Source: https://caselaw.findlaw.com/us-supreme-court/320/561.html
Timestamp: 2019-04-22 13:07:45+00:00

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As Amended on Petition for Clarification of Opinion Feb. 28, 1944. [320 U.S. 561, 562] Mr. Francis M. Shea, Asst. Atty. Gen., for petitioner.
Mr. Robert M. Drysdale, of Detroit, Mich., for respondents.
These five suits were filed in the Court of Claims by respondents, who are customs inspectors stationed at the Port of Detroit. 1 They have been selected as test cases from a larger number of similar suits. No significant difference in the claims as to services rendered or otherwise is pointed out to us, and we see none. Even the periods for which recovery is sought, September 1, 1931, through August 31, 1937, are identical. We shall therefore state the issues and explain our conclusion in terms of the Myers case only, and its determination requires a like result in the other cases.
The precise issue is whether or not the provisions of Section 5 of the Act of February 13, 1911, as amended,2 and Sections 401, [320 U.S. 561, 563] 450 and 451 of the Tariff Act of 1930,3 entitle Mr. Myers to extra compensation over and above his regular salary as customs inspector for night, Sunday and holiday serv- [320 U.S. 561, 564] ices performed during the stated period. Its solution depends upon whether or not, when Section 5 speaks of 'overtime services,' it includes, first, any authorized service rendered [320 U.S. 561, 565] between 5 o'clock P.M. and 8'clock A.M., without regard to whether this service is within the regular hours of his assignment to duty, and, second, Sundays and holidays without regard to the tim of day when the authorized services are performed. The Court of Claims entered judgment for claimant for both nighttime and Sunday and holiday services. 99 Ct.Cl. 158.
As the difficulties of applying the statute continually arise at any port where the normal working hours of the customs employees named in the section are not limited to 8 A.M. to 5 P.M. with Sundays and holidays off, we granted certiorari to review the judgment of the Court of Claims. 320 U.S. 722 , 64 S.Ct. 45. We think the judgment should be reversed as to nighttime services and affirmed as to Sunday and holiday services.
The Port of Detroit possesses a wide variety of transportation facilities which connect it with Canada and which require customs inspection of merchandise, baggage and passengers. 4 Evidently a rotation of assignments of posts and hours among inspectors at Detroit was carried out by the collector. Mr. Myers had either night or Sunday and holiday service or both at all the various posts of duty which are listed in the note. He was paid his annual salary throughout the period. This was a base pay of $2,100, subject to additions and subtractions which were generally applicable to government employees. 5 The claim is for service performed at night- [320 U.S. 561, 566] time6 on weekdays, Sundays and holidays, and in daytime on Sundays and holidays.
The legislative history shows that the proponents of extra compensation constantly made the point that the Government would not be out of pocket by the legislation. 9 Where the United States stood as a protector of Indians with statutory authority, carefully marked out by a series of enactments, to collect sums for the benefit of [320 U.S. 561, 567] its dependents, we held that the Government's failure to collect did not give rise to a liability. Creek Nation v. United States, 318 U.S. 629, 637 , 639 S., 63 S.Ct. 784, 788, 789. In that case we said that authorization to collect did not create a mandatory duty, particularly where the Indians also might have sued. Likewise, under similar circumstances, we have determined that over-collection did not create liability for reimbursement. United States v. Algoma Lumber Co., 305 U.S. 415, 418 , 419 S., 423, 59 S.Ct. 267, 269, 271. But here the United States is neither protector nor agent. It is an employer who issues orders to the inspectors directing the performance of services. The work is done under the statutes. No inspector may 'receive any salary in connection with his services as such an official or employee from any source other than the Government of the United States.' Act of March 3, 1917, c. 163, 39 Stat. 1106, 5 U.S.C.A . 66. These payments are made by the licensees to the collector at rates fixed by the Secretary of the Treasury. This is extra compensation over and above the annual salary, not a payment from licensees. Section 451 requires a bond from the licensee to 'pay the compensation and expenses of the customs officers,' but the payment must be made to the collector under Section 5. These facts lead us to the view that the statutes create an obligation on the part of the United States to pay the inspectors such sums as they may earn under their provisions. 10 [320 U.S. 561, 568] We come then to an examination of the extent of the obligation under the several sections heretofore quoted in notes 2 and 3. From the earliest days, customs inspections have normally proceeded in daylight. By special license, the work of the customs might be performed at night. 11 Inspectors were on duty continuously and at first were paid on a per diem basis. 12 By the Act of March 3, 1873, R.S. Section 2871, the practice of licensees of paying extra compensation for nighttime service13 (between sunset and sunrise) was formalized by authorizing the collector to fix reasonable extra compensation and to collect and distribute it among the inspectors. The provisions of that section gradually were extended to additional employees and to different circumstances. 23 Stat. 53, 59; 34 Stat. 633. In 1911 further changes were made by an Act for lading and unlading vessels. 36 Stat. 901. Section 5 under examination here emerges there in nearly its present form. Extra compensation for nighttime services was continued and was authorized for the first time for Sundays and holidays. 14 The latest changes were made in [320 U.S. 561, 569] Section 5 in 1920. 'Night' services became 'overtime' services. Sundays and holidays were placed at the beginning of the section in juxtaposition with 'hours' which were fixed at from 8 A.M. to 5 P.M. The last proviso vesting authority in the Collector of Customs to regulate the hours of employees 'so as to agree with prevailing working hours in said ports' was added. 15 The Tariff Act of 1922, Sections 401, 450 and 451, extended the provisions of Section 5 of the lading and unlading act so as to cover passengers and baggage arriving by vehicle. These sections as they now appear in the Tariff Act of 1930 are in note 3, supra.
