IMO, you are screwed.

Generally speaking, deposits on anything are non-refundable. The deposit $ you paid was to reserve a spot on the outfitters' calendar, not to guarantee an out of state tag. He may have turned away other customers because you had already booked with him.

I think the outfitter is being fair in giving you three years to use your deposit or apply it to other states' hunts. If the outfitter didn't guarantee that you would get a tag, then I don't think you have a legal leg to stand on. It isn't his fault that you weren't drawn.

Just my opinion. I hope that your hunt goes well despite this set-back. Good luck.