The Navajo Tribal Council made interim budget changes to appropriate money for the legal expenses of Navajo Nation Chairman Peter MacDonald (defendant) under council resolution CAP-32-77. However, by making these changes, the council violated earlier council resolution CF-18-77, which required that all budgetary measures be approved by the budget and finance committee. Eldon Hansen (plaintiff) sued to enjoin the interim budget appropriations, arguing that resolution CAP-32-77, passed after CF-18-77, was invalid. The District Court of Shiprock in the Navajo Nation enjoined MacDonald from spending the appropriated funds. MacDonald appealed to the Navajo Nation Supreme Court, arguing that the Navajo courts lacked jurisdiction to review Navajo tribal council decisions.