Fred M. Vinson

“ Plaintiff's alternative contention that we should now enter a finding of defendants' bad faith for the post-1929 period at least, because as to it 'there is positive proof that the Company knew * * * the United States owned the land,' may be answered in the same way. Plaintiff proffered evidence of such knowledge, but we cannot say that this evidence amounted to conclusive proof. We think the necessity of trying the issue of defendants' good faith throughout the entire period in dispute, preliminary to determining the measure of plaintiff's recovery, cannot be avoided. ”

“ It is significant that for a period extending over half a century, the land decisions of the Department of the Interior have consistently taken the position that title to unsurveyed school sections passes to the State only upon completion of the survey, and prior to that time the Federal Government is not inhibited from making such reservations and dispositions of the lands as required by the public interest and as authorized by applicable statutes. Many of those decisions involved statutory language substantially identical to that in the Wyoming Enabling Act. ”

“ It should be observed that when dealing with the right of the States to select lieu lands where homestead and pre-emption claims are involved, Congress first inserted language in the Act designed to create in individuals holding such claims rights superior to those of the States to the school sections upon which settlement before survey has been made. ”

“ As another ground, plaintiff urges that defendants have at all times since the beginning of this trespass had constructive knowledge of plaintiff's title, and that either they have 'intentionally or negligently failed to ascertain from the r eadily available public records who owned the land,' or they have acted 'will full knowledge that the section belonged to the United States.'
It is clear, however, that constructive knowledge of the owner's title does not demonstrate defendants' bad faith as a matter of law. ”

“ Defendants first point to the fact that in the granting clause, Congress employed words of present grant. This is said to evince an intention to vest immediately in the State, not only legal title to section 16 and 36 when surveyed and not otherwise disposed of, but also an indefeasible proprietary interest in the unsurveyed sections of the school lands. We believe that this contention is precluded by earlier decisions of this Court. ”

“ An agreed premise is found in the rule that one who 'wilfully' or 'in bad faith' trespasses on the land of another, and removes minerals, is liable to the owner for their full value computed as of the time the trespasser converted them to his own use, by sale or otherwise, but that an 'innocent' trespasser, who has acted 'in good faith,' my deduct f rom such value the expenses of extraction. ”

“ United States v. Homestake Mining Co., 8 Cir., 1902, 117 F. 481; Winchester v. Craig, 1877, 33 Mich. 205; Livingstone v. Rawyards Coal Co., 5 L.R.App.Cas. 25 (H.L.1880) ; Summers, Oil and Gas, §§ 23, 24.↑ Liberty Bell Gold Mining Co. ”