Morongo Band of Mission Indians v. California State Board of Equalization

849 F.2d 1197
CourtCourt of Appeals for the Ninth Circuit
DecidedJune 14, 1988
DocketNos. 87-2320, 87-2371 and 87-2393
StatusPublished
Cited by1 cases

This text of 849 F.2d 1197 (Morongo Band of Mission Indians v. California State Board of Equalization) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morongo Band of Mission Indians v. California State Board of Equalization, 849 F.2d 1197 (9th Cir. 1988).

Opinion

ALARCON, Circuit Judge:

I. INTRODUCTION

The question presented in this case is whether the district court properly exercised subject matter jurisdiction over an Indian tribe’s action in the nature of inter-pleader against a member of the tribe and a state tax authority. We hold that it did not. Accordingly, we vacate the district court’s judgment in all respects and remand with instructions that the case be dismissed.

II. BACKGROUND

Plaintiff/Counterclaim-Defendant/Appellant/Cross-Appellee Morongo Band of Mission Indians (the Band) leased Indian trust land beneficially owned by Defendant/Counterclaimant/ Appellee/Cross-Ap-pellant Clive Miller (Miller), a member of the Band. The lease was never approved by the Secretary of the Interior (the Secretary).

On August 16, 1983, Defendant/Appel-lee/Cross-Appellant California State Board of Equalization (the Board) levied on funds held by the Band and allegedly owed to Miller as rent under the lease. On December 28, 1983, the Band deposited the disputed funds into the registry of the district court and instituted an action in the nature of interpleader. The Band asserted no claim to the deposited funds.

On September 26, 1986, the district court granted the Band leave to amend its complaint to assert its own claim to the funds under the theory that the lease with Miller was invalid for lack of approval by the [1199]*1199Secretary.1 Miller thereupon filed a Counterclaim alleging claims for unpaid rent under the lease, for the reasonable value of the Band’s use of his property, for bad faith, and for violations of the Indian Civil Rights Act, 25 U.S.C. § 1302.

The district court granted summary judgment for the Band on its claim that the lease was invalid. The court also granted summary judgment for Miller on his claim for the reasonable value of the Band’s use of his property. All parties appealed.

The briefs initially filed in this court did not discuss the question of federal subject matter jurisdiction over interpleader actions. We called for supplemental briefing on the question. Each of the parties contends that the district court properly exercised jurisdiction pursuant to the general federal question statute, 28 U.S.C. § 1331 (1982).

III. ANALYSIS

The fact that none of the parties contests the district court’s jurisdiction does not, of course, relieve us of our responsibility to determine whether the court’s exercise of jurisdiction was proper. The parties have no power to confer jurisdiction on the district court by agreement or consent. Sullivan v. First Affiliated Securities, Inc., 813 F.2d 1368, 1374 (9th Cir.), cert. denied, — U.S.-, 108 S.Ct. 150, 98 L.Ed.2d 106 (1987); Janakes v. United States Postal Service, 768 F.2d 1091, 1095 (9th Cir.1985). If the district court had no jurisdiction over the subject matter, the action should have been dismissed, regardless of the parties’ preference for an adjudication in federal court.

The district court, believing that it had jurisdiction based on the original inter-pleader claim, granted the Band leave to file an amended complaint realleging the interpleader claim and adding three claims for declaratory relief. In determining federal court jurisdiction, we look to the original, rather than to the amended, complaint. Subject matter jurisdiction must exist as of the time the action is commenced. See Mullen v. Torrance, 22 U.S. (9 Wheat.) 536, 538 6 L.Ed. 154 (1824) (jurisdiction “depends upon the state of things at the time of the action brought”); Nuclear Eng’g Co. v. Scott, 660 F.2d 241, 248 (7th Cir.1981) (“Jurisdictional questions are answered by reference to the time of the filing of an action....”), cert. denied, 455 U.S. 993, 102 S.Ct. 1622, 71 L.Ed.2d 855 (1982); Mobil Oil Corp. v. Kelley, 493 F.2d 784, 786 (5th Cir.) (jurisdiction “is determined at the outset of the suit”), cert. denied, 419 U.S. 1022, 95 S.Ct. 498, 42 L.Ed.2d 296 (1974); cf. Boelens v. Redman Homes, Inc., 759 F.2d 504, 506-08 (5th Cir.1985) (where plaintiff in federal court action voluntarily amends complaint and amended complaint neither refers to nor adopts any portion of original complaint, jurisdiction is determined on basis of allegations in amended complaint). If jurisdiction is lacking at the outset, the district court has “no power to do anything with the case except dismiss.” 15 C. Wright, A. Miller & E. Cooper, Federal Practice and Procedure § 3844, at 332 (1986) (footnote omitted); accord United States v. Boe, 543 F.2d 151, 159, 64 CCPA 11 (1976) (when subject matter jurisdiction is lacking, the district court “ha[s] no power to do anything, other than to dismiss the action,” and any order other than to dismiss is a nullity).2 Accordingly, we must examine [1200]*1200the Band’s original complaint to determine whether the claim alleged therein was one over which the district court had jurisdiction. If jurisdiction was lacking, then the court’s various orders, including that granting leave to amend the complaint, were nullities.

The complaint originally filed by the Band alleged one claim — interpleader. The facts alleged to support the claim were as follows: The Band is a federally-recognized Indian tribe. It is the beneficial owner of unallotted trust lands within the Morongo Indian Reservation, which is located in Riverside County, California. Miller is a member of the Band and resides on its reservation. He is the beneficial owner of allotted parcels of trust land located within the reservation. On April 26, 1983, the Band and Miller executed a written lease giving the Band the right to use a specified portion of Miller’s land to conduct bingo games. The lease provided that the Band would pay rent to Miller from the proceeds of the games. On or about August 16, 1983, in an effort to collect state cigarette taxes owed by Miller, the Board served the Band with a Notice of Levy on all property in the Band’s possession belonging to Miller, including funds being held by the Band as rent. Miller subsequently demanded that the Band pay him the rent in question, contending that the rent was exempt from the Board’s levy under 25 U.S.C. § 4103 and the doctrine of federal preemption of the field of leases of Indian trust land. Faced with conflicting claims to the rent, the Band deposited $292,000 into the registry of the district court and instituted the present action.

In its complaint, the Band did not assert any right to the deposited funds. Rather, it characterized the funds as “rents due to MILLER for the months of September through December, 1983.” By way of relief on its claim for interpleader, the Band prayed that the district court “[ojrder the defendants to interplead and settle between themselves their rights to the rents due under the said lease; ...

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
849 F.2d 1197, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morongo-band-of-mission-indians-v-california-state-board-of-equalization-ca9-1988.