Quantum Company Trust - Page 13




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               Of the six counts, five sought damages that directly addressed         
          Mr. Norton’s losses through tort type claims and remedies.  These           
          counts (i.e., trespass to chattels, conversion, negligence,                 
          punitive damages, and deprivation of civil rights–-due process) are         
          traditionally recognized as torts under Alaskan law and each                
          provides remedies in the form of an action for compensatory                 
          damages.  The sixth count, however, sought a declaratory judgment           
          regarding Mr. Norton’s fishing rights.  Under Alaska law, a                 
          declaratory judgment determines a party’s legal rights and                  
          relationships and does not provide an independent action for                
          damages.  See Alaska Airlines, Inc. v. Red Dodge Aviation, Inc.,            
          475 P.2d 229, 232 (Alaska 1970).  Accordingly, only five counts of          
          the complaint state claims having tort or tort type                         
          characteristics.                                                            
               The release agreement provided for $45,000 plus an arrangement         
          whereby the State of Alaska would address Mr. Norton’s disputed             
          fishing rights.  The similarity between the nature of the relief            
          sought in the complaint and the relief afforded in the release              
          agreement leads us to conclude that the provision in regard to              
          fishing rights was made in settlement of the claim for declaratory          
          judgment, and that the $45,000 was allocated to the remaining five          
          counts.  Consequently, we agree with the Nortons that the                   
          settlement proceeds arose from tort or tort type claims.                    








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