for their own bemtit, leaving in the province what was in the Crown. Coi'NSEi. - Iiaia- inount, the legislature, in acconlance with what might be thought ti> be his real interest and advantage from time to time. From time to time the tribal right might be more or less infringed ujion in order tf) give an individual Indian a portion of the tiibiil interivst, ami from time to time portions of even that reserve might be surrendered : but invariably such portions were surrend;'red on the view that it was a mere michinery for enabling the Indian to get in money the whole benefit of that wiiich was regarded, as his absolute property. That was the state of things ; and of course justly ouviht to be the state of things with reference to special reserves. It would be entirely unju»f the Crriwn. .My learned friend argued on that "Oh the fee simple must be included." Hut in truth it wai but a nictiiod uf convey- ancing. SiK MoNTAurit Smith— It might bo a very illunory bargain if the iKiminion were to take this enormous territory and sell it and apply all the money for the benefit of the few Indians remaining. Sir Barnes Peacock — Tiie piovince Jiad the interest of the Crown. Treating the interest of the Crown as separate, and assuming the Crown had a separate interest from the native and that that was vested in the province, the province migiit probably have arranged with the Indians to get their interest. Therefore w hen they made an agreement with tlieni that the money wliich should arise from the sale of tlie lands which were after- wards settled should be appropriated to the Indians, that was merely the prov- ince giving up to the Indians that inter- est which they held from the Crown, CoiNSEL — Yes, my Lord. Sir 1>*rnes Peacock— It is not the Dominion. Coi'NsEL — I may be better able to illustrate my position l>y pursuing the thread of the argument which I intended to advance, which was rather to indicate to your Lortlships where I thouglit the power rested on precedent and author- ity ; because, if I find the power some- where else, it is not with the Dominion ; and my argument is that according to the invariable limitation, one thing certain, if there be anything certain in reference to the Indian title, is that the power of obtaining the surrender was limited to the state or corporation, prov- ince, government or individual having the allodial title or the fee as the case might be. I contend that this view is recog- nized throughout from the earliest times ; that it is recognised in this very proclam- ation where that class of question is being dealt with : and this being so, if we find that the province is the owner of the allodial title subject to this l)urden, we find that the province is the projier party to make tiie Imrgain with the Indians I contend that tiiis is the true result ; and I point out that in the later ]X!riods of the colonial governments of Kngland, n Watson — All tlie governors of the provinces derive their appointments from the federal government. Coi'NSEL— That is (juitc so. and yet your Lordships will find that when the legislative power is to be exercised the Lieutenant-Ciovenior is authorised to summon the legislature in the Queen's name. LoKi> HniiH(H?sE — I doubt very much whether it really ntTucts the subject in question here, only you must not use language which seems to imply that there is anything special in the relation of the Crown to the province. Counsel — Oh no, my Lord, I quite observe that ; and I have never been able to reconcile to myself the manner in which the local legislatures are formed — consisting, as they do, of the Lieutenant- Governor and the House or Houses — with the fact that the Lieutenant (jovernor is expressly ordered to call together the legislature of which he is one part, in tiie Queen's name. The Act says so. Lord HoiiHorsE— That is an executive act — calling the parliament togetlier. CoLNSfcL— Yes. lint if alltiie executive acts were to be in the Queen's name, why was tliis particular act specially provided to be done in the Queen's name ? LoRi> HoHHorsE — All prosecutions have to be in the Queen's name. t'ot'NsEL — Of course. That is one of the proofs — in spite of the peculiar nature of tlie link to which his Lordship Lord Selbornc has referred between the Crown and the province — that is one of the grounds why we contend that by reason of universal piactice and of neces- sity the provinces are entitled to use the name of the Crown in all acts in which according to usual British principles and practice the Crown's name is used. Sir Barnes Peacock — All the grants to settlers are in the Crown's name. CoT'NsEL — Yes, and informations are in the Crown's name, and they are the Queens courts, and the Queen's judges, and so forth. So that, notwitl^standing the complication an(' puzzlement, unless everything that has been done for twenty-one years is to be upset, it is certain as to these things wliich were done before, and which, i)eing done be- fore, were cf)ntinued to be done by the provinces after confederation, that, as they were done before, bo they have been dkxe — It is per- fectly consistent with tliat, that for the sul)jects included tlie Dominion may have a very large and complete legisla- tive power ; even althougii as t<> some of those subjects the province is empowered to legislate. Counsel — Unquestionably. All that I am careful to do is to prevent the Dominion from havinsjr an anniliilatinK powei'. The Earl of Seliiorne — You use that word very boldly and very itigeni- ously, l)ut I am not sure that it is in the nature of that. Counsel — Well, it seems to me to ratlier tend to annihilate the substantial intei'est of Ontario. The Eakl ok Selhdkne— In one .sense every sale admits the previous state of the title. Counsel — I was using tlie word with reference to one of Lord Watson's ([ues- tions put to me, namely, wliethei it was competent to tlie Dominion (Jovernnient to arrange with the Indians that they would take these 5.), 000 scjuare miles, and that it should i)e all ceded on the terms that the whole should be sold and realized for the i)en!iHt of the Indians. If tiiat be competent to tlie Dominion (iovernment I tliink that it annihilates the benelicial interest of tlie province. The Earl or Selborne — Tlie jnovince would maintain against the purchaser, I suppose, thu j 111 mjfili that it h.td before, that is to say, it would iiave tlie riglit of escheat and wiiatever royal rights there woulil be in mines and royalties and so on. Counsel — It may be so ; but to retain the casual rights to which your Lor \Vatson — If that is so, it does not show that the Dominion (Government ought to sijueeze the occupants. Counsel— Xo ; I say tliat the Indian occupies a better position now. LoKi> Wats(jn — Hut really that is not the (jiiestion. Sir Barne.s Peacock — It must be liorne in mind tiiat in the Dominion Par- liament the provinces are respectively represented by their members in the House of Commons, and also to a certain extent by the (p;alification of the sena- tors. A certain portion of the senators must reside in the province as part of their (lualification, ami hold property in the province. Tiierefore the Dominion Parliament cannot do anything without its being done witli the consent of the representatives in the House of Com- mons and also of the Senate. CoiTN.sEL — Quite so: but then, of coiir.se, if you take a small province like Prince Edward Islaml, which has six meml)ers and two senators, they may all vote one way, but their votes do not count greatly. LoRH Watson — The province has a right of the same kind in the smaller reservations which the Indians accepted upon surrender, and apparently it is recognized by statute that they may stipulate for certain things, and there- fore it wouM .seem that they have a right to stipulate for the land. 29 Counsel — But the right is very much smaller. Lord Watson — It seems to be equit- able. Counsel — I think your Lordship will find that it is distitictly laid down tiiat where reserves have been made upon cessions, the land is not held as niy friend, Mr. McCarthy, contended, solely as of the original title of the Indians ; but tlie Indian holds the reserves, con- firmed and strengthened by the cunipact expressed or implied in the treaty, wliich is that instead of his having the limited occupancy of the whole, he has practic- ally the entire equitable title in the part reserved. Lord Watson — If so, that simply destroys the provincial interest in that part. CoUNSKL — It leaves even then a cer- tain provincial interest, as for instance the interest ot escheat. Xow, after the ap- pointnient of the general Indian super- intendents in the old colonial times, there were several treaties made, and amongst others treaties with the South- ern Indians in I'.lJiJ, tiie very year of the proclamation, and in ITO."