Section 1 of the Indian General Allotment Act of 1877 authorizes
the President to allot to each Indian residing on a reservation
specified acreage of agricultural and grazing land within the
reservation; § 2 provides that all such allotments shall be
selected by the Indians so as to include improvements made by them;
and § 5 provides that the United States shall retain title to
such allotted lands in trust for the benefit of the allottees.
Pursuant to the Act, the Government allotted all of the Quinault
Reservation's land in trust to individual Indians. Respondents,
individual allottees of land in that Reservation, the Quinault
Tribe, which now holds some allotments, and an association of
allottees, brought actions, consolidated in the Court of Claims, to
recover damages from the Government for alleged mismanagement of
timber resources found on the Reservation. Denying the Government's
motion to dismiss the actions on the alleged ground that it had not
waived its sovereign immunity with respect to the asserted claims,
the Court of Claims held that the General Allotment Act created a
fiduciary duty on the United States' part to manage the timber
resources properly, and constituted a waiver of sovereign immunity
against a suit for money damages as compensation for breaches of
that duty.
Held: The General Allotment Act cannot be read as
establishing that the United States has a fiduciary responsibility
for management of allotted forest lands, and thus does not provide
respondents with a cause of action for the damages sought. Pp.
445 U. S.
538-546.
(a) Neither the Tucker Act, under which the individual claimants
premised jurisdiction in the Court of Claims, nor § 24 of the
Indian Claims Commission Act, on which jurisdiction over the
Tribe's claim was based, confers a substantive right against the
United States to recover money damages. Pp.
445 U. S.
538-540.
(b) The General Allotment Act created only a limited trust
relationship between the United States and the allottee that does
not impose any duty upon the Government to manage timber resources.
The language of § 5 of the Act must be read
in pari
materia with the language of §§ 1 and 2, both of
which indicate that the Indian allottee, and not a representative
of the United States, is responsible for using the land for
agricultural or grazing purposes. The Act's legislative history
also
Page 445 U. S. 536
indicates that the trust Congress placed on allotted lands is of
limited scope, it appearing that, when Congress enacted the Act, it
intended that the United States hold the lands in trust not because
it wished the Government to control use of the lands and be subject
to money damages for breaches of fiduciary duty, but simply because
it wished to prevent alienation of the lands and to ensure that
allottees would be immune from state taxation. Furthermore, certain
events surrounding and following the Act's passage indicate that it
should not be read as authorizing, much less requiring, the
Government to manage timber resources for the benefit of Indian
allottees. Pp.
445 U. S.
540-546.
219 Ct.Cl. 95, 591 F.2d 1300, reversed and remanded.
MARSHALL, J., delivered the opinion of the Court, in which
STEWART, BLACKMUN, POWELL, and REHNQUIST, JJ., joined. WHITE, J.,
filed a dissenting opinion, in which BRENNAN ad STEVENS, JJ.,
joined,
post, p.
445 U. S. 546.
BURGER, C.J., took no part in the decision of the case.
MR. JUSTICE MARSHALL delivered the opinion of the Court.
This case presents the question whether the Indian General
Allotment Act of 1887 authorizes the award of money damages against
the United States for alleged mismanagement of forests located on
lands allotted to Indians under that Act.
I
In 1873, a Reservation was established by Executive Order in the
State of Washington for the Quinault Tribe. 1 C. Kappler, Indian
Affairs 923 (2d ed.1904). Much of the land within the Reservation
was forested. By 1935, acting under the authority of the General
Allotment Act of 1887, ch. 119, 24 Stat. 388, as amended, 25 U.S.C.
