Swan Island Club, Inc. v. Ansell

51 F.2d 337, 1931 U.S. App. LEXIS 2907
CourtCourt of Appeals for the Fourth Circuit
DecidedJuly 8, 1931
Docket3175
StatusPublished
Cited by18 cases

This text of 51 F.2d 337 (Swan Island Club, Inc. v. Ansell) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swan Island Club, Inc. v. Ansell, 51 F.2d 337, 1931 U.S. App. LEXIS 2907 (4th Cir. 1931).

Opinion

CHESNUT, District Judge.

The question presented by the appeal in this ease is whether there was a sufficient amount in controversy to confer jurisdiction on the District Court, the parties being of diverse citizenship (U. S. Code Ann., title 28, § 41). The plaintiff’s bill of .complaint alleged, and the defendant’s answer denied, that more than $3,000, exclusive of interest and costs, was involved in the controversy. The subject matter of the litigation is the plaintiff’s effort, by bill in equity for an injunction, to protect its property, the chief-utility of which is for shooting wild fowl, from threatened and continuing trespasses by the defendant in consequence of which the game is driven away, and the value of the property substantially destroyed.

On the filing of the plaintiff’s bill supported by affidavits, the District Court entered a restraining order and set the ease for hearing on the plaintiff’s motion for a temporary injunction. After hearing counsel for the parties, but without taking any testimony, the court refused and dismissed the motion on the ground that the court was without jurisdiction of the cause. In view of the issue made by the bill and answer, the evident basis of the order was that the amount in controversy did not exceed $3,000 exclusive of interest and costs. As this conclusion was reached on bill and answer without testimony, it is necessary to examine the allegations of the bill and any other information appearing in the record to determine whether there is a legal possibility that the requisite amount is in controversy in good faith.

It is alleged that the plaintiff, a Massachusetts corporation, is the owner and in possession of certain tracts of land in Currituck county, N. C., containing about 9,236 acres, shown and described on a plat filed with the bill of complaint; that these tracts consist largely of islands, marsh lands, and lands under water, the chief utility of which is for gunning purposes and especially for shooting wild fowl; that the plaintiff’s title to the property has been duly confirmed by statutory registration proceedings in the superior court of Currituck county, N. C., in accordance with the applicable North Carolina statute; that the lands have been equipped at great expense with the necessary appliances, equipment and decoys, and the plaintiff employs the necessary personnel to enable its stockholders to shoot wild water fowl in accordance with the law within the< limits of its own property during a very limited shooting season; that the lands are of a value in excess of $50,000; that the defendant has trespassed upon said premises and located thereon certain devices known as “blinds” for the purpose of shooting wild water fowl and other game, and threatens to continue to trespass upon said lands whenever he desires and to take with him upon said premises other *339 people for the purpose of shooting wild water fowl and other game thereon from the said “blinds”; and that the defendant’s blinds are so strategically located with respect to the plaintiff’s property that the effect of shooting water fowl, and particularly ducks, from the defendant’s blinds will be to substantially destroy the gunning rights and privileges of the plaintiff on its property and thus render it almost valueless; and that the damage which will be sustained by the plaintiff unless the defendant’s acts are enjoined, will amount to more than $3,000, exclusive of interest and costs; and that the defendant is insolvent.

Upon consideration of the facts so alleged, we are unable to concur in the opinion reached by the District Court that the requisite amount cannot in legal possibility be involved in the controversy. Barry v. Edmunds, 116 U. S. 550, 6 S. Ct. 501, 29 L. Ed. 729. In our opinion the allegations of the bill, if supported by testimony, are sufficient to establish the jurisdiction of the District Court with respect to the amount in controversy. Of course, the final determination of this issue as to the amount in controversy will depend upon the proof. The complainant’s property is alleged to be of a value in excess of $50,000, and its chief utility is for the shooting of wild water fowl. It is specifically alleged that the effect of the defendant’s trespasses will be to practically destroy this utility and render worthless the capital value of the plaintiff’s investment. The trespasses sought to be enjoined are not merely sporadic and limited to a day or two in point of time and in effect to a small area of the plaintiff’s property, but are alleged to be continuing in their nature, exercised under a claim of right by the defendant, and effective to substantially impair the chief utility of the whole or the larger part of the plaintiff’s property.

It has been uniformly held by the federal courts that the test of jurisdiction in a case of this kind is the value of the object to be gained by the suit, which in this ease is the preservation of the plaintiff’s property rights. Glenwood Light & Water Co. v. Mutual Light, Heat & Power Co., 239 U. S. 121, 36 S. Ct. 30, 60 L. Ed. 174; Hunt v. New York Cotton Exchange, 205 U. S. 322, 27 S. Ct. 529, 51 L. Ed. 821; Packard v. Banton, 264 U. S. 140, 142, 44 S. Ct. 257, 68 L. Ed. 596; Scott v. Donald, 165 U. S. 58, 17 S. Ct. 265, 41 L. Ed. 632; Mississippi & M. Railroad Co. v. Ward, 2 Black, 485, 492, 17 L. Ed. 311; Louisville & N. R. Co. v. Smith (C. C. A. 5th) 128 F. 1; Fidler v. Roberts, 41 F.(2d) 305 (C. C. A. 7th). In Smith v. Bivens, 56 F. 352 (C. C. S. C.) it was held by Judge Simonton that the statutory amount in controversy (then $2,-000) was shown to exist where the plaintiff’s bill in ultimate effect sought to protect the value of the land, usable only for pasturage, from destruction by trespassing cattle of neighboring property owners, and where it appeared the capital value of the land was more than $2,000. In Northern P. R. Co. v. Cunningham, 103 F. 708 (C. C. Wash.), there was a like holding in a ease similar on the facts. Of course, the mere allegation of the plaintiff that the amount in controversy exceeds $3,000 will not suffice where it is apparent from the plaintiff’s own statement of the case, or from the proof, that by no legal possibility can the plaintiff’s claim amount to so much. Thus, it was held by the Circuit Court of Appeals for the Third Circuit in Wilderman v. Roth, 17 F.(2d) 486 (cited by Appellee’s counsel), that the jurisdictional amount was not really involved in good faith where a domestic servant sued to recover $5,-000 for the period of eight months’ services. But this was determined not upon the state of the pleadings without proof, but after testimony in the ease had shown that the plaintiff’s claim could never have exceeded $1,600 on the basis of the highest compensation for the services rendered.

During the oral argument it was contended that the order appealed from might he sustained on the ground that there was no equity jurisdiction because the plaintiff had an adequate remedy at law.

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Bluebook (online)
51 F.2d 337, 1931 U.S. App. LEXIS 2907, Counsel Stack Legal Research, https://law.counselstack.com/opinion/swan-island-club-inc-v-ansell-ca4-1931.