Marks v. United States

34 Fed. Cl. 387, 1995 U.S. Claims LEXIS 213, 1995 WL 655351
CourtUnited States Court of Federal Claims
DecidedNovember 6, 1995
DocketNo. 506-89L
StatusPublished
Cited by9 cases

This text of 34 Fed. Cl. 387 (Marks 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
Marks v. United States, 34 Fed. Cl. 387, 1995 U.S. Claims LEXIS 213, 1995 WL 655351 (uscfc 1995).

Opinion

OPINION

HORN, Judge.

The above-captioned case is presently before this court on defendant’s motion to dismiss for lack of jurisdiction, pursuant to Rule 12(b)(1) of the Rules of the United States Court of Federal Claims (RCFC) and 28 U.S.C. § 1500 (1988 & Supp.1993), as well as on defendant’s motion for summary judgment and plaintiffs’ cross-motion for partial summary judgment, both pursuant to RCFC 56.1 Plaintiffs in this action seek compensation from the United States Army Corps of Engineers (“the Corps”) for an alleged temporary taking of wetlands located in Key West, Florida. In their complaint, plaintiffs allege that “the Army Corps’ improper exercise of jurisdiction over the subject parcels constitutes a temporary taking since the imposition of the cease and desist order in January, 1973 and has continued to date.” Defendant denies liability, initially claiming a lack of jurisdiction. In the alternative, defendant argues that plaintiffs’ taking claim is unsupported in both fact and law.

FACTUAL BACKGROUND

The property in dispute consists of two adjacent parcels of land in Key West, Florida, near the Key West airport, known as Parcel 34 and Parcel 38.2 The property is bounded on the north by the Riviera Canal, a man-made waterway subject to tidal fluctuation and connected to the Atlantic Ocean and Cow Key Channel. Riviera Canal is a navigable body of water which is connected to the Atlantic Ocean. Parcel 38 consists of approximately 52 acres, the northern portion of which is a low lying, salt marsh area subject to tidal fluctuations. Parcel 34 consists of a 60 foot strip of property, which connects Roosevelt Boulevard on the east to Parcel 38 on the west, and is the only ingress and egress to Parcel 38. On June 13,1972, plaintiff, Lawrence Marks, on behalf of himself and his uncles, Herman, Paul, Eugene and Stanley Marks purchased an undivided one-half interest in Parcel 38 from Osnardo Dra-[392]*392go and Joaquin Pijuan, and also purchased whatever interest the sellers had in Parcel 34. Fee simple title to the access strip, known as Parcel 34, was not acquired until April 29, 1980.

In November 1972, the City of Key West enacted rezoning Ordinance No. 72-37, which permitted construction of four-story apartment complexes and amended the maximum density to allow 22 units per acre. Plaintiffs in this case intended to build and develop the property at issue in accordance with that ordinance. On November 21, 1973, Lawrence, Herman, Paul, Eugene and Stanley Marks, and Osnardo Drago entered into an agreement with Context Industries regarding the sale and development of Parcel 38, and entered into a supplemental agreement on December 12, 1973. Shortly thereafter, on December 28, 1973, the parties signed a final agreement, which transferred Parcel 38 to a new company, Context-Marks Corporation, which was organized for the specific purpose of developing the property.3 On May 12,1980, as a result of the settlement of a mortgage foreclosure action on the property, Carlos, et al. v. Context-Marks, et al., No. 75-1025-CA-09, Fla. 16th Cir.Ct., Context-Marks Corporation became Marks Development, Inc. Subsequently, on December 27, 1984, Marks Development, Inc. conveyed a 10% undivided interest in Parcel 38, and in whatever interest existed in Parcel 34, to Herman, Paul, Eugene and Stanley Marks, and a 60% interest to Lawrence Marks.

Plaintiff, Island in the Sun Condominiums of Key West, Florida, Inc. (“Island in the Sun”), filed its articles of incorporation on December 29, 1972. Island in the Sun was formed for the purpose of developing and constructing condominiums on Parcel 38, however, Island in the Sun, originally, did not hold ownership interest in the property. Later, on June 26, 1986, the Marks plaintiffs conveyed all of their interest in Parcel 34 to plaintiff Island in the Sun, which then conveyed that interest to the City of Key West.

On or about November 1,1972, in anticipation of developing Parcel 38 as a multi-unit apartment complex and marina, and in accordance with the Master Plan of the City of Key West and its applicable zoning regulations, plaintiffs applied for and received a dredge and fill permit from the City of Key West. Plaintiffs began their fill operation on Parcel 38 in November and December of 1972. A perimeter berm was completed during December, 1972. Dredging and filling activity, therefore, commenced without a permit from the Corps having been issued. At the time the fill operation on the property was commenced, the Randall Act, Florida Statute 253.135(2), which exempted property within Key West from state requirements for dredge and fill permits, was in full force and effect. Also, at the time the fill operation was commenced in November and December of 1972, neither the State of Florida nor the Corps generally asserted jurisdiction over any property above the mean high water line,4 and neither the federal government nor the State of Florida had been requiring permits to fill below the mean high water line in this area.

On January 24, 1973, the Army Corps of Engineers issued a cease and desist order by telegram concerning the placement of fill on Parcel 38. The telegram addressed to Thompson P. Carlos, counsel to the plaintiffs, stated:

1. IT IS OUR UNDERSTANDING THAT YOU REPRESENT MESSRS LAWRENCE M MARKS, OSNARDO DRAGO AND JOAQUINA C PIJUAN WHO ARE ENGAGED IN PLACING [393]*393FILL IN THE NAVIGABLE WATERS OF THE UNITED STATES ADJACENT TO THE RIVIERA CANAL AND JUST NORTH OF KEY WEST INTERNATIONAL AIRPORT, KEY WEST, MONROE COUNTY, FLORIDA.
2. SECTION 10 OF THE RIVER AND HARBOR ACT OF 3 MARCH 1899 (33 USC 403) PROHIBITS SUCH WORK UNLESS IT IS PROPERLY AUTHORIZED BY A DEPARTMENT OF THE ARMY PERMIT.
3. THERE IS NO RECORD OF A DEPARTMENT OF THE ARMY PERMIT BEING ISSUED FOR THIS WORK.
44. [SIC] ACCORDINGLY, YOU ARE HEREBY ADVISED THAT YOUR CLIENTS SHOULD CEASE AND DESIST ALL UNAUTHORIZED WORK BELOW THE MEAN HIGH WATER LINE IMMEDIATELY. FURTHER OPERATIONS MAY SUBJECT THEM TO MULTIPLE COUNT PROSECUTION.

This telegram was followed by a letter, dated April 9, 1973, from the Corps ordering removal of the fill. The letter stated, in pertinent part:

Since a Department of the Army permit has not been issued for the placement of this fill, you are directed to notify your clients, Messrs.Lawrence M. Marks, Os-nardo Drago and Joaquin C. Pijuan, to remove all fill placed below the mean high water line in the navigable waters of the United States. You are further directed to complete the removal of this fill by 22 May 1973.
This fill material should be removed in such a manner as to insure that the original elevation is obtained. Let us caution you that removal of additional material, that material not placed as fill, would be considered by this office to be an additional violation of 33 U.S.C. 403. Aso, the fill material that is removed should not be placed below the mean high water line in an area that is not properly authorized by a Department of the Army permit.

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Cite This Page — Counsel Stack

Bluebook (online)
34 Fed. Cl. 387, 1995 U.S. Claims LEXIS 213, 1995 WL 655351, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marks-v-united-states-uscfc-1995.