§ 331
et seq., the Government had allotted all of the
Reservation's land in trust
Page 445 U. S. 537
to individual Indians. Other enactments of Congress require the
Secretary of the Interior to manage these forests, sell the timber,
and pay the proceeds of such sales, less administrative expenses,
to the allottees. [
Footnote
1]
The respondents are 1,465 individual allottees of land contained
in the Quinault Reservation, the Quinault Tribe, which now holds
some allotments, and the Quinault Allottees Association, an
unincorporated association formed to promote the interests of the
allottees of the Quinault Reservation. In four actions consolidated
in the Court of Claims, the respondents sought to recover damages
from the Government for alleged mismanagement of timber resources
found on the Reservation. The respondents asserted that the
Government: (1) failed to obtain fair market value for timber sold;
(2) failed to manage timber on a sustained-yield basis and to
rehabilitate the land after logging; (3) failed to obtain payment
for some merchantable timber; (4) failed to develop a proper system
of roads and easements for timber operations and exacted improper
charges from allottees for roads; (5) failed to pay interest on
certain funds, and paid insufficient interest on other funds; and
(6) exacted excessive administrative charges from allottees. The
respondents contended that they were entitled to recover money
damages because this alleged misconduct breached a fiduciary duty
owed to them by the United States as trustee of the allotted lands
under the General Allotment Act.
The United States moved to dismiss the respondents' actions on
the ground that it had not waived its sovereign
Page 445 U. S. 538
immunity with respect to the claims raised. The Court of Claims,
sitting en banc, denied the Government's motion. 219 Ct.Cl. 95, 591
F.2d 1300 (1979). Reasoning that Government mismanagement of the
kind alleged breaches the Government's fiduciary duty under the
General Allotment Act, the court held that the Act provides Indian
allottees a cause of action for money damages against the United
States.
We granted certiorari, 442 U.S. 940 (1979), and now reverse and
remand.
II
It is elementary that
"[t]he United States, as sovereign, is immune from suit save as
it consents to be sued . . . , and the terms of its consent to be
sued in any court define that court's jurisdiction to entertain the
suit."
United States v. Sherwood, 312 U.
S. 584,
312 U. S. 586
(1941). A waiver of sovereign immunity "cannot be implied, but must
be unequivocally expressed."
United States v. King,
395 U. S. 1,
395 U. S. 4
(1969). In the absence of clear congressional consent, then, "there
is no jurisdiction in the Court of Claims more than in any other
court to entertain suits against the United States."
United
States v. Sherwood, supra at
312 U. S.
587-588.
The individual claimants in this action premised jurisdiction in
the Court of Claims upon the Tucker Act, 28 U.S.C. § 1491,
which gives that court jurisdiction of "any claim against the
United States founded either upon the Constitution, or any Act of
Congress." The Tucker Act is "only a jurisdictional statute; it
does not create any substantive right enforceable against the
United States for money damages."
United States v. Testan,
424 U. S. 392,
424 U. S. 398
(1976). The Act merely "confers jurisdiction upon [the Court of
Claims] whenever the substantive right exists."
Ibid. The
individual claimants, therefore, must look beyond the
jurisdictional statute for a waiver of sovereign immunity with
respect to their claims.
The same is true for the tribal claimant. Jurisdiction over
Page 445 U. S. 539
its claims was based on § 24 of the Indian Claims
Commission Act, 28 U.S.C. § 1505. That provision states:
"The Court of Claims shall have jurisdiction of any claim
against the United States accruing after August 13, 1946, in favor
of any tribe, band, or other identifiable group of American Indians
residing within the territorial limits of the United States or
Alaska whenever such claim is one arising under the Constitution,
laws or treaties of the United States, or Executive orders of the
President, or is one which otherwise would be cognizable in the
Court of Claims if the claimant were not an Indian tribe, band or
group."
By enacting this statute, Congress plainly intended to give
tribal claimants the same access to the Court of Claims provided to
individuals by the Tucker Act. The House Committee Report
stated:
"As respects claims accruing after its adoption, this bill
confers jurisdiction on the Court of Claims to determine and
adjudicate any tribal claim of a character which would be
cognizable in the Court of Claims if the claimant were not an
Indian tribe. In such cases, the claimants are to be entitled to
recover in the same manner, to the same extent, and subject to the
same conditions and limitations, and the United States shall be
entitled to the same defenses, both at law and in equity, . . . as
in cases brought in the Court of Claims by non-Indians under
section 145 of the Judicial Code [now 28 U.S.C. § 1491], as
amended."
