Aetna Casualty & Surety Co. v. United States
Opinion of the Court
We think the dismissal was error. By the Federal Tort Claims Act,
The Act contains no mention of claims by subrogees or assignees, but, as Judge Medina has pointed out,
•Were the United States a private person, plainly it would be liable to the plaintiff in the circumstances alleged in the complaint. Defendant’s arguments, in effect, rest on the following basis: (1) The United States enjoys immunity from suit without its consent, since it is a successor to the English crown, and therefore to the doctrine that the monarch can do no wrong. (2) This doctrine — long ago severely criticized by Mr. Justice Wilson in Chisholm v. Georgia, 2 Dali. 419, 453, 1 L.Ed. 440 — is so important and stubborn that any consent given by the United States (as a sort of monarch) must be construed in as niggardly fashion as possible.
On this basis — which we regard as untenable in the light of the language and purpose of the statute
We reject, ais the district court did, the suggestion tha!t the assignment — as the New York statute calls this transfer — is void because not executed in accordance with the Federal Assignment Act.
A more serious contention raised by the Government is that, if actions by assignees
The Act specifically confers jurisdiction on the district courts over any “counterclaim, or other claim or demand whatever on the part of the United States against any plaintiff commencing an action” under the Act,
The other arguments of the Government are less impressive. Assignment of the-cause of action may permit venue in a district other than that in which the original claimant could properly have brought the-action. If Congress did not intend that result, it has not expressed its intention. The administrative problem of preventing suits-by two persons for the same injury is difficult but it does not appear to be insurmountable ; and, in the present case, at any rate, there is no chance of two suits, since the plaintiff must prove as part of his cause of action that the employee’s action is barred.
Plaintiff is the only real party in interest. The New York statute gives it alone the right to sue, even though it may-have to account for part of the recovery to the injured employee. To the extent the plaintiff must turn over its recovery to another, it is a “party authorized by statute”' to sue in its own name, expressly designated the “real party in interest” by Federal Rules of Civil Procedure, rule 17, 28 U„ S.C.A. None of the cases cited by the Government
Since the Tort Claims Act gives the district court discretion to determine whether attorney’s fees should be allowed to plaintiff’s counsel,
Reversed and remanded.
60 Stat. 843, 28 U.S.C.A. § 931(a), as it read at the time this action was commenced. The new Judicial Code, effective September 1, 1948, makes immaterial amendments in the wording of the statute. 28 U.S.C.A. §§ 1346(b), 2674.
Legislative Reorganization Act of 1946, § 131, 60 Stat. 831. The background of the Act has elsewhere been fully discussed. See The Federal Tort Claims Act, 56 Yale L.J. (1947) 534; Gellhorn and Schenek, Tort Actions Against the Federal Government, 47 Col. Law.Rev. (1947) 722; Federal Tort Claims Act, 42 Ill. Law.Rev. (1947) 344.
Niagara Fire Ins. Co. v. United States, D.C., 76 F.Supp. 850, 853.
We consider both, of course; for we do not proceed on the principle that a court is to look at the statute only if its legislative history is ambiguous.
R.S. § 3477, 31 U.S.C.A. § 203.
Goodman v. Niblack, 102 U.S. 556, 26 L.Ed. 229; Erwin v. United States, 97 U.S. 392, 24 L.Ed. 1065; Price v. Forrest, 173 U.S. 410, 19 S.Ct. 434, 43 L.Ed. 749.
The case is before us on a motion to dismiss, made before answer and thus before the government indicated whether it would make a counterclaim.
28 U.S.C.A. § 1346(c).
We do not believe that this will in fact be a frequent occurrence; if the government will probably assert a counterclaim for more than the amount recoverable, we suspect that neither the injured person nor the insurer is likely to bring the action. Of course the government may assert a counterclaim arising out of the same transaction to the extent of the plaintiff’s recovery. Clark, Code Pleading (2d ed. 1947) 679-682.
It is perhaps arguable that, where the Government asserts a counterclaim in excess of the claim against it, the action must be dismissed if the original claimant is more than a necessary, but is an indispensable party under Rule 19 and cannot be joined; or it may be urged that permissive joinder under Rule 20 could be used by the government. We need not here consider those arguments.
Dayton Veneer & Lumber Mills v. Cincinnati, N. O. & T. P. R. Co., D.C., 1 F.R.D. 444; Lloyd Moore, Inc. v. Schwartz, D.C., 26 F.Supp. 188; Par-X Uniform Service Corp. v. Emigrant Industrial Savings Bank, 268 App.Div. 699, 53 N.Y.S.2d 16.
28 U.S.C.A. § 2678.
Concurring Opinion
(concurring in part).
I see no necessity for passing upon the question whether this action would lie at all, if the United States suggested that it had a counterclaim against Vambell. In that event it might have to sue twice upon the counterclaim, for nobody supposes that it can do more than use it against the plaintiff at bar as a set-off. Nor can we limit this possibility to cases where the counterclaim exceeds the main claim, for that m'ay be entirely defeated and when it is, no part of the counterclaim will have been paid in the main action. I do not mean to suggest that I have any present opinion as to whether the phrase — “under circumstances where the United States, if a private person, would be liable” — should be held to overbear § 1346(c), relating to counterclaims. I have no such opinion, but in general I believe that courts should decide no more than is necessary to the disposal of the case before them. One never knows how differently upon another presentation the issue may appear; and, though it may be a confession of weakness, I can only say for myself that, after I have found enough on which to rest my decision, I feel a decided slackening of responsibility if I go further.
Reference
- Full Case Name
- ætna Casualty & Surety Co. v. United States (Post Office Department)
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- 18 cases
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- Published