Skinner & Eddy Corp. v. United States

58 Ct. Cl. 663, 1923 U.S. Ct. Cl. LEXIS 217, 1923 WL 2122
CourtUnited States Court of Claims
DecidedNovember 28, 1923
DocketNo. 199-A
StatusPublished
Cited by1 cases

This text of 58 Ct. Cl. 663 (Skinner & Eddy Corp. 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
Skinner & Eddy Corp. v. United States, 58 Ct. Cl. 663, 1923 U.S. Ct. Cl. LEXIS 217, 1923 WL 2122 (cc 1923).

Opinion

Campbell, Chief Justice,

rendered the opinion of the

court:

The plaintiff filed a motion to dismiss its case without prejudice to the bringing of another action. Its motion is as follows:

“ Comes now the claimant in the above-entitled cause and moves to dismiss this cause without prejudice to the filing of a new action. The ground of said motion is that prior to the filing of the petition herein the petitioner had not presented to the President of the United States nor to his authorized . agent the claim which is set out in the petition herein or any part thereof. The act of June 15, 1917, as interpreted by this court and the Supreme Court of the United States, provides that the President of the United States has authority to cancel such contracts as are set forth in the petition herein between petitioner and the United States, and said act further provides that whenever the United States shall cancel such contract it shall make just compensation therefor to be determined by the President, and if the amount so determined by the President is not satisfactory to the person entitled to receive the same, that then such person shall be paid 75 per cent of the amount so determined by the President and shall be entitled to sue the United States to recover such sum as added to said 75 per cent will make up such amount as will be just compensation. This act, therefore, requires that claims such as are embodied in the present petition be presented to the President of the United States or to his duty accredited agent and that the President or such agent should determine the amount of just compensation prior to the filing of a suit in this court on such claim. As said claim was not presented either to the President or to his duly accredited agent, and therefore not [665]*665acted upon, it follows that this court has no jurisdiction over this claim.
“ Petitioner, therefore, asks that this cause be dismissed without prejudice to the filing of a new suit covering the same subject matter.”

The petition was filed on the 15th of June, 1921, and nothing had been done in the case so far as the court docket discloses further than the entry by the clerk of the general traverse under the rules of the court. The plaintiff’s motion to dismiss was filed on April 11, 1923, and the defendant’s motion to set aside the general traverse and be allowed to plead was filed on the next day, April 12. These were sent to the law calendar and were heard together by the court on April 23, 1923. When the parties, by counsel, were heard in argument the plaintiff insisted it should be allowed to dismiss the case, and the defendant urged that the case be not dismissed and that the Government’s counterclaim should be filed. The court entered an order allowing plaintiff’s motion. A motion by the Government for a rehearing upon this motion was inadvertently overruled, but this action was vacated and the motion again set for hearing. This brought the entire question again before the court, and the question is upon the right of plaintiff to dismiss its action over the Government’s objection and its motion to file a counterclaim or demand against the plaintiff.

We think it quite clear that a plaintiff filing his petition against the Government in the Court of Claims has no absolute right to dismiss the case over the objection of the defendant. This results from the terms of the statute under which alone the Government submits itself to suit. In Sckillinger's case, 155 U. S. 163,166, it is said:

“ The United States can not be sued in their courts without their consent, and in granting such consent Congress has an absolute discretion to specify the cases and contingencies in which the liability of the Government is submitted to the courts for judicial determination. Beyond the letter of such consent the courts may not go, no matter how beneficial they may deem or in fact might be their possession of a larger jurisdiction over the liabilities of the Government.”

One of the “contingencies” here referred to is that the plaintiff may be confronted with some one or more of the [666]*666matters mentioned in the jurisdictional act (sec. 145, Judicial Code). This section confers jurisdiction to hear and determine, first, enumerated claims against the Government, and “ Second: All set-offs, counterclaims for damages, whether liquidated or unliquidated, or other demands whatsoever on the part of the Government of the United States against any claimant against the Government in said court.” This language is comprehensive and embraces any demand that the Government has against a claimant in the court. Referring to this second paragraph of section 145, the Supreme Court, speaking through Mr. Justice Harlan in McElrath’s case, 102 U. S. 426, 440, say:

“ Suits against the Government in the Court of Claims, whether reference be had to the claimant’s demand, or to the defence, or to any set-off or counterclaim which the Government may assert, are not controlled by the seventh amendment. They are not suits at common law within its true meaning. The Government can not be sued except with its own consent. It can declare in what court it may be sued, and prescribe the forms of pleading and the rules of practice to be observed in such suits. It may restrict the jurisdiction of the court to a consideration of only certain classes of claims against the United States. Congress, by the act in question, informs the claimant that if he avails himself of the privilege of suing the Government in the special court organized for that purpose, he may be met with a set-off, counterclaim, or other demand of the Government, upon which judgment may go against him, without the intervention of a jury, if the court, upon the whole case, is of opinion that the Government is entitled to such judgment. If the claimant avails himself of the privilege thus granted, he must do so subject to the conditions annexed by the Government to the exercise of the privilege. Nothing more need be said on this subject.”

See also section 146 of the Judicial Code.

In view of the statute and the decisions of the Supreme Court, as well as those of this court, the most that a plaintiff can invoke upon his motion for an order of dismissal, objected to by the Government, is the exercise of a sound discretion by the court in the circumstances of the particular case. The question was carefully considered in Huske's case, 46 C. Cls. 35, where the plaintiff sought to discontinue [667]*667his suit, but before an order of discontinuance was made the Government filed its counterclaim. The court, in line with the decisions above cited, declared that when a claimant seeks the jurisdiction of this court for a judicial determination of his rights against the United States he subjects himself to the decision and determination of whatever claims the United States may have against him which may be properly pleaded by way of set-off, counterclaim, or claim for damages. It was further said (p. 39) :

“ But when a party invokes the jurisdiction to obtain a money judgment against the United States' he should know that if the Government has a counterclaim it is liable to be pleaded. For that matter, we may say, incidentally, it ought to be pleaded as promptly as possible.

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Related

United States v. Skinner & Eddy Corporation
35 F.2d 889 (Ninth Circuit, 1929)

Cite This Page — Counsel Stack

Bluebook (online)
58 Ct. Cl. 663, 1923 U.S. Ct. Cl. LEXIS 217, 1923 WL 2122, Counsel Stack Legal Research, https://law.counselstack.com/opinion/skinner-eddy-corp-v-united-states-cc-1923.