I found this at
http://www.groups.yahoo.com/group/posterityclub
Subject:
Administrative Summons/ traffic ticket
Court or
Tribunal
Behold!
Newsletter, July 1989
Copy Right:
July 1989
by Randy L.
Geiszler, email:
behold@teleport.com
Recently I
have been doing some research on the nature and character of Administrative
Summons enforcement proceedings. The
administrative
summons is what is sometimes referred to as a "pocket summons." It is issued
by an agent of the Internal Revenue Service, which is the most common, or an
agent of some other agency, on statutory authority, without intervention of a
court of Article III judicial authority.
The process
(administrative summons) is a form of civil process prescribed by statute in
certain cases relative to the statutory authority of the agent issuing same.
If it were criminal process it would fall in the class of "blank warrants"
which once prevailed in England. See Bouvier's Law Dictionary, 8th Ed., Vol.
2, p. 641, title, "WARRANT," on blank warrants.
Issuing
blank warrants was considered a reprehensible practice and "In the year 1763,
(just prior to the American Revolution) the legality of these general warrants
was brought before the King's Bench for solemn decision; and they were
adjudged to be illegal, and void for uncertainty." Story's Commentaries on the
Constitution, Vol. 3, ss. 1895 (1833).
But,
because in most cases the administrative summons' are a form of civil process,
they do not fall within the injunction of the Fourth Article in amendment to
the united States Constitution, which limits the conditions under which
"warrants" (a form of criminal process) are allowed to be issued. This fact,
among others, is what allows the judge or magistrate in an administrative
summons enforcement proceeding, to avoid application of the limitations of the
Fourth Article in amendment, to the due process clause of the Fifth Article in
amendment. For a contrary opinion, see Boyd v. U.S., 116 U.S 616, 6 SCt 524,
29 LEd 746, which will be explained later.
The
administrative summons, beyond being civil process, is a strictly internal
form of process used by Congress and the executive, when empowered by
Congress, to control the internal affairs of government. The process lies in
what might be called a fourth jurisdiction in the Constitution. A jurisdiction
that appears judicial on the surface, but actually is a legislative
jurisdiction. A jurisdiction which appears to vest Article III courts with
power of adjudication, but which, in reality, only vest judges or magistrates
with a legislative power, outside the court, directly under the statute
authorizing the enforcement proceeding, to enforce the summons in the
jurisdiction of a "tribunal" - not a "court."
This
internal statutory legislative jurisdiction came to light in the supreme Court
a long time ago in the case of Martin v. Mott, 12 Wheat, (25 U.S.) 19, 6 L.Ed.
537 (1827), and had been initiated earlier in the circuit court in 1792. Mott,
being a "white Citizen of the State of New York," was called to serve in the
militia in a war between the united States and England and Ireland. He refused
service in the militia for which he was tried by a Court Martial. Mott sued
out a writ of error in the supreme Court of the United States where the Court
held that the jurisdiction exercised in requisitioning him (Mott) into service
of the militia, was solely an executive jurisdiction vested in the President
by the Constitution. As a consequence, the Court further held, that it had no
jurisdiction to revise the findings of the Court Martial, because the court
was not a judicial body. In bringing this decision the Court made it clear
that the governing of the militia or the requisition of Citizens into the
militia, and the question of the necessity to requisition, were not matters
confided in the Judiciary under the Constitution, Article III. Therefore, the
Court Martial, although called a court, was not a part of the judiciary
established under Article III, but instead was a tribunal established under
the executive by authority of a declaration from Congress and statutes enacted
by Congress. As an implied consequence of the fact that there can be no war
without declaration by Congress, the Court Martial in actuality is a
legislative court, since the power of the President to call up the militia
shouldn't take affect except upon such declaration of war from Congress. On
top of which, any court or tribunal established is usually established by
congressional enactment whether under Article III or some other article of the
Constitution.
In U.S. v.
Ferriera, 13 How. (54 U.S.) 40 (1851), the supreme Court again gave
recognition to a special legislative jurisdiction, outside the judicial power
of Article III; only this time it appeared to be vested in the District Court
of the U.S. The case involved the treaty power of Congress, which could be
said to have a peculiar similarity to the power to declare war since both
relate to the international law powers vested in Congress by the Constitution.
In addition, the facts were similar, in that, the power in question was
determined to be exclusively legislative. Congress, by two acts passed in 1823
and 1824, (3 Stat. 768 and 6 Stat. 560) directed the judge of the Territorial
Court of Florida to receive, examine, and adjudge all cases of claims for
losses (under a treaty of 1819, between the United States and Spain), and
report his decisions, if in favor of the claimants, together with the evidence
upon which they were founded, to the Secretary of the Treasury, who, on being
satisfied that the same was just and equitable, within the provisions of the
treaty, should pay the amount thereof; and by an act of 1849, (9 Stat. 788)
Congress directed the judge of the District Court of the United States for the
Northern District of Florida, to receive and adjudicate certain claims in the
same manner directed by the preceding acts.
Justice
Taney, writing for the Court, after noting "This purports to be an appeal
from the District Court of the United States for the Northern District of
Florida" relates this, in the Court's opinion, about the special jurisdiction
exercised by the district court judge in that case:
"Undoubtedly Congress was bound to provide such a tribunal as the treaty
described. But if they failed to fulfill that promise, it is a question
between the United States and Spain. The tribunal created to adjust the claims
cannot change the mode of proceeding or the character in which the law
authorizes it to act, under any opinion it may entertain, that a different
mode of proceeding, or a tribunal of different character, would better comport
with the provisions of the treaty. If it acts at all, it acts under the
authority of the law and must obey the law.
