1. Where a substantial claim of federal, constitutional right is
set up in the bill, in addition to diverse citizenship, and is made
the basis of decision in the district court and the circuit court
of appeals, the decree of the latter court is appealable here under
Jud.Code, § 128. P.
259 U. S.
501.
2. Water of a stream flowing from Colorado into Nebraska was
diverted in Colorado by a Nebraska corporation and transported
through its canal to Nebraska, where it was sold and used on
Nebraska lands.
Held that the appropriation was superior
in right to later appropriations from the stream made in Colorado
for use on Colorado lands, and that state officials of Colorado
were properly enjoined from interfering with it and from treating
the appropriator, in the distribution of water, otherwise than if
the canal and lands irrigated therefrom were wholly within that
state, notwithstanding their objection that the waters of natural
streams in Colorado are, by her constitution and laws, the property
of the public dedicated to the use of her people, and cannot be
taken for use elsewhere as against persons desiring to use them in
Colorado. P.
259 U. S. 502.
Wyoming v. Colorado, ante, 259 U. S. 419.
238 F. 519 affirmed.
Appeal from a decree of the circuit court of appeals affirming a
decree of the district court enjoining the appellants, officials of
the Colorado, from interfering with the appellee's right to take
water, in Colorado, from a stream flowing thence into Nebraska, for
use on lands in Nebraska, and requiring them to recognize the
appropriation in the distribution of water, according to its
priority.
MR. JUSTICE CLARKE delivered the opinion of the Court.
The appellants, defendants below, are citizens and officers of
the State of Colorado, charged with official duties with respect to
the distribution of water from streams of that state for irrigating
purposes, and other citizens of Colorado who need not be further
noticed.
The appellee, plaintiff below, a corporation organized under
Nebraska laws, is the owner of an irrigating canal by which it has
diverted water from the North Fork of the Republican River, an
interstate stream at a point about 6 miles west of the east line of
Colorado. Since 1890, one-third of the water thus obtained has been
sold and used on lands in Colorado, and the remaining two-thirds
carried by the canal into Nebraska has been used on lands in that
state.
This suit was commenced in 1913, in the District Court of the
United States for the District of Colorado. The bill of complaint
is not printed in full in the record, but the epitome of it shows
that, in addition to diversity of citizenship as a basis of
jurisdiction, it was averred that the right of appellee, under the
Constitution of the United States, to engage in commerce between
the States of Colorado and Nebraska by transporting water from the
former into the latter and there selling it for agricultural and
domestic purposes was being seriously impaired by the
unconstitutional conduct of the state officials of Colorado
Page 259 U. S. 500
in permitting, under color of the laws of that state, the
wasteful use of the water by appropriators prior in right, and the
use by others subsequent in right, to a valid appropriation by the
appellee. There was also a general allegation that rights of
appellee secured to it by the Constitution and laws of the United
States had been invaded by the action of the appellant officials. A
decree permanently enjoining this alleged unconstitutional action
by the State officers was prayed for.
In its decree, the district court found that there existed the
requisite diversity of citizenship to give the court jurisdiction,
and also that the
"suit was brought to obtain redress for the deprivation by
defendants [appellants] of rights and privileges secured to the
plaintiff [appellee] by the Constitution and laws of the United
States,"
and that therefore it was a suit arising under the laws of the
United States. The court found that the carrying capacity of
appellee's ditch at the Nebraska state line was 29 cubic feet of
water per second, that, since the date of the construction of the
ditch in 1890, that amount of water had been put to beneficial use
in the irrigation of lands within the State of Nebraska, and that,
by reason of such continued beneficial use, there had become vested
in the appellee a property right to the continued use thereof. The
Colorado officials and their successors in office were enjoined
"from interfering with the right of plaintiff [appellee] to said
water as herein adjudged and . . . from treating plaintiff in the
distribution of water . . . otherwise than it would be treated if
said canal were wholly within the State of Colorado and all lands
irrigated therefrom were in said state."
The court declined to consider the question of the wasteful or
other use of the water by other appropriators in Colorado, and,
confining its decree to the one point dealt with in the injunction
expressly left open for consideration
Page 259 U. S. 501
and determination in another proceeding all other issues joined
under the pleadings.
The circuit court of appeals affirmed the decree of the district
court, and on the contention that a constitutional question is
involved the case is brought here for review.
The appellee filed a motion in this Court to dismiss or affirm,
which was passed to hearing on the merits.
In support of the motion to dismiss, it is argued that, although
jurisdiction was invoked in the bill on sufficiently alleged
federal grounds, in addition to diversity of citizenship,
nevertheless both the district court and the circuit court of
appeals sustained appellee's use and disposition of the water in
Nebraska as one merely of prescriptive right, derived from twenty
years of undisputed use, and not upon any federal constitutional
ground, and that therefore the jurisdiction exercised rested wholly
upon diversity of citizenship, and an appeal does not lie from the
decision of the circuit court of appeals under § 128 of the
Judicial Code.
The ground of federal jurisdiction other than diversity of
citizenship being sufficiently set up in the bill, such a motion to
dismiss can prevail only if the claim is so unsubstantial as to be
frivolous.
Shulthis v. McDougal, 225 U.
S. 561;
Lovell v. Newman & Son,
227 U. S. 412,
227 U. S. 420.
But such clearly was not the fact in this case.
It is entirely clear that the essential and substantial issue in
the case arose from the assertion by the appellee of the federal
constitutional right to transport water, derived from an interstate
stream, from Colorado into Nebraska under its priority of
appropriation as of 1890, and the denial of this claim by the
appellant state officers, based upon the contention that water in
natural interstate streams in Colorado, having been declared by the
Constitution and laws of that state to be the property of the
public, dedicated to the use of the people of Colorado, the right
could not be obtained by appropriation and beneficial
Page 259 U. S. 502
use, to carry such water into an adjoining state for like use,
as against persons desiring to use it in Colorado, even though
junior in point of date of appropriation. Both lower courts denied
this contention of the state officials, appellants, and enjoined
them from treating the appellee in the distribution of water
otherwise than as if the state line had not existed, and the land
irrigated had been wholly within the State of Colorado. It is thus
plain that the decree appealed from necessarily rested not upon
Colorado laws or decisions which attempted to deny the asserted
right to the use of the water in Nebraska, nor upon Nebraska laws
or decisions which could not be effective in Colorado, but upon
rights secured to the appellee by the Constitution of the United
States. This substantial and very fundamental question being in the
case, and essential to the disposition which was made of it, the
motion to dismiss must be overruled.
As to the merits of the case: in the discussion of the
jurisdictional question, it has been sufficiently developed that
the essential controversy here involved is whether priority of
appropriation of water from the part of an interstate stream in
Colorado for beneficial use on lands in Nebraska into which state
the stream in a state of nature flows gives superiority of right
over later appropriation also made in Colorado from the same stream
but for use in that state.
Both of the lower courts held that the presence of the state
line did not affect the superiority of right and enjoined the
Colorado state officials from treating the appellee in the
distribution of water otherwise than it would be treated if the
canal were wholly within the State of Colorado and all the lands
irrigated therefrom were in that state.
The question thus presented is so fully disposed of on principle
and authority in the opinion of the court this day announced in No.
3 original,
Wyoming v. Colorado,
Page 259 U. S. 503
ante, 259 U. S. 419,
that further discussion of it would be superfluous, and, upon the
authority of that decision, the decree of the circuit court of
appeals is
Affirmed.