MERRITT
v.
UNITED STATES

U.S. | 1925-03-02
No. 159
267 U.S. 338 Supreme Court of the United States (1925) Negative Treatment
Also reported at: 69 L. Ed. 643 · 45 S. Ct. 278 · SCDB 1924-173 · 1925 U.S. LEXIS 743
Cited by 160 cases

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Synopsis

The Panama Knitting Mills defrauded a subcontractor (Merritt) regarding the settlement terms of a Government khaki supply contract, and when the Government recovered the difference from the Mills, Merritt sued to recover that amount. The Supreme Court affirmed dismissal of the suit, holding that Merritt could not recover under either the Dent Act (which required an agreement with the Government made before November 1918 and presented by June 1919) or the Tucker Act (which does not permit recovery on quasi-contractual theories of money had and received when the Government's repayment benefited only itself).


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Opinion of the Court
Me.- Justice Brandéis-

Me.- Justice Brandéis-delivered the opinion of the Court.

In July, 1918, or earlier, the United States contracted with the Panama Knitting Mills for a quantity of khaki at $3.20 a yard. In June, 1919, this contract was can-celled by a' new agreement between the Government and the Mills, made pursuant to the Dent Act, MarchJ2,1919, c. 94, 40 Stat.

1272. Under the cancellation agreement the Government adjusted its liability by accepting delivery of half of the khaki originally: contracted for, paying the .contract rate together with the carrying charges. The Mills had a sub-contract with the plaintiff for the supply of the khaki. By falsely representing that the Government compelled settlement on the basis of $2.50 a yard-plus the carrying' charges, the Mills induced the plaintiff to release it, on that basis, from the sub-contract.- When the Government learned of the fraud thus perpetrated, it exacted from the Mills a repayment of $5,210.02 — the difference between the amount actually paid by the Government and what would have been paid if settlement had been made on the basis of $2.50 a yard. This suit was brought in March, 1923, to recover from the United States the sum so repaid. The Court of Claims dismissed the petition on demurrer for failure to state a cause of action. The case is here on appeal under § 242 of the Judicial Code.

Plaintiff cannot recover under the Dent Act. There are three obstacles. It does not appear, as required by § 1, that, prior to November 12, 1918, an agreement with the plaintiff, express or implied, was entered into by the Secretary of War, or “ by any officer or agent acting under his authority, direction, or instruction, or that of the President.” Baltimore & Ohio R. R. Co. v. United States, 261 U. S. 385; Baltimore & Ohio R. R. Co. v. United States, 261 U. S.

592. It does not appear; as required by § 1, that any such agreement had been “performed . . , or expenditures . . made or obligations incurred upon the faith, of the same . . prior to ” November 12, 1918. Price Fire & Water Proofing Co. v. United States, 261 U. S. 179, 183. It does not appear, as required by- § 1, that the claim sued on was presented before June 30, 1919. The Dent Act affords. relief although there is no agreement “ executed in the manner prescribed by law,” but only under the conditions stated. The plaintiff is not helped by § 4 which deals with sub-contracts; among other reasons, because it does not appear, as therein prescribed, that, before the payment made by the Government to the prime contractor, the plaintiff had “made expenditures, incurred obligations, rendered service, or furnished material, equipment, or supplies to such prime contractor, with the knowledge and approval of any agent of the Secretary of.War duly authorized thereunto.”

Plaintiff cannot recover under the Tucker Act, Judicial Code,'§ 145, 24 Stat.

505. The petition does not allege any contract, express or implied in fact, by the Government with the plaintiff to pay the latter for the khaki on any basis. Nor does it set forth facts from which such a contract will be implied. The pleader may have intended to sue for money had and received. But no facts are alleged which afford any basis for a claim that the repayment made by the Mills was exacted by the Government for the benefit of the plaintiff. The Tucker Act does not give a right of action against the United States in those cases where, if the transaction were between private parties, recovery could be had upon a contract implied in law. Tempel v. United States, 248 U. S. 121; Sutton v. United States, 256 U. S. 575, 581. For aught that • appears repayment was compelled solely for the benefit of the Government, under the proviso in § 1 of the Dent Act, which authorizes recovery of money paid under a settlement, if it has been defrauded.-

The practice of the Court of Claims, while liberal, does not allow a general statement .of claim in analogy to the common counts. It requires a plain, concise statement of the¡ facts relied upon. See'Rule 15, Court of Claims. The petition may not be so general as to leave the defendant in-doubt as to what must be met. Schierling v. United States, 23 Ct. Clms. 361; The Atlantic Works v. United States, 46 Ct. Clms. 57, 61; New Jersey Foundry & Machine Co. v. United States, 49 Ct. Clms. 235; United States v. Stratton, 88 Fed. 54, 59.

Affirmed.


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Citator

Cited By (45 total)

  • Bull v. United States, 295 U.S. 247 (U.S. 1935)
    …92 ; 57 N. W. 211; Kaup v. Schinstock, 88 Neb. 95; 129 N. W. 184; Campbell v. Hughes, 73 Hun (N, Y.) 14; 25 N. Y. S. 1021. United States v. Burns, 12 Wall. 246, 254; District of Columbia v. Barnes, 197 U. S. 146, 153-154. Merritt v. United States, 267 U. S. 338, 341. United States v. Behan, 110 U. S. 338, 347.…
  • United States v. Mitchell, 463 U.S. 206 (U.S. 1983)
    …ple, although the Tucker Act refers to claims founded upon any implied contract with the United States, we have held that the Act does not reach claims based on contracts implied in law, as opposed to those implied in fact. Merritt v. United States, 267 U. S. 338, 341 (1925). In this case, however, there is simply no question that the Tucker Act provides the United States’ consent to suit for claims founded upon statutes or regulations that create substantive rights to money damages. If a claim falls within…
  • United States v. Blair, 321 U.S. 730 (U.S. 1944)
    …cts of the Government upon which the claim was based. Clearly the subcontractor could not recover this claim in a suit against the United States, for there was no express or implied contract between him and the Government. Merritt v. United States, 267 U. S. 338. But it does not follow that respondent is barred from suing for this amount. Respondent was the only person legally bound to perform his contract with the Government and he had the undoubted right to recover from the Government the contract price f…

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