"The
territorial judges therefore, in adjusting these claims derived their
authority altogether from the laws above mentioned; and their decisions can be
entitled to no higher respect or authority than these laws gave them. They are
referred by the act of 1823, to the treaty for the description of the injury
which the law requires them to adjust; but not to enlarge the power which the
law confers, nor to change the character in which the law authorizes them to
act.
"The law
of 1823, therefore, and not the stipulations of the treaty, furnishes the rule
for the proceeding of the territorial judges, and determines their character.
And it is manifest that this power to decide upon the validity of these
claims, is not conferred on them as a judicial function, to be exercised in
the ordinary forms of a court of justice. For there is to be no suit; no
parties in the legal acceptance of the term, are to be made -no process to
issue; and no one is authorized to appear on behalf of the United States, or
to summon witnesses in the case. The proceeding is altogether ex parte; and
all that the judge is required to do is to receive the claim when the party
presents it, and to adjust it upon such evidence as he may have before him, or
be able himself to obtain. But neither the evidence, nor his award, are to be
filed in the court in which he presides, nor recorded there; but he is
required to transmit, both the decision and the evidence upon which he
decided, to the Secretary of the Treasury; and the claim is to be paid if the
Secretary thinks it just and equitable, but not otherwise. It is to be a debt
from the United States upon the decision of the Secretary, but not upon that
of the judge.
"It is too
evident for argument on the subject, that such a tribunal is not a judicial
one, and that the act of Congress did not intend to make it one. The authority
conferred on the respective judges was nothing more than that of a
commissioner to adjust certain claims against the United States; and the
office of judges, and their respective jurisdictions, are referred to in the
law, merely as a designation of the powers to whom the authority is confided,
and the territorial limits to which it extends. The decision is not the
judgment of a court of justice. It is the award of a commissioner. The act of
1834 calls it an award. And an appeal to this court from such a decision, by
such an authority from the judgment of a court of record, would be an anomaly
in the history of jurisprudence. An appeal might as well have been taken from
the awards of the board of commissioners, under the Mexican treaty, which were
recently sitting in this city.
"Nor can
we see any ground for objection to the power of revision and control given to
the Secretary of the Treasury. When the United States consent to submit an
adjustment of claims against them to any tribunal, they have a right to
prescribe the conditions on which they will pay. And they had a right
therefore to make the approval of the award by the Secretary of the Treasury,
one of the conditions upon which they would agree to be liable. No claim,
therefore, is due from the United States until it is sanctioned by him; and
his decision against the claimant for the whole or a part of a claim as
allowed by the judge is final and conclusive. It cannot afterwards be
disturbed by an appeal to this or any other court, or in any other way,
without authority of an act of Congress.
"It is
said, however, on the part of the claimant, that the treaty requires that the
injured parties should have an opportunity of establishing their claims by a
process of law; that process of law means a judicial proceeding in a court of
justice; and that the right of supervision given to the Secretary over the
decision of the district Judge, is therefore a violation of the treaty.
"The court
think differently; and that the government of this country is not liable to
the reproach of having broken its faith with Spain. The tribunals established
are subsequently the same with those usually created, where one nation agrees
by treaty to pay debts or damages which may be found to be due to the citizens
of another country. This treaty meant nothing more than the tribunal and mode
of proceeding ordinarily established on such occasions; and well known and
well understood when treaty obligations of this description are undertaken.
But if it were admitted to be otherwise, it is a question between Spain and
that department of government which is charged with our foreign relations; and
with which the judicial branch has no concern. Certainly the tribunal which
acts under the law of Congress, and derives all its authority from it, cannot
call in question the validity of its provisions, nor claim absolute and final
power for its decisions, when the law by virtue of which the decisions are
made, declares that they shall not be final, but subordinate to that of the
Secretary of the Treasury, and subject to his reversal.
"And if
the judicial branch of the government had the right to look into the
construction of the treaty in this respect, and was of opinion that it
required a judicial proceeding; and that the power given to the Secretary was
void as in violation of the treaty, it would hardly strengthen the case of the
claimant on his appeal. For the proceedings before the judge are as little
judicial in their character as that before the Secretary. And if his decisions
are void on that account, the decisions of the judge are open to the same
objections; and neither the principal nor interest, nor any part of this claim
could be paid at the Treasury. For if the tribunal is unauthorized, the awards
are of no value.
"The
powers conferred by these acts of Congress upon the judge as well as the
Secretary, are, it is true, judicial in their nature. For judgment and
discretion must be exercised by both of them. But it is nothing more than the
power ordinarily given by law to a commissioner appointed to adjust claims to
lands or money under a treaty; or special powers to inquire into or decide any
other particular class of controversies in which the public or individuals may
be concerned. A power of this description may constitutionally be conferred on
a Secretary as well as on a commissioner. But is not judicial in either case,
in the sense in which judicial power is granted by the Constitution to the
courts of the United States.
"The
proceeding we are now considering, did not take place before one of the
territorial judges, but before a District Judge of the United States. But that
circumstance can make no difference. For the act of 1849 authorizes him to
receive and adjudicate the claims of the persons mentioned in the law, under
the act of 1834; and provides that these claims may be settled by the
Treasury, as other cases under the said act. It conferred on the District
Judge, therefore, the same power, and the same character, and imposed on him
the same duty that had been conferred and imposed on the territorial judges
before Florida became a State.
