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337 P.3d 74
Mont.
2014
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Background

  • Dispute over historic practice of diverting the Teton River into the Bateman Ditch (begun ~1950) to bypass the Springhill Reach and deliver water downstream to the Burd Ditch (Choteau Cattle Company).
  • Upstream junior decree holders (including Saylor and Eldorado) use Bateman Ditch; Choteau Cattle holds the senior Perry decree right (1876) but disclaimed Bateman as a point of diversion during adjudication.
  • Lower Teton users (Giese, Kelly, Reichelt) contend diversion into Bateman Ditch reduces groundwater recharge and harms their senior downstream rights, challenging diversions beyond what is necessary for Saylor’s decreed use.
  • District Court certified the issue to the Water Court after this Court remanded in Giese v. Blixrud; parties used the record from Water Court Case 41O-129 to resolve Bateman Ditch issues.
  • Water Master found the Bateman practice a lawful water management/conservation measure; the Water Court recognized the practice but went further, stating Saylor had a protectable right to use the Bateman Ditch to deliver water to Choteau Cattle.
  • Supreme Court affirmed recognition of the Bateman Ditch practice as a management tool available to the District Court and Water Commissioner, reversed the Water Court’s characterization of the practice as a private right of Saylor, and remanded for modification.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Water Court erred in finding Saylor was a party to a historical exchange/substitution giving him a private right to use Bateman Ditch to deliver water to Choteau Cattle Lower users: No private right exists; diversion was a management tool and cannot create a new private right benefiting Saylor Saylor/Eldorado: Historic practice should be recognized and confirmed as a protectable exchange/substitution interest Court: Bateman diversion is a historic management/conservation measure under court supervision; it is not a private right belonging to Saylor — remanded to limit decision to District Court/Water Commissioner authority
Whether Water Court erred by listing Choteau Cattle on the tabulation of rights that "may be diverted into" Bateman Ditch despite Choteau disclaiming the ditch Lower users: Choteau disclaimed Bateman; listing is improper because no party claimed such an exchange Saylor/Eldorado: Listing is proper because the list responds to the certification and reflects which rights can be delivered via the ditch as a management tool Court: Proper to list rights (including Choteau) that can be diverted via Bateman Ditch because the list was responsive to certification and reflects management possibilities
Cross-appeal: Whether additional downstream rights (beyond Choteau Cattle) can be diverted through Bateman Ditch Saylor: Additional rights with historical diversions should be included Water Court/others: Those rights were rarely diverted and their owners are not before the Court Court: Agreed with Water Court; declined to add those rarely-diverted rights and did not further consider the issue

Key Cases Cited

  • Giese v. Blixrud, 365 Mont. 548, 285 P.3d 458 (2012) (remand directing District Court to certify water-right disputes to Chief Water Judge)
  • Heavirland v. State, 372 Mont. 300, 311 P.3d 813 (2013) (standards of review for Water Court review of Water Master reports)
  • Skelton Ranch, Inc. v. Pondera County Canal & Reservoir Co., 375 Mont. 327, 328 P.3d 644 (2014) (same; clarifies review standards)
  • Bostwick v. DNRC, 369 Mont. 150, 296 P.3d 1154 (2013) (court may grant relief to water users who prove harm from water management decisions)
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Case Details

Case Name: Eldorado Co-Op Canal Co. v. Lower T
Court Name: Montana Supreme Court
Date Published: Oct 7, 2014
Citations: 337 P.3d 74; 2014 MT 272; 376 Mont. 420; 2014 Mont. LEXIS 608; DA 13-0709
Docket Number: DA 13-0709
Court Abbreviation: Mont.
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