*. They are to be found in tue appendix, page 8.3. Your Lot (Iships will find there the principle of action which I venture to suggest ought to and does apply in this case, and which provides the best way of working out this complicated nuitter. " Present — James Wrigiit. Esq., (Governor of (ieorgin ; Arthur Dobbs, Es(|., (Governor of North Carolina; Thomas Boone, Esq., (iover- nor of South Carolina ; Frans Fauquier, Es(|., Lieut. -(iovernor of Virginia ; John Stuart, Esq., Superintendent of Iiulian Affairs for the Soutliern District in North America, Headmen of tlie Cluck- asows. Upper and Lower Creeks, Chac- taws, Cherokees, Catawbas." These are the persons wiio were present at the treaty. Your Lordship sees it affected all these colonies and it affected these tribe.s of Indians. It was a treaty for a boun- dary upon wiiicli I shall have to trouble your Lordsliips witli some observations later. "The Creeks grant that the V)oundary between the English settle- ments and our lands and hunting grounds shall be known by a line extending," and so forth. " The Catawbas confirm a foi'- mer agreement and declare they will remain satisfied with the tract of lanil fifteen miles scjuare, a survey of wliich was Iwgun," and the governors and super- intendents promised that the survey should be finished, and that the Cataw- bas should not be molested within those lines. Thus your LorUship sees the method in wliich, after the appointment by the Imperial (Jovernment of a super- intending authority, who had, as your Lordships will see from his instructions, great executive and administrative con- trol, the interests of the Indians and of the provinces were adjusted. The prov- inces were there by their representatives ; the Indians were there by their head- men ; and the Imperial power was there by tlie superintendent overseeing the bar- gain. The Earl of Selborne— Is that a precedent for the nuide in which it was done under the British North America Act. Counsel — It seems to me to be prac- tically a precisely analogous case. I say that the superintending power of the Dominion is very analogous to the super- inteiKliug power whicii tlie chief suner- intendent had in respect of the India 's. There is a similar cession of land oi the Cherokees to South ('aru!iiia, it is dated October lOtli, 17f those treaties to which I liave just referred as applicable to tlie provinces of North and South Carolina, and to the Northern District as well, under Sir William Johnson. Then it says, "We submit that their other branches of duty and service which require the inter- vention of officers acting under your Majesty's immediate authority, and which as they have reference to the general interests of the Indian, independ- ent of their connection witli any partic- ular colony, cannot be provided for by the provincial laws. Such are the re- newal (.'f ancient compacts or covenant chains made between the Crown and the principal tribes of savages in that country, the reconciling differences and dispi :es between one body of Indians and c .lother ; the agreeing with tlieni for the sale or surrender of lands for public purposes not lying within the limits of any particular colony." So that there, where there were no colonial interests, they were to agree absolutely ; while in the other cases, as I have pointed out, they were present as supervisors who were assisting, and acting in a superin- tending position when the colonies were interested in tlie making of the treaties, whicli accordingly were to be made be- tween tlie colony and the Indian. LoRO Watson — No doubt, but at that time the most urgent duty of the man- ager was to negotiate concerning the boundary line. [AiljoiiriK'd.] [HcinimeAl TucMlny 24'h July.] Mr. BlaivE — My Lortls, when your Lord- ships adjourned I had concluded, with a single exception, the earlier references I intended to make illustrative of tlie practical operation of the working which 1 suggested of the IJritish Nortli America Act. My remaining reference prior to the Revolution is to the Imperial plan of 1704 for tlie management of Indian agencies, the 11th paragraph of whicli is in these words : " That the said agents or superintendents do in all affairs of political consideration respecting peace or war with the Indians, purchase of lands and other matters in which it may be necessary to hold any general meet- ings with the Indians, advise and act in concert with the governor or governors and councils, as the occasion may arise, of the several colonies within their re- spective districts," and in this wise, as I have already pointed out, things were actually done. Then, my Lords, to carry on that line of reference to the making of the treaties in Upper Canada in the old times, my learned friend, Mr. McCarthy, produced a book which contains these treaties ; but that book is not complete, in this sense, that it gives only the sub- stance of the treaties without giving the names of the signatories : and I have to call your Lordships attention to the fact that a full copy of those treaties would 31 disclose the application of the same prin- ciple. In the early days, while the prov- ince was not yet enjoying responsilile government, before the cession of the territorial revenues of the Crown, while everything was largely, and Indian affairs were very specially retained under the supervision of the Imperial authori- ties ; yet, even then, commissioners on behalf of the province intervened in the making of the Indian treaties in those territoiies in Upper Canada in which the Indian title had not been extinguished. For example : there was a treaty of tlie 21st August, 1797, in winch Robert Mil- lar and Lieo. Chisholm signed as comnus- sioners on behalf of Upper Canada. On 5th August, 1816, F. \V. Allan and Alex- ander Wood signed as such commission- ers. On ;Wth June, 1798, David Cowan anefore and after tlie Revolution, and also of the United States, is the principle whicli, if tiie clause of the Act is susceptible of its application, your Loi'dsliips should be disposed to apply. LoKU Watson — Do you suggest it is necessary to go into such speculation as tills iu order to determine what was the course of dealing with the Indians by the British authorities. CorxsKL — Not in order to determine what was the actual course ; but to give an interpretation to the clause of the British North America Act which gives a certain legislative authority to the Dominion in respect of lands reserved for the Indians. Thk Earl of Selborne — I have a ditiiculty in following that. It