'Mr. Fordney. The Compensation for night work would be more than twice the compensation for day work?
When we examine the language of Section 5, either without extrinsic aid or with the benefit of the historical and legislative background, we find convincing authority to support the Government's view as to the meaning of overtime. 'Overtime' as we pointed out above was substituted by the 1920 amendment of Section 5 for 'nighttime' services. The section requires employees to 'remain' on duty. The usual instance of the payment of extra compensation would be for work after 5 P.M. by an inspector who had previously worked full time. The Government is correct in its interpretation of the last proviso of Section 5 as permitting shifts in an inspector's regular hours of work. Night assignments are an old administrative practice. It is true that the proviso apparently was passed to meet a New Orleans situation but the language is general. It does not restrict the collector to minor variations in hours. We are led to the conclusion that overtime, as applied to week days, refers to hours longer than the daily limit of 8 A.M. to 5 P.M., nine hours with one [320 U.S. 561, 574] hour for food and rest. Furthermore, these tours of duty under the proviso are movable within the twenty-four hour period in accordance with prevailing working hours and the requirements of the service.
We do not see that International Ry. Co. v. Davidson, 257 U.S. 506 , 42 S.Ct. 179, 181, decides otherwise. That was a suit to enjoin the Collector from enforcing the license provisions of Section 5, note 2, supra, as to passengers and baggage, against an international bridge. These were held inapplicable to bridges. In speaking of Section 5, the opinion stated: 'This substituted section defines what shall be deemed overtime, how the rate of extra pay shall be fixed, and what the work is, for which extra compensation shall be paid.' It did not, however, interpret the statute or consider the proviso both of which we are called upon to do here. Contra, see Ferguson v. Port Huron & Sarnia Ferry Co., D. C., 13 F.2d 489, 492.
As to Sundays and holidays, we construe the statute to require extra compensation for inspectors without regard to the hours of the day or whether such services are additional to a regular weekly tour of duty. Before Section 5 there was no authority to pay extra compensation for Sunday and holiday work. Revised Statutes, Section 2871, allowed extra pay for nighttime work only. Somewhat indirectly the Act of February 13, 1911, gave Sunday and holiday pay and the 1920 amendment made the right to that extra compensation clear by saying extra compensation shall be paid inspectors 'who may be required to remain on duty between the hours of five o'clock postmeridian and eight o'clock antemeridian, or on Sundays or holidays.' This language and the Customs Regulations, note 18, supra, give an employee who works regular hours weekdays in daytime extra pay for Sunday and holiday work. The statute covers also those who work outside the statutory normal hours. Logically, if Sundays and holidays were not to receive extra compensation, without regard to whether services on those days were over- [320 U.S. 561, 575] time, there would have been no occasion to add Sundays and holidays to the overtime. Overtime would cover every situation.
Two further contentions of the Government require consideration. It is said that Section 5 of the 1911 Act as [320 U.S. 561, 576] amended does not apply to services rendered at a bridge or tunnel. This Court so held in 1922. International Ry. Co. v. Davidson, 257 U.S. 506, 512 , 42 S.Ct. 179, 181. At that time, the section's application was limited to 'vessel or other conveyance.' Since then Sections 401, 450 and 451 of the Tariff Act of 1922, 42 Stat. 858, 948, 954, and of the Tariff Act of 1930, note 3, supra, have expanded the instrumentalities to include every contrivance capable of being use as a means of transportation on land or water. 24 The difference in definition, we think, brings bridges and tunnels under the overtime pay requirements of Section 5.