"It would
seem, indeed, in this case, that the District Judge acted under the erroneous
opinion that he was exercising judicial power strictly speaking under the
Constitution, and has given these proceedings as much of the form of
proceedings in a court of justice as was practicable. A petition in form is
filed by the claimant; and the judge states in his opinion that the District
Attorney appeared for the United States, and argued the case, and prayed an
appeal. But, the acts of Congress require no petition. The claimant had
nothing to do, but to present his claim to the judge with the vouchers and
evidence to support it. The District Attorney had no right to enter an
appearance for the United States, so as to make them a party to the
proceedings, and to authorize a judgment against them. It was no doubt his
duty as a public officer, if he knew of any evidence against the claim, or of
any objection to the evidence produced by the claimant, to bring it before the
judge, in order that he must consider it, and report it to the Secretary. But
the acts of Congress certainly do not authorize him to convert a proceeding
before a commissioner into a judicial one, nor to bring an appeal from his
award before this court.
"The
question as to the character in which a judge acts in a case of this
description, is not a new one. It arose as long ago as 1792, in Hayburn's
case, reported in 2 Dall., 409.
"The
judges in the New York Circuit, composed of Chief Justice Jay, Justice
Cushing, and Duane, District Judge, held that the power could not be exercised
by them as a court. But in consideration of the meritorious and benevolent
object of the law, they agreed to construe the power as conferred on them
individually as commissioners, and to adjourn the court over from time to
time, so as to enable them to perform the duty in the character of
commissioners, and out of court.
"The
judges of the Pennsylvania Circuit, consisting of Wilson and Blair, Justices
of the Supreme Court, and Peters, District Judge, refused to execute it
altogether, upon the ground that it was conferred on them as a court, and was
not a judicial power when subject to the revision of the Secretary of War and
Congress.
"The
judges of the Circuit Court of North Carolina, composed of Irdell, Justice of
the Supreme Court, and Sitgreaves, District Judge, were of the opinion that
the court could not execute it as a judicial power; and held it under
advisement whether they might not construe the act as an appointment of the
judges personally as commissioners, and perform the duty in the character of
com missioners out of court, as had been agreed on by the judges of the New
York Circuit.
"These
opinions, it appears by the report in 2 Dall., were all communicated to the
President, and the motion for a mandamus in Hayburn's case, at the next term
of the Supreme Court, would seem to have been made merely for the purpose of
having it judicially determined in this court, whether the judges, under that
law, were authorized to act in the character of commissioners. For every judge
of the court, except Thomas Johnson, whose opinion is not given, had formally
expressed his opinion in writing, that the duty imposed, when the decision was
subject to the revision of a Secretary and of Congress, could not be executed
by the courts as a judicial power; and the only question upon which there
appears to have been any difference of opinion, was whether it might not be
construed as conferring the power on the judges personally as commissioners.
And if it would bear that construction, there seems to have been no doubt, at
that time, but that they might constitutionally exercise it, and the Secretary
constitutionally revise their decisions. The law, however, was repealed at the
next session of the legislature, and a different way provided for the relief
of the petitioners; and the question as to the construction of the law was not
decided in the Supreme Court. But the repeal of the act clearly shows that the
President and Congress acquiesced in the correctness of the decision, that it
was not a judicial power.
"The law
is the same in principle with the one we are now considering, with this
difference only, that the act of 1792 imposed the duty on the court eonomine,
and not personally on the judges. In the case before us it is imposed upon the
judge, and it appears in the note to the case of Hayburn, that a majority of
the judges of the Supreme Court were of opinion that if the law of 1792 had
conferred the power on the judges, they would have held that it was given to
them personally by that description; and would have performed the duty as
commissioners, subject to the revision and control of the Secretary and
Congress, as provided in the law. Nor have Justices Wilson, Blair, and Peters,
District Judges, dissented from this opinion. Their communication to the
President is silent upon this point. But the opinions of all the judges
embrace distinctly and positively the provisions of the law now before us, and
declare that, under such law, the power was not judicial within the grant of
the Constitution, and could not be exercised as such.
"Independently of these objections, we are at some loss to understand how
this case could legally be transmitted to this court, and certified as the
transcript of a record in the District Court. According to the directions of
the act of Congress, the decision of the judge and the evidence on which it is
founded, ought to have been transmitted to the Secretary of the Treasury. They
are not to remain in the District Court, nor to be recorded there. They
legally belong to the office of the Secretary of the Treasury, and not to the
court; and a copy from the clerk of the latter would not be evidence in any
court of justice. There is no record of the proceedings in the District Court
of which a transcript can legally be made and certified; and consequently
there is no transcript now before us that we can recognize as evidence of any
proceeding or judgment in that court.
"A
question might arise whether commissioners appointed to adjust these claims,
are not officers of the United States within the meaning of the Constitution.
The duties to be performed are entirely alien to the legitimate functions of a
judge or court of justice, and have no analogy to the general or special
powers ordinarily and legally conferred on judges or courts to secure the due
administration of the laws. And, if they are to be regarded as officers,
holding offices under the government, the power of appointment is in the
President, by and with the advice and consent of the senate; and Congress
could not by law, designate the persons to fill these offices. And if this be
the construction of the Constitution, then as the judge designated could not
act in a judicial character as a court, nor as a commissioner, because he was
not appointed by the President, every thing that has been done under the acts
of 1823, and 1834, and 1849, would be void, and the payments heretofore made
might be recovered back by the United States. But this question has not been
made; nor does it arise in the case. It could arise only in a suit by the
United States to recover back the money. And as the case does not present it,
and the parties interested are not before the court, and these laws have for
so many years been acted on as valid and constitutional we do not think it
proper to express an opinion on it. In the case at bar, the power of the judge
to decide in the first instance, is assumed on both sides, and the controversy
has turned upon the power of the Secretary to revise it; and it is in this
respect of the case, that it has been considered by the court, in the
foregoing opinion.