would seem to show that the province and not the Dominion ought to have had accord- ing to tliat argument the special poM-ers over Indians and the Indian lands which were given to the Dominion. CoiNSEL — Hardly, my Lord ; I hope to be able to remove that impression by this suggestion, that on the hypothesis on which I have been arguing the case, namely, that the Indians have a right of the character which I have endeavoured to describe, there can be no claim that the province has the power to con- trol the exercise of tlie Indian right at all. The Indians on that hypothesis are entitled to a limited occupation and enjoyment of their hands according to the immemorial custom, unless ami until they shall freely extinguish or surrender that right. The province has no power to coerce an extinguishment, to compel an extinguishment, to dictate the terms of an extinguishment. But inasmuch as the extinguishment or surrender, by the invariable rule and by the vevy nature of the operation, is to be in favor of the owners of the soil burdened with the easement, the province is to be a party to the transaction ; but, further, in the interest of the Indian, care is to be taken by the intervention of the Dominion that the Indian is not overborne or oppressed or tricked. SiK M. E. .Smith — Where would that argument lead, because the treaty would be of no avail without the consent of the province ? Cou NSEL — Yes. Sir M. E. Smith — Then the rights ai"e not extinguished ? Cor.vsEL — No. Sir M. E. Smith — Then it lands you where you were before. Counsel — Yes ; that is one view; sub- ject to the submission that Ontario has always been and now is willing to validate this treaty ; but on the abstract point of law I was proceeding to point out that \'ery view. Sir M. E. Smith — The extinguish- ment depends on the treaty. Counsel — Yes ; but the right of Ontario to prevent the wasting of her timber does not at all depend, as we con- tend, on the treaty. It does not at all depend on the extinguishment. We contend that Ontario has a right to pre- vent the spoliation of the timber whether the title is or is not extinguished. Lord Watson — Apparently the case in the United States was that these cessions by the Indians were niaile by them to the people of the state. Counsel — Sometimes to the United States for the state or the individual owner, and sometimes to the state or owner direct There are'variations. Some- times the treaty appears to be made by the United States commissioners, the other parties being present, and some- times it is made by the parties them- selves, the United States being present ; but in all, the general principle is observed. In the early Upper Canada times, while the colony remained as yet without responsible government and these Indian affiiirs were managed at the will of England and by English officers, the province was yet a party to the treaties ; and it is not to be forgotten in this connection that the proclamation of 1763 itself, upon which so much in this case depends, recognizes expressly the right and the exclusive right of a pro- prietary government to make a treaty in cases in which there was a proprietary government. Your Lordships will recol- lect that the clause of the proclamation 33 which deals with treaties in che parts of the ohi colonies antl governments which were open to settlement, provides that no treaty shall be made except at a public meeting and so forth, that it shall be made by the Crown anil in favor of the Crown in the case of the royal gov- ernments, and by the proprietary and in favor of the proprietary in the case of the proprietary governments. The whole system then, as I maintain, was one of recognition of the right of the owners to make or participate in tlie bargain, coupled with protective pro- visions in later days in the interest of the Indians. Now, my Lords, I submit that the executive authority of the province, which of course can if necessary be re- inforced by its legislative authority, is ample for the performance of the func- tions which I am suggesting may prop- erly be ascribed to the province ; and without troubling your Lordships with a repetition of the argument 1 would take leave to refer to the judgment of Mr. Justice Burton, on pages 46 and 47 of the llecord, as elucidating that view. I submit that the division of executive authority has, as I think is agreed on the other side, reference to the functions of government ; and that all the execu- tive authority which is needed by the provinces to discharge their functions, remains to them. The province, as has been said, grants Crown lands in the Crown's name, and the province can surely deal with claimants to or owners of interests in Crown lands. If the claimant or the owner of the interest were Smith or Jones, no question coulil at all arise ; and I cannot perceive tiiat it makes any difference tliat his name is Yellowquill or Strike him-in-the-Back or any other of the euphonious names used by these Indians. The only differ- ence in truth is this, that the interests of yellowquill and Strike-him-in-the-Back, are specially protected under tiie law, since their rights and interests are not absolutely in their own hands and at their own free disposal. They are in the hands of the Dominion executive and legislature, who are to act for and to control tliem, and whose authorities are to be parties to the treaty. Tliis, my Lords, is the construction which is most for the interest of the Indians. Tlie reason of the change of policy whicli I have already stated, and which was continuous,' was this, that it was found that where the state or the individual held a double position, being on the one hand the owner of the soil subject to the Indian easement, and being on the other hand clothed with that great authority and influence which the government of the country or the lordship of tlie soil conferred, the temptation was too great to make a liard bargain \\ ith the Indians ; and it was in order to protect tlie Indians by the interposition of a power at once disinterested and exalted that this prin- ciple of action was introduced. Apply that reasoning to the present case, and it gives, according to my reading of tlie Act, the same lesults. But if it is not applied, if it is held that the Dominion has the power to make a treaty of wliich it shall enjoy the benefit, a bargain whicli is to be a bargain for its own advantage, in which it is considering, or attempting to consider, the interest of the Indians by one mental operation, while it is advancing its own interest by another, of course under such circum- stances all protection is removed. Lord Watson — Tiiat is one reason for holding tliat the powers of the Dominion may not extend to making any transac- tion for tlieir own benefit. Corx.sEL — I said tiie other day cadit qnestio, if your Lordships come, as I hope you will, to that conclusion. Loud \V.