CAUSEY
v.
UNITED STATES
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The United States sued to recover title to Louisiana land that had been fraudulently obtained through the homestead law, claiming the defendant Causey had sworn falsely that he would not convey the land to benefit another, when in fact he had pre-arranged to transfer it to a third party. The Supreme Court affirmed the lower courts' findings of fraud and held that the government need not return the scrip (payment) it had received when enforcing public land statutes, because suits to annul fraudulently obtained patents serve to enforce Congressional policy regarding public lands rather than functioning as ordinary commercial sales disputes.
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Mr. Justice Van Devanter delivered the opinion of the court;
This is a suit by the United States to recover the title to 157.77 acres of land in Ascension Parish, Louisiana, patented to Powhatan E. Causey and by him transferred to James L. Bradford. While the land was yet public, Causey secured a preliminary homestead entry thereof by taking an oath, as was required, that he had not directly or indirectly made, and would not make, any agreement whereby the title which he might acquire would inure in whole or in part to the benefit of another. After the expiration of fourteen months he secured a final entry under the commutation provision of the homestead law by presenting proof that he had not sold or contracted to sell any part of the land, and by paying therefor in so-called scrip at the rate of $1.25 per acre. Pursuant to the final entry the land was patented to him, and he transferred it to Bradford. As grounds for the.suit the bill charges that the oath and proof whereby the entries were secured were false in that when Causey applied for the preliminary entry he had entered into an agreement with one Wright, a clerk and agent of Bradford, whereby the title when acquired was to be passed to the latter, that both entries were made in pursuance'of this unlawful agreement and were therefore fraudulent, and that Bradford took the transfer from Causey under the agreement and with full knowledge of the fraud perpetrated upon the Government. It also’ is allegéd that in virtue of an arrangement with Bradford, Causey is claiming an interest in half of the land. With Bradford’s consent a decree was. entered against him. Causey answered denying the unlawful agreement and fraud, and the suit was referred to a master, who. found the facts to be as charged in the bill. The findings were sustained by the District Court, which entered a decree against Causey,, and the decree was affirmed by the Circuit Court of Appeals. 203 Fed. Hep. 1022.
Complaint is made of thé findings. They were concurred in by the master and both courts, and therefore should be permitted to stand unless shown to be plainly erroneous. Washington Securities Co. v. United States, 234 U. S. 76, 78; Gilson v. United States, 234 U. S. 380, 383. Testing them by the evidence we discover no plain error, but; on the contrary, that they are amply sustained., . That the title was acquired by substituting the minimum price of. the land for a,part of the required, five years of residence and cultivation, as permitted by the commutation provision of the homestead law, is not material, for the agreement to obtain the land for the benefit of another disqualified Causey from acquiring the title in either mode. Bailey v. Sanders, 228 U. S. 603, 608; Gilson v. United States, 234 U. S. 380, 384.
c .The' bill, while purporting to be brought in the name, and for the benefit of the United States, and bearing the signature of the assistant United States Attorney for the district, does not state .or show that it is brought with the sanction of the Attorney General, and because of this it is objected; as it was in both courts below, that the bill .should not be entertained but "dismissed. In the absence of a controlling statute, and there is none, it is essential to such a suit that it. he. brought with the Attorney General’s approval; and while the üsu.a¡l and better practice is to state or show in the bill that it is brought with his approval; this .is not indispensable. " The case is argued hére on behalf of the Government by one of thé Assistánt Attorneys General,. who files a-certified copy of a letter from the Attorney General authorizing the institution of the suit conformably to-a request of the Secretary of the Interior. This sufficiently meets the objection, es- ' peciálly as.it is fairly inferable that the letter was exhibited in the courts below. United States v. Throckmorton, 98 U.S. 61, 70; McLaughlin v. United States, 107 U. S. 526, 528; Mullan v. United States, 118 U. S. 271, 276; United States v. San Jacinto Tin Co., 125 U. S. 273, 278-287.
