North Dakota to Receive $28 Million Settlement in Dakota Access Pipeline Protest Case
North Dakota is poised to receive a substantial $28 million settlement from the federal government related to costs incurred during the high-profile Dakota Access Pipeline protests that rocked rural south-central North Dakota in 2016 and 2017.
The settlement comes after nearly seven years of legal battles, including a landmark ruling by U.S. District Court Judge Daniel Traynor in April 2025 ordering the executive branch to pay the sum. The Department of Justice has appealed that ruling but paused the appeal as settlement talks progressed.
During a recent hearing, attorneys for both the United States and North Dakota confirmed the settlement would allow both parties to avoid costly and lengthy appeals litigation. While the exact payment amount remains under wraps, North Dakota Attorney General Drew Wrigley described the upcoming amount as satisfactory for the state and its taxpayers.
The lawsuit, filed in 2019 under the Federal Tort Claims Act, argued that the federal government was responsible for the growth and intensity of protests by unlawfully allowing demonstrators to camp on federal land. North Dakota claimed it spent millions on policing and cleaning up the protest camps. The federal government denied these allegations but ultimately agreed to settle to avoid further legal complications.
Key Terms Include Vacating Previous Court Orders
As a condition of the settlement, the Department of Justice is requesting that Judge Traynor’s original $28 million judgment, as well as three other related rulings, be vacated and nullified. DOJ attorney Jonathan Guynn argued that leaving these rulings in place could negatively impact future cases by setting legal precedents against the federal government.
“The downstream consequences of keeping these on the books is troublesome for the United States,” Guynn said during the hearing.
If Judge Traynor refuses to vacate the orders, the DOJ indicated it might abandon the settlement and proceed with its appeal in the 8th Circuit Court of Appeals.
Legal Battle Highlights and Next Steps
The case went to trial in Bismarck in early 2024, with testimony from former governors Doug Burgum and Jack Dalrymple, federal officials, Native American activists, and law enforcement personnel. The protests erupted near the Standing Rock Sioux Reservation, where concerns over potential water contamination and tribal sovereignty sparked national and international attention.
Originally, North Dakota sought $38 million in damages, with $10 million paid by the government previously. The new settlement will secure an additional $28 million from the federal government.
The 8th Circuit Court of Appeals has paused any further action pending the settlement outcome and will send the case back to Judge Traynor for final approval to vacate the rulings if the parties agree.
Why This Matters Now
This settlement ends a prolonged, costly legal confrontation over one of the most visible environmental and Native American protest movements of the past decade. It also signals a rare federal government concession to reimburse state expenses related to protest management.
For readers in Colorado and beyond, the ruling highlights ongoing tensions between energy infrastructure projects, indigenous rights, and state-federal responsibilities—a debate playing out nationwide as more states weigh pipeline and resource development against environmental and community concerns.
What’s Next?
North Dakota officials will soon publicly disclose final settlement details after agreements are formally signed. The precedent may influence future claims relating to protests or federal land management across the country.
As the Dakota Access Pipeline continues operations, stakeholders in energy, environment, and indigenous affairs will watch closely how this legal resolution impacts future pipeline disputes and federal accountability.
