Butte district court judge to make ruling on data center initiative lawsuit

Although Joseph has yet to offer an official decision, he appears to be siding with the county in this lawsuit, stating that 406 People First's argument of equitable estoppel, a statute that prevents legal parties from going back on their word, does not apply in the case.

According to Joseph, equitable estoppel only applies in cases of factual misrepresentation, not legal matters such as this one.

The argument presented by 406 People First's representing attorney John Meyer is predicated on the fact that the county had given 406 People First a deadline of Aug. 14 to submit over 3,600 approved signatures for their data center initiative to be included on the November ballot.

That was the case, until last week, when Clerk & Recorder Cynthia Sherman notified 406 People First via letter that the actual deadline based on Montana statute 13-28-206 should have been July 13--prior to when signatures were submitted on July 31.

Joseph says that while it's an unfortunate mistake that the county provided the wrong deadline, it was still on 406 People First's legal team to do its due diligence and confirm the proper deadline as established via state law.

This case bears many parallels to a recent decision on a similar data center initiative issued by Yellowstone County district court judge Ed Zink--a ruling that Joseph cited as precedent that he is likely to follow in his own decision.

However, Meyer and 406 People First argue that this case in Butte should be viewed differently.

"In that [Yellowstone County] case, the plaintiffs were asking for more time to collect signatures," Meyer said. "In this case, we actually had collected enough signatures."

"When the court decides whether equitable estoppel should come into play, you have to look at all the circumstances, not just the fact that there was this new deadline that was sprung on us," Meyer continued. "[You also have to look at] the fact that the city-county elections administrator missed her deadline [to open the petition for signatures] by eight or nine days as well."

Meyer also argues that applying the state statute to this case would hinder 406 People First's and the residents of Butte-Silver Bow's power of initiative provided by Article V, Section 1 of the Montana state constitution.

Meanwhile, County Attorney Matt Enrooth says that Butte-Silver Bow is not taking a stance one way or the other on the initiative itself and is simply looking to adhere to state law. County officials provided no further comment, due to policy to not speak on pending litigation.

Judge Joseph did recommend that the county try to make right on their deadline error in some way, such as possibly putting up the initiative to a special election.

Joseph is also providing 406 People First an extended deadline to establish why equitable estoppel should be invoked in this case. Meyer has until Monday at 5 p.m. to submit a written brief, after which Joseph will make his final ruling.