Opinion ID: 2639445
Heading Depth: 1
Heading Rank: 4

Heading: Exchanges as a Violation of the State's Fiduciary Duty

Text: [¶ 61] In addition to arguing that the constitution, by its explicit terms, requires treatment of exchanges of school lands as sales, the challengers contend the state holds these lands in trust and imply exchanges without public auction violate that trust. Without specific explanation or authority, their argument suggests that exchanges without public auction somehow violate a trustee's fiduciary duties. [5] We recently held Wyoming school lands are not subject to a constitutionally created trust or one created by the Act of Admission. Riedel v. Anderson, 2003 WY 70, 70 P.3d 223. However, we found the legislature acted within its authority to create a statutory trust. Id. at ¶ 34; Wyo. Stat. Ann. § 36-5-105 (LexisNexis 2001). The challengers make no argument that land exchanges violate any aspect of the statutory requirements which establish the terms of that statutory trust. We also observe the challengers provide no authority to support the proposition that exchanges per se would violate a trustee's fiduciary duty to the beneficiaries of a trust, should one exist. Given the statutory criteria for exchanges, one could persuasively argue that exchanges which meet those criteria are necessarily in the interest of the beneficiaries of the school lands fund. Section 36-1-111(a).