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Kelly v. Teton Prairie, LLC

Kelly v. Teton Prairie, LLC, 2016 MT 179 (July 26, 2016) (Wheat, J.; Rice, J., concurring) (5-0, aff’d)

Issue: (1) Whether the district court correctly applied the prior appropriation doctrine; (2) whether the district court correctly found that Teton Prairie failed to establish the elements of the futile call doctrine; and (3) whether the district court erred in issuing an injunction.

Short Answer: (1) Yes; (2) yes; and (3) no.


Facts: Each of the Kelly appellees (“Kelly”) owns property in Choteau County, where they have farms and ranches. Teton Prairie owns property in Teton County, upstream of Kelly on the Teton River. Kelly’s water rights are primarily for stockwater, with some for domestic use. Teton Prairie’s water rights are for irrigation, and are junior to all of Kelly’s rights.…