\tson — All that they did under this treaty was to make a cession to the Crown. CoTNSEL — I am just about to reach that point. All that I am desirous to do is to maintain, by one mode or the other, the proposition that the sauie party shall not have power to make the treaty which is to gain the benefit under the treaty. Lord '.Vatson — The reasoning of Mr. Justice Burton really, on page 46 of the record, resolves itself into an additional argument in favor of a limited reading of the word " reserved " in sub-sec. 24. Counsel — In part it does. Lord Watson — He reads it as an ar- gument in favor of restricting the power of the Dominion to these Indian reserves. The Earl of Selrorne — He goes a . very great length, indeed. Counsel — Yes, I (piite agree tliat he does go a very great length, further, perhaps, than any of the other Judges ; but the line of reasoning he pursues ap- peared to me to exemplify my argument. Lord Watson— His argument seems to be ab inconvenient i, nothing more. 34 CorNSEL — Then, coining to that ques- tion to which your Lordship lias just alludeil, I submit tiiat it wouhl be contrary to reason and to tlie recognized canons of construction, to give sucli an interpietation to tlie grant of legislative power as would be destructive of the otiier parts of the Act. The power in tiuth is given — and J do not think sufficient attention was paid in the appellants' argument (with due respect I say it), to this view — the power is given in truth, as the other powers are given by the 91st section, sub- ject to the controlling clause that it is a power to legislate for the peace, order and good government of Canada, of the whole Dominion. It is legislative power of that description that is con- ferred ; and, as has been held in one important case and repeated and approv- ed of by your Lordships, a fair reading must be given, and such an interpreta- tion assigned to that grant as is recon- cileable with tlie continued existence of the other rights and interests given by the Act. If tnen, as I have contended, Ontario retains the interest of old Canada in these lands, it is not reconcileable with the existence of such an interest in Ontario that the Dominion should have power to take them away and appro- priate them to herself ; and all I contend for, and all I desire to contend for is such a limitation of the powers of legislation as shall prevent them from covering the proposition that Canada can legislate into herself, or by executive action appropriate to herself Ontario's interest in the land. Lord Watson— The argument on that point of Mr. McCarthy, as I understood, was mainly this, not wholly, that under the general scheme of the Act property was intended to follow or accompanj' the right of administration and legislative jurisdiction that where you find both the administration and power of legislation the right of property must also follow. CocN'SEL — Yes, that seemed to be the argument, and >ipon that I have ad- dressed your Lordships ; I am not able to add anything upon that. SiK M. E. Smith — You showed that where property was intended to pass in certain instances there were specific enactments giving the property. The Earl of Selbornc: — We shall not forget that argument. CoiTNSEL^I have no intention in the slightest degree of reiterating anything I have said on that head if I can possibly avoid it. I diil not discuss fully, but I just fore-shadowed the particular line 1 am now about to ask permission to lay be- fore you ; and what I say is that if a trust or a limitation can be implied which would safeguard those rights of Ontario, of course the question of the form of the treaty ami whether Ontario should be a party to the treaty becomes for this purpose less material. In fact one reason, though not every reason, for Ontario's being a party to the treaty would cease if the Dominion really occupied an indilFerent position as be- tween the Indians and the province. The trouble arises the instant it is con- tended, as my learned friends contend, that the Dominion does not occupy an indifferent position towards the Indians, because it is to gain whatever the Indians lose ; that it does not occupy an indifferent position towards Ontario, be- cause it may, by its treaty with the Indians, act(uire Ontario's lands. I dispute altogether the general contention of my learned friend, Mr. McCarthy, as to the effect with regard to property of the grant of legislative power. I think that contention was entirely extreme, and was quite unsustainable. Take for example the illustrations he gave, the cases of public buildings or farms which the Dominion may acquire. I may point out that the acquisition of the agricul- tural lands to which my learned friend alluded was under an exercise of powers specially granted, because the subject of agricultuie is one of the few subjects on which there is a concurrent legislative power in the Dominion and the pro- vinces; and those farms were acquired in the interests of the development of agriculture. But I say that, with refer- ence to those properties which the I^ominion has in the exercise of its legislative power accjuired, that power does not extend to enable it to alter for example the tenure or the mode of conveyance. It cannot devise a new tenure for its properties. The tenure which is devised by the oi'dinary law of the province for all properties must be the tenure of its properties. 80 also the form by which they shall be granted or aliened remains to be settled by the province. So again even with reference to general police or fire or sanitary regu- lations, which may be essential to the safety and comfort of all the neighboring occupants of a city, I maintain that the 35 general power of legislation of the JJoininioii would not extend to enaVde it to exempt anything it might buy from such regulations. Sir M. E. Smith — I suppose if section 109 gives these lands to the province, the JJoniinion legislation could not take it away. It would be altering tlie Imperial Act. Cor.N'SKL — That is my argument. We must tind a construction which shall reconcile the legislative powers of the Dominion, given in one section, with the proprietary riglits, aye, and also with the legislative powers of the province, given in another. That, of course, is the recognized canon of construction. As to this extreme view of the legislative power, I would refer to one express limitation which shews the character of this so-called exclusive power. I mean section 125 where it is pro\ided that no lands or property belonging to Canada or any province shall be liable to taxa- tion. This was doubtless to ensure that tlie powers of taxation which were gi\'en in that division of the Act, generally to the province by direct taxation, and tc the Dominion by direct and indirect methods, should not be used destruc- tively to the interests of the provinces by the Dominion, or to the interests of tlie Dominion l)y the pi-ovinces. Nor is there any foundation I submit for the view of my learned friend, Mr. McCarthy that tile Dominion may buy property in its uncontrolled discretion. It can only buy property under its express powers, or undei- its incidental powers in order to the fulfilment of its proper functions. Whatever its functions are, if the ac- (juisition of a property be an incident of their proper fultilinent, it may be able to act^uire that property ; but there is no unlimited power to actjuire for other purposes. I think the whole argument was reduced to an absurdity by the suggestion wliich was made. Could tlie Dominion buy up the soil of the island of Prince Edward, wliicli is not a very large place, and, by buying it up, get an absolute exclusive legislative jurisdiction over the whole lands of Prince Edward Island, and take away from tiie province in effect its jurisdiction over property in the province? LoKP Watson — It does not seem to me to have much bearing on the real question at issue. It is (piite obvious the Dominion could lay no claim to land of that description under section 10!). CouN.SEL — Certainly not. The pro- vince could not lay claim to those lands. I was only endeavouring to answer my learned friend's argument. I would not myself have introduced the question. L(iKi) W.vTsoN' — I did not see the bearing of the argument on the real (question. CorxsEL — Then the lands which are lawfully bought, and may be subject to the legislative control of the Dominion, which, as I have shown, is not unlimited, are subject to that legislative