Finally the Government urges that in awarding compensation for 'overtime' services credit should be allowed to it for that part of the base pay received for such services. We think the Congressional intention to give extra compensation precludes such a claim. The inspectors in addition to their regular salaries for week days are entitled to the statutory additional pay for overtime, sundays and holdays.
The judgment of the Court of Claims is reversed and the proceeding remanded to that Court for determination of the claim of the inspectors in accordance with this opinion.
Mr. Chief Justice STONE is of the opinion that the judgment should be reversed in its entirety and the suits dismissed.
[ Footnote 1 ] Federal Register, August 25, 1937; Code of Federal Regulations, Title 19, Customs Duties, Chap. 1, Bureau of Customs.
[ Footnote 3 ] 46 Stat. 708, 715, c. 497, Title IV, 19 U.S.C. 1401, 1450, 1451, 19 U.S.C.A. 1401, 1450, 1451: 'Sec. 401. Miscellaneous. 'When used in this title or in Part I of Title III- '(a) Vessel.-The word 'vessel' includes every description of water craft or other contrivance used, or capable of being used, as a means of transportation in water, but does not include aircraft. '(b) Vehicle.-The word 'vehicle' includes every description of carriage or other contrivance used, or capable of being used, as a means of transportation on land, but does not include aircraft.' '(f) Day.-The word 'day' means the time from eight o'clock antemeridian to five o'clock postmeridian. '(g) Night.-The word 'night' means the time from five o'clock postmeridian to eight o'clock antemeridian.' 'Sec. 450. Unlading on Sundays, Holidays, or at Night. 'No merchandise, baggage, or passengers arriving in the United States from any foreign port or place, and no bonded merchandise or baggage being transported from one port to another, shall be unladen from the carrying vessel or vehicle on Sunday, a holiday, or at night, except under special license granted by the collector under such regulations as the Secretary of the Treasury may prescribe. 'Sec. 451. Same-Extra Compensation.
Grand Trunk Railway Slip Dock.
[ Footnote 5 ] E.g., Economy Act of 1932, 47 Stat. 382.
[ Footnote 6 ] Nighttime is defined as the hours between 5 P.M. and 8 A.M., Customs Regulations 1937, Art. 1462; 46 Stat. 708, supra, note 3.
[ Footnote 8 ] We doubt whether or not the Government presents this question in its petition for certiorari. As it is the basis of the litigation, however, we resolve that doubt in favor of an adjudication of this issue.
[ Footnote 9 ] Hearings on H.R. 9525, 61st Cong., 2d Sess., pp. 461, 463, 464-465; Hearings on H.R. 6577, 66th Cong., 1st Sess., 13. When the 1920 amendment was under consideration, its sponsor, Senator Calder, said: 'the shipowner would pay the collector for it, and then, in turn, the men would be paid by the Government.' 59 Cong. Rec. 640.
[ Footnote 10 ] The First Deficiency Appropriation Act, fiscal year 1936, 49 Stat. 1636, June 22, 1936, and so within the period covered by this suit, made the appropriation for the Bureau of Customs 'available' for payment of these claims. This has been continued, 56 Stat. 150, 155. The Treasury and Post Office Departments Appropriation Act of 1944, Public Law 102, 78th Cong., 1st Sess., C. 179, slip law p. 7, 57 Stat. 250, 256, changed the form of the authorization from making the appropriations available for this payment to a direct appropriation for payment. But see Hearings, Subcommittee of the Committee on Ways and Means (House) on H.R. 6577, 66th Cong., 1st Sess., p. 13.
[ Footnote 11 ] 1 Stat. 665, 50.
[ Footnote 13 ] S.Rep. No. 380, 41st Cong., 3d Sess., pp. 42, 139.
[ Footnote 14 ] Nighttime was apparently administratively determined to be between 6 P.M. and 7 A.M., 59 Cong.Rec. 2171; Hearings before the Committee on Ways and Means House of Representatives (75th Cong., 1st Sess.), on H.R. 6738 (one of the bills which became the Customs Administrative Act of 1938 ), amending Section 451 of the Tariff Act of 1930 (Act of June 25, 1938, c. 679, 9, 52 Stat. 1082), p. 185.
[ Footnote 15 ] See note 2 and for a graphic explanation of the changes, see International Ry. Co. v. Davidson, 257 U.S. 506, 510 , 42 S.Ct. 179, 181.
[ Footnote 16 ] This was settled practice. International Ry. Co. v. Davidson, 257 U.S. 506, 508 , 42 S.Ct. 179, 180.