H.R.Rep. No. 1466, 79th Cong., 1st Sess., 13 (1945).
See
also Hearings on H.R. 1198 and H.R. 1341 before the House
Committee on Indian Affairs, 79th Cong., 1st Sess., 149 (1945)
(statement of Assistant Solicitor Cohen); H.R.Rep. No. 352, 81st
Cong., 1st Sess., 15-16 (1949) (recodifying the statute).
Page 445 U. S. 540
Under 28 U.S.C. § 1505, then, tribal claimants have the
same access to the Court of Claims provided to individual claimants
by 28 U.S.C. § 1491, and the United States is entitled to the
same defenses at law and in equity under both statutes. It follows
that 28 U.S.C. § 1505 no more confers a substantive right
against the United States to recover money damages than does 28
U.S.C. § 1491. [
Footnote
2]
III
Section 1 of the General Allotment Act authorizes the President
to allot to each Indian residing on a reservation up to 80 acres of
agricultural land or 160 acres of grazing land found within the
reservation. 24 Stat. 38, as amended, 25 U.S.C. § 331. Section
5 of the Act provides that the United
Page 445 U. S. 541
States shall retain title to such allotted lands in trust for
the benefit of the allottees:
"Upon the approval of the allotments provided for in this act by
the Secretary of the Interior, he shall cause patents to issue
therefor in the name of the allottees, which patents shall be of
the legal effect, and declare that the United States does and will
hold the land thus allotted, for the period of twenty-five years,
in trust for the sole use and benefit of the Indian to whom such
allotment shall have been made . . . and that at the expiration of
said period the United States will convey the same by patent to
said Indian . . . in fee, discharged of said trust and free of all
charge or incumbrance whatsoever:
Provided, That the
President of the United States may in any case in his discretion
extend the period. And if any conveyance shall be made of the lands
set apart and allotted as herein provided, or any contract made
touching the same, before the expiration of the time above
mentioned, such conveyance or contract shall be absolutely null and
void."
24 Stat. 389, as amended, 25 U.S.C § 348. Under § 2 of
the Indian Reorganization Act of 1934, 48 Stat. 984, 25 U.S.C.
§ 462, the United States now holds title to these lands
indefinitely.
The Court of Claims held that the General Allotment Act creates
a fiduciary duty on the part of the United States to manage timber
resources properly, and constitutes a waiver of sovereign immunity
against a suit for money damages as compensation for breaches of
that duty. The court drew both of these conclusions from the Act's
language providing that the United States is to "hold the land . .
. in trust for the sole use and benefit of the" allottee. The court
held that this language created an express trust, and concluded
that money damages are available to compensate for breaches of this
trust, apparently because that remedy is available in the
Page 445 U. S. 542
ordinary situation in which a trustee has violated a fiduciary
duty and because, without money damages, allottees would have no
effective redress for breaches of trust,,
We need not consider whether, had Congress actually intended the
General Allotment Act to impose upon the Government all fiduciary
duties ordinarily placed by equity upon a trustee, the Act would
constitute a waiver of sovereign immunity. We conclude that the Act
created only a limited trust relationship between the United States
and the allottee that does not impose any duty upon the Government
to manage timber resources.
The Act does not unambiguously provide that the United States
has undertaken full fiduciary responsibilities as to the management
of allotted lands. The language of § 5 that imposes the t.rust
in question must be read
in pari materia with the language
of §§ 1 and 2. [
Footnote
3] Both of these sections indicate that the Indian allottee,
and not a representative of the United States, is responsible for
using the land for agricultural
Page 445 U. S. 543
or grazing purposes. Furthermore, the legislative history of the
Act [
Footnote 4] plainly
indicates that the trust Congress placed on allotted lands is of
limited scope. Congress intended that, even during the period in
which title to allotted land would remain in the United States, the
allottee would occupy the land as a homestead for his personal use
in agriculture or grazing.