"The
appeal must be dismissed for want of jurisdiction." U.S. v. Ferriera, 13 How.
(54 U.S.) 40, 14 L.Ed. 42.
The final
statement of the Ferriera court ignores the fact that naming the district
court judges in a statute passed by Congress and signed by the President are
consent to confirmation of all persons on the bench, persons who had already
been vested with higher powers when made judges of an Article III court, the
names of whom were already known to Congress, the President and the law in
their original appointment.
In U.S. v.
Ferriera, supra, the question of whether the supreme Court of the United
States had jurisdiction of the case turned entirely on the character in which
the judge heard the case and on the mode in which he proceeded and came to a
judgment, in what purported to be the District Court of the United States.
When Chief
Justice Taney spoke of the "mode" of the proceedings, he was referring to
whether the judge proceeded in a legislative mode, out of court, strictly
under the sole authority of statute, or whether he (the district judge)
proceeded in a judicial mode, as defined in, and authorized by, Article III of
the Constitution. When Chief Justice Taney referred to the character in which
the district judge heard the case, he was referring to whether the district
judge sat in the character of a commissioner, such as is normal on a board of
commissioners vested with only statutory authority, or whether the district
judge acted in the Article III judicial character under appointment to the
bench of the District Court of the United States.
Two
questions are covered, which together completely disclose the legislative
jurisdiction in which the cause was brought. The two questions are, one: In
what mode is the judge sitting in the proceedings?; and, two: In what
character is he presiding over the proceedings? These two questions alone,
when put forth by one who understands them, could entirely disclose the
legislative proceedings, in a legislative tribunal, as not being authorized
within the judicial power of Article III.
In the past
we have, at times, asked the wrong questions, which allowed the judge to avoid
the issues. Asking whether the court is an Article III court and whether the
judge is an Article III judge will not bring the answers we need. These
questions are irrelevant, since legislative proceedings are neither held in
the court (mode) or before the judge in a judicial character. There fore, the
judge could tell you that the court was established under Article III and that
he was placed in office under Article III without disclosing that he isn't
proceeding in that mode or character in the proceedings that are immediately
before him.
It is easy
to understand how confusing this situation between courts and tribunals really
is. In U.S. v. Ferriera, supra, even the district court judge thought that he
was acting in the judicial mode and character when he really was only acting
as a commissioner of a tribunal. That district judge heard the case on a
petition filed with his court, or so he thought, he probably heard the case in
his regular district court courtroom, he probably recorded the proceedings on
the district court record, with assistance of the clerk of the court, and
every petition, motion, order, and any other paperwork associated with the
cause were probably written under the name and title of the district court;
yet the proceedings were not held, legally, in court, nor heard by a judge of
the court.
It is just
as confusing for the litigant, if not more confusing, especially when the
opposing party, and maybe even the court, actively try to hide the mode and
character of the proceedings from him. Imagine, you are served with paperwork,
an administrative summons, and later a petition for enforcement and an order
to show cause bearing the name of the United States District Court, signed by
a judge or (commissioner) magistrate of the United States District Court,
issued on the petition or complaint of the plaintiff, which petition or
complaint is entitled with the name of the United States District Court;
proceedings are had in a courtroom in the United States District Court
building; a judge or magistrate of the United States District Court hears all
matters related to the proceedings; all the documents from the petition or
complaint on down are filed with the Clerk of the United States District
Court; and, the final order on the proceedings is issued under the name of the
United States District Court, signed by a magistrate or judge thereof. What
are you to think, except that a judge heard the case in court like any other
"judicial" proceeding. Yet, when we make this assumption, we cannot correctly
challenge the jurisdiction of the tribunal and the commissioner, who pretend
to be a court and a judge, because we proceed based on an erroneous premise
from the beginning. The old saying, "You cannot see the forest for the trees,"
comes to mind.
Note the
opinion in U.S. v. Ferriera, supra, says that these proceedings were held "out
of court." Burn this into your mind, because you will find that it is a very
important point in this discussion. Also note what was said about the statute
naming district court judges in a particular district to hear the claims in
U.S. v. Ferriera. The use of the terms district court judges in the statute
merely designates what persons will hear the cause. It doesn't necessarily
mean that these judges will hold the proceed ings in the character of
"district judge." Using the judge's title is a generic way of citing what
class of persons will hold the proceedings under the statute. The statute
could as easily have named each judge personally by name and included his
successor in office, and would have meant the same thing even if it never used
the judge's title of office in the description. Thus, the term "district
judge" is an official designation, used to describe a personal commission.
Naming the
court in which the statutory tribunal is to hear the proceedings is similarly
designed. Each district court of the United States has jurisdiction in a given
geographical venue, that is, can hear cases and controversies arising out of a
certain land mass or area, e.g. territory. So, when Congress sets up a
statutory tribunal, they merely use the name of the district court to describe
the exact same geographical area. Congress could have, just as easily, taken
the existing description of the district court's venue, word for word, and
assigned it to the tribunal in the statute creating it, instead of using the
name of the district court for the description.
So, where
legislative courts are concerned, we can see, even when the exact terminology
is used in reference to the District Court of the United States and its
judges, as is used in reference to legislative tribunals and their
commissioners, its counterpart, the tribunal and its commissioners exercise a
distinct and separate legislative jurisdiction and legislative venue, outside
that of the actual district court and its district judges.
