Slobojan v. United States

136 Ct. Cl. 620, 1956 U.S. Ct. Cl. LEXIS 136, 1956 WL 8362
CourtUnited States Court of Claims
DecidedOctober 2, 1956
DocketNo. 559-53
StatusPublished
Cited by8 cases

This text of 136 Ct. Cl. 620 (Slobojan 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
Slobojan v. United States, 136 Ct. Cl. 620, 1956 U.S. Ct. Cl. LEXIS 136, 1956 WL 8362 (cc 1956).

Opinion

Opinion

per curiam:

This case was referred by the court, pursuant to Rule 45 (c), to the Honorable Marion T. Bennett, a commissioner of the court, with directions to make findings of fact and recommendations for conclusions of law. The commissioner has done so in a report filed July 2, 1956. When more than 15 days elapsed after the filing of this report and neither party gave notice in writing of an intention to except to the commissioner’s findings or recommendations, the defendant filed a motion for judgment in accordance with the recommendations of the commissioner. Since the court agrees with the recommendations and findings of the commissioner, as hereinafter set forth, it hereby adopts the same as [622]*622tbe basis of its judgment in this case, and plaintiffs’ petition will be dismissed.

It is so ordered.

OPINION OP THE COMMISSIONER

This is an action to recover $20,128.10 representing the purchase price of certain property in McLean County, North Dakota, which the United States allegedly agreed to purchase from the plaintiffs in trust for the Three Affiliated Tribes of the Fort Berthold Indian [Reservation, North Dakota, pursuant to the terms of a written offer to sell which the plaintiffs claim was accepted by the United States.

The plaintiffs own 80.07 acres of improved agricultural land, subject to certain outstanding mineral rights and interests, located near the Fort Berthold Indian [Reservation. The reservation itself is under the direct supervision of the superintendent of the Fort Berthold Indian Agency at Elbo-woods, North Dakota, and the agency in turn is under the jurisdiction of the area director of the Aberdeen area office which is located at Aberdeen, South Dakota.

The Indian Reorganization Act of 1934, known as the Wheeler-Howard Act (48 Stat. 984,25 U. S. C. 465), authorized the Secretary of the Interior to acquire lands for Indians through purchase and other means. The authority conferred on the Secretary was delegated by him to the Commissioner of Indian Affairs in January 1949 by Secretarial Order No. 2508 (14 F. R. 258-260). Order No. 551, dated March 29, 1951 (16 F. R. 2939-2940), delegated this authority to the area directors. At the time pertinent here, only the director of the Aberdeen area office had authority to accept any offer submitted by the plaintiffs to sell their land in trust for Indians of the Fort Berthold Reservation.

On July 2,1953, plaintiff John Slobojan visited the Aberdeen area office to inquire about an offer plaintiffs had made to the Fort Berthold Indian Agency on April 17,1953, to sell their land for $20,123.10. The agency had forwarded the offer together with abstracts of title and a proposed deed to the area office for consideration, and had recommended acceptance of the offer. Mr. Slobojan was informed that the offer was unacceptable to the area office. While at the area [623]*623office a second offer, clarifying mineral rights involved, was prepared and typed on a printed form adopted by the Bureau of Indian Affairs for use in transactions involving the purchase of lands for Indians. Mrs. Slobojan was not with her husband at the time so he took the original and four copies of the new offer, dated July 2,1953, home with him. Plaintiffs subsequently executed the new offer and turned the same over to the Fort Berthold Indian Agency, which in turn forwarded the papers to the Aberdeen area office.

Plaintiffs’ offer of July 2, 1953, provided that it was to become effective upon acceptance and contemplated communication of acceptance to the offerer by providing that notice thereof should be mailed to Mr. John Slobojan, Garrison, North Dakota.

In a memorandum to the superintendent of the Fort Berth-old Agency the area director on July 3, 1953, noted that a major portion of the proposed purchase price represented an investment in improvements rather than in land, the value of improvements would depreciate and there were more improvements than needed by a single operator. It was stated that this would represent a considerable investment for the tribe but that the area office had no particular objections if the property was worth the appraisal and the tribe was aware of the potential in depreciation of the buildings. By telephone on July 8 plaintiffs sought a report on the status of their offer. The lawyer who made the call for them was told it was still being processed. This advice was given by Mr. Bex Barnes, area realty officer. Plaintiffs or their attorneys at no time talked to the area director. Following a report by the superintendent on July 16, 1958, the area director on July 23, 1953, endorsed an acceptance on the offer, subject to the terms and conditions named therein.

Later that same day, July 23, and prior to any notification being given to plaintiffs by mail or other means that their offer had been accepted, the superintendent of the agency called at the area office on other business and learned of the acceptance. • The superintendent at this time was against acceptance and after discussion with the area director was instructed to take the offer back to the agency for resubmission to the tribal council and to make further recommendations. [624]*624In the meantime it was agreed that plaintiffs would not be notified of any acceptance. Plaintiffs were notified that the tribal council would consider the matter on August 6, 1953. Mr. Slobodan testified that he was told by the agency superintendent, on a date not established by the evidence, not to assume the offer would be accepted and to make no deals relying on such an assumption. After discussion the tribal council voted against purchasing plaintiffs’ property. This fact was made known to the area director, who on August 12.1953, noted on the offer the following language above his signature, “The acceptance of this offer is hereby rescinded.”

Plaintiffs were notified by registered letter on August 14, 1953, from the area director that their offer of July 2, 1953, was disapproved. The offer was not returned to plaintiffs at this time but was mailed to plaintiffs’ attorneys on August 27.1953, in response to a letter requesting its return. It was at this time that plaintiffs first learned of defendant’s endorsement of an acceptance upon the offer.

Was plaintiffs’ offer to sell accepted in the legal sense? Plaintiffs say that when the area director endorsed his acceptance on the offer, the minds of the parties met and there was a valid, binding contract. Plaintiffs concede that the area director was the only official authorized to accept the offer. So, the telephone conversation between plaintiffs’ attorney and Mr. Barnes, who did not represent he had the authority, could not have bound defendant even had we found that Barnes said the offer had been accepted, which is not a fact and was not a fact at the time of the conversation. If the offer had actually been accepted in writing at the time of the telephone conversation and plaintiffs were told of it and relied upon it, they would be in a better position. But, those are not the facts. The conversation was on July 8 and the written acceptance on July 23. Plaintiffs first learned about it sometime after August 27, 1953, but in the meantime had been told in writing that their offer was rejected. The acceptance was rescinded on August 12. Only an authorized agent can bind the Government. Federal Crop Insurance Corp. v. Merrill,

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Bluebook (online)
136 Ct. Cl. 620, 1956 U.S. Ct. Cl. LEXIS 136, 1956 WL 8362, Counsel Stack Legal Research, https://law.counselstack.com/opinion/slobojan-v-united-states-cc-1956.