See Mattz v. Arnett,
412 U. S. 481,
412 U. S. 496
(1973); 13 Cong.Rec. 3211 (1882) (Sen. Dawes) (the allottee is to
be "the occupant of the land and enjoy all its use").
See
also H.R.Rep. No. 2247, 48th Cong., 2d Sess., 1 (1885); 17
Cong.Rec. 131631 (1886) (Sens. Plumb and Dawes);
id. at
1632 (Sen. Maxey); 18 Cong.Rec.1911 (1886) (Rep. Skinner). Under
this scheme, then, the allottee, and not the United States, was to
manage the land.
The earliest drafts of the Act provided that, during the 25-year
period before the allottee would receive fee simple title, the
allottee would hold title to the land subject to a restraint on
alienation. S. 1773, 46th Cong., 3d Sess. (1880); S. 1455, 47th
Cong., 1st Sess. (1882). On Senator Dawes' motion, this language
was amended to provide that the United States would hold the land
"in trust" for that period. 13 Cong.Rec. 3212 (1882). Senator Dawes
explained that the statute, as amended, would still ensure that
title to the land would be transferred to the Indian allottee at
the expiration of 25 years. He promoted the amendment because he
feared that States might attempt to tax allotted lands if the
allottees held title to them subject to a restraint on alienation.
By placing title in the United States in trust for the
Page 445 U. S. 544
allottee, his amendment made it "impossible to raise the
question of [state] taxation."
Id. at 3211. The next draft
of the Act introduced in the Congress reflected this amendment,
see S. 48, 48th Cong., 1st Sess. (1884), as, of course,
did the Act as enacted, 24 Stat. 88 (1887). It is plain, then,
that, when Congress enacted the General Allotment Act, it intended
that the United States "hold the land . . . in trust" not because
it wished the Government to control use of the land and be subject
to money damages for breaches of fiduciary duty, but simply because
it wished to prevent alienation of the land and to ensure that
allottees would be immune from state taxation. [
Footnote 5]
Page 445 U. S. 545
Furthermore, events surrounding and following the passage of the
General Allotment Act indicate that the Act should not be read as
authorizing, much less requiring, the Government to manage timber
resources for the benefit of Indian allottees. In 1874, this Court
determined that Indians held only a right of occupancy, and not
title, to Indian lands, and therefore that they could cut timber
for the purpose of clearing the land, but not for the primary
purpose of marketing the timber.
United
States v. Cook, 19 Wall. 591. In 1889, two years
after the General Allotment Act was enacted, the Attorney General
determined that the rule of
United States v. Cook, supra,
applied to allotted, as well as unallotted, lands unless a statute
explicitly provided to the contrary. 19 Op.Atty.Gen. 232. Congress
ratified the Attorney General's opinion by enacting a provision
authorizing the sale of dead timber on Indian allotments an
reservations, but forbidding the sale of live timber. Act of Feb.
16, 1889, ch. 172, 25 Stat. 673.
See also Pine River logging
Co. v. United States, 186 U. S. 279
(1902).
As time passed, Congress occasionally passed legislation
authorizing the harvesting and sale of timber on specific
reservations.
See, e.g., ch. 1350, 34 Stat. 91 (1906)
(Jicarilla Apache Reservation). In 1910, Congress reversed its
general policy. It empowered the Secretary of the Interior to sell
timber on unallotted lands and apply the proceeds of the sales,
less administrative expenses, to the benefit of the Indians. Ch.
431, § 7, 36 Stat. 857, as amended, 25 U.S.C. § 407. The
Secretary was also authorized to consent to the sale of timber by
the owner of any Indian land "held under a trust or other patent
containing restrictions on alienations."
Id. § 8, as
amended, 25 U.S.C. § 406(a). The Secretary
Page 445 U. S. 546
was directed to pay the proceeds of these sales, less
administrative expenses, to the "owner" of the allotted lands.
Ibid. Congress subsequently enacted other legislation
directing the Secretary on how to manage Indian timber resources.