As a
special note, keep in mind that where Article I proceedings, such as those
distinguished in U.S. v. Ferreira, are concerned, state boundaries are
inconsequential and have no effect upon the venue or the proceedings, since
state boundaries are of no consequence to the internal, or exclusive,
legislative power of Congress. Therefore, the removal of state boundaries from
many of the state constitutions may not have been legally necessary, as a
venue consideration, to the validity of Article I proceedings, but, rather,
the boundaries have been removed to assure that questions could not arise that
might expose the exclusive legislative jurisdiction exercised in Article I
proceedings.
Because the
Hayburn case, reported in 2 Dallas 409, is the first case of this type coming
before the judiciary, in 1792, even though it was never finally adjudicated in
the supreme Court of the United States, the actual opinions of the circuit
court in that case, in which Justices of the supreme Court participated at the
circuit level, are important to our understanding the court v. tribunal
question.
Here is
what the judges and justices said in the Hayburn case:
"The
circuit court for the district of New York (consisting of Jay, Chief Justice,
Cushing, Justice, and Duane, District Judge) proceeded, on the 5th of April,
1791, to take into consideration the act of congress entitled, 'An act to
provide for the settlement of the claims of widows and orphans barred by the
limitations heretofore established, and to regulate the claims to invalid
pensions;' and were, thereupon, unanimously, of the opinion and agreed,
"'That by
the constitution of the United States, the government thereof is divided into
three distinct and independent branches, and that it is the duty of each to
abstain from, and to oppose, encroachments on either. That neither the
legislative nor the executive branches, can constitutionally assign to the
judicial any duties, but such as are properly judicial, and to be performed in
a judicial manner.'
"'That the
duties assigned to the circuit, by this act, are not of that description, and
that the act itself does not appear to contemplate them as such; inasmuch as
it subjects the decisions of these courts, made pursuant to those duties,
first to the consideration and suspension of the secretary at war, and then to
the revision of the legislature; whereas, by the constitution, neither the
secretary at war, nor any other executive officer, nor even the legislature,
are authorized to sit as a court of errors on the judicial acts or opinions of
this court.'
"'As,
therefore, the business assigned to this court, by the act, is not judicial,
nor directed to be performed judicially, the act can only be considered as
appointing commissioners for the purposes mentioned in it, by official instead
of personal description. That the judges of this court regard themselves as
being the commissioners designated by the act, and therefore, as being at
liberty to accept or decline that office. That as the objects of this act are
exceedingly benevolent, and do real honor to the humanity and justice of
congress; and as the judges desire to manifest, on all proper occasions, and
in every proper manner, their high respect for the national legislature, they
will exe cute this act in the capacity of commissioners.'
"'That as
the legislature have a right to extend the session of this court for any term,
which they may think proper by law to assign, the term of five days, as
directed by this act, ought to be punctually observed. That the judges of this
court will, as usual, during the session thereof, adjourn the court from day
to day, or other short periods, as circumstances may render proper, and that
they will, regularly, between the adjournments, proceed, as commissioners, to
execute the business of this act in the same court room, or chamber.'
"The
circuit court for the district of Pennsylvania (consisting of Wilson and
Blair, Justices, and Peters, District Judge) made the following
representation, in a letter jointly addressed to the president of the United
States, on the 18th of April 1792.
"'To you
it officially belongs to take care that the laws' of the United States 'be
faithfully executed.' Before you, there fore, we think it our duty to lay the
sentiments, which, on a late painful occasion, governed us with regard to an
act passed by the legislature of the Union.
"'The
people of the United States have vested in congress all legislative powers
granted in the constitution. They vested in one supreme court, and in such
inferior courts as the congress shall establish, 'the judicial power of the
United States.' It is worth of remark, that in congress the whole legislative
power of the United States is not vested. Any important part of that power was
exercised by the people themselves, when they 'ordained and established the
constitution.' This constitution is 'the supreme law of the land.' This
supreme law 'all judicial officers of the United States are bound, by oath or
affirmation, to support.'
"'It is a
principle important to freedom, that in government, the judicial should be
distinct from, and independent of, the legislative department. To this
important principle, the people of the United States, in forming their
constitution, have manifested the highest regard. They have placed their
judicial power, not in congress, but in 'courts.' They have ordained that the
'judges of those court shall hold their offices during good behavior,' and
that 'during their continuance in office, their salaries shall not be
diminished.'
"'Congress
have lately passed an act, to regulate, 'the claims to invalid pensions.' Upon
due consideration, we have been unanimously of opinion, that under this act,
the circuit court held for the Pennsylvania district could not proceed.'
"'1st.
Because the business directed by this act is not of a judicial nature. It
forms no part of the power vested by the constitution in the courts of the
United States; the circuit court must, consequently, have proceeded without
constitutional authority. 2d. Because if, upon that business, the court had
proceeded, its judgments (for its opinions are its judgments) might, under the
same act, have been revised and controlled by the legislature, and by an
officer in the executive department. Such revision and control we deemed
radically inconsistent with the independence of that judicial power which is
vested in the courts; and consequently, with that important principle which is
so strictly observed by the constitution of the United States.
"'These,
Sir, are the reasons of our conduct. Be assured that, though it became
necessary, it was far from being pleasant. To be obliged to act contrary
either to the obvious directions of congress, or to a constitutional
principle, in our judgment equally obvious, excited feelings in us, we hope
never to experience again.'
"The
circuit court for the district of North Carolina (consisting of Irdell,
Justice, and Sitgreaves, District Judge) made the following representation, in
a letter jointly addressed to the President of the United States, on the 8th
of June 1792.
"'We, the
judges now attending at the circuit court of the United States for the
district of North Carolina, conceive it our duty to lay before you some
important observations which have occurred to us in the consideration of an
act of congress lately passed, entitled, 'An act to provide for the settlement
of the claims of widows and orphans, barred by the limitations heretofore
established, and to regulate the claims to invalid pensions.'
