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Carney government files 3rd court challenge in First Nations child welfare complaint

Sarah Taylor by Sarah Taylor
September 18, 2026
in Canadian news feed
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Carney government files 3rd court challenge in First Nations child welfare complaint
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The Carney government this week filed its third court challenge in a year in a longstanding legal fight with First Nations organizations over the future of their communities’ child and family services, potentially prolonging the battle.

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In its latest Federal Court application, Indigenous Services Canada wants a judge to quash the Canadian Human Rights Tribunal’s Aug. 18 refusal to reconfigure a court-like panel that’s grappled with the complex complaint since 2007.

Cindy Blackstock, a co-complainant for nearly 20 years alongside the Assembly of First Nations, questions the manoeuvre.

“The minister claims to be complying with the tribunal orders so why would they bring this judicial review to try to interfere with the tribunal?” asked Blackstock in an email flagging the new case.

“This feels uncomfortably close to judicial interference and will likely be cited as yet another reason to delay the hearings.”

In a statement, Indigenous Services Canada called the filing a “protective” application to preserve Canada’s rights while awaiting the full reasons for the decision, which haven’t been released.

Tribunal chair dismisses Canada’s request to rejig panel on First Nations child welfare reform

Chief says Canada blocking effort to take back control of child and family services

“Canada’s judicial review application does not seek to delay any proceedings before the tribunal, nor does it concern the participation of any particular member of the tribunal,” wrote spokesperson Carolane Gratton, adding Canada will consider next steps once the full reasons are out.

The original complaint argued Canada racially discriminates against First Nations children by chronically underfunding the on-reserve child welfare system, resulting in the mass removal of children from their families and causing harm, cultural loss and violations of human dignity.

The human rights tribunal upheld the complaint in 2016, ordered compensation for the victims in 2019, and is now weighing how to reform the discriminatory system long term, after chiefs rejected a 10-year, $47.8-billion proposal to resolve the matter in 2024.

The originally three-member panel is now down to one person after the 2015 death of one panellist and the 2026 resignation of another.

Canada’s application argues the tribunal is “inquorate,” or lacks the quorum to exercise its assigned authority and needs new members.

“Canada believes that the panel’s composition requires careful consideration,” wrote Gratton.

Opponents argue Canada’s request would needlessly and baselessly delay the proceeding. The tribunal repeatedly ruled against the Harper, Trudeau and now Carney governments, and got a strong endorsement from the Federal Court in 2021.

Compared to its predecessor, the Carney Liberal government “is much more aggressive in its litigation and far less focused on departmental reform and making sure this discrimination doesn’t happen again,” Blackstock said in an interview last week.

She pointed out that within Indigenous Services Canada’s child and families sector, the litigation branch comprises 40 people, according to a public government employee directory. The same directory lists 254 positions in the sector overall, according to Blackstock’s research. 

As for the other files, in September 2025 Canada filed a court challenge against a procedural decision where the tribunal decided how it would move forward to resolve the long-term reform issue.

The status of reforms nationally remains uncertain, although Canada and First Nations in Ontario did conclude an $8.5-billion deal to resolve the issue in that province.

Canada also applied for judicial review this spring when the tribunal approved that Ontario agreement but exempted some communities.

At the time, Ontario Regional Chief Abram Benedict said it was “an unfortunate setback in a process that has already spanned two decades.”

Meanwhile, the chief of one of the exempted communities, Taykwa Tagamou Nation, last week accused the federal government of blocking his community’s effort to reclaim jurisdiction by imposing those very reforms, which the community rejects.

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