The further .objection is made that the bill cannot be maintained because it does not contain an offer to return the scrip received when the commuted entry was made. The objection assumes that the suit is upon the same plane as if brought by an individual vendor, to annul a sale of land fraudulently induced. But, as this court has said, the Government in disposing , of its public lands does not assume the attitude of a mere seller of real estate at its market value. These lands are held in trust for all the, people,- and in providing for their disposal Congress has sought to advance the, interests of the whole country by opening them to entry in comparatively small tracts under restrictions designed^ to accomplish their settlement,-development and utilization. And when .a suit is brought to annul á patent .obtained in violation of these restrictions, the purpose is not merely to regain the title but also to enforce, a public statute and maintain the policy underlying -it. Such a suit is not within the . reason of the ordinary-rule that a vendor suing to annul a sale frauds ulently induced must offer and be ready to return the consideration received.. That rulé, if applied, would tend to frustrate the policy of the public land laws; and so it is held that the wrongdoer must restore the title unlawfully obtained' and abide the judgment of Congress as. to whether the consideration paid shall be refunded;' United States v. Trinidad Coal Co., 137 U. S. 160, 170-171; Heckman v. United States, 224 U. S. 413, 447. And see Rev. Stat., § 2302; Act June 16, 1880, c. 244, § 2, 21 Stat. 287; Hoffeld v. United States, 186 U. S. 273; United States v. Commonwealth Trust Co., 193 U. S. 651; United States v. Colorado Anthracite Co., 225 17. S.219.
Decree affirmed.
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Utah Power & Light Co. v. United States, 243 U.S. 389 (U.S. 1917)…licy respecting lands which it holds in trust for all the people stands upon a different plane in this and some other respects from the ordinary private suit to regain the title to real property or to remove a cloud from it. Causey v. United States, 240 U. S. 399, 402. By their answers the defendants assert that gome of the [*410] administrative regulations promulgated under the Act of February 15, 1901, go beyond what is appropriate for the protection of, the interest of the United States and are unconstit…
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Pan Am. Petroleum & Transp. Co. v. United States, 273 U.S. 456 (U.S. 1927)…v. Stinson, 197 U. S. 200, 204; State of Iowa v. Carr, 191 Fed. 257, 266; cf. Mason v. United States, 260 U. S. 545, 557, et seq. But they will not be applied to frustrate the purpose of its laws or to thwart public policy. Causey v. United States, 240 U. S. 399, was a suit in equity brought by the United States to recover title to public lands conveyed to defendant under the homestead laws. The patent was obtained by fraud The defendant paid the United States for the land in scrip at the rate of $1.25 per…
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La Motte v. United States, 254 U.S. 570 (U.S. 1921)…without pecuniary interest in the relief sought. Heckman v. United States, 224 U. S. 413, 437-442; United States v. New Orleans Pacific Ry. Co., 248 U. S. 507, 518; United States v. Osage County, 251 U. S. 128, 133. And see Causey v. United States, 240 U. S. 399, 402. It is insistently urged that the regulations adopted and promulgated by the Secretary of the Interior are void and of no effect, and therefore that no right to relief can be predicated upon the defendants’ disregard of them. The argument adva…
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Join FLexlaw to unlock all legal intelligenceAuthorities Cited (11 total)
- United States v. Throckmorton, 98 U.S. 61 (U.S. 1878)
- Heckman v. United States, 224 U.S. 413 (U.S. 1912)
- United States v. San Jacinto Tin Co., 125 U.S. 273 (U.S. 1888)
- United States v. Trinidad Coal & Coking Co., 137 U.S. 160 (U.S. 1890)
- Wash. Sec. Co. v. United States, 234 U.S. 76 (U.S. 1914)
- Mullan & Another v. United States, 118 U.S. 271 (U.S. 1886)
- McLaughlin v. United States, 107 U.S. 526 (U.S. 1882)
- Bailey v. Sanders, 228 U.S. 603 (U.S. 1913)
- Gilson v. United States, 234 U.S. 380 (U.S. 1914)
- Hoffeld v. United States, 186 U.S. 273 (U.S. 1902)