661 F.3d 354
8th Cir.2011Background
- Linn Farms owns surface rights to three Van Buren County parcels; Union Pacific owned mineral rights after a merger with Missouri Pacific.
- Missouri Pacific’s address on file was not updated after the merger, so notices were mailed to Fort Worth, Texas, not Omaha, Nebraska.
- The County certified delinquency and the Commissioner sent two notices to Missouri Pacific at the old Fort Worth address; both notices were returned as undeliverable.
- Other Missouri Pacific/Union Pacific notices were sent to the Omaha address for different counties, with internal records showing address updates existed in some files.
- The Commissioner proceeded to sell the mineral rights to Linn Farms; Linn Farms paid the delinquency and received deeds recorded in 2005.
- Linn Farms sued Linn Farms v. Union Pacific and Chesapeake Exploration, seeking to quiet title; the district court granted summary judgment to Union Pacific and Chesapeake, finding the notices inadequate under due process.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the notice to Union Pacific satisfied due process. | Linn Farms argues notice was inadequate because the address was incorrect and no reasonable steps were taken. | Union Pacific/Chesapeake argue Arkansas law complied; due process satisfied if notice reasonably calculated to inform. | Yes, the notices were inadequate under Mullane and Jones. |
| What additional steps were reasonable to provide notice after notices were returned undelivered? | Linn Farms contends several steps could be reasonable; internal inquiry and further outreach. | Union Pacific argues only reasonable steps under Jones should be considered, not open-ended searches. | The Commissioner could have taken reasonable steps (internal inquiry, internet search); failure to do so violated due process. |
| Does compliance with Arkansas notice statute cure due process deficiency? | Even if statute compliance occurred, due process may require more. | Statutory compliance should satisfy notice requirements. | Statutory compliance does not necessarily satisfy due process; notice was still inadequate. |
Key Cases Cited
- Mullane v. Central Hanover Bank & Trust Co., 339 U.S. 306 (U.S. 1950) (due process requires notice reasonably calculated to inform interested parties)
- Jones v. Flowers, 547 U.S. 220 (U.S. 2006) (when notice is returned unclaimed, reasonable steps must be taken to inform the absentee)
- Dusenbery v. United States, 534 U.S. 161 (U.S. 2002) (notice need not be actual, but must be reasonably calculated to provide notice)
- Malone v. Robinson, 614 A.2d 33 (D.C.App. 1992) (cited for due process considerations in tax forfeiture contexts)
- Greene v. Lindsey, 456 U.S. 444 (U.S. 1982) (tolerance of less-than-perfect notice standards in certain contexts)
