Supreme Tribe of Ben Hur v. Cauble
Supreme Tribe of Ben Hur v. Cauble
Opinion of the Court
The original bill in this case was brought against the Supreme Tribe of Ben Hur by George Balme and others in
It is a fundamental principle of our system of jurisprudence that no court may adjudicate the rights of parties who are not subject to its jurisdiction. Had the Indiana holders of class A certificates been named in the original bill, the court could not have taken jurisdiction on the ground tlien relied on — i. e., diversity of citizenship. Was there anything in the subject-matter of this as a class suit which would give the court jurisdiction over the rights of those who could not be named parties to the bill without ousting the jurisdiction?
Before the Judiciary Act of 1789 (1 Stat. 73) created the federal courts, the doctrine of class suits (though: not called by that name) was a well-established exception to the general rule that only rights of actual parties to the bill may be affected by the decree. Story’s Eq. Pl. (10th Ed.) §§ 94 — 116; West v. Randall, 2 Mason, 192, Fed. Cas. No. 17,424; Adair v. New River Co., 11 Ves. 429; Wendell v. Van Rensselaer, 1 Johns. Ch. (N. Y.) 349; Mare v. Malachy, 1 Myl. & Cr. 559; Fenn v. Craig, 3 Y. & Coll. 216; Barker v. Walters, 8 Beav. 92. At that time the courts of a state in which a particular corporation was domiciled were the necessary forums of all grievances concerning the rights of any of its citizens against that corporation. To state the same thing from a different viewpoint, the rights of a citizen against a corporation of his own state could have been adjudicated only in the courts of that state. To be sure, a citizen of a different state might have brought an action against the corporation; he might even have brought a class suit against it; but he must have brought it in the courts of the home state of the corporation.
*249 “When the question is one of common or general interest to many persons constituting a class so numerous as to make it impracticable to bring them all before the court, one or more may sue or defend for the whole.”
This rule formerly was qualified by the following clause:
“But in such cases the decree shall be without prejudice to the rights and claims of the absent parties.”
It is urged by complainant that this omission was intended to remove the interstate limitation of the jurisdiction of the federal courts when a class suit was the subject-matter. If it was intended to extend jurisdiction in such a naive fashion, such intention could not have been thus accomplished, for the limitation of the jurisdiction of the federal courts with respect to subject-matter being constitutional, it could not be affected by rules, either affirmatively or negatively expressed.
“In all cases where it shall appear to the court that persons, who might otherwise bo deemed proper parties to the suit, cannot be made parties by reason of their being out of the jurisdiction of the court, or Incapable otherwise of being made parties, or because their joinder would oust the jurisdiction of the court as to the parties before the court, the court may, in its discretion, proceed in the cause without making such person;? parties; and in such eases the decree shall be without prejudice to the rights of the ab-sent parties.”
It cannot be doubted that Indiana citizens were “out of the jurisdiction” of the federal court in the suit against an Indiana corporation. Nor can it be doubted that “their joinder would oust the jurisdiction of the court.” Although that did not prevent the court from proceeding with the cause, the rights of Indiana citizens were not affected, because “in such cases the decree shall be without prejudice to the rights of the absent parties.” In other words, although the original bill was a class suit, the class did not include Indiana citizens.
The bill is therefore dismissed, on the sole ground that the court is without jurisdiction to entertain it.
Reference
- Full Case Name
- SUPREME TRIBE OF BEN HUR v. CAUBLE
- Status
- Published