Butte & Superior Copper Co. v. Clark-Montana Realty Co.

249 U.S. 12, 39 S. Ct. 231, 63 L. Ed. 447, 1919 U.S. LEXIS 2220
Supreme Court of the United States·Decided March 3, 1919·No. 598·Published·Cited by 53 cases

Opinion

Mr. Justice McKenna

delivered the opinion of the court.

A contest between mining claims as to the right to the ores that may be not only inside the surface lines of the claims but outside their vertical side lines — dip of extra-lateral rights. • It was commenced in the United States District Court for- the District of Montana by a bill filed therein by the appellees Clark-Montana Realty Company .and Elm Orlu Mining Company against appellant Butte & Superior Copper Company, Limited, under a statute of Montana authorizing an action to be brought by any person against another who claims an estate or interest in real property adverse to him, for the purpose of determining such adverse claim.

The appellees (plaintiffs in the suit) obtained a decrée in the District Court quieting*their title and decreeing an accounting. 233 Fed. Rep. 547. The decree was affirmed, by the Circuit Court of Appeals. 248 Fed. Rep. 609. To review the latter action this appeal is prosecuted.

We are confronted with a motion to dismiss on the ground that the decree of the Circuit Court of Appeals was final, the jurisdiction of the District Court having been, in legal effect, rested, it is asserted, upon, diversity of citizenship. To judge of the motion requires a consideration of appellees’ statement of their grounds of suit. An outline of them only is necessary.

At the outset we may say there is a diversity of citizenship, the parties being respectively corporations of Washington and Arizona, and it was so averred.

The predecessors of appellees (so run the allegations) on Aprü 18, 1875, discovered a vein or lode of mineral- *21 bearing rock in the ground described as the Elm Orlu. Discovery was followed by location of the claim and other acts of its appropriation prescribed by the mining laws, proof of which was duly made; and such steps were taken that on December 30, 1882, application for patent was made and patent issued for the claim January 31, 1884. The locators and their successors in interest held, worked, possessed and actually occupied the claim continuously from the date of discovery for more than five years thereafter and during all that time were in the open, notorious, exclusive and uninterrupted possession of it.

The Clark-Montana Realty Company became the owner of the claim and entitled to its possession and of all veins, lodes or ledges having their tops or apices therein throughout their entire depth between the end lines of said claim extended northerly in their own direction. That company leased the claim to appellee Elm Orlu Mining Company, which is occupying it by virtue of the lease.

The appellant is the owner of the Black Rock, Jersey Blue, Admiral Dewey and Silver Lode Mining Claims which adjoin the Elm Orlu claim on its north side. Their -locations progressed to patent.

In the Elm Orlu claim there is a vein or lode known as the Rainbow Lode, which crosses the west end line of the Elm Orlu claim and proceeds in an easterly direction through it. It was upon this lode that the discovery of the claim was made. Its downward course through the side line of the claim drawn vertically is northerly and it extends downward and passes below the surface of appellant’s claims.

Appellant claims an estate or interest adverse to appellees in the Rainbow Lode, the exact nature of which claim is unknown to appellees, but it is false and groundless.

The value of .the Elm Orlu claim is given, and it is averred that appellant; has by means of secret underground' works in its possession- wilfully penetrated the *22 Rainbow Lode and has extracted and is extracting large amounts of ore therefrom, the exact amount being unknown, but exceeding in value the sum of $50,000.

It is prayed that appellant declare its title and, when declared, that it be adjudged without merit; that appel-lees’ title be established and appellant enjoined from further assertion of rights advérse to appellees, and for an accounting.

There is an averment, however, that requires notice. It is as follows:

“That the jurisdiction of the United States District Court for the District of Montana over this suit is invoked and depends upon two grounds, to-wit:
“1. Upon the ground that the construction and application of Sections 2322, 2324, 2325, and 2332 of the Revised Statutes of the United States are involved, and the amount in controversy exceeds in value the sum of Three Thousand ($3,000.00) Dollars, exclusive of interest and costs, all of which will appear from the facts hereinafter set forth.
" 2 . . ."

The averment is explicit and, we may assume, had a. purpose; but appellees do not wish to be taken at their word. The confidence they thought and expressed when invoking the powers of the court in. the first instance— and providing, we may assume, for review in case of an adverse decision — they now recant and urge that it should not be used to question or disturb their success or become an avenue of relief to their antagonist. This is not unusual and counsel has cited prior examples and the action of the court therein.

The principle of decision which the court then announced is familiar. It is that the ground of jurisdiction in the District Court, and ultimately in this court on appeal from the Circuit Court of Appeals is the statement of the suing party of his cause of suit. And there must *23 be substance in it, not mere verbal assertion or the anticipation of defenses. Taylor v. Anderson, 234 U. S. 74; Hull v. Burr, id. 712, 720.

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Butte & Superior Copper Co. v. Clark-Montana Realty Co., 249 U.S. 12, 39 S. Ct. 231, 63 L. Ed. 447, 1919 U.S. LEXIS 2220 (1919).

249 U.S. 12 (Butte & Superior Copper Co. v. Clark-Montana Realty Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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