A resolution to the legal war over the Fundamentalist LDS Church's real-estate holdings in Utah and Arizona may be reached by the end of this month.

Utah Attorney General Mark Shurtleff said a proposed settlement for the United Effort Plan Trust is being floated among lawyers for all sides. It would divide up the land and ensure that those who want titles to property in the polygamous communities of Hildale, Utah, and Colorado City, Ariz., will get them.

However, Shurtleff concedes that he can't stop FLDS faithful from turning around and consecrating their land to the church.

"If I give them a deed to their home and they want to give it back to the church, I can't stop them from doing that," he told the Deseret News on Monday.

The UEP Trust, which controls homes, businesses and property in the FLDS communities, was taken over by the courts in 2005 over allegations that polygamous sect leader Warren Jeffs and other FLDS leaders mismanaged it. FLDS members were largely silent as reforms were enacted by the courts. Last year, members filed a series of challenges, including a federal lawsuit that argued the reformed trust infringed upon their right to practice their religion and consecrate their property to the church.

"Giving their property over to the church is a religious principle just as much as Mormons believe in tithing," Shurtleff said. "Does the government have the right to tell them they can't live their principles?"

Attorney Jim Bradshaw, who represents FLDS members, said his clients appreciated the attorney general's recognizing their right to practice their faith. Bradshaw said they were hopeful about a settlement.

"I think we're cautiously moving forward," he said Tuesday. "There's a lot of work still to be done."

Attorneys for Bruce Wisan, the court-appointed special fiduciary, do not object to the idea, noting that everyone — both FLDS and ex-members — get a fair shot at owning property.

"They can keep it, sell it, deed it to the church or create UEP Two, but they're in charge of their own destiny," said Jeffrey L. Shields.

The tricky part may be deciding who is entitled to what home. Community building projects created many of the homes, and with families moving, splitting and ex-members coming back, deciding who gets what could be difficult.

"Those would be the tough cases," Shields said. "That's why you've got a settlement. It's not going to be 100 percent, but it's as fair as we can be under the circumstances we've got."

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Ex-FLDS members who still live in the FLDS communities are wary and recently lodged their complaints with the Utah Attorney General's Office and the courts. During a telephone conference last month, the Arizona Attorney General's Office requested a two-day mediation session on any settlement.

Shurtleff said there are many things still to be worked out and many things are still in disagreement, including whether the trust can function with a board of trustees made up of both FLDS and ex-FLDS members.

"The bottom line is we have to move on, because Bruce Wisan can't stay fiduciary forever," the attorney general said. "I'd like to see everybody agree from both sides."

E-MAIL: bwinslow@desnews.com

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