"'We beg
leave to premise, that it is as much our inclination, as it is our duty, to
receive with all possible respect every act of the legislature, and that we
never can find our selves in a more painful situation, than to be obliged to
object to the execution of any, more especially, to the execution of one
founded on the purest principles of humanity and justice, which the act in
question undoubtedly is. But, however lamentable a difference in opinion
really may be, or with whatever difficulty we may have formed an opinion, we
are under the indispensable necessity of acting according to the best of our
own judgment, after duly weighing every consideration that can occur to us;
which we have done on the present occasion.'
"'The
extreme importance of the case, and our desire of being explicit, beyond the
danger of being misunderstood, will, we hope, justify us in stating our
observations in a systematic manner. We therefore, Sir, submit to you the
following:
"'1. That
the legislative, executive and judicial departments are each formed in a
separate and independent manner; and that the ultimate basis of each is the
constitution only, within the limits of which each department can alone
justify any act of authority.
"'2. That
the legislative, among other important powers, unquestionably possesses that
of establishing courts in such a manner as to their wisdom shall appear best,
limited by the terms of the constitution only; and to whatever extent that
power may be exercised, or however severe the duty may think proper to
require, the judges, when appointed in virtue of any such establishment, owe
implicit and unreserved obedience to it.
"'3. That,
at the same time, such courts cannot be warrant ed, as we conceive, by virtue
of that part of the constitution delegated judicial power, for the exercise of
which any act of the legislature is provided, in exercising (even under the
authority of another) any power not in its nature judicial, or if judicial,
not provided for upon the terms the constitution requires.
"'4. That
whatever doubt may be suggested, whether the power in question is properly of
a judicial nature, yet, inasmuch as the decision of the court is not made
final, but may be at least suspended in its operation, by the secretary at
war, if he shall have cause to suspect imposition or mistake; this subjects
the decision of the court to a mode of revision, which we consider to be
unwarranted by the constitution; for though congress may certainly establish,
in instances not yet provided for, courts of appellate jurisdiction, yet such
courts must consist of judges appointed in the manner the constitution
requires, and holding their offices by no other tenure than that of their good
behavior, by which tenure the office of secretary at war is not held. And we
beg leave to add, with all due deference, that no decision of any court of the
United States can, under any circumstances, in our opinion, agreeable to the
constitution, be liable to a revision, or even suspension, by the legislature
itself, in whom no judicial power of any kind appears to be vested, but the
important one relative to impeachments.
"'These,
Sir, are our reasons for being of opinion, as we are at present, that this
circuit court cannot be justified in the execution of that part of the act,
which requires it to examine and report an opinion on the unfortunate cases of
officers and soldiers disabled in the service of the United States. The part
of the court to sit five days, for the purpose of receiving applications from
such persons, we shall deem it our duty to comply with; for, whether, in our
opinion, such purpose can or can not be answered, it is, as we conceive, our
indispensable duty to keep open any court of which we have the honor to be
judges, as long as congress shall direct.
"'The high
respect we entertain for the legislature, our feelings, as men, for person
whose situation requires the earliest, as well as the most effectual relief,
and our sincere desire to promote, whether officially or otherwise, the just
and benevolent views of congress, so conspicuous on the present as well as on
many other occasions, have induced us to respect, whether we would be
justified in acting, under this act, personally, in the character of
commissioners, during the session of a court; and could we be satisfied that
we had authority to do so, we would cheerfully devote such part of our time as
might be necessary for the performance of the service. But we confess we have
great doubts on this head. The power appears to be given to the court only,
and not to the judges of it; and as the secretary at war has not a discretion,
in all instances, but only in those where he has cause to suspect imposition
or mistake, to withhold a person recommended by the court from being named on
the pension list, it would be necessary for us to be well persuaded we
possessed such an authority, before we exercised a power, which might be a
means of drawing out of the public treasury as affectually as an express
appropriation by law. We do not mean, however, to preclude ourselves from a
very deliberate consideration, whether we can be warranted in executing the
purposes of the act in that manner, in case an application should be made.
"'No
application has yet been made to the court, or to ourselves individually, and
therefore, we have had some doubts as to the propriety of giving an opinion in
a case which has not yet come regularly and judicially before us. None can be
more sensible than we are of the necessity of judges being, in general,
extremely cautious in not intimating an opinion, in any case,
extra-judicially, because we well know how liable the best minds are,
notwithstanding their utmost care, to a bias, which may arise from a
preconceived opinion, even unguardedly, much more, deliberately, given; but in
the present instance, as many unfortunate and meritorious individuals, whom
congress have justly thought proper objects of immediate relief, may suffer
great distress, even by a short delay, and may be utterly ruined, by a long
one, we determined, at all events, to make our sentiments known as early as
possible, considering this as a case which must be deemed an exception to the
general rule, upon every principle of humanity and justice; resolving,
however, that so far as we are concerned, individually, in case an application
should be made, we will most attentively hear it; and if we can be convinced
this opinion is a wrong one, we shall not hesitate to act accordingly, being
so far from the weakness of supposing that there is any reproach in having
committed an error, to which the greatest and best men are sometimes liable,
as we should be, from so low a sense of duty, as we think it would not be the
highest and most deserved reproach that could be bestowed on any men (much
more on judges) that they were capable, from any motive, of preserving against
conviction in apparently maintaining any opinion which they really thought
erroneous.' " Hayburns Case, 2 Dall. (2 U.S.) 409-414 (1792).