control in all things which concern the peace, order and good government of Canada, and perhaps in all things which are essential to the preservation of tlie Dominion in- terests. They 'nay have such powers of legislation over those lands as are essen- tial, in order that they, may effectively deal with their own property and carry out the objects of their purchase, lint that is the furthest limit. Now, from that construction it would follow, I sub- mit, that no treaty that could be made by the Dominion Government, and no power that it has or can acquire to itself by the action of Parliament, could de- feat the claims of Ontario, those claims being liased upon the proposition that Ontario is owner, subject to the Indian interest, and that the Indian interest is not transferalle. but only extinguish- able. I5ut I submit the case is made easier and clearer, and in fact so ea.sy and clear as to be beyond dispute and discussion, by that fact to which allusion was made by his Lordship Sir Barnes Peacock, earlier in the argument, and to which Lord Watson referred a moment ago, that this is a Crown interest and estate. It is the Crown that holds all Ontario ungranted lands. Tlie hahcn- (him in this treaty is to the Crown. Thus the court is perfectly free to decide, the hahemhun being to the Crown, in what interest, ii: what right, the name of the Crovvnis used. In what interest or right can it be used ? It would surely be a violent construction to liold that a ces- sion which in its very title and terms is a surrender, and thus has regard to the fact that it is being made to the owner of the main interest, of the proprietary interest, of the lordsiiip, a cession which is in terms to the Crown, whicliCrf)wn was such owner in the interest or right of Ontario, has the effect of extinguishing the title of Ontario, and of converting both the Indian title, and the entire title which was tlieretf)fore held in the name of the 36 Crown for Ontario, into an estate lield by the Crown for the Dominion I That is an effect and operation which would be most violent and unjust. 1 can sliow that it was impossible that the transac- tion could have taken any other form than this of a surrender to the Crown. But if we are to conceive an attempt to put it in some other form, to clothe tlie Dominiou with power, for example, to take the title to a trustee for itself, I submit that would be void. I am not driven to that. It is not necessary to discuss it ; because we have here a case in which the interest of the lord of the Boil was recognized. The soil was in the Crown. It was, according to my argu- ment, in the Crown in right of Ontario. Then the cession and surrender to tlie Crown was surely to the Crown in that same right, namely, in right of Ontario I Thus tlie treaty enures expressly to the beuerit of Ontario ; the case being very much easier than those in which ce.ssions, though made to the United States of America, have yet been held to enure to the benefit of the state ur individual really entitled. Now as to the burdens which the treaty involves, it is to l)e observed that it has never been desired to disturb tlie treaty at all. in view of the etfect of such action oil the ignorant Indians, who do not know anything of these legal ami conslitutional subtleties of ours — <)ft«o Crowns at Westminster or in Canada, any more than at Brentford ; that it has never been desired to repiuliate tlie i>iir- dens which are involved Thk Kaki. ok .Ski.ikikne— We must not fall back upon the willingni'^s of the province t» undertake the hiiKiens. It the incidence of the burdens under the treaty is material to the <|uestii>n you mufit deal with it as it Htandx. CtMNSKL— I (juite admit that. I do not dispute that the mere vuluiitury cuncession of the province can nut add to or alter its legal rights. Thk Kakl ok Sklimiknk I nee ntiidi« to throw any |M>eiili»r biirilen u|miii the Crowu. OmsmkL -Not ilirectly. Thk K*hi, f>¥ Sklkokne — Neither directly nor by iniplicMtioit on tiie ■iip- positiiin tliat tiMt evasion oiierat*-* tor the timeht of the pro* m- . C'>ominioii property if within the limits omiiiion. Thk P^\rl ok Sklbornk — I do not follow you when you say Dominion pro- perty within the limits of the Dominion. Col'NSKL— The province of .Manitoba, as originally constituted and as it stood for many years alter this treaty was made, extended only to a point west of the Lake of the Woods. The title to the intervening part from the then eastern limit of Manitoba to Ontario was disputed between the Dominion and Ontario. .Manitoba hud no claim to it whatever. Thk Kari. ok Sklhoknk -Then there was Dominion teiritoiy which was in no province. CoiN^Ki. .Surely, my Lonl, and there is still. The very province of Manitoba itself was Doiiiinion teiritoiy. It was enibraced in the cexsion by the Im|>»*>'ia| ^ Government of the Hudson's Hay and the North- Went Territories. There i» nonie- thiiii: like two inilliona of iM|iiare miles, I lielieve, altogether embraced in that eewiionwliieh iM-eaine Ihiminioii U-rritory. Out of ihfit they c«rveo»es to entertain the argu- ment of n>y learned friend tiiat great expense has Iwen gone to by the Dominion. It seemed to nie extremely remote. TiiK Kaim. OF SK.l.KniiNK — That cannot l)e nniterial. Thi- i|ueHtion of principle of courHe deserves eonsiderution. Cui'NSKi.— I woulil '>nly nay it »'eeniod to me extremely remote. I would rather wanh our ilirty linen at home. I do not want to enter into, nor haxe \»e the matt'iiaU here for ilim-iiiuiing the rcnnnn •I that failure of MdniiniMtratjon if < "n 4iiriwit4-d witii the Muuceiwnf the provim lul •i1niiiii»trNtioii of Crown I^imU. Kut this oiiwrvation I niav make, th.it there i* no doubt M halfStt lliMt the extftt'iice of tHp (]is|mtf . ntt my \enmri\ tfi' ti'i ^^r. Mt'f »itby «»id. did affei t iii< i- .•".i,,,iii.- I of •t. lis... ti . -• Uao\ That seems to me the inherent right of the Crown. Ihese ob- ligations are the conditions iipcin which the Crown claims a ceM«ion. Thk Kaui. ok Ski.mok.sk — As to some of those you tohl us, I think, before, and it did not Ncem to be dir^putcd that the whole tiling had been ^Ki, -VeK; your I^tirdnhip (-ailed my attention to the Act of IMM, and ask*N) ni«! to 8t«t« whether I contended that it did not anthorixr the makint; of thlM IffMty. I have Bin-i til< i 'll'U u l • v<' utivt- sab- 39 stantially iJentical with the language of the provincial Act, from whicii it was obviously copied. LoKK Watsox — That argument we may hold of course as applying to tiiat Act, also as to the limit of the woid " i serve " and public lands. ^ CNsEL — Yes. i^oKD \\'ats(jx — The same argument applies. Coi'NSEL — Yes. It is not to be doubted that in the mind of tlie Provincial Legis- lature, and in the nund of the Dc)niinion Legislature, at the time of the passing of that Act, they were special reserves that were being thought of. Thk Kaki. ok Ski.bokne — I do not innlerstand that to Ite the case. It is not admitted, it is doubtetl at least. Cdi'NSEL — I will give your Lordsliip the reason ; because at that time there was no subject at all on which tliis Act couhl possibly operate, with reference to wliich treaties could be made, save special reserves. Xo one tiiouylit of toucliing tiii.s particular area, whicli was at tliat time disputed between Canada and the Hudsons Bay Company ; and there were no other lands to toucli. Thk Kaki, ok Ski.buknk — \Vhat dirt'er- ence would that make? Tlie legislatnie does not tldnk of every item to which the language may apply. It uses general language. If tliese lantU fall witliin that laiiiruage, tliat language applies to tliem, aitliougli theie may have li.en a dispute which it seems to me is not