[
Footnote 6]
The General Allotment Act, then, cannot be read as establishing
that the United States has a fiduciary responsibility for
management of allotted forest lands. Any right of the respondents
to recover money damages for Government mismanagement of timber
resources must be found in some source other than that Act.
[
Footnote 7]
The judgment of the Court of Claims is reversed, and the case is
remanded for further proceedings consistent with this opinion.
It is so ordered.
THE CHIEF JUSTICE took no part in the decision of this case.
[
Footnote 1]
Current statutes relevant to the Secretary's responsibilities
with respect to Indian timber resources include 25 U.S.C. §
162a (investment of funds of tribe and individual allottee); 25
U.S.C. §§ 318a, 323-325 (roads and rights-of-way); 25
U.S.C. §§ 349, 372 (issuance of fee patents to allottees
or heirs found to be capable of managing their affairs); 25 U.S.C.
§§ 406, 407 (sale of timber); 25 U.S.C. § 413
(collection of administrative expenses incurred on behalf of
Indians); 25 U.S.C. § 466 (sustained yield management of
forests).
[
Footnote 2]
For claims arising before August 13, 1946, however, the statute
did waive the sovereign immunity of the United States. The Indian
Claims Commission was directed to "hear and determine" such claims
against the United States based on legal and equitable principles
and on considerations of "fair and honorable dealings that are not
recognized by any existing rule of law or equity." 25 U.S.C. §
70a.
Contrary to respondents' assertions, the comments of
then-Representative Jackson, the sponsor of the bill that became 28
U.S.C. § 1505, do not indicate that Congress intended this
statute to be a waiver of sovereign immunity for any alleged breach
of trust accruing after August 13, 1946. Indeed, Representative
Jackson stated that
"the bill provides that with respect to all grievances that may
arise hereafter Indians shall be treated on the same basis as other
citizens of the United States in suits before the Court of
Claims."
92 Cong.Rec. 5313 (1946). This statement is consistent with his
comment that, if the bill was adopted
"it will never again be necessary to pass special Indian
jurisdictional acts in order to permit the Indians to secure a
court adjudication on any misappropriations of Indian funds or of
any other Indian property by Federal officials that might occur in
the future."
Ibid. Such misappropriations could constitute takings
for which just compensation is required by the Fifth Amendment, and
this Court has long held that such a claim is within the
jurisdiction of the Court of Claims under 28 U.S.C. § 1491.
See United States v. Testan, 424 U.
S. 392,
424 U. S. 401
(1976);
United States v. Creek Nation, 295 U.
S. 103,
295 U. S.
109-110 (1935);
Jacobs v. United States,
290 U. S. 13,
290 U. S. 16
(1933).
[
Footnote 3]
As originally enacted, § 1 provided in pertinent part:
"[I]n all cases where any tribe or band of Indians has been, or
shall hereafter be, located upon any reservation created for their
use, . . . the President of the United States be, and he hereby is,
authorized, whenever in his opinion any reservation or any part
thereof of such Indians is advantageous for agricultural and
grazing purposes, to cause said reservation, or any part thereof,
to be surveyed, or resurveyed if necessary, and to allot the lands
in said reservation in severalty to any Indian located thereon. . .
."
24 Stat. 388. This language has not been materially altered by
amendment, and is presently codified as 25 U.S.C. § 331.
Section 2 provided in pertinent part:
"That all allotments set apart under the provisions of this act
shall be selected by the Indians . . . in such manner as to embrace
the improvements of the Indians making the selection. Where the
improvements of two or more Indians have been made on the same
legal subdivision of land, unless they shall otherwise agree, a
provisional line may be run dividing said lands between them. . .
."
24 Stat. 388. This provision has never been amended, and is
presently codified as 25 U.S.C. § 332.
[
Footnote 4]
A bill similar to the General Allotment Act of 1887 was debated
in the Senate in 1881.
See S. 1773, 46th Cong., 3d Sess.