Getting
back to U.S. v. Ferriera, Justice Taney reveals a great deal about the
statutory legal principles, in tribunal proceedings, and there can be no doubt
that this kind of statutory jurisdiction exists and has been exercised, or
that it could be shrouded in the disguise of institutions and offices created
originally under Article III of the Constitution. The question remains: Is
there such a jurisdiction where income taxes are concerned? and, Is there any
way of proving it? With what you've already seen, you're already halfway
there; we merely need to link things together a little further.
In 1855,
just four years after U.S. v. Ferriera, the supreme Court of the United States
heard the case of Murray's Lessee et al., v. Hoboken Land and Improvement Co.,
18 How. (59 U.S.) 272, 15 L.Ed. 372. That case arose out of the act of May 15,
1820 (3 Stat. 592). The main question was, whether the issuing, by the
solicitor of the Treasury, of what was denominated in the statute a warrant of
distress, against a defaulting collector of revenue, was in conflict with the
Constitution. The court held the law was valid, and not inconsistent with the
Constitution. The decision was placed mainly on the ground that the ancient
common law of England recognized a summary remedy for the recovery of debts
due to the government, which case cited Martin v. Mott, and U.S. v. Ferriera,
previously discussed, as authority, to explain the relationship a collector of
the revenue bore to the United States government, and the legitimate means by
which the government could collect debts incurred by the collector for revenue
not transferred to the Treasury. Re Meador, Fed. Case No. 9,375, 16 Fed. Cas.
1294, 1299. Don't forget, this case, Murray's Lessee v. Hoboken, was heard
before any income tax was ever imposed by Congress.
Justice
Curtis, for the court, says this about the relationship the collector bears to
the government, or, rather, the jurisdiction that encompasses that
relationship:
"That the
auditing of the accounts of a receiver of public monies may be, in an enlarged
sense, a judicial act, must be admitted. So are all those administrative
duties the performance of which involves an inquiry into the existence of
facts and the application of them torules of law. In this sense the act of the
President in calling out the militia under the act of 1795, 12 Wheat. 19, or
of a commissioner who makes a certificate for the extradition of a criminal,
under a treaty, is judicial. But it is not sufficient to bring such matters
under the judicial power, that they involve the exercise of judgment upon law
and fact. United States v. Ferriera, 13 How. 40. It is necessary to go
further, and show that not only the adjustment of the balances due from
accounting officers may be, but from their nature must be, controversies to
which the United States is a party, within the meaning of the second section
of the third article of the constitution. We do not doubt the power of
congress to provide by law that such a question shall form the subject-matter
of a suit in which the judicial power can be exerted. The act of 1820 makes
such a provision for reviewing the decision of the accounting officers of the
treasury. But, until reviewed, it is final and binding; and the question is,
whether its subject-matter is necessarily, and without regard to the consent
of congress, a judicial controversy. And we are of opinion it is not.
"Among the
legislative powers of Congress are the powers 'to lay and collect taxes,
duties, imposts, and excises; to pay the debts, and provide for the common
defence and welfare of the United States, to raise and support armies; to
provide and maintain a navy, and to make all laws which may be necessary and
proper for carrying into execution those powers.' What officers should be
appointed to collect the revenue thus authorized to be raised, and to disburse
it in payment of the debts of the United States; what duties should be
required of them; when and how, and to whom should they account, and what
security should they furnish, and to what remedies they should be subjected to
enforce the proper discharge of their duties, congress was to determine. In
the exercise of their powers, they have required collector of customs to be
appointed; made it incumbent on them to account, from time to time, with
certain officers of the treasury department, and to furnish sureties, by bond,
for the payment of all balances of the public money which may become due from
them. And by the act of 1820, now in question, they have undertaken to provide
summary means to compel these officers - and in case of their default, their
sureties - to pay such balances of the public money as may be in their hands.
"The power
to collect and disburse revenue, and to make all laws which shall be necessary
and proper for carrying that power into effect, includes all known and
appropriate means of effectually collecting and disbursing that revenue,
unless some such means should be forbidden in some other part of the
constitution. The power has not been exhausted by the receipt of the money by
the collector. Its purpose is to raise money and use it in payment of the
debts of the government; and, whoever may have possession of the public money,
until it is actually disbursed, the power to use those known and appropriate
means to secure its due application continues.
"As we
have already shown, the means provided by the act of 1820 do not differ in
principle from those employed in England from remote antiquity - and in many
of the States, so far as we know without objection - for this purpose, at the
time the constitution was formed. It may be added, that probably there are few
governments which do or can permit their claims for public taxes, either on
the citizen or the officer employed for their collection or disbursement, to
become subjects of judicial controversy, according to the course of the law of
the land. Imperative necessity has forced a distinction between such claims
and all others, which has sometimes been carried out by summary methods of
proceeding, and sometimes by systems of fines and penalties, but always in
some way observed and yielded to.
"It is
true that in England all these proceedings were had in what is denominated the
court of exchequer, in which Lord Cook says, 4 Inst. 115, the barons are the
sovereign auditors of the kingdom. But the barons exercised in person no
judicial power in auditing accounts, and it is necessary to remember that the
exchequer includes two distinct organizations, one of which has charge of the
revenue of the crown, and the other has long been in fact, and now is for all
purposes, one of the judicial courts of the kingdom, whose proceedings are and
have been as distinct, in most respects, from those of the revenue side of the
exchequer, as the proceedings of the circuit court of this district are form
those of the treasury; and it would be an unwarrantable assumption to conclude
that, because the accounts of receivers of revenue were settled in what was
denominated the court of exchequer, they were judicial controversies between
the king and his subjects, according to the ordinary course of the common law
or equity. The fact, as we have already seen, was otherwise.
