We blogged previously about the lawsuit filed in Navajo tribal court over the proposed Navajo gaming loan. It turns out the lawsuit was successful in apparently causing the lender to change the terms of the deal (H/T Indianz). This is an interesting development and probably not a welcome one from the perspective of gaming tribes. If tribal court lawsuits challenging the terms of a gaming-related loan, or in this case the authority of the Navajo legislature to approve the loan, are successful in any area, my guess is the price for loans will go up everywhere.
Update: No suit has been filed in the Navajo Nation courts. The 30 day waiting period required by the Navajo Sovereign Immunity Act (the title doesn’t use “Nation”) just expired and we were preparing to file suit. There has been no public announcement, but there are rumors to the effect that the notice of suit stopped the loan. They are now looking at other sources of funding for the casino, such as a trust fund set aside for acquiring land.
From Indianz:
The Navajo Nation is looking at alternative sources of funding for its new gaming empire due to concerns about a $100 million loan from JP Morgan Chase bank.
The tribe agreed to secure the loan in order to build its first casino in New Mexico. But JP Morgan Chase modified the terms of the deal in response to a threat of litigation in tribal court. Navajo officials are now considering tapping into other tribal funds to open the casino near Gallup. They say they could use $35 million from the $56 million Land Acquisition Trust Fund for the facility. It’s possible the loan with JP Morgan Chase could still be worked out, Navajo gaming chief Bob Winter told the Associated Press.
Get the Story:
Navajos take different route to finance tribe’s first casino (AP 1/15)
Turtle Talk 
what about Navajo Nation courts ??