taken notice of one way or tlie otlier. ' .r hi//ii>fhisi these lands diil in point of fact belong to Canada. If tiiey were Indian lands witliin the meaning of this legisla- tion, they fall within that legislation, although nobody at the time thought of them. CsKi. All I was HUu'gestini.' was that nobody at the time ever did think of such athinu as being possible, iMscause it waH in truth imposHible. Ln tdearly. My profumition w>«« that it was not in the mind of th«- l<*t{is latnre to t^iucli tliese lands nt that time, althout;li the liiuiiage may Im- br<>a» ■^»l HiiK^K -W» know BotliiiiK alMMit the miml '4 tim l«|fi*l*' tiire, and in point of fact no legislature has any mind, except tliat which is ex- pressed in tlie words which it has used. Counsel — And sometimes it is very ditticult to tind it even there, my Lord. The language of this statute, however, does not appear to be directed to such transactions as were effected by this treat}'. It doe« not contemplate a treaty with a large nund)ei- of l)ands of Indians, acting together and at one time, in respect of tlie extinguisiuiient of the sev- eral tribal rights of this large number over various areas. The language is more applicable to the case of one l)and or tribe or body of Indians dealing with reference to its own special or other reserve. It is to be remendiered that although the statute refers to more than one ciiief, many of the bands had more than one chief, .'"•o that the force of my observation is not interfered w ith by that circumstance. Your Loidsliips w!.' als(j observe a provision as to the residence upon the land of the signatory or assent- ing chiefs, which seems to be hardly ap- plicable to a case in which it was (juite impossible that the assenting chiefs could reside upon the lands. Kach could leside, it is true, upon the land of his band, but no one had any relation to the land of the othei' banes. I'.ut if \ou will notice tliis tieaty bad relation to an area of over ."»(;. (MH) »((mtte miles, and it was not one trilx* of Indians that was sup- posed to occupy that urea, biit some twenty or thirty tribes were supposed eaeh to occupy and rtside on a ditierent fsirtion of that area. It is \\ ith relation to that circumstance I s{X'iik. I (|nit« admit the chief is Bupp<>sed to reside witliin hi* own area, but n«>t within tite area of the others. 1'hen. as I was say- ing, there was to ]te piiMif Coll m Where is that? Col >sKi It is the Hth s«-ction. The tirat condition is that to which i referriMl a moment mn<>. The seefind one is that to which I am noa- referrinU' .*»ih Hi< H\i(i> Col. II Vou said proof on oath. ('oiKaci. ~Vea. the sei-ond sahMction. It kt mm 9f tbt- r-trndttirms npon wbicii 40 the treaty is to be operative. It is to be transmitted The Earl of Sklborne— It is to be certified on oatli by the officers author- ised. CorxsEL — Yes. I am not aware that these conditions have been at all complied with. There is no evidence that they have. The Earl of Selborne — We cannot suppose that they were not complied with. If all that does appear is consist- eiit with action taken uniler this Act we must presume tiiat they were complied with. " Omnia pntKumuntur rite esKe acta." Coi'NSEL — Yes. But the 8th clause provides that a release or surrender shall he bindin<^ on the foUowii'g condi- tions. Tiien it prescribes certain condi- tions Sir Richard Coich — This has never been raised before, has it ? CoiNSEL — I am not aware. The Earl of Selbokxe — We cannot presume the thing was done wrongly when it may have been done rightly. Ct>UNSEL — Of course if your Lordship presumes tlie performance of the condi- tions my argument falls to the ground. Lord Watson — Surely the presump- tion omnia rila I'sse arta applies. You find it on the proceedings. Coi'.NSEL — No ; I do not think we do. That seemed to nie to sti'eiiuthen the position of my friend Mr. McCarthy, who said the treaty was made under the authr)rity of the proclamation. Lord Watson -We jnust face that aspect of the case. Either there is a treaty or not. The case li:i« l>eeii pre- sented to us entirely on the footing that thei'e is. The Earl of SKi.itoRNK -And both parties seem to nie to be contending which shall have th>: iH-iiefit of the treaty. SiK Kk-hard (,'orrii It has uever tieen suggeBtcd until now that thiii was not compbed with. ('orN>4KL Exci'pt in so far aa I have ina tii)'K(> HuggeMtiotis, MkUkhikd Cnrcii In the previou* proceetltug* in the lower cn romplieti wit!:. SiK VI K Smith Your »trt»ng point* an- Hot lit l|i«>\ yoiit wewker oima. Cm NHKi My |fani«Hl frit^d the Att < » r i > r > Irttif^al «rf <>ttt«(-i> the treaty ia not at all the nld. or an rvcltiaive |»rivil«ij«* ; it ta merely a t#i«|tt»r»ry ««*l ouotnoa privilr|(p. temiiitabif when ar iU ar« made U* art otninion Lands Act, 1879. Mr. Mc- Carthy has sent for it and I l>elieve it is coming across. It begins at line 9, page 10. LoKi* Wat.son — Do you dispute, Mr. Att<»rney, that the area referred to in the license was afterwards taken up tor lumlxT pur|M>8e8 ? The Am»UNEY(iENERAL— Yes. L(>Ki> Watwin — Within the meaning of the treaty ? Wh. M«<"akthv— Ve«. No auch thing ever ttN)k pla4.-e. ThkKaklokSklhoknk— Will the Order in Council \te produo««* to mention t<* v*4ir Lonlahip that he has M-nt for it. It ia cMt the way. He aay* it iliici* u<>t do anvthing m»ki> Watmik Dm- ticcoM rafH* to • parttottUf- arra. Mr. McCarthy — Perhaps your Lord- ship will aU>>w lue to state what I have done about this. The statute referred to of 1879 authorized the governor and council to set apart certain lands for lumber purposes. That has not been done with regard to this. The same statute in that case authorized the issue of licenses, each license lasting for a period of twenty -one years, and entail- ing on the person who obtains the license the necessity of putting up a sawmill ; but these permits, which were issued in tliis case, are granted quite irrespective of that over any and all parts of the Nortn-West territory. I cabled to know where that was to be found. The answer I get is, " Order not printed on statutes or sessional papers. It relates almost exclusively to permit dues. It consoli- dates former orders and provides that permit shall set forth that permittees nmst conform to conditions ; copy mailewn. 1°H»: K«Ki. o» HKLMtKNK— Vmi CAB aay whal^vtT may !•«• tlie t- Kt««t of thvtr prr- TiwtM rtifiit, thia ia a ii t<» a partK-ular HiaMer. Cursfici. Ym. IIkv baas •■rM*' Tiwy aurTeue dcHtriietive of their title, llieir title )>eiiig iian» haiii and «U4M'iMmt of the IndMiiD. It wt- are to >p|rfy (1m mlw of loiHiitoii u>t«!M>. It it'• tiv-crf the very interest which they were to enjoy, namely, the hunting interest. The continuance of the forest M'as the condition of the continuance of the game, and the idea of cutting the timber for mercantile purposes has never, that I know of, been snggested as an idea relevant or other than repugnant to the notion of the Indian title. I do not at all say, of course, that, when special reserves are created, that title may not be moulded, and larger rights may not be given according to the terms on which the special reserves are established. LoRi> Watsus — By the terms of the treaty the Indiar are not to have the right of hunting and fishing upon those parts of the ceded lands which are taken up for lumber. Ihey are expressly excepted. Counsel — Yes, they are expressly ex- cepted ; and also the lamls for settlement. In that view I will not pursue this argu- ment at length. But I wish to refer to an authority my learned friend cited in answer to your Lordship's question whether the Indians had a right to mine. The Earl of Selborne — You mean the Cherokees? CorNSEL — Y'es ; my learned friend cite Wat«>n - It decitiea nothing m<»re. Thk K.4I11. <►»■ Sei-wrttNK -The not* from Kent baa mittitiig atMMt auumg tu it. iAiriomt.L—Wt ImH f«mMl vkat my learned friend intended to cite at any rate, and I was about to state it to your Lordship. Sir Kkiiabd Couch — Tiiis is what Mr. McCarthy said ; Indians were en- titled to mines. Then he quoted S Kent's Commentaries page 37S. Thk AxTOHNEY-dENERAL — It is Origin- ally page 380. COUN.SEL — In my paging it is lecture 51, page 488. LoKiJ VVatsok — What edition have you got ? 