Modern Engineering Co. v. United States

113 F. Supp. 685, 126 Ct. Cl. 136, 1953 U.S. Ct. Cl. LEXIS 34
CourtUnited States Court of Claims
DecidedJuly 13, 1953
DocketNo. 48876
StatusPublished
Cited by11 cases

This text of 113 F. Supp. 685 (Modern Engineering Co. 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.

Bluebook
Modern Engineering Co. v. United States, 113 F. Supp. 685, 126 Ct. Cl. 136, 1953 U.S. Ct. Cl. LEXIS 34 (cc 1953).

Opinion

Howell, Judge,

delivered the opinion of the court:

In this case we are once again requested by defendant to deny plaintiff’s claim as a war contractor for relief under the provisions of the War Contract Hardship Claims Act, popularly known as the Lucas Act, 60 Stat. 902, as amended by 62 Stat. 869, 992, 41 U. Si. C. § 106 note. On April 4, 1949 we overruled defendant’s motion to dismiss plaintiff’s petition and held, among other things, that plaintiff had filed with the departments concerned prior to August 14, 1945, written requests for relief of the type contemplated by Section 3 of the Lucas Act. See 113 C. Cls. 272. Now, however, defendant contends that it is entitled to a summary judgment denying plaintiff’s claim on the grounds (1) that the claim was not filed within the period prescribed by the Lucas Act, and (2) that the requests for relief which we previously held to be sufficient are in fact insufficient when reviewed in the light of the opinion of the Supreme Court of the United States in Fogarty v. United States, 340 U. S. 13, and in the light of our opinions rendered subsequent to the Fogarty decision.

We will consider first defendant’s contention that plaintiff’s claim for relief was untimely filed under Section 8 of the Lucas Act. This section provides in pertinent part as follows:

Claims for losses shall not be considered unless filed with the department or agency concerned within sis [138]*138months after the date of approval of this Act [August 7, 1946] and shall be limited to losses with respect to which a written request for relief was filed with such department or agency on or before August 14, 1945. * * *.*

According to the petition and the exhibits and affidavits attached thereto, it appears that plaintiff’s alleged losses arose principally out of subcontracts entered into during 1943 with the V. P. Loftis Company, and its successor Tidewater Construction Company, to furnish specialized equipment for eight floating dry docks which were being constructed by these firms for the Navy Department. Due to change orders which at first reduced the quantities plaintiff was to furnish and later increased them, plaintiff’s production costs were increased so substantially as to cause it to suffer net losses on all of its wartime contracts with the Government. Consequently, following the passage of the Lucas Act, plaintiff’s officers decided to attempt to obtain relief under its provisions, and on Friday, February 6,1947, at 10: 00 A. M., its counsel deposited in the mail at Chicago, Illinois, such a claim for relief addressed to the Bureau of Yards and Docks, Navy Department, Washington, D. C. This letter, according to the affidavit of William Cunningham, assistant superintendent of the United States Government Official Mail Service in Washington, D. C., should have arrived in Washington on the morning of February 7, 1947, the last day of the six-month period provided by the Act, and after processing by the Post Office, should have been delivered to the Bureau of Yards and Docks during the afternoon of February 7, 1947 on either the 12:40 P. M. or 4:20 P. M. regularly scheduled delivery truck. Actually, however, the letter was not received by officials of the Bureau of Yards and Docks until Monday, February 10, 1947, which was several days after the expiration of the statutory period. Officials of the Bureau of Yards and Docks noted the date of its receipt upon the face of the claim and promptly [139]*139referred it to the Navy Department War Contracts Eelief Board for consideration.

On May 18,1948, the War Contracts Eelief Board made its final determination rejecting plaintiff’s claim. In this decision the Board directed attention to the fact that the claim was not received until after the February 7, 1947 deadline. However, rather than rest its decision on this ground, the Board elected to consider the claim in full and concluded that it should be denied on the merits. Thereafter, plaintiff instituted this action in accordance with the terms of the Act.

As stated above, defendant maintains that these facts require this court to dismiss plaintiff’s claim for noncompliance with the period of limitations prescribed in the Lucas Act. On the other hand, plaintiff insists that the facts relating to the mailing and to the usual course of the mails create a presumption, not rebutted by defendant, that the letter was received by the Navy Department on Friday, February 7, 1947, and that this presumption of delivery satisfies the requirements of Section 3 of the Lucas Act relating to the filing of claims, irrespective of the received date placed upon the face of the claim by the Bureau of Yards and Docks. Plaintiff also urges that defendant, having failed to raise the issue of limitations at an earlier stage in this litigation, which has been pending for several years, should now be estopped from asserting this contention. In addition, plaintiff urges that the defect, if any, was waived by the Navy Department War Contracts Eelief Board in reviewing the claim on its merits.

In considering the questions with which we are thus confronted, we find that our task is eased by the fact that these issues have been considered at length by the Supreme Court of the United States, whose views thereupon are controlling in this case. In United States v. Lombardo, 241 U. S. 73, the Supreme Court had to determine whether the requirements of a statute, which called for the filing of a certain document by a specified date with a designated Government office, were fulfilled by merely placing the document in the mail prior to the due date. The Supreme Court there concluded that mere mailing was insufficient because it did not necessarily result in the permanent preservation of the docu[140]*140ment or paper involved as contemplated by the term “file." The Court stated, at pp. 76,78, as follows:

The word “file” is derived from the Latin word “filum” and relates to the’ ancient practice of placing papers on a thread or wire for safe keeping and ready reference.. Filing, it must be observed, is not complete until the document is delivered and received. “Shall file” means to deliver to the office and not sent through the United States mails. (Emphasis supplied). Gates v. State, 128 N. Y. Court of Appeals 221. A paper is filed when it is delivered to'the proper official and by him received and filed. Bouvier Law Dictionary; White v. Stark, 134 Cal. 178; Westcott v. Eccles, 3 Utah 258; In re Van Varcke, 94 Fed. Rep. 352; Mutual Life Ins. Co. v. Phiney, 76 Fed. Rep. 618. Anything short of delivery would leave the filing a disputable fact, and that would not be consistent with the spirit of the act.
•!• Í
* * * our attention has not been called to any case which decides that the requirements of a statute, whether to secure or preserve a right or to avoid the guilt of a crime, that a paper shall be filed with a particular officer is satisfied by a deposit in the post office at some distant place. To so hold would create revolutions in the procedure of the law and the regulation of rights * * *.

. These views have been applied by many courts to a number of situations exceedingly akin to the circumstances in which the plaintiff now finds itself. McRae v. Woods, 165 F. 2d 790 (Em. App.); Park Management, Inc. v. Porter, 157 F.

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Bluebook (online)
113 F. Supp. 685, 126 Ct. Cl. 136, 1953 U.S. Ct. Cl. LEXIS 34, Counsel Stack Legal Research, https://law.counselstack.com/opinion/modern-engineering-co-v-united-states-cc-1953.