Ute Indian Tribe of the Uintah and Ouray Reservation v. Ure

CourtDistrict Court, D. Utah
DecidedAugust 8, 2025
Docket2:23-cv-00295
StatusUnknown

This text of Ute Indian Tribe of the Uintah and Ouray Reservation v. Ure (Ute Indian Tribe of the Uintah and Ouray Reservation v. Ure) is published on Counsel Stack Legal Research, covering District Court, D. Utah primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ute Indian Tribe of the Uintah and Ouray Reservation v. Ure, (D. Utah 2025).

Opinion

THE UNITED STATES DISTRICT COURT DISTRICT OF UTAH

UTE INDIAN TRIBE OF THE UINTAH MEMORANDUM DECISION AND AND OURAY INDIAN RESERVATION, ORDER GRANTING IN PART AND a federally recognized Indian Tribe, DENYING IN PART [ECF NOS. 77, 78, 79] DEFENDANTS’ MOTIONS TO Plaintiff, DISMISS

v. Case No. 2:23-cv-00295-DBB-JCB

DAVID URE, MICHELLE MCCONKIE, District Judge David Barlow MICHAEL STYLER, SPENCER COX, JOEL FERRY, UTAH SCHOOL AND INSTITUTIONAL TRUST LANDS ADMINISTRATION, and UTAH DEPARTMENT OF NATURAL RESOURCES,

Defendants.

Before the court are the motions to dismiss filed by defendants David Ure (“Mr. Ure”),1 Michelle McConkie (“Ms. McConkie”), the Utah School and Institutional Trust Lands Administration (“SITLA”),2 Governor Spencer Cox (“Gov. Cox”), Michael Styler (“Mr. Styler”), Joel Ferry (“Mr. Ferry”), and the Utah Department of Natural Resources (“DNR”)3 (collectively “Defendants”). Plaintiff Ute Indian Tribe of the Uintah and Ouray Indian Reservation (the

1 Motion to Dismiss First Amended Complaint and Memorandum in Support (“Ure MTD”), ECF No. 77, filed March 24, 2025. 2 Motion to Dismiss the First Amended Complaint and Memorandum in Support (“SITLA MTD”), ECF No. 78, filed March 24, 2025. 3 Governor Cox, Utah Department of Natural Resources, Former DNR Director Styler, and Current DNR Director Joel Ferry’s Motion to Dismiss (“DNR MTD”), ECF No. 79, filed Mar. 24, 2025. “Tribe”) opposes these motions.4 For the reasons stated below, Defendants’ motions are granted

in part and denied in part. BACKGROUND This dispute arises from the proposed sale of Tabby Mountain, a property located within the exterior boundaries of the Uintah and Ouray Indian Reservation.5 SITLA owns the surface estate of Tabby Mountain, while the Tribe owns the mineral estate for “much of” the area.6 SITLA is an agency that manages lands that the federal government granted to Utah for the support of its public schools.7 SITLA has a fiduciary duty to maximize its revenue while preserving its assets for future beneficiaries.8 In December 2018, SITLA issued a public notice of its intent to sell Tabby Mountain with a minimum acceptable bid of $41,000,000.9 At least ten

entities, including the Tribe and DNR, submitted letters of interest in purchasing the property.10 On December 20, 2018, Margaret Bird, on behalf of two state university realty officers, sent a memo to STILA Director Ure asking questions about the sale of Tabby Mountain, including whether a longer marketing period should be used.11 Ms. Bird expressed concerns that

