Corporation Argentina de Productores de Carnes v. United States

115 Ct. Cl. 679, 1950 U.S. Ct. Cl. LEXIS 73, 1950 WL 5004
CourtUnited States Court of Claims
DecidedFebruary 6, 1950
DocketNo. 47806
StatusPublished

This text of 115 Ct. Cl. 679 (Corporation Argentina de Productores de Carnes v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Corporation Argentina de Productores de Carnes v. United States, 115 Ct. Cl. 679, 1950 U.S. Ct. Cl. LEXIS 73, 1950 WL 5004 (cc 1950).

Opinion

Jones, Chief Judge,

delivered the opinion of the court.:

In this suit the plaintiff, an Argentine corporation, seeks to recover from the United States payment for approximately 2,000 tons of lamb carcasses and lamb cuts purchased by the United v States Department of Agriculture under [705]*705Lend-Lease authority for transfer to the United Kingdom in the year 1942. [55 Stat. 31.]

The plaintiff sues for the sum of $886,260.60, together with accruing exchange commissions, interest, costs and other charges. The plaintiff was tendered the sum of $409,695. The parties were unable to agree upon the amount that should be paid. Hence this suit.

The facts are set out in detail in the court’s findings.

For many years all nations have recognized the necessity for quarantine laws and regulations to protect human beings, animals and plants from the spread of disease. Sometimes these laws and regulations are used as a smokescreen to prevent unwanted competition, but all nations have recognized the necessity for such laws and regulations when conditions justified such action.

Many years ago the Department of Agriculture was authorized by law to designate any foreign country or region where diseases dangerous to animals existed, and to prohibit the importation of animals and meats from those countries or regions, leaving other countries or unaffected regions of any country free to engage in shipments to the United States. Section 306 (a), Title 3 of the Tariff Act of 1930, 46 Stat. 689, reads as follows:

(a) Rinderpest and foot-and-mouth disease. — If the Secretary of Agriculture determines that rinderpest or foot-and-mouth disease exists in any foreign country, he shall officially notify the Secretary of the Treasury and give public notice thereof, and thereafter, and until the Secretary of Agriculture gives notice in a similar manner that such disease no longer exists in such foreign country, the importation into the United States of cattle, sheep, or other domestic ruminants, or swine, or ox fresh, chilled, or frozen beef, veal, mutton, lamb, or pork, from^ such foreign country, is prohibited.

This provision of the law was in effect during the period when the series of events involved in this controversy took place.

Foot-and-mouth disease is defined as an acute contagious febrile disease affecting especially cloven-footed animals caused by a filtrable virus and characterized by ulcerating vesicles in the mouth, about the hooves and around the [706]*706udder. It is shown to be communicable by mals or by meats, frozen or otherwise. It is a very serious disease and does great injury to livestock. Once it gains a foothold it is extremely difficult to stamp out. The official records show that the one known sure way to stop the contagion is to kill the affected animals and bury the carcasses and clean up the premises. The disease is frequently transmitted through particles of meat that go into garbage which is fed to swine or other animals, or from the droppings in barns and feedlots.

For many years a quarantine against the importation of certain animals, including sheep and the products thereof, into the United States from certain areas of South America, had been in effect. Efforts were made from time to time to have the embargo lifted as to certain parts of the Argentine Eepublic which claimed to be free of the disease. Tierra del Fuego claimed it was free of the disease among its sheep, and that it had been for a number of years prior to 1941. It asked that it be treated as a separate country and the embargo lifted.

The portion of the Argentine Eepublic in which there was the greatest production of sheep during the period involved lies in the area known as Patagonia, which embraces that part of the continent of South America lying south of the 42d parallel and including Tierra del Fuego. Tierra del Fuego is a series of islands at the south end of America, separated from the mainland by the Strait of Magellan.

After some discussion with the officials of the two countries it was agreed that the Attorney General would be asked for an interpretation of the statute and the authority of the Secretary under it.

In response to a request by the Secretary of Agriculture for an opinion as to whether Tierra del Fuego might be regarded as a country separate from the continental Chilean and Argentine area within the meaning of Section 806 (a) quoted above, the Attorney General of the United States replied that having in mind the purpose of the statute, if the Secretary of Agriculture found that the disease did not exist .in Tierra del Fuego, and if the geographical separation was sufficient to avoid the risk of introduction of the disease, [707]*707it was his opinion that it was within the discretion of the Secretary to treat Tierra del Fuego as a separate area. On June 16, 1941, the Secretary of Agriculture wrote to the Secretary of the Treasury transmitting a copy of the opinion of the Attorney General, and stating that

■However, because the Attorney General’s opinion referred to above states that Tierra del Fuego may not necessarily be included as part of Argentina for the purpose of the administration of Section 306 (a) of the Tariff Act, and in view of the fact that this Department has no reason to believe that either rinderpest or foot-and-mouth disease exists in Tierra del Fuego, the prohibition is not applicable to the specified animal or animal products imported from that territory.
This Department’s inspectors at the ports of entry are being advised accordingly.

On the same day the Secretary of Agriculture wrote to the Secretary of State reciting these facts and stating that he would interpose no objection to the importation of fresh, chilled, or frozen meat from Tierra del Fuego, provided it be subject to the following two conditions:

(1) the meat be derived from animals grown in Tierra del Fuego and slaughtered and dressed in that territory under National Government Inspection, and
(2) the meat be shipped by direct boat from Tierra del Fuego to the United States; that is to say, that no meat will be transferred from one ship to another en route from Tierra del Fuego to the United States. This would not, of course, prevent the entry of such boats into intermediate ports for supplies.

On June 18, 1941, the Acting Secretary of State of the United States wrote to the Argentine Ambassador outlining these facts and stating that the Department of Agriculture had no reason to believe that the foot-and-mouth disease existed in Tierra del Fuego, and would interpose no objection to the entry into the United States of fresh, chilled, or frozen meat, from that country, subject to the requirements set out above. The Argentine Ambassador informed his government of this action and the matter was given publicity in Argentina.

The general manager of the plaintiff corporation and a member of its Board of Directors had come to the United [708]*708States in February 1941 for the purpose of doing everything possible to obtain a favorable decision on the part of the Attorney General and the Department of Agriculture with reference to the importation of meat from Tierra del Fuego and to make a careful inquiry concerning possible markets in the United States for the disposal of frozen and quick-frozen lamb and mutton.

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115 Ct. Cl. 679, 1950 U.S. Ct. Cl. LEXIS 73, 1950 WL 5004, Counsel Stack Legal Research, https://law.counselstack.com/opinion/corporation-argentina-de-productores-de-carnes-v-united-states-cc-1950.