Small v. Lutz

67 P. 421, 41 Or. 570
CourtOregon Supreme Court
DecidedAugust 4, 1902
StatusPublished
Cited by18 cases

This text of 67 P. 421 (Small v. Lutz) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Small v. Lutz, 67 P. 421, 41 Or. 570 (Or. 1902).

Opinion

Mr. Justice Bean,

after stating the facts, delivered the opinion of the court.

2. Whatever may have been the opinion as to the proper construction of the swamp land act prior to the decision of the Supreme Court of the United States in Michigan L. & Lum. Co. v. Rust, 168 U. S. 589 (18 Sup. Ct. 208), it is now settled that under such act the legal title to the land remains in the general government until patent issues, and the land department has power and authority to inquire into the legality and extent of rights claimed under the act. It is also settled that the listing and platting of certain lands to the state as swamp and overflowed, by the Secretary of the Interior, is not conclusive, but may be revoked and annulled at any time prior to the issuance of a patent by that officer or successor: Brown v. Hitchcock, 173 U. S. 473 (19 Sup. Ct. 485). But it is argued that the order canceling and revoking list No. 5 was void as to the plaintiff because made without notice to his grantor. As we understand the law, the fact that the grantee of the state may not have been notified of proceedings to cancel the approval of a list of lands as swamp and overflowed does not render void the action of the land department in canceling the same, but merely entitles [575]*575him to a hearing in the proper forum as to whether the lands were in fact swamp and overflowed within the terms of the grant: Guaranty Sav. Bank v. Bladow, 6 N. D. 108 (69 N. W. 41); Guaranty Sav. Bank v. Bladow, 176 U. S. 448 (20 Sup. Ct. 425); Hawley v. Diller, 178 U. S. 476 (20 Sup. Ct. 986); California Redwood Co. v. Little (C. C.), 79 Fed. 854; American Mtg. Co. v. Hopper, 64 Fed. 553 (12 C. C. A. 293). Practically the same question was decided in Guaranty Sav. Bank v. Bladow, 176 U. S. 448 (20 Sup. Ct. 425). In that case the final certificate of a homestead claimant had been canceled after notice to the entryman, but without notice to his mortgagee. It was held that the cancellation was conclusive against the entryman upon all questions of fact, and could not be regarded as a mere nullity when set up against his mortgagee, although the latter had no notice of the proceeding to cancel the certificate. “This result follows,” says Mr. Justice Pbckham, “by reason of the character of the entry, and of the certificate given thereon. It does not transfer the title to the land from the United States to the entrjunan, and it simply furnishes prima facie evidence of an equitable claim upon the government for a patent, and the use of the certificate for that purpose is subject to be destroyed by cancellation thereof under direction of the department. This is the legal effect of such certificates, and all who deal in them, or found any right upon them, must be held to do so with full knowledge of the character of such papers. But the cancellation, although conclusive as to the entrjnnan upon all questions of fact, if made after notice to him, would not be conclusive upon the mortgagee, if made without notice to such mortgagee, and with no opportunity on its part to be heard; that is, it would not prevent the mortgagee, before the issuing of a patent, from taldng proceedings in the land department, and therein showing the validity of the entry, or from proceeding before a judicial tribunal against the patentee, if a patent had already issued, and therein showing the validity of the entry; such proof in each case would, however, have to be made by evidence other than the certificate which had been canceled. Had the mortgagee taken either of these courses, it might have demanded in the one ease, [576]*576■upon proving the validity of the entry, that a patent should be issued to the mortgagor or his grantees, leaving the land subject to the lien of the mortgage, or, if a patent had been issued, the mortgagee might then have demanded relief against the patentee upon proof of the validity of the entry, in a proceeding in court to hold him as trustee.”

This same principle must necessarily apply to the listing of land to the state by the Secretary of the Interior under the swamp land act. He is required to “make out an accurate list and plats of the lands” described in the act, and cause a patent to be issued to the state therefor, and upon the issuance of such patent, and not before, the legal title vests in the state. The making and forwarding to the governor of the list and plats is but one step in the process of the administration of the law. It does not transfer the title from the United States to the state, nor does it devest the land department of control over the land. It is only prima facie evidence of the right of the state to a patent. Until the patent has been issued, the land department may determine for itself under what circumstances and upon what notice it will revoke and cancel the list. All who deal with the state, or base any rights upon the approved list, are chargeable with knowledge of its character, and of the fact that the proceedings to secure the legal title are incomplete, and that it is within the power of the land department at any time to revoke the list; thus destroying the prima facie evidence of the right to a patent. If the cancellation is made without notice to a grantee of the state, it is not conclusive as to him, and does not destroy his equitable title. He still has the right to show, if the facts are with him, by evidence other than the approved list, that the land was in fact within the terms of the swamp land grant, and should be listed and patented to the state. But, in our opinion, this showing must be made to the Secretary of the Interior, and before the legal title passes from the government. By the swamp land act, it is made the exclusive duty of that officer to determine what lands are within the grant. His office is made the tribunal whose decision upon that subject is controlling. It is for him alone to pass upon that question, and his [577]*577judgment as to the character of the land is final and conclusive: Heath v. Wallace, 138 U. S. 573 (11 Sup. Ct. 380); Chandler v. Calumet Min. Co., 149 U. S. 79 (13 Sup. Ct. 798); McCormick v. Hayes, 159 U. S. 332 (16 Sup. Ct. 37). When the defendant’s application for a patent was made under his homestead entry, it became the duty of the Secretary of the Interior, as the head of the land department, and by virtue of his general control over the disposition of the public lands, as well as under the provisions of the swamp land act, to ascertain whether the land applied for was in fact public land, and, when the defendant’s final proof was accented, and a patent issued to him, it was in legal contemplation decided that the land was not swamp and overflowed within the terms of the grant to the state.

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Bluebook (online)
67 P. 421, 41 Or. 570, Counsel Stack Legal Research, https://law.counselstack.com/opinion/small-v-lutz-or-1902.