1 have got 1840. The Attokney-Genekal — I have 1851. Coi'NSEL — Your Lonlship will tind it at the close of a long note: — "M". Justice Clayton, of (ieorgia, in the casi of tlie State of Georgia v. Conatos, a Clierokee Indian, brought up on habeas corpus {reported in the Xational In- tfUiiitiwr of October 24th, 1843) held, that the right and title to land included a right to all the mines and minerals therein, unless they were separated from the lands l)y positive grant or exception ; and tliat if tlie State made a grant of public lands to an individual, witiiout any exception of ndnes and minerals, the mines 'and minerals wo\dd pass to the grantee as part and parcel of tlie land, and tliat the Cherokee Indians had a right to dig and take away gold and silver from the lands in tlieir reserves, or lands not ceded to the State, and were not amenable to trespass for so doing, inasmuch as they had as good a right to the use of the mines and minerals as to the use of the laml and its products in any otlier respect ; that they were lawful occupantd. not chargeable with waste ; for the riglit of the State was a right of pre-emption oidy, and never consiiiered otherwise by the government <>t (Jreat Britain, when it cbiimed and exercised ilominion over this country, nor by our own government wiiicii 8uccee«leil to tiie Britisii powers." LuKi> Watson — ^Tliat do«snot occur in mine. Mr. M«CAKTHY--Tli»t 18 not in the ••rlier edition. The OMt; wa« not d«;ide-ching rapidly, if tiiey had not attained a high condition of civilisation. 1 think it m ill be found utt^-rly impossible, either with reference to tiie general (jiiestion or with refeience to this purticulur case, to hold tiiat the position of the Cherokees could in tiie sligiitest degree art'eet the position of the title in <»rdinary uneonceded laniis, ile|x'ndent ou tiie pnx-lamation. Sir IJaknes I'KACoiii- Tiieie iniglit \te a ditleit'nce b«twe«'n mining ami ciittini; down tindMT. Tlic Indiana niigiit hav« iind< I lilt I < ^<'i \ atiou a right Ut cut doM n timlx-i III I Ml- jiurjKiae of building tiieir hut« .tnd iioiiiiea. M 1 hftv* ae dttulA tiiat waa 1 'ixT'ioMtl Mi|a)raM«t. i - I'eMVM'm — Tbeir l»aoiU> Watmik— Wa« t4« alive la I H-IT * \Ukmi am extern eenehcial title in tlie land, that it was something very much superior to the easement or limited right on the hypothesis of which I have been arguing the case — something in effect paramount — anil that the inter- est of the state was practically ui/. My own view is that the <|iie8tion of the In- dian title, iKtth as to its origin, as to ita ktt^K^rdination to therigtibiof the Crown, and as to iu extent, is sust-eptii>)e, in reapect of theae parts of ('anaila. of very ditferent and wmiA clearer treatm^t tluui apptiea to tlw§— >iiiM of tbc Iata*ea. lat I Am M* adanit tiMtevMi tlM> Moat aa« ke fairif taibaa ellha liw af < (I4» Mt ai^ 4rf 1 45 trary, I am satisfied that the fair con- clusion from those judicial decisions as a whole, is the middle view to which I have referred, and that if you look to the particular circumstances in the stronger cases themselves it will be found that a much narrower rule than may be indi- cated in the judgments would suffice for the decision. Lord Watson — What difference do you think it makes to your case that the Indian title should be greater or less so long as there is a substantial interest underlying it in the Crown ? Does the precise extent or limit of the Indian title matter much to the result of your argu- ment so long as there is left a right in the Crown, a substantial right, not a mere casualty which will depend on the Indian title but a substantial title — a substantial interest which is underlying in the Crown. Counsel — So long as it is agreed that tiiere is such an interest as passed under the word " land " in the 109th section, then for the imiTiediate purposes of this case I care for nothing more. LoKD Watson — That is the answer which I anticipated. The Earl of Selborne — On the other liand if tlie proposition could have been maintained that the Indians were what we call owners in fee siini>le of tlie soil, then that decision would bring you round to tlie word " royalties."' CoiNSEL — Yes, certainly ; and would remove c>ne of tlie grounds of my argu- ment, because I rest uj>on botli at tliis moment. And therefore it seemed to me imiKjrtant, if my learned frieinl's ar;;ument led your Lordships to lean towards the adoption of ins view as to the very extensive natuie of the Indian right -it seemed t us for the purposes of this case, providetl we have "land" withui the meaiiitii^ of sectiim IOt>. X«tw 1 occupy it, chctse to assign to the Iniliau. it was an entirely arbitrary title. \ol»o the aixtriginal iniltiiiu : tMlnnly |M-etcuds that the •utiwa wf such » titl« tut titi>,, with such liMit«ti<»iu «.« tbcae, wa« tb« ^jti'Mi which iJM ■hiirinlaii mlnfateMtewMet vt«.i. if in d— d Im Btmmdn Irf— y lW» t itlj. u> thm mtil vl kM iiwtrjr. Wmt jtut mmek m tills. mm irum mmtivmmml up as existing in the Indian — just such a title or interest was all that the Indian had ; yet always subordinate to the claims of the strong discoverer Lord Watsox — There are great tracts of country at the present moment in Europe and elsewiiere, tlie occupation of whicii is in the Crown and yet they are admittedly private property. Couxsel — Yes. Lord Watsox — Simply because it has been found expedient that the property should be recognized. Couxsel — Yes, that is my whole argument. In a word, it was and is a question of expediency and policy. Sir M. E. Smith— I suppose so, for the French King had not recognized tliese rights and therefore he had pos- session. They were public lands of the French Crown. Then the English Crown proposed to limit its general power l)y that proclamation, that is the state of things is it not ? Couxsel— Y'es. I was endeavouring at the moment to state my view as to the title in the colonies and the United States, apart from the question of the French cession altogetlier, because my friends argument is based, if not wholly, yet very largely, on the old colonial title. They state that as the substratum of everything Lord Watson — I admit that the argument starts from that point, that the right sprang from legislation, pro- ceedeil from legislation. Now legislation may take away a right, no doubt of tiiat. Counsel— If your Lordships hohl tiiat the real and substantial argument for the appellant is based on the proclama- tion. anoint. CorssEL— If that is the starting poiut of the right, then it beeon»e«, <»f courfe, leiM nuteri«l to c-unsider wliat the right* wt^re in the old coUmiek aud in th« rnitfil States. I hate no desire t» detaia ^was VtttiAkfm mm imttAsit hia^ser th«« ihm cxiMMMiai m Mm cum; r«4uire ; 47 was the foundation of the Indian title here. My own position has always been that all that was not material, for the simple reason that French Canada, before tlie cession, was untjuestionably free from the Inkne — As a matter of fact tiie Indian was there, and then we came whatever became of the Indian riglit and jurisdiction, and then certain rights were recognized. You need not labour tliat. Cor.NstL — Very well, my lord. The Kakl of Selbi>hne — We recognize that fact. CoCNSKL — Tliat being your LonUhips' view, 1 past) by the argument which I watt going Ui addreM t<* yuur Loriiiihi(>« as to the coaditioii of thiugst elHewhere — Tmk KaHL ok StLlM»KVK— The aiithori- tieii wliieh yuu have cite*! lire at least ae oiu'-li in your favour an agaiust you. LoKD Watmjn — It really ci Dot. It 'jraw aiy lit li it wan tm ktm tmtttiy mttomiug -Ym : mtf mrmmmA vfil W ftw laiSaA iittj Mi that it was originally a question of policy and discretion, and continued so to be ; and next, that even if you put it upon the footing of a right, yet it was a ris.'ht under the proclamation, lower than any contention of my learned friends, and one which was obviously carved out of the Crown title, and leaves the piovin-e the main interest in the land. And I start from that point to which Sir Barnes Peacock alluded at an early stage of the argument Lord Watson— Unless I misunder- stood the argument, it really appears to me on this point that tiie parties are only at issue upon what is materiallj' dis- puted. It is not disputed on the other side as to the underlying right on the part of the C'rown ; it was conceded there was such an underlying right that the Indian right to the land depended on an arrangement made with the Crown. You are now discussing what was the precise extent of the right. Coi'NSKL — I understood so, certainly ; but my friend, the Attorney-General of England, suggests to me that no sucii wide concession as your Lordship has stated was made. Lord Wais«jN — Then I misunderstood the argument. I fancy that is a separate point. CoiNSKL — The concession, I mean that the laiiil would have passed to the prov- ince if there had been an extinguishment before the union. My impression was the same as your Lordships. I under- stood Mr. McCarthy, in answer to tjues- tions put to him, to make that statement, l)Ut I have no desire at all The Karl uk SKi.iioRSE— He concedetl no more than that the Crown is lord of the soil. Lord Watson — I do not think it was seriously di^puted that the Crown had an int<'ie»t in the soil. Col N SKI. —At any rate it is now dis- putttd. my Lord, as 1 iindetxtaiiil, that the Crou u liud such au iutereot in the ."toil as we coiit^rMd f«»r. L<*KI« WlT'^i.N - Vee. Oh NscL — Tvt tiiat w« tiuw utMlerstaiul what is iMini^-ud**! Lofei. WiT-»\-Ti»f Juttrest of Ui« C'nMfin ii^ ix't i'«iri*-d b\ iMM.-tioo lOV. (.'4jHrN«iLL I lUB about bu tr} Ui kbrv it i*. W« ipM tikMi to til* vaat «f ^k* title ^tmy cAMrly. W« iad tfw _ tktitt «]itMic«MMd )* ^ td IIm Wmmtk, Thm Ftandi CtttArn 48 extinguished it. That proposition cer- tainly, whatever doubt exists as to other propositions, was stated by my learned friend, Mr. McCarthy, in the clearest possil)le terms, that the French Crown did not recognize the Indian title, which was therefore at an end : and reference may be made to the judgments of Mr. Justice Taschereau and Mr. Justice Gwynne, and others, which are entirely at one with that view. Well, then, it was absolutely in the discretion of the English Crown, when it became possessed of the country and the soil, and of all the rights of the trench Crown, to deal with these at its pleasure. And there- fore I take as my starting point that, the Fi'ench right being absolute and entire, the English right was the same. And I am relieved, with reference to Canada and this district, from any consideration of any possible anterior or subsisting Indian title. In this particular case it required tlie voluntary act of the Crown to create an Indian title. It must be a new Indian title, the voluntary creation of tiie Crown, whatever its nature and extent. That is the only possible origin. There is then, with regard to Canada, no ground to contend for a paramount, or superior, or anterior or subsistent Indian title. Whatever it may he, it is carved by the ('rown ont of that entirety which the Ciown lield l)y the cession, and so we get rid at once and forever of all sug- gestions to the contrary. Now the transactions subsequent to the cession in respect of Indian affairs were based upon general considerations of state policy, and were adapted to tlie English situation at the time. It Would be a great error to suppose that tliey were based upon the simple proposition that it was just that an Indian title of a certain description Bhouhl lie recognized in such and Bucli lands, and therefore England recognized it. That was not tlone. As to this ianr- tiou of all tlie lan d<>. but not tlie tmumt. The Mtaattua of Eu^lMtni. akiwaffa at tiMt tUMC akm had htsoume. the lord of the bulk of the continent, was critical and difficult. England had to consider the chances of a renewed struggle with France for the recovery of her lately ceded possessions, aided by her former subjects, not yet devoted to their new allegiance. England had to con- sider the possibility also of a fresh con- test with Spain for the recovery of the Floridas, only just wrested from that power. She hail to deal with the grow- ing restlessness of her old colonies, so soon after to culminate in the revolution- ary war. And besides all these, she had to cope with her Indian troubles. Dur- ing the long and arduous French war, England had flattered and stimulated her Indian friends with the notion thai, if they succeeded in conquering the French, the interior settlements would be done away with and the French pioneers expelled. That was the Indian's dream, his hope, his national aspiration. But that could not be accomplished under the capitulation. The French settlers had the right, under its provisions, to remain and be protected in their settlements, wherever situate. Thus it had become impossible to carry out the promised policy ; and great disappointment and vexation arose in tlie minds of those Indians. Again, at this time fierce Indian wars were raging. The gi'eat conspiracy of Pontiac, the widest and most far-reaching, the best organized and most persistent of all the Indian wars, had broken ont ; and it was only by superhuman exertions, and under the most trying vicissitudes of fortune, that the Englisii held any part of their ground in the interior. Therefore it was ttiought necessary to conciliate the Indians, and to get breathing time to consider the situation. On the other hand, the need of pushing English west- ern settlements, formerly urgent in order to occupy the country and keep out the French, no longer existeet ause even those French who stayed remained as English subjects. Now in relation to the whole situation, as is shown by the public documents and historical reconls. great problems of statecraft presented themselves. The colonies harity thought interior settlement should be vigorously pio- moted. Themajinity held that settlement for the time sliouKl be directed, not to the interior but to the seaboard ; first, in order to increase the available English strength against Frencli attempts on Xova Scotia aiul Spanish attempts on Florida ; ne.\t, because settlers by the sea could be more readily and adv;intage- ously supplied with English manufac- tures, and more etl'ectually kept in touch with and controlled by England, than coidd the remote inland people, who wouKl Ije compelled to manufacture for themselves and would be in a state of practical isola- tion and independence : and lastly. '>e- cause this cf)urse would, they thought, lessen the danger of Indian wars. It was admitted that the case was doubtful. No final decision was reached. Hut time pre.s.sed. Something iiad to be done, and done quickly ; and at length a policy was ailopteuebec are treateil in the proclamation a» open to settlement. An ■■»»• 4m-. ■'ISJ.--'^ mtmw mmm