4 Response in Opposition to Defendants SITLA and McConkie’s Motion to Dismiss (“SITLA MTD Opp.”), ECF No. 84, filed May 22, 2025; Response in Opposition to Defendant David Ure’s Motion to Dismiss the First Amended Complaint (“URE MTD Opp.”), ECF No. 85, filed May 22, 2025; Response in Opposition to Defendants Cox, Styler, Ferry, and DNR’s Motion to Dismiss the First Amended Complaint (“DNR MTD Opp.”), ECF No. 85, filed May 22, 2025. 5 First Amended Complaint (“FAC”) ¶ 1, ECF No. 72, filed Jan. 17, 2025. At this stage, the court accepts the Tribe’s well-pled allegations as true. See McNellis v. Douglas Cnty. Sch. Dist., 116 F.4th 1122, 1130 (10th Cir. 2024). 6 Id. 7 Id. at ¶ 44–45. 8 Id. 9 Id. at ¶ 60. 10 Id. at ¶ 61. 11 Id. at ¶ 62–63. Director Ure had structured the sale with the goal of selling Tabby Mountain to DNR, rather than maximizing income to SITLA.12 On December 28, 2018, SITLA informed the Tribe that it had received its letter of interest and that the deadline for such letters was being extended to January 31, 2019.13 SITLA then mailed the Tribe information on the bidding process, which required that all eligible bidders mail a sealed bid, offer to purchase, and $1,000,000 earnest money deposit to SITLA by February 15, 2019.14 The offer to purchase form stated that “sales will be finalized on SITLA’s standard certificate of sale.”15 The Tribe submitted its bid to purchase Tabby Mountain for $46,976,000 on February 15, 2019.16 DNR submitted a bid to purchase the property for $41,000,000, which was contingent

upon receiving funding from both the United States and the Utah legislature.17 The Tribe and DNR were the only bidders for Tabby Mountain.18 On February 20, 2019, SITLA publicly gave DNR twenty-four hours to counter the Tribe’s bid, and DNR submitted a new offer of $50,000,000.19 On February 22, 2019, SITLA issued a statement that it had temporarily suspended the sale of Tabby Mountain.20 The Tribe alleges that SITLA and its director at the time, Mr. Ure, conspired with DNR and its director at the time, Mr. Styler, to stop the sale of Tabby Mountain and prevent the property from going to

12 Id. at ¶ 64. 13 Id. at ¶ 66. 14 Id. at ¶ 67. 15 Id. at ¶ 71. 16 Id. at ¶ 72. 17 Id. at ¶ 73. 18 Id. at ¶ 75. 19 Id. at ¶ 86. 20 Id. at ¶ 94. the Tribe because “these Defendants did not want to sell the land to Indians.”21 The sale of Tabby

Mountain remains in a suspended status.22 On February 26, 2019, Ute Indian Tribe Chairman Duncan sent a letter to Director Ure expressing the Tribe’s concerns regarding SITLA’s conduct in handling the proposed sale and demanded that SITLA “honor the Tribe’s right to purchase the property.”23 The Tribe filed its complaint against SITLA, former SITLA director Mr. Ure, current SITLA director Ms. McConkie, former DNR Director Mr. Styler, and Governor Cox on May 5, 2023.24 It alleged that all of these defendants had violated its members’ rights under federal law, including 42 U.S.C. §§ 1981, 1982, 1983, 1985, and 2000d.25 It also alleged that all defendants had conspired to violate state and federal law and had committed fraud and conspiracy to commit fraud.26 The

Tribe then alleged that SITLA had committed breach of contract and that SITLA and its officers had committed breach of trust.27 Defendants moved to dismiss the Tribe’s complaint, which the court granted in part and denied in part (the “Order”).28 The court dismissed the Tribe’s 42 U.S.C. § 2000d claims against the individual Defendants with prejudice.29 The court also dismissed the Tribe’s federal claims against Governor Cox in his official capacity, federal claims against SITLA, conspiracy claims

21 Id. at ¶ 2–3. 22 Id. at ¶ 110. 23 Id. at ¶ 105. 24 Complaint, ECF No. 1, filed May 5, 2023. 25 Id. at 19. 26 Id. at 22, 24. 27 Id. at 22, 25. 28 Memorandum Decision and Order Granting in Part and Denying in Part Defendants’ Motions to Dismiss (“Order”), ECF No. 52, filed June 14, 2014. 29 Id. at 42. against Governor Cox, Mr. McConkie, and Mr. Styler in their individual capacities, and the Tribe’s state law claims without prejudice.30 Defendants moved for clarification of the order on June 25, 2024.31 The court held a hearing on the motion, at which the parties agreed on a timeline for the Tribe to file an amended complaint.32 The Tribe filed its First Amended Complaint on January 17, 2025, adding the Department of Natural Resources and its current director, Mr. Ferry, as Defendants.33 Defendants moved to dismiss the amended complaint on March 24, 2025.34 STANDARD “Dismissal under Rule 12(b)(6) is appropriate only if the complaint, viewed in the light most favorable to the plaintiff, lacks enough facts to state a claim to relief that is plausible on its

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