(1880); 11 Cong.Rec. 778-788, 873-882, 904-913, 933-943, 994-1003,
1028-1036, 1060-1070 (1881). Bills essentially identical to the Act
as enacted in 1887 were passed by the Senate in 1882 and 1884, but
were not acted upon by the House of Representatives.
See
S. 1455, 47th Cong., 1st Sess. (1882); S. 48, 48th Cong., 1st Sess.
(1884).
See also 13 Cong.Rec. 3212 (1882); 15 Cong.Rec.
2240-2242, 2277-2280 (1884); 16 Cong.Rec. 218, 580 (1885); H.R.Rep.
No. 2247, 48th Cong., 2d Sess. (1885).
[
Footnote 5]
See also 15 Cong.Rec. 2240-2242 (1884) (Sens. Dawes,
Coke, and Conger);
id. at 2278-2279 (Sens. Miller, Coke,
and Dawes). Representative Skinner, who was the sponsor in the
House of Representatives for the bill that became the Act, plainly
defined the limited nature of the trust language found in § 5
in commenting on the rationale supporting both the Act's allotment
of land and its provision that allottees shall be citizens of the
United States:
"The present Commissioner of Indian Affairs, who, in the line of
his duty, has given these questions his most earnest thought, says
in his annual report, 1885, and reiterates it in his last report,
that it should be impressed upon the Indians 'that they must
abandon their tribal relation and take lands in severalty as the
cornerstone of their complete success in agriculture. . . .'"
"
* * * *"
". . . [W]henever a majority of the male adults on any
reservation desire it, the reservation can be broken up, and the
lands, in certain quantities, specified in the bill, allotted in
severalty to the Indians who belong on such reservation; and as
soon as the allotment is made, the allottee becomes a citizen of
the United States, . . . and, in addition thereto,
his land is
made inalienable and nontaxable for a sufficient length of
time for the new citizen to become accustomed to his new life, to
learn his rights as a citizen, and prepare himself to cope on an
equal footing with any white man who might attempt to cheat him out
of his newly acquired property. . . ."
"Giving the individual Indian a title to the land upon which he
resides will have a tendency to stimulate him to work and improve
his land and accumulate property. . . ."
18 Cong.Rec.190 (1886) (emphasis added).
Representative Perkins summarized this approach by stating
that
"[t]he bill provides for the breaking up, as rapidly as
possible, of all the tribal organizations and for the allotment of
lands to the Indians in severalty, in order that they may possess
them individually and proceed to qualify themselves for the duties
and responsibilities of citizenship."
Id. at 11. He asserted that one object of the bill was
to enable Indians "to support themselves by industry and toil."
Ibid.
[
Footnote 6]
See n 1,
supra.
[
Footnote 7]
The Court of Claims did not consider the respondents' assertion
that other statutes,
see n 1,
supra, render the United States liable in
money damages for the mismanagement alleged in this case. Nor did
the court address the respondents' contention that the alleged
mismanagement is cognizable under the Tucker Act because it
involves money improperly exacted or retained. The court may, of
course, consider these contentions on remand.
The respondents make two other arguments. They assert that the
special relationship between the United States and Indian tribes
establishes a right to money damages for timber mismanagement. They
also contend that the General Allotment Act and the Treaty of
Olympia, 12 Stat. 971 (1859), create trust responsibilities on the
part of the United States that constitute implied contracts within
the scope of the Tucker Act. Because the respondents did not raise
these contentions in the Court of Claims, we will not consider
them.
E.g., Adickes v. Kress & Co., 398 U.
S. 144,
398 U. S. 147,
n. 2 (1970).
MR. JUSTICE WHITE, with whom MR. JUSTICE BRENNAN and MR. JUSTICE
STEVENS join, dissenting.
In
United States v. Testan, 424 U.
S. 392 (1976), we held that a statute creates a
substantive right enforceable against the United States in money
damages only if it "
can fairly be
Page 445 U. S.
547
interpreted as mandating compensation by the Federal
Government for the damage sustained.'" Id. at 424 U. S. 400,
quoting Eastport S.S. Corp. v. United States, 178 Ct.Cl.
