Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-azd-3_06-cv-01206/USCOURTS-azd-3_06-cv-01206-2/pdf.json

Nature of Suit Code: 890
Nature of Suit: Other Statutory Actions
Cause of Action: 25:640 Indian Tribal Rights

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WO

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

Navajo Housing Authority, 

Plaintiff, 

vs.

Crownpoint District Court; Ernest Tso; et.

al., 

Defendant. 

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No. CIV 06-1206-PCT-PGR

ORDER

Currently before the Court is Defendant Tso’s Motion to Lift Stay of January 9, 2007

and Motion to Dismiss for lack of Subject Matter Jurisdiction and Mootness (Doc. 55.).

After careful consideration of the Motion and Plaintiff’s Response (Doc. 56) thereto, the

Court renders the following decision.

Background

Defendant Ernest Tso is a member of the Navajo Nation, and resides within the

Navajo Nation reservation. The Crownpoint District Court and the Navajo Nation Supreme

Court are tribal courts of the Navajo Nation. The Navajo Nation is a federally recognized

sovereign Indian Tribe with authority to address civil matters over tribal entities, departments

and individual Navajos. A Plaintiff, Navajo Housing Authority (NHA), is a tribal entity

under the Navajo Nation Statute. 6 N.N.C. § 602. It receives federal funds through the

Case 3:06-cv-01206-PGR Document 60 Filed 11/17/08 Page 1 of 3
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Native American Housing and Self Determination Act (NAHASDA). 25 U.S.C. § 4101 et

seq. 

On March 27, 2006, the Crownpoint District Court issued a writ of execution

authorizing Navajo Law Enforcement to seize $63,915.94 from the bank of NHA. On May

1, 2006, NHA filed a complaint, a motion for temporary restraining order, and a motion for

preliminary injunction with this court. NHA moved to enjoin the Crownpoint District Court

from ordering plaintiff NHA to pay damage in violation of OMB Circular A-87. 

On April 4, 2006, NHA had filed a Notice of Appeal with the Navajo Nation Supreme

Court (NNSC) appealing the court order of the Crownpoint District Court. This court held

a hearing on January 9, 2007. The court denied the motion for temporary restraining order

and denied the motion for preliminary injunction. The court granted the motion to dismiss

filed by the Navajo Nation Department of Justice, however it stayed the proceeding pending

the resolution of the tribal proceedings, in particular, the ruling of the NNSC. On December

6, 2007, the NNSC remanded the case to the Crownpoint District Court with instructions to

find non-exempt funds to pay the judgment. On January 7, 2008, NHA filed a motion for

reconsideration which was denied on April 4, 2008.

Discussion

In his motion, Tso alleges that the stay should be lifted because of the ruling by the

Navajo Supreme Court forbidding the use of federal funds to pay the judgment and ordering

the lower courts to find non-federal funds with which to pay the judgment. In contrast,

Plaintiff contends that there remains a concern that the Crownpoint District Court may hold

that certain funds in the possession of the NHA are not federal funds when in fact they are

federal funds, resulting in a remaining federal question to be determined. In other words,

there has yet to be a final outcome to this case, and thus, Plaintiff maintains that this Court’s

jurisdiction and stay should remain in effect pending the final outcome of the Navajo court

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 Essentially, Plaintiff argues that Mr. Tso’s motion is premature as the matters are

still working their way through the Navajo court process. 

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proceedings, as they have yet to be completed.1 For example, Plaintiff explains that only a

week prior to filing its Response, the NHA filed its Response to the Crownpoint District

Court’s inquiry as to whether NHA has any non-federal funds in its possession. 

It has been represented to this Court by Plaintiff that the Crownpoint District Court

is currently in the process of reviewing the NHA’s submission, and a ruling will be

forthcoming thereafter. Moreover, it is this Court’s finding that its continuing jurisdiction

and stay will not adversely affect Tso.

Accordingly,

IT IS HEREBY ORDERED DENYING Defendant Tso’s Motion to Lift Stay of

January 9, 2007 and Motion to Dismiss for lack of Subject Matter Jurisdiction and Mootness.

(Doc. 55.) 

DATED this 17th day of November, 2008.

Case 3:06-cv-01206-PGR Document 60 Filed 11/17/08 Page 3 of 3