United States v. Northern Pac. R.

95 F. 864, 37 C.C.A. 290, 1899 U.S. App. LEXIS 2492
CourtCourt of Appeals for the Eighth Circuit
DecidedJuly 10, 1899
DocketNo. 1,259
StatusPublished
Cited by27 cases

This text of 95 F. 864 (United States v. Northern Pac. R.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Northern Pac. R., 95 F. 864, 37 C.C.A. 290, 1899 U.S. App. LEXIS 2492 (8th Cir. 1899).

Opinion

SANBORN, Circuit Judge,

after stating the case as above, delivered the opinion of the court.

This is a suit to avoid a patent issued to the Northern Pacific Railroad Company, the appellee, by the land department of the United States. The land department is a quasi judicial tribunal, and a patent is the judgment of that tribunal upon the questions presented, and a conveyance in execution of the judgment. When it is attacked, two questions are presented. They are: Did the department have jurisdiction to issue the patent and to determine the questions which [870]*870conditioned its issue? and, was its judgment induced by fraud, mistake of fact, or error in law? The limits of the jurisdiction of this department, and the classes of cases which fall within that jurisdiction, have been considered and stated by this court with some care in U. S. v. Winona & St. P. R. Co., 32 U. S. App. 272, 282-286, 15 C. C. A. 96, 103-107, and 67 Fed. 948, 955-959, to which reference is made for a more extended discussion of this subject. The rule, broadly stated, is that the land department has jurisdiction over every case in which the control and disposition of the land is intrusted to its care, and that its judgment in such a case, whether right or wrong, conveys the legal title to the patentee, and is valid, unless avoided for error, mistake, or fraud. The land in dispute in this case, and the tract of land in the place limits of the grant to this company, in lieu of which the patent to this land was issued, were intrusted to this department for disposition, and the power was granted to it, and the duty imposed upon it, to hear and determine the question who was entitled to the conveyance of this land from the government. Its judgment was therefore not without jurisdiction, and its patent conveyed the legal title.

The other question is: Was this patent void because the decision upon which it was based was induced by error, fraud, dr mistake of fact? A court of equity has the power to set aside such a patent in a case in which the action of the department has resulted from a clear error of law. Bogan v. Mortgage Co., 27 U. S. App. 346, 350, 11 C. C. A. 128, 130, and 63 Fed. 192, 195, and cases there cited. Its decision of a question of fact, however, is conclusive, even in a direct proceeding to set aside the patent, unless it is first made to appear clearly that its adjudication was caused by a plain mistake or was induced by fraud or perjury. There is no general appeal from the officers of the land department to the courts; and the latter cannot review the decisions of questions of fact rendered by those officers in the absence of convincing proof that they were induced by fraud or mistake. U. S. v. Mackintosh, 56 U. S. App. 483, 490, 29 C. C. A. 176, 179, and 85 Fed. 333, 336; U. S. v. Budd, 144 U. S. 154, 168, 12 Sup. Ct. 575; Diller v. Hawley, 48 U. S. App. 462 , 472, 26 C. C. A. 514, 518, and 81 Fed. 651, 655. The averment of the bill in this case is that the officers of the land department by mistake conveyed ’the land here in question to the Northern Pacific Railroad Company, under the erroneous belief that it was within the grant made to that company by its charter, the act of July 2, 1864 (13 Stat. 365). It is, however, conceded that if the eastern terminus of the railroad is in the city of Ashland, in the state of Wisconsin, this land was properly patented, and the real claim of the government is that the land department was mistaken in holding that Ashland was its eastern terminus, when it should have held that this terminus was at Duluth, or at Thomson, in the state of Minnesota, or at Superior, in the state of Wisconsin. In reaching the decision which- resulted in the issue of this patent, the land department must have decided two questions, one a question of law, — whether or not the railroad company had the right under its charter to select Ashland as its eastern terminus; and the other a question of fact, — whether or not it did so select it. We will first consider the question of law.

[871]*871When congress made Hie offer to Richard D. Rice and his associates of the grant of lauds contained in Hu: act of July 2, 1864, its primary purpose was to get the greatest amount of railroad, and not to save the largest amount of land. The region north of the forty-fifth degree of latitude, through which the road was to run, was practically unknown and uninhabited, and was popularly believed to be covered with ice and snow for more than half the year. The lands of (lie government along this line were unoccupied and unsalable, and without a railroad they would have been the abode of Indians and wild animals to this day. Congress recognized the fact that the wealth of a nation is not its trackless forests or barren prairies, but its industrious and prosperous citizens. The United States offered this grant of land for the construction of a railroad to the end that some of its useless lands might be sold, and that the region through which the railroad was to pass might be what it has since become, — the home of intelligent, loyal, and contented subjects. But it took good care, by doubling the price of the even-numbered sections within the limits of the grant, which it retained, that, while it secured to itself those inestimable advantages, it should incur no possible loss. The task was so gigantic, and its accomplishment so doubtful, that the offer contained in the act of 1864 failed to induce its performance, and congress was so anxious that the road should be built that in 1870 it extended the indemnity limits of the grant 10 miles on each side of the line. 16 that. 379. It is well to call these facts to mind when the object of the government has been attained, when the road has been constructed, and when, many years after the contract between the government and the company has been executed, its terms are to be construed. The intention of the parties in the making of this contract must be interpreted in the light of these facts and conditions which surrounded (liem when the agreement was made. Accumulator Co. v. Dubuque St. Ry. Co., 27 U. S. App. 364, 372, 12 C. C. A. 37, 4-2, and 64 Fed. 70, 74.

Let us now return to the question. Did the act of 1804 authorize the railroad company to select Ashland as its eastern terminus? Section 1 of that act empowered the corporation “to lay out, locate, construct, furnish, maintain, and enjoy a continuous railroad and telegraph line, with the appurtenances, namely, beginning at a point on Lake Superior, in the state of Minnesota or Wisconsin; thence westerly by the most eligible railroad route * * * to some point on Puget’s Sound.” The city of Ashland is in the state of Wisconsin. It ig on Lake Superior. It has a harbor fit for the terminus of a great railroad. The terms of the act are plain, and argument and exposition can add nothing to this statement. Since the eastern terminus of the road was not fixed by the act, and the charter gave the railroad company the unlimited'power to locate it at any point on Lake Superior in Minnesota or Wisconsin, the conclusion is irresistible that the power to locate it in either state, and at any suitable city on the lake in either of these states, and hence to locate it at the city of Ashland, which has a safe and capacious harbor, and is an eligible point, was conferred upon the company by this charter. It is doubtful whether this power would ever have [872]*872been questioned if the decision of Secretary Lamar (4 Land Dec. Dep. Int. 458), subsequently approved in U. S. v. Southern Pac. R.

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Bluebook (online)
95 F. 864, 37 C.C.A. 290, 1899 U.S. App. LEXIS 2492, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-northern-pac-r-ca8-1899.