Bowles v. Griffin

151 F.2d 458, 1945 U.S. App. LEXIS 2968
CourtCourt of Appeals for the Fifth Circuit
DecidedOctober 23, 1945
Docket11378
StatusPublished
Cited by21 cases

This text of 151 F.2d 458 (Bowles v. Griffin) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bowles v. Griffin, 151 F.2d 458, 1945 U.S. App. LEXIS 2968 (5th Cir. 1945).

Opinion

SIBLEY, Circuit Judge.

The appellant Payne sued the appellee Griffin for penalties and attorney’s fees for overcharges for housing accommodations in the Bainbridge-Cairo, Georgia, Defense Rental Area under Section 205(e) of the Emergency Price Control Act of 1942, 50 U.S.C.A.Appendix, §§ 901-946. He alleged that under Maximum Rental Regulation No. 49 (7 Fed.Reg. 7505), the maximum rent chageable was $20 per month, and that he was charged and he paid in excess of $5 per week for twenty weeks beginning Oct. 17, 1942, and ending March 6, 1943. Griffin denied that Payne was his tenant, and attacked the Act and the Regulation for unconstitutionality. The Price Administrator was allowed to intervene in support of the Act and the Regulation, and both were upheld as constitutionally valid after the decision in Bowles v. Willingham, 321 U.S. 503, 64 S.Ct. 641, 88 L.Ed. 892. The cause then coming on for trial before a jury, receipts given to Payne by an agent of Griffin in his name were introduced, which showed payment for rent of $30 Oct. 17, 1942, $30 Nov. 17, 1942, $30 Jan. 1, 1943, $37.60 Feb. 1, 1943, and $37.60 March 1, 1943. There was some conflict in testimony as to when and how Payne became tenant and whether he rented by the week or month. There was also conflict as to what rent was in fact received for the premises on March 1, 1942, Griffin’s books showing $20 charged and collected per month until May 8, and after that $9.40 per week till July 2, 1942; but he testifying that he was collecting $9.40 per week, and failed to advise his bookkeeper of the increased collections. The then tenants did not testify. It appeared that Regulation 49 (7 F.R. 7505) became effective in this Area Oct. 1, 1942, freezing all rents for housing accommodations of this class at the rental received March 1, 1942. Griffin’s registration of this property was introduced and showed it as rented on that date at $9.40 per week, but stated that the first rental thereafter was at $30.00 per month and claimed the latter as the maximum rental; the $30.00 per month is, however, crossed out, and the claim for $9.40 per week is substituted. The date of this document, signed by B. V. Campbell as agent, does not appear. Griffin also introduced a report of an Examiner-Inspector of the Office of Price Administration dated Dec. 28, 1942, which stated that on investigation and affidavit of the landlord he found that the rent was on March 1, 1942, $9.40 per week and recommended that the rent remain at that figure. The Rent Director on the same date made an order that on the affidavit of the landlord he found the March 1, 1942, rent to be $9.40 per week, and fixed the maximum rent at that figure “effective this 28 day of December, 1942.” To rebut this order Payne introduced a notice to Griffin from the Rent Director dated Feb. 26, 1943, that since Dec. 28, 1942, proof had been submitted that the rent on March 1, 1942, was $20 per month and that he proposed to decrease the maximum rent accordingly, and that objections and counter proof should be filed within five days. On March 18, 1943, the Rent Director made a further order which recited that he had considered the evidence and finds that it disproves the landlord’s affidavit, and that the previous order of Dea 28, 1942, is contrary to the facts and the regulations; and in addition that $9.40 per week is higher than comparable rents for similar housing accommodations; and “therefore the previous order before referred to is hereby revoked and vacated”; and “the maximum rent is hereby fixed at $20.00 per month, effective Oct. 1, 1942, the effective date of Rent Control in this area.” Griffin thereafter collected only $20 per month. On this evidence the trial judge directed a verdict for the defendant; Payne and the Administrator appealing.

*460 The trial judge seems to have considered that the order of Dec. 28, 1942, was controlling while it stood, and that the order of March 18, 1943, could not operate retroactively; and that neither order had been violated. The Administrator argues here that Regulation 49 was applicable all the time, and that while the order of Dec. 28, 1942, might have superseded it as to this house until revoked, the revoking order could and did establish the maximum rent from Oct. 1, 1942, retroactively, and that any question of its validity, constitutional or otherwise, can be raised only before the Emergency Court of Appeals under Sect. 204(d) of the Act.

It is suggested in oral argument that these special orders made by a Rent Director are not regulations or orders of the Administrator referred to in Section 204(d). That subsection denies jurisdiction to any court, except the Emergency Court, “to consider the validity of any such regulation, order, or price schedule.” The regulations and orders are those authorized in Section 2, and again more broadly in Sect. 201(d) : “The Administrator may, from time to time, issue such regulations and orders as he may deem necessary or proper in order to carry out the purposes and provisions of this Act.” These Sections speak of the Administrator alone, but manifestly one man, while he could make the general provisions usually referred to as regulations, could not himself make all the determinations of more limited or individual application which are usually spoken of as orders. Accordingly Section 201(a) provides: “The Administrator may * * * appoint such employees as he deems necessary in order to carry out Ms functions and duties under this Act * * * and may utilize and establish such regional, local, or other agencies * * * as may from time to time be needed.” Section 201(b), after locating his principal office in the District of Columbia, declares: “but he or any duly authorized representative may exercise any or all of his powers in any place.” (Italics added.) The Administrator could appoint a Rent Director for this Defense Area and authorize him to fix by orders maximum rents for the housing accommodations therein. Cf. Shreveport Engraving Co. v. United States, 5 Cir., 143 F.2d 222. The record does not contain this Rent Director’s authorization, but no one questioned his authority in the Court below, or in the briefs filed in this Court. One of his orders was introduced and relied on by Griffin, the other by Payne and the Administrator himself as a party to the cause. We ought to assume the Rent Director was duly authorized, and his orders of Dec. 28, 1942, and March 18, 1943, above referred to are in legal effect those of the Administrator, attackable as orders fixing maximum rents only in the Emergency Court of Appeals.

But the regulations and orders of the Administrator are in their nature legislative and administrative and not judicial. The fact findings on which they are based do not constitute estoppels as by judgment. While the consideration of the validity of regulations and orders is reserved for the Emergency Court of Appeals, the application and enforcement of them is by Section 205 committed wholly to the district courts, which have the jurisdiction to find the facts to which the regulations or orders are to be applied. The penalties, for they aré such, (Thierry v. Gilbert, 1 Cir., 147 F.2d 603; Lambur v. Yates, 8 Cir., 148 F.2d 137), sued for here under Sect. 205(e) are recoverable only “if any person selling a commodity violates

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Bluebook (online)
151 F.2d 458, 1945 U.S. App. LEXIS 2968, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bowles-v-griffin-ca5-1945.