599, 607, 372 F.2d 1002, 1009 (1967). The Court today holds that
Testan bars a damages suit against the Government by
Indian allottees, their Tribe, and their association for breach of
fiduciary duties in the management of timber lands allotted under
the General Allotment Act of 1887 (Act), 24 Stat. 388, as amended,
25 U.S.C. § 331 et seq. Because I believe that the
Act can fairly be interpreted as mandating compensation, I
dissent.
The Act could hardly be more explicit as to the status of
allotted lands. They are to be held by the United States "
in
trust for the sole use and benefit of the Indian," § 5 of
the Act, 24 Stat. 389, as amended, 25 U.S.C. § 348 (emphasis
added). The United States has here unmistakably assumed the
obligation to act as trustee of these lands with the Indian
allottees as beneficiaries. The Court holds, however, that the
"trust" established by § 5 is not a trust as that term is
commonly understood, and that Congress had no intention of imposing
full fiduciary obligations on the United States. Congress'
purposes, it is said, were narrower: to impose a restraint on
alienation by Indian allottees while ensuring immunity from state
taxation during the period of the restraint.
I do not find this argument convincing. The language of the Act,
which is the starting point for all statutory interpretation,
Group Life Health Ins. Co. v. Royal Drug Co., 440 U.
S. 205,
440 U. S. 210
(1979);
Teamsters v. Daniel, 439 U.
S. 551,
439 U. S. 558
(1979), explicitly creates a "trust." This language would surely be
a sufficient manifestation of intent to create a trust if the
settlor were other than the United States.
See Restatement
(Second) of Trusts §§ 23, 24 (1959) (hereinafter
Restatement); G. Bogert, The Law of Trusts and Trustees § 45
(2d ed.1965) (hereinafter Bogert); 1 A. Scott, The Law of Trusts
§ 23 (3d ed.1967) (hereinafter Scott). The structure
Page 445 U. S. 548
created by the Act has all the necessary elements of a common
law trust -- a trustee (the United States), a beneficiary (the
Indian allottees), and a trust corpus (the designated allotment
lands).
See Restatement § 2, Comment
h, p.
10. The United States has capacity to take and hold property in
trust.
Id. § 95; 2 Scott § 95 (discussing the
Act). And an essential distinguishing feature of any trust, at
common law, was that it entailed a
"
fiduciary relationship with respect to property,
subjecting the person by whom the title to the property is held to
equitable duties to deal with the property for the benefit of
another person. . . ."
Restatement § 2 (emphasis added).
See 1 Scott
§ 2.5. Hence, if we are to give the words of the statute their
ordinary meaning, as we commonly do when the law does not define a
statutory phrase precisely,
Group Life & Health Ins. Co. v.
Royal Drug Co., supra at
440 U. S. 211,
we should find that the trust established by the Act imposes
fiduciary obligations on the United States as trustee.
The legislative history of the Act does not convince me that any
narrower reading is required. This statute was enacted against the
backdrop of a relationship between the United States and the Indian
tribes that had long been considered to "resembl[e] that of a ward
to his guardian."
Cherokee Nation v.
Georgia, 5 Pet. 1,
30 U. S. 17
(1831);
see also Morton v. Mancari, 417 U.
S. 535,
417 U. S.
541-542 (1974);
United States v. Mason,
412 U. S. 391,
412 U. S. 398
(1973);
Squire v. Capoeman, 351 U. S.
1,
351 U. S. 2
(1956);
United States v. Payne, 264 U.
S. 446,
264 U. S. 448
(1924);
United States v. Kagama, 118 U.
S. 375,
118 U. S. 382
(1886). When Congress established a "trust" for the Indian
allottees, it is not sensible to assume an intent to depart from
these well known fiduciary principles. Rather, as we noted in
Mattz v. Arnett, 412 U. S. 481,
412 U. S. 496
(1973), the policy of the Act was to "continue the reservation
system and
the trust status of Indian lands." (Emphasis
added.)
