On January 9, 2012, legal counsel for the Gitxsan Treaty Society admitted in British Columbia Supreme Court that their Board of Directors was invalid because all members are appointed under an invalid GTS bylaw. Representatives for the Spookw plaintiffs say, "All of GTS' actions have been, and continue to be, illegal and this fact further supports our claim that the GTS must be wound-up."

The GTS incorporated as a non-profit Society on November 28, 1994 under the British Columbia Society Act with its stated purpose being "to support the Gitxsan people in their treaty and other negotiations." Since then GTS has borrowed in excess of $20 million dollars from B.C. and Canada, and has produced little to no tangible benefit to the Gitxsan people. The Plaintiffs in the Spookw action say the fact that this amount of money was lent to an invalid entity raises questions on the level of due diligence conducted by the B.C. Treaty Commission.

The Proceedings in British Columbia Supreme Court was adjourned to mid February 2012, to give the individuals operating under the name GTS an opportunity to file a petition to ask the Court to give an Order allowing the Society to correct its bylaws and become a valid organization. The plaintiffs say that the breach goes to the core of the Society's being, and so serious that it cannot be corrected therefore the society should not be allowed to re-establish itself.