Bear Claw Tribe, Inc. v. United States

37 Fed. Cl. 633, 1997 U.S. Claims LEXIS 47, 1997 WL 112690
CourtUnited States Court of Federal Claims
DecidedMarch 13, 1997
DocketCong.Ref. No. 92-719X
StatusPublished
Cited by5 cases

This text of 37 Fed. Cl. 633 (Bear Claw Tribe, Inc. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bear Claw Tribe, Inc. v. United States, 37 Fed. Cl. 633, 1997 U.S. Claims LEXIS 47, 1997 WL 112690 (uscfc 1997).

Opinion

REPORT OF REVIEW PANEL

PER CURIAM.

I.

Pursuant to 28 U.S.C. §§ 1492 and 2509, the House of Representatives referred to this court a pending bill, H.R. 5784, entitled “For the Relief of the Bear Claw Tribe, Incorporated.” H.R.Res. 492, 102d Cong., 2d Sess. (1992). The bill provides for the payment of compensation to the Bear Claw Tribe or its current or former members for any damages arising out of the 1952 sale by the United States of a tract of land known as the Great Falls Subsistence Homestead (the Homestead), located in Great Falls, Montana. In response to this congressional reference, plaintiff, the Bear Claw Tribe, Inc., filed a five-count complaint in this court. Pursuant to the procedures set forth in 28 U.S.C. §§ 2509(a)-(e), this court must determine the facts underlying the referred claim and “inform Congress whether the demand is a legal or equitable claim or a gratuity, and the amount, if any, legally or equitably due from the United States to the claimant.”

The complaint initially was considered by a judge of this court serving as the hearing officer under 28 U.S.C. § 2509(a). After the parties conducted discovery, defendant moved for summary judgment. At oral argument on defendant’s motion, plaintiff focused in part on the events surrounding the government’s original acquisition of the Homestead in the mid-1980s and President Roosevelt’s later transfer of responsibility for the Homestead in 1937 to the Department of the Interior (DOI). In response to questions presented by the hearing officer during oral argument, the parties agreed that no additional pertinent information with respect to [635]*635these events during the 1930s was available beyond that presented to the court.

In his final report, the hearing officer granted defendant’s motion for summary judgment on the ground that the 1952 sale of the Homestead did not rise to a legal or equitable claim against the United States. Alternatively, the hearing officer concluded that even if the sale of the Homestead did give rise to a viable legal or equitable claim, that claim would be barred by the statute of limitations because “plaintiff has not set forth an adequate equitable basis for removing the statute of limitations bar.” This action is before this review panel on plaintiffs exceptions to the hearing officer’s report. 28 U.S.C. § 2509(d). In its exceptions, plaintiff contends that it possesses a viable equitable claim which is not barred by the statute of limitations. For the reasons set forth below, the review panel concurs in the hearing officer’s grant of summary judgment.

II.

The definition of “equitable claim” employed in this court has evolved over time. Spalding & Son, Inc. v. United States, 28 Fed.CI. 242, 250 (1993). The definition now uniformly applied is as follows:

“An equitable claim on a Congressional reference must rest on some unjustified governmental act that caused damage to the claimants. Absent a finding of negligence [or wrongdoing] on the part of governmental employees, any award ... would be a gratuity.”

California Canners & Growers Ass’n v. United States, 9 Cl.Ct. 774, 785 (1986) (quoting Wong v. United States, Cong.Ref. No. 3-74, slip op. at 12-13 (Ct.Cl. Nov. 23, 1977)); see also Braude v. United States, 35 Fed.Cl. 99, 109 (1996); Shane v. United States, 3 Cl.Ct. 294, 304 (1983). Plaintiff acknowledges that to establish the unjustified governmental action or wrongdoing necessary to support an equitable claim herein, plaintiff must demonstrate that the government’s sale of the Homestead violated some obligation running from the United States to plaintiff. Plaintiff argues, however, that the hearing officer erred in not concluding that the Indian Reorganization Act (IRA), 25 U.S.C. §§ 461-479, created such an obligation.

The IRA, enacted in 1934, authorizes “[t]he Secretary of the Interior ... to acquire, through purchase, relinquishment, gift, exchange or assignment, any interest in lands ... for the purpose of providing land for Indians.” 25 U.S.C. § 465. With respect to land so acquired, the IRA imposes on the United States a fiduciary duty to hold that land in trust for the Indians:

Title to any lands or rights acquired pursuant to [this Act] shall be taken in the name of the United States in trust for the Indian tribe or individual Indian for which the land is acquired, and such lands or rights shall be exempt from State and local taxation.

Id.; Hydaburg Cooperative Ass’n v. United States, 229 Ct.Cl. 250, 257, 667 F.2d 64, 67 (1981), cert. denied, 459 U.S. 905, 103 S.Ct. 207, 74 L.Ed.2d 166 (1982). The IRA further provides that except under certain narrowly defined circumstances, the United States cannot sell any such Indian lands. 25 U.S.C. § 464. Plaintiff contends that the DOI “acquired” the Homestead pursuant to the IRA and, thus, that the 1952 sale of the Homestead violated the fiduciary duty created by the IRA and thereby constituted governmental wrongdoing sufficient to support an equitable claim under 28 U.S.C. § 2509.

The hearing officer rejected plaintiffs argument on the ground that the IRA covers only title to lands acquired “pursuant to [the IRA]” and the Homestead was not so acquired. The hearing officer analyzed both the United States’ original acquisition of the Homestead in the mid-1930s pursuant to an option agreement executed by the DOI, and the President’s 1937 transfer within the Executive Branch of responsibility for the Homestead from the Resettlement Administration, an agency within the Department of Agriculture, to the DOI. With respect to the original purchase of the Homestead, the hearing officer concluded that rather than being “pursuant to the [IRA],” the original acquisition was pursuant to the National Industrial Recovery Act (NIRA), 48 Stat. 200 (1933), which plaintiff has not alleged creates a trust or any other legal obligation barring [636]*636the United States from selling land acquired thereunder.

As to the 1937 transfer of responsibility for the Homestead, the hearing officer concluded: “When the President transferred oversight of the Homestead back to the [DOI], he once again based his action on the authority granted by the [NIRA].” The hearing officer continued: “Because it is found that the Secretary's authority over the Homestead was governed by the [NIRA] at all relevant times, it follows that the duty to prevent alienation, as imposed by the [IRA], never took effect.”

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Thomas Charles Bear v. United States
112 Fed. Cl. 480 (Federal Claims, 2013)
Land Grantors in Henderson, Union v. United States
86 Fed. Cl. 35 (Federal Claims, 2009)
Kanehl v. United States
41 Cont. Cas. Fed. 77,160 (Federal Claims, 1997)

Cite This Page — Counsel Stack

Bluebook (online)
37 Fed. Cl. 633, 1997 U.S. Claims LEXIS 47, 1997 WL 112690, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bear-claw-tribe-inc-v-united-states-uscfc-1997.