"It was
strongly urged by the plaintiff's counsel, that though the government might
have the rightful power to provide a summary remedy for the recovery of its
public dues, aside from an exercise of the judicial power, yet it had not done
so in this instance. That it had enabled the debtor to apply to the judicial
power, and having thus brought the subject-matter under its cognizance, it was
not for the government to say that the subject-matter was not within the
judicial power. That if it were not in its nature a judicial controversy,
congress could not make it such, nor give jurisdiction over it to the district
courts. In short, the argument is, that if this were not, in its nature, a
judicial controversy, congress could not have conferred on the district court
power to determine it upon a bill filed by the collector. If it be such a
controversy, then it is subject to the judicial power alone; and the fact that
congress has enabled the district court to pass upon it, is conclusive
evidence that it is a judicial controversy.
"We cannot
admit the correctness of the last position. If we were of opinion that this
subject-matter cannot be the subject of judicial controversy, and that, it
cannot be made a subject of judicial cognizance, the consequence would be,
that the attempt to bring it under the jurisdiction of a court of the United
States would be ineffectual. But the previous proceedings of the executive
department would not necessarily be affected thereby. They might be final,
instead of being the subject of judicial review.
"But the
argument leaves out of view an essential element in the case, and also assumes
something which cannot be admitted.
"It
assumes that the entire subject-matter is or is not, in every mode of
presentation, a judicial controversy, essentially, and in its own nature,
aside from the will of congress to permit it to be so; and it leaves out of
view the fact that the United States is a party.
"It is
necessary to take into view some settled rules.
"Though,
generally, both public and private wrongs are redressed through judicial
action, there are more summary extra judicial remedies for both. An instance
of extra-judicial redress of a private wrong is, the recapture of goods by
their lawful owner; of a public wrong, by a private person, is the abatement
of a public nuisance; and the recover of public dues by a summary process of
distress, issued by some public officer authorized by law, is an instance of
redress of a particular kind of public wrong, by the act of the public through
its authorized agents. There is, however, an important distinction between
these. Though a private person may take his property, or abate a nuisance, he
is directly responsible for his acts to the proper judicial tribunals. His
authority to do these acts depends not merely on the law, sufficient to
constitute that authority; and he may be required, by an action at law, to
prove those facts; but a public agent, who acts pursuant to the command of a
legal precept, can justify his act by the production of such precept. He
cannot be made responsible in a judicial tribunal for obeying the lawful
command of the government; and the government itself, which gave the command,
cannot be sued without its own consent.
"At the
same time there can be no doubt that the mere question, whether the collector
of the custom is indebted to the United States, may be one of judicial
cognizance. It is competent for the United States to sue any of its debtors in
a court of law. It is equally clear that the United States may consent to be
sued, and may yield this consent upon such terms and under such restrictions
as it may think just. Though both the marshall and the government are exempt
from suit, for anything done by the former in obedience to legal process,
still, congress may provide by law, that both, or either, shall, in a
particular class of cases, and under such restrictions as they may think
proper to impose, come into a court of law or equity and abide by its
determination. The United States may thus place the government upon the same
ground which is occupied by private persons who proceed to take extra-judicial
remedies for their wrongs, and they may do so to such extent, and with such
restrictions, as may be thought fit.
"When,
therefore, the act of 1820 enacts, that after the levy of the distress warrant
has been begun, the collector may bring before a district court the question,
whether he is indebted as recited in the warrant, it simply waives privilege
which belongs to the government, and consents to make the legality of its
future proceedings dependent on the judgment of the court; as we have already
stated in case of a private person, every fact upon which the legality of the
extra-judicial remedy depends may be drawn into question by a suit against
him. The United States consents that this fact of indebtedness may be drawn in
question by a suit against them. Though they might have withheld their
consent, we think that, by granting it, nothing which may be a subject of
judicial cognizance is brought before the court.
"To avoid
misconstruction upon so grave a subject, we think it proper to state that we
do not consider congress can either withdraw from judicial cognizance any
matter which, from its nature, is the subject of a suit at the common law, or
in equity, or admiralty; nor, on the other hand, can it bring under the
judicial power a matter which, from its nature, is not a subject for judicial
determination. At the same time there are matters, involving public rights,
which may be presented in such form that the judicial power is capable of
acting on them, and which are susceptible of judicial determination, but which
congress may or may not bring within the cognizance of the courts of the
United States, as it may deem proper. Equitable claims to land by inhabitants
of ceded territories form a striking instance of such a class of cases; and as
it depends upon the will of congress whether a remedy in the courts shall be
allowed at all in such cases, they may regulate it and prescribe such rules of
determination as they may think just and needful. Thus it has been repeatedly
decided in this class of cases, that upon their trial the acts of the
executive officers, done under authority of congress, were conclusive, either
upon particular facts involved in the inquiry or upon the whole title. Foley
v. Harrison, 15 How. 433; Burgess v. Gray, 16 How. 48; -----v. The Minnesota
Mining Company at the present term.
"It is
true, also, that even in a suit between private persons to try a question of
private right, the action of the executive power, upon a matter committed to
its determination by the Constitution and laws, is conclusive. Luther v.
Borden, 7 How. 1; Doe v. Braden, 15 How. 635.
"To apply
these principles to the case before us, we say that, though a suit may be
brought against the marshall for seizing property under such a warrant of
distress, and he may be put to show his justification; yet the action of the
executive power in issuing the warrant, pursuant to the act of 1820, passed
under the powers to collect and disburse the revenue granted by the
constitution, is conclusive evidence of the facts recited in it, and of the
authority to make the levy; that though no suit can be brought against the
United States without the consent of congress, yet congress may consent to
have a suit brought, to try the question whether the collector be indebted,
that being a