Carter Hotel battle back in Federal Court

By KBJR News 1

Carter Hotel battle back in Federal Court

July 28, 2014 Updated Jul 28, 2014 at 4:15 PM CST

Duluth , MN (NNCNOW.com)--- The City of Duluth and the Fond du Lac Band were back in the courtroom today arguing their case over the Carter Hotel.

City Attorney Gunnar Johnson says Duluth filed a motion for a preliminary injunction to stop the band from putting the Carter Hotel into trust, because that would mean it would no longer be on Duluth tax rolls.

The city told the court when the Fond du Lac Band and the City came to a legal agreement in 1986 that allowed the band to open the Fond Du Luth casino, a clause said no new property would be put into trust without city consent.

Johnson says the city did not give consent for this move.

Fond du Lac Tribal Chair Karen Diver has said the band wants to expand the Fond du Luth Casino into the Carter Hotel which the tribe bought in 2010.

The Fond du Lac Band filed motions to dismiss the complaint, and to dismiss the City's non-abrogation claim, which was the promise of the parties to not undermine their agreement using political means.

The city alleges the band broke its contract when it asked the National Indian Gaming Commission to reverse its prior approval of the casino contracts.

Duluth filed a federal lawsuit against the Fond du Lac band for its efforts to expand Indian trust land in Duluth.

Written and posted to the web by Raeanna Marnati
rmarnati@kbjr.com