[ Footnote 17 ] '4. As used in these findings the word 'nighttime' refers to the period 5 o'clock p.m. of any day to 8 o'clock a.m. of the next day, and the word 'daytime' to the period 8 o'clock a.m. of any day to 5 o'clock p. m. of the same day. 'Excess pay' refers to pay in excess of the inspector's annual salary. The word 'week-day' refers to any day of the week other than Sundays or whole holidays, and the word 'holiday' refers to a holiday of not less than 24 hours.
'5. Before the opening of the Ambassador Bridge November 15, 1929, all customs inspectors at the port of Detroit were regularly assigned to eight-hour tours of duty, which might be any period of that length within the 24 hours of any day of the week, including Sundays and holidays. They did not receive for nighttime services performed on such tours weekdays, Sundays, or holidays, any excess pay, but they did receive excess pay for daytime service so performed on Sundays or holidays. The inspectors had an eight-hour day and a 56-hour week.
'This practice, however, did not wholly prevail at the Michigan Central Railway, where for certain periods prior to November 15, 1929, excess pay was not allowed for daytime service on Sundays or holidays.
'6. Upon the opening of the Ambassador Bridge November 15, 1929, there was a change in practice at the port of Detroit.
'At the Detroit and Windsor Ferry, the Walkerville Ferry, the Detroit and Canada Tunnel, the Ambassador Bridge, and the freight yard of the Michigan Central Railway, the customs inspectors were given an eight-hour day and a 48-hour week.
'Excess pay was discontinued for daytime service performed on Sundays or holidays, within the 48-hour week. No excess pay was given for nighttime service performed Sundays, holidays, or weekdays, within the 48- hour week.
'At the Michigan Central Railway passenger station and the Wabash Railway and Pere Marquette Railway ferries, and the Grand Trunk Railway Slip Dock the hours continued as before, with an eight-hour day and a 56- hour week. Excess pay was continued at these last four places for daytime service performed on Sundays and holidays, even though within the 56-hour limit, but no excess pay was given for nighttime service there on Sundays, holidays, or weekdays, performed within the 56-hour period.
'Art. 1462. Hours of service.-(a) The official hours of officers, clerks, examiners, and employees, except those hereinafter specified, will be from 9 a.m. to 4:30 p.m., with a half hour for lunch.
'(b) The official hours of the following employees will be: Staff officers, station inspectors, and inspectors to whatever duty assigned, sugar samplers, samplers, laborers, storekeepers, and outside messengers, from 8 a.m. to 5 p.m., 1 hour for lunch; verifiers-openers-packers and openers and packers, 8 a.m. to 4:30 p.m., one-half hour for lunch; custom guards not less than 8 hours.
'(c) The above hours may be extended as the needs of the service demand, and such extension shall be without additional compensation, except as provided for in the act of February 13, 1911, as amended by the act of February 7, 1920.
[ Footnote 19 ] This quotation is from hearings May 5, 1910, on a bill similar to the one which became the Act of February 13, 1911. Hearings before House Com. on Ways and Means, on H.R. 9525, 61st Cong., 2d Sess.
[ Footnote 20 ] Hearings before a subcommittee of the Committee on Ways and Means ( House) on H.R. 6577, 66th Cong., 1st Sess., October 11, 1919, pp. 1-19, particularly p. 11.
[ Footnote 21 ] See, also, Hearings, Senate Committee on Finance, 71st Cong., 1st Sess., on H.R. 2667, p. 494.
[ Footnote 22 ] Hearings on S. 1504, S. 1774 and S. 2188, Committee on Commerce ( Senate), 67th Cong., 1st and 2d Sess., pp. 30, 31 and 130.
There are similar overtime acts in other services. They allow Sundays and holidays extra. Cf. 46 Stat. 1467, 8 U.S.C.A. 109a, 109b, and U.S. Dept. of Labor, Bureau of Immigation General Order No. 175, April 27, 1931 , (d); 49 Stat. 1380 and Dept. of Commerce Circular No. 307, December 17, 1938, Bureau of Marine Inspection and Navigation, II; 48 Stat. 1064, as amended, and Federal Communications Commission Rules and Regulations, Part 8, 8.301(i).
[ Footnote 24 ] See, also, Section 9 of the Customs Administration Act of 1938.
The change was deemed significant as to railroads. Compare Mellon v. Minneapolis Ry., 52 App.D.C. 246, 285 F. 980, with Mellon v. Minneapolis Ry., 56 App.D.C. 160, 11 F.2d 332, 334.

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