California v. Deep Sea Research, Inc.

523 U.S. 491, 118 S. Ct. 1464, 140 L. Ed. 2d 626, 1998 U.S. LEXIS 2788
CourtSupreme Court of the United States
DecidedApril 28, 1998
Docket96-1400
StatusPublished
Cited by119 cases

This text of 523 U.S. 491 (California v. Deep Sea Research, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
California v. Deep Sea Research, Inc., 523 U.S. 491, 118 S. Ct. 1464, 140 L. Ed. 2d 626, 1998 U.S. LEXIS 2788 (1998).

Opinions

Justice O’Connor

delivered the opinion of the Court.

This action, involving the adjudication of various claims to a historic shipwreck, requires us to address the interaction between the Eleventh Amendment and the in rem admiralty jurisdiction of the federal courts. Respondent Deep Sea Research, Inc. (DSR), located the ship, known as the S. S. Brother Jonathan, in California’s territorial waters. When DSR turned to the federal courts for resolution of its claims to the vessel, California contended that the Eleventh Amendment precluded a federal court from considering DSR’s claims in light of the State’s asserted rights to the Brother Jonathan under federal and state law. We conclude that the Eleventh Amendment does not bar the jurisdiction [495]*495of a federal court over an in rem, admiralty action where the res is not within the State’s possession.

I

The dispute before us arises out of respondent DSR’s assertion of rights to both the vessel and cargo of the Brother Jonathan, a 220-foot, wooden-hulled, double side-wheeled steamship that struck a submerged rock in July 1865 during a voyage between San Francisco and Vancouver. It took less than an hour for the Brother Jonathan to sink, and most of the ship’s passengers and crew perished. The ship’s cargo, also lost in the accident, included a shipment of up to $2 million in gold and a United States Army payroll that some estimates place at $250,000. See Nolte, Shipwreck: Brother Jonathan Discovered, San Francisco Chronicle, Feb. 25, 1994, p. 1, reprinted in App. 127-131. One of few parts of the ship recovered was the wheel, which was later displayed in a saloon in Crescent City, California. R. Phelan, The Gold Chain 242 (1987).

Shortly after the disaster, five insurance companies paid claims totaling $48,490 for the loss of certain cargo. It is unclear whether the remaining cargo and the ship itself were insured. See Wreck of the Steamship Brother Jonathan, New York Times, Aug. 26, 1865, reprinted in App. 140-147. Prior to DSR’s location of the vessel, the only recovery of cargo from the shipwreck may have occurred in the 1930’s, when a fisherman found 22 pounds of gold bars minted in 1865 and believed to have come from the Brother Jonathan. The fisherman died, however, without revealing the source of his treasure. Nolte, swpra, App. 130. There appears to be no evidence that either the State of California or the insurance companies that paid claims have attempted to locate or recover the wreckage.

In 1991, DSR filed an action in the United States District Court for the Northern District of California seeking rights to the wreck of the Brother Jonathan and its cargo under [496]*496that court’s in rem admiralty jurisdiction. California intervened, asserting an interest in the Brother Jonathan based on the Abandoned Shipwreck Act of 1987 (ASA), 102 Stat. 432, 43 U. S. C. §§2101-2106, which provides that the Federal Government asserts and transfers title to a State of any “abandoned shipwreck” that either is embedded in submerged lands of a State or is on a State’s submerged lands “and is included in or determined eligible for inclusion in the National Register,”. §2105(a)(3). According to California, the ASA applies because the Brother Jonathan is abandoned and is both embedded on state land and eligible for inelusion in the National Register of Historic Places (National Register). California also laid claim to the Brother Jonathan under Cal. Pub. Res. Code Ann. § 6313 (West Supp. 1998) (hereinafter §6313), which vests title in the State “to all abandoned shipwrecks ... on or in the tide and submerged lands of California.”

The District Court initially dismissed DSR’s action without prejudice at DSR’s initiative. The case was reinstated in 1994 after DSR actually located the Brother Jonathan Sé miles off the coast of Crescent City, where it apparently rests upright on the sea floor under more than 200 feet of water. Based on its possession of several artifacts from the Brother Jonathan, including china, a full bottle of champagne, and a brass spike from the ship’s hull, DSR sought either an award of title to the ship and its cargo or a salvage award for its efforts in recovering the ship. DSR also claimed a right of ownership based on its purchase of subrogation interests from some of the insurance companies that had paid claims on the ship’s cargo.

In response, the State of California entered an appearance for the limited purpose of filing a motion to dismiss DSR’s in rem complaint for lack of jurisdiction. According to the State, it possesses title to the Brother Jonathan under either the ASA or §6313, and therefore, DSR’s in rem action against the vessel is an action against the State in violation [497]*497of the Eleventh Amendment. DSR disputed both of the State’s statutory ownership claims, and argued that the ASA could not divest the federal courts of the exclusive admiralty and maritime jurisdiction conferred by Article III, §2, of the United States Constitution. DSR also filed a motion requesting that the District Court issue a warrant for the arrest of the Brother Jonathan and-its cargo, as well as an order appointing DSR the exclusive salvor of the shipwreck.

The District Court held two hearings on the motions. The first focused on whether the wreck is located within California’s territorial waters, and the second concerned the possible abandonment, embeddedness, and historical significance of the shipwreck, issues relevant to California’s claims to the res. For purposes of the pending motions, DSR stipulated that the Brother Jonathan is located upon submerged lands belonging to California.

After the hearings, the District Court concluded that the State failed to demonstrate a “colorable claim” to the Brother Jonathan under federal law, reasoning that the State had not established by a preponderance of the evidence that the ship is abandoned, embedded in the sea floor, or eligible for listing in the National Register as is required to establish title under the ASA. 883 F. Supp. 1343, 1357 (ND Cal. 1995). As for California’s state law claim, the court determined that the ASA pre-empts § 6313. Accordingly, the court issued a warrant for the arrest of the Brother Jonathan, appointed DSR custodian of the shipwreck subject to further order of the court, and ordered DSR to take possession of the shipwreck as its exclusive salvor pending the court’s determination of “the manner in which the wreck and its cargo, or the proceeds therefrom, should be distributed.” Id., at 1364.

The District Court stated that it was not deciding whether “any individual items of cargo or personal property have been abandoned,” explaining that “[a]t this stage in the litigation, DSR is not asking the court to award it salvage fees from the res of the wreck, or to otherwise make any order [498]*498regarding title to or distribution of the wreck or its contents.” Id., at 1354. The District Court thought that the most prudent course would be to adjudicate title after DSR completes the salvage operation. Following the District Court’s ruling, the United States asserted a claim to any property on the Brother Jonathan belonging to the Federal Government.

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Cite This Page — Counsel Stack

Bluebook (online)
523 U.S. 491, 118 S. Ct. 1464, 140 L. Ed. 2d 626, 1998 U.S. LEXIS 2788, Counsel Stack Legal Research, https://law.counselstack.com/opinion/california-v-deep-sea-research-inc-scotus-1998.