Source: https://supreme.justia.com/cases/federal/us/304/119/
Timestamp: 2019-04-20 22:13:34+00:00

Document:
1. In a treaty by which the Klamath and other tribes of Indians ceded land which they had held in immemorial possession, part was retained, "until otherwise directed by the President," to be set apart as a residence for the Indians and "held and regarded as an Indian reservation." Part of the reserved land was subsequently appropriated by the United States.
(1) That the words quoted did not detract from the tribes' right of occupancy. P. 304 U. S. 122.
(2) In ascertaining just compensation for the land appropriated, the value of the standing timber should be included. Id.
(3) While the United States has power to control and manage the affairs of its Indian wards in good faith for their welfare, that power is subject to constitutional limitations, and does not enable the United States without paying just compensation therefor to appropriate lands of an Indian tribe to its own use or to hand them over to others. P. 304 U. S. 123.
(4) The taking of property by the United States in the exertion of its power of eminent domain implies a promise to pay just compensation -- i.e., value at the time of the taking plus an amount sufficient to produce the full equivalent of that value paid contemporaneously with the taking. Id.
2. Part of the unallotted portion of an Indian reservation was conveyed to a Road Company by the Secretary of the Interior under authority of Congress in exchange for a reconveyance of allotted land which had previously been conveyed by mistake. Held a valid exertion of the power of eminent domain, implying a promise by the Government to pay just compensation to the Indians. P. ___.
It was not a case of lands "wrongfully appropriated," as to which the Act of May 26, 1920, which first conferred jurisdiction in this case, confined the damages to value of the lands at time of appropriation. P. 304 U. S. 124.
without regard to an earlier settlement and irrespective of the release. P. 304 U. S. 125.
Appeal, under the special jurisdictional Act of May 15, 1936, from a judgment sustaining the Indians' claim to compensation for land taken by the United States. For an earlier phase, see 296 U. S. 296 U.S. 244.
and retry said case and to hear and determine the claims of the plaintiffs on the merits, and to enter judgment thereon upon the present pleadings, evidence, and findings of fact, with the right of appeal, rather than by certiorari, to the Supreme Court of the United States by either party: Provided, That any payment heretofore made to the said Indians by the United States in connection with any release or settlement shall be charged as an offset, but shall not be treated as an estoppel."
of the reservation and had been allotted in severalty to members of the tribe. The United States brought suit, but failed to recover that area. [Footnote 8] Congress, by Act of June 21, 1906, [Footnote 9] authorized the Secretary of the Interior to exchange unallotted lands in the reservation for the allotted lands by mistake earlier conveyed. He made an agreement with the land company pursuant to which, on August 22, 1906, it conveyed the allotted lands back to the United States and, in return, the latter conveyed to the company 87,000 acres of unallotted lands. That transfer was made without the knowledge or consent of plaintiffs, and without giving them any compensation for the lands so taken from their reservation. Later, however, the United States paid them.$108,750, for which they released their claim. [Footnote 10] There was then upon the land 1,713,000,000 board feet of merchantable timber of the value of $1.50 per thousand; the value of the lands, including timber, was $2,980,000. From that amount, the court subtracted the $108,750, and to the remainder added 5 percent per annum to date of judgment; from the total took the amount it found the United States entitled to set off against plaintiff's claim, Act of May 26, 1920, 41 Stat. 623, 624, § 2, and as of June 7, 1937, gave judgment for the balance $5,313,347.32, with interest on a part of that amount until paid.
from which was made the cession by the treaty of October 14, 1864. The clause declaring that the district retained should, until otherwise directed by the President, be set apart as a residence for the Indians and "held and regarded as an Indian reservation" clearly did not detract from the tribes' right of occupancy. The worth attributable to the timber was a part of the value of the land upon which it was standing. Plaintiffs were entitled to have that element of value included as a part of the compensation for the lands taken. United States v. Shoshone Tribe, ante, p. 304 U. S. 111.
2. The United States also contends that the lower court erred in allowing interest against the United States on the unpaid value of the 87,000 acres from the time of the exchange to the date of the judgment, and to support that contention argues that there was no exercise of the power of eminent domain, and that the jurisdictional Act of 1920 limited recovery to the value of the land on the date of the taking, without interest.
290 U. S. 13, 290 U. S. 16-17, and cases cited. The lands here in question are not the allotted areas making up the 111,385 acres that the United States conveyed by mistake and through error in the conduct of litigation, as its counsel here says, failed to recover. [Footnote 11] Plaintiffs seek compensation for the 87,000 acres given to the land company in exchange for the allotted areas which the latter then owned.
"on what terms the said company will exchange such lands [the 111,385 acres of allotted lands] for other lands, not allotted to Indians, within the original boundaries of said reservation. [Footnote 12]"
The Secretary having reported, the Congress, by the Act of June 21, 1906, authorized him to exchange 87,000 acres of the tribes' lands for lands theretofore erroneously conveyed. The exchange having been consummated, Congress by Act of April 30, 1908, [Footnote 13] appropriated $108,750 as compensation. That amount was paid plaintiffs in accordance with the Act; they gave the release here held valid, 296 U. S. 296 U.S. 244. The Act of May 15, 1936, 49 Stat. 1276, followed.
whether legal or merely moral is immaterial, to make restitution of the allotted lands. The taking was in invitum -- specifically authorized by law -- a valid exertion of the sovereign power of eminent domain. It therefore implied a promise on the part of the government to pay plaintiffs just compensation. Jacobs v. United States, supra.
"That, if it be determined by the Court of Claims in the said suit herein authorized that the United States Government has wrongfully appropriated any lands belonging to the said Indians, damages therefor shall be confined to the value of the said land at the time of said appropriation."
As shown above, the 87,000 acres were taken by valid exertion of the power of eminent domain. The taking was consummated pursuant to the Act of 1906; it was ratified by appropriation and payment under the Act of 1908. It implied a promise to pay just compensation. Clearly the lands in question were not "wrongfully appropriated."
directed the lower court to determine the claim of plaintiffs on the merits and to enter judgment thereon "upon the present pleadings, evidence and findings of fact." Unquestionably the findings of fact are sufficient to sustain the judgment.
Ratified July 2, 1866, proclaimed February 17, 1870, 16 Stat. 707.
Act of July 2, 1864, 13 Stat. 355.
Act of June 18, 1874, 18 Stat. 80.
United States v. Dalles Military Road Co., 140 U. S. 599; United States v. California & Oregon Land Co., 148 U. S. 31; United States v. California & Oregon Land Co., 192 U. S. 355.
The release was held valid in Klamath Indians v. United States, 296 U. S. 244.
"The bill now here seeks to authorize 'effective judicial determination' of the claim of these Indians for the land taken from their reservation and given to the California & Oregon Land Co., which the courts have plainly indicated to have been for an inadequate consideration."
H.Rep. No. 2354, 74th Cong., 2d Sess.
"The pending bill to amend the jurisdictional act is limited solely to the object of giving effect to this suggestion of the Supreme Court by granting the Klamath tribes the right to have their claim for just compensation under the Constitution for the taking of the 87,000 acres of their lands judicially determined on its merits without regard to the grossly inequitable settlement heretofore made."
H.Rep. No. 2354, 74th Cong., 2nd Sess.
"The purpose of the bill is to enable these Indian tribes to obtain just compensation for the taking of a part of their reservation in the Oregon by the Secretary of the Interior under authority of an Act of Congress approved June 21, 1906."
S.Rep. No. 1749, 74th Cong., 2nd Sess.

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