Page 445 U. S. 549
The Court acknowledges that the Act did create a trust
relationship between the United States and the allottee.
Ante at
445 U. S. 542.
It holds, however, that the fiduciary obligations imposed on the
United States as trustee are very narrow, and do not extend to the
proper management of Indian timber lands. The lands covered by the
Act were mostly agricultural or grazing lands, as to which it was
expected that the Indian himself would reside on and manage the
allotments. Not until
United States v. Payne, supra, was
it established that forested lands such as those of the Quinault
Reservation were subject to allotment under the Act. Hence, it is
said, if the Government has fiduciary duties, they are solely to
ensure nonalienation and immunity from state taxation.
This argument takes too narrow a view of the fiduciary duty
established by the Act and of the subsequent statutory and
administrative developments which clarified and fleshed out that
duty. The timberlands of the Quinault Reservation cannot, as a
practical matter, be managed by the Indian allottees. In such a
case, where management functions must necessarily be performed by
the Government, it seems most consistent with the scheme of the Act
that the United States was to assume fiduciary obligations in the
performance of its management functions. Subsequent Congresses have
implicitly acknowledged the existence of such obligations.
See 25 U.S.C. § 466 (instructing the Secretary of the
Interior to manage Indian forests on a sustained-yield basis);
§§ 323-325 (authorizing the Secretary to grant
rights-of-way over Indian trust lands upon payment of just
compensation); § 162a (authorizing the Secretary to manage
tribal funds held in trust). The Secretary has promulgated detailed
regulations governing the exercise of his powers under these
statutes. While I do not say that the Government's fiduciary
responsibility necessarily conforms to the exact terms of these
statutes and regulations, their existence at least points to the
inference that as a matter of statute and administrative
practice
Page 445 U. S. 550
the Government has accepted some obligations in the management
of allotted timberlands.
The remaining question is whether the Government has consented
to liability in damages for the breach of these obligations. Such
liability, in my view, follows naturally from the existence of a
trust and of fiduciary duties. It is hornbook law that the trustee
is accountable in damages for breaches of trust.
See
Restatement §§ 205-212; Bogert § 862; 3 Scott §
205. Moreover, it would interfere with, if not defeat, the purposes
of the Act if the allottees were to be remitted to a suit for
prospective, equitable relief in the protection of their rights.
Absent a retrospective damages remedy, there would be little to
deter federal officials from violating their trust duties, at least
until the allottees managed to obtain a judicial decree against
future breaches of trust. Finally, it is noteworthy that the
Department of the Interior, which as the agency charged with
administering the Act is entitled to considerable deference in its
interpretation of the statute,
e.g., Zenith Radio Corp. v.
United States, 437 U. S. 443,
437 U. S. 450
(1978);
Udall v. Tallman, 380 U. S.
1,
380 U. S. 16
(1965), apparently disagrees with the position taken by the
Solicitor General in this litigation, and believes that a money
damages remedy should be permitted.
See Letter from
Departmental Solicitor Krulitz to Assistant Attorney General
Moorman, Nov. 21, 1978, reprinted in App. to Brief for Respondents
1a-21a.
In sum, I would find that the Act creates a bona fide trust,
imposes fiduciary obligations on the United States as trustee in
the management of allotted timberlands, and provides a damages
remedy against the United States for breach of these obligations.
The Act "
can fairly be interpreted as mandating compensation by
the Federal Government for the damage sustained.'" United
States v. Testan, 424 U.S. at 424 U. S. 400,
quoting Eastport S.S. Corp. v. United States, 178 Ct.Cl.
at 607, 372 F.2d at 1009. In my view, therefore, the
Page 445 U. S. 551
Court of Claims had jurisdiction over this action as one founded
on an "Act of Congress," 28 U.S.C. § 1491, and as one brought
by an identifiable group of Indians and "otherwise . . . cognizable
in the Court of Claims," 28 U.S.C. § 1505. Accordingly, I
respectfully dissent.