Mills County v. B. & M. R. R.

47 Iowa 66
CourtSupreme Court of Iowa
DecidedOctober 19, 1877
StatusPublished
Cited by12 cases

This text of 47 Iowa 66 (Mills County v. B. & M. R. R.) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mills County v. B. & M. R. R., 47 Iowa 66 (iowa 1877).

Opinion

Adams, J.

These cases have been presented with the learning and ability commensurate with their importance. The questions involved may be considered first as to whether the county had the power to make the compromise agreement; and second, if it had such power, whether the agreement is void by reason of fraud on the part of the Burlington & Missouri River Railroad Company, or for want of consideration.

The .first proposition made by the county is that the lands were in fact swamp lands. Having established this proposition, as it claims, it maintains that the county could not, under the statutes then in force, devote the lands to .the making of a railway through the • county unless authorized by a vote of the people of the county; that by the agreement in question the lands were devoted to the making of a railroad through the county, and that the same was not authorized by a vote of the people of the county.

It appears to us that if the county had the power to make a compromise, and if the agreement in question was a compromise, the county cannot now be heard to say that the land was swamp land, and that the county could not for that reason make the agreement in question. As to whether the land was swamp land was the very question in issue. That is precisely what the parties agreed not to test in the court of ultimate report. It is not, therefore, for us to say that the land was swamp land. The fact that it was so held by this court was not conclusive. The question was still an open one, and the agreement for a settlement made while the case was pending in the Supreme Court of the United States was virtually .an agreement that the question should remain an open one forever. .’Most certainly the county cannot be permitted, after having-obtained an agreement from the company to waive its right to ask the Federal Supreme Court to correct the error in this court, to insist in this court that the very ruling complained of was correct. As between the parties, then, to that agreement, if the county had the power t'o make a compromise^ and if that agreement was a compromise, this court will not hold That the land was swamp land.

[71]*71l. municipal compromise swamplands. [70]*70We come next to. consider the question as to whether the [71]*71pounty had the power to make a compromise. That the county had such power we think was substantially held in Allen v. Cerro Gordo County, 34 Iowa, 54, and in Grimes v. Hamilton County, 37 Iowa, 298. In the latter case it was held that an action brought to recover for services in securing the title to swamp lands might be compromised by the defendant county by a conveyance of a portion of the land.

It is claimed, however, that where a county is a party to an ■action involving the question of- title to swamp lands, or lands alleged to be swamp lands, the county has no power to compromise such action. It is said that the county holds such land in trust, and that a trustee must assume the validity of the title to the trust property and act accordingly.- But a trustee, in the exercise of a reasonable discretion, may certainly compromise debts. Blue v. Marshall, 3 P. Wms., 381; Radcliffe v. Winch, 17 Beav., 216. And we have no doubt that in the exercise of such discretion he may compromise any action whatever. A municipal corporation may compromise claims. Augusta v. Leadbeater; 16 Maine, 45; Bean v. Jay, 23 Maine, 117; Petersburg v. Mappim, 14 Ill., 193.

•___. • —"• The general power of the county to compromise even where a question of title to alleged swamp lands is involved does not, indeed, seem to be very seriously denied by the counsel for the County. They insist mainly that •such power could not be exercised under the peculiar circum■'stances of this case. Great stress is laid upon the fact that at -the time of the compromise there had been an adjudication in -favor of the county, not only by the District' Court, but by this •eourt. So long, however, as the action was still pending, it was as much the proper subject of compromise as if no decision had been made.

• Another objection taken is that the agreement was not a compromise. It is said that it was a total surrender by the county to the claims of the company. But the county did not agree to convey to the company all the land which the company -claimed. It expressly excepted 9,576 acres. This would show, of course, that the agreement was a compromise were it not for [72]*72the fact that the county agreed to pay the company ten thou: sand dollars.

3. • — •; ——: eration. The land excepted, it appears, had been conveyed to settler's. The county was anxious to protect them. It became necessary, therefore, to reserve in the settlement the land which had been sold them. Instead of this land the county offered to give the company ten thousand dollars. The precise language used is as follows: We offer you for this .balance (the 9,576 acres) ten thousand dollars in money.” The fact that the land claimed by the company was not all conveyed to. the company would not show a compromise if it was understood by the parties that ten thousand dollars was the value of the land excepted. The proposition as made by the county was nominally based upon the theory that that was the value, but there is nothing to show that such was the real understanding of the parties. It is easy to suppose that both parties knew well that the land excepted was worth more than ten thousand dollars. Before we should be justified in setting aside the agreement upon the ground that the company obtained all it claimed — ■ the identical lands in part, and for the remainder an equivalent — the county should satisfy us that such was the fact.

And even then we should have to inquire further, and determine- whether some valuable consideration did not move to the county by which the agreement could be supported as a compromise. The surrender of the whole of a disputed claim- is not the less a compromise if something is paid for the surrender. In this case we find that the company agreed to build its railroad through the county by the way of Grlenwood, and establish a depot at Grlenwood. Whether the county could devote swamp lands, or not, to the building of a railroad without a vote of the people, it might compromise a disputed claim for swamp lands in consideration of the building of a railroad without a vote of the people. Before we could hold that such an agreement is prohibited, we should need to ascertain and determine that the claim in question was a valid one. But the county, as we have seen, cannot ask such a determination because it has agreed for a consideration that the question shall remain undetex-mined.

[73]*734 ._. -: • This brings us to consider another position taken by the county, and that is that what the company agreed to do was no consideration, because it only agreed to do what it was under a necessity ol‘ doing before the agreement was made. By the act of Congress of May 15, 1856, the land granted was to aid in the construction of a railroad “ running from Burlington on the Mississippi river to a point on the Missouri river near the mouth of the Platte river.” Mills county is on the Missouri, and the mouth of the Platte river is opposite the county. It is claimed, and perhaps 'properly, that the road could not terminate near the mouth of the Platte river without running through Mills county.

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Bluebook (online)
47 Iowa 66, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mills-county-v-b-m-r-r-iowa-1877.