208 F. 854 | 3rd Cir. | 1913
In the court below Daniel J. Leary, a citizen of the state of New York, brought a bill in equity to enjoin Jersey City, a municipality of the state of New Jersey, from selling certain real estate for defaulted taxes. That court, on final-hearing, in an opinion reported at 189 Fed. 419, found against the plaintiff, and from the decree dismissing his bill Leary appeals.
From the proofs it appears that on April 30, 1881, the state of New Jersey — acting by . its commissioners appointed under the statute of that_ state of March 31, 1869, which act was a supplement to one of April 11, 1864 — by an instrument attached to the bill as “Exhibit 1,” conveyed to ti e Morris & Cumings Dredging Company, a corporation- of New York, the locus in quo, which was submerged littoral land situate in New York Bay and fronting Jersey City. On February 24, 1904, that company assigned to the plaintiff its interest under the said conveyance of the state. On these lands taxes were assessed by the municipal authorities of Jersey City for the years 1883 to 1905, inclusive, and on the legality of such assessments this case turns. Such legality involves in turn several questions, and to them we now address ourselves seriatim.
“All that tract of land under the waters of the Bay of New York in the city of Jersey City in the county of Hudson and state of New Jersey described as follows.”
Moreover, Exhibit No. 2 of plaintiff’s bill shows that he accepted an assignment of the Morris & Cumings Dredging Company wherein the land was again described as “that tract of land under the waters of the bay of New York in the city of Jersey City in the county of Hudson and the state of New Jersey,” and wherein it is recited that a mortgage of $100,000 on said property was recorded in Hudson coun
“Thence down the said Passaic river and Newark Bay, in the several courses thereof, on the boundary' lines between the county of Bergen, as the same stood before the passing of this act, and the counties of Passaic and Essex, to Kill-Van-Kull; thence, eastwardly, on the boundary Une between this state ■and the state of TSeio Yorh, to the Hudson river, thence, northwardly, continuing on the said boundary line between this state and the state of New York, up the said Hudson river to the place of beginning, * * * and said lines shall hereafter be the division lines between the counties of Essex, Passaic, and Bergen, and the state of New York, and the said county of Hudson, respectively.”
Upon the alleged restriction of the township of Greenville to the shore line of the waters of New York Bay by the words “bounded on the southeast by New York Harbor” is based the whole contention of the plaintiff on this territorial question. Addressing ourselves to that question, it should be noted that the subsequent legislation assumes
“Thence southerly along the center of Mill creek its several courses into iYeto York Bay, until it intersects the boundary Une of the state of Neuy York; thence southerly along said boundary line of the state of New York until it intersects the dividing line between the township of Greenville and the city of Bergen,” etc.
But apart from the statutory construction thus placed by the state of New Jersey on its own territorial legislation, we think the words in the township of Greenville act, viz., “bounded on the southeast by New York Harbor,” should not receive the narow construction contended for the plaintiff. To do so is to lose sight of the principle that boundaries by such terms as “sea,” “bay,” “harbor,” “creek” or “river,” includes land below high-water mark as far as the grantor owns. Atty. Gen. v. Delaware R. R., 27 N. J. Eq. 631; Boston v. Richardson, 95 Mass. (13 Allen) 146; Atlantic Dock Co. v. Brooklyn, 1 Abb. Dec. (N. Y.) 24; Rex v. Landulph, 1 Moody & R. N. P. Rep. 393; McCannon v. Sinclair, 2 El. & EL (Q. B.) 53. Moreover, it must not be overlooked that, in the context in which the words “bounded on the southeast by New York Harbor” arc used, we have not before as the precise accuracy involved in a grant by an individual in conveying a specific part of a larger tract of laud, but the general wording of a statute passed with a view to include within some municipal subdivision every part of the state’s sovereignty, a purpose necessitated in order to extend the benefits of government to all its territory. In that regard the court below well said:
“The terms used by a sovereign in such grants are not to be subjected to the strict rule of construction as w.hen it grants title to some of its territory to a private grantee. The legislative purpose sought by such territorial subdivision is to be kept in mind. * * * To admit the contention of complainant under this head, a class of property than which none is more valuable, would escape taxation, not by express legislative exemption — the only way indicated in the city enactments — but by a narrow construction of the word ‘on! in running the harbor boundary. Such a rule of construction is not permissible in view of the state’s policy, clearly indicated by legislation granting title to lands under tide water, requiring the taxation of all property within the state, and subdividing the entire territory of the state into taxing districts, to impose and collect such taxes.”
To this it may be added that the deed under which the plaintiff claims, and which is exhibited as part of the bill, and is the foundation of his property right to invoke jurisdiction in this case, itself shows the assertion and act of the state locates this land in Jersey City, viz.:
“All that tract of land under the waters of the bay of New York in the city of Jersey Oity in the county of Hudson and state of New Jersey.”
Having thus found that the locus in quo is in Jersey City, we turn to the next question, viz., Are the lands in question liable for the taxes claimed ? As to the actual assessment of the taxes the stipulation concedes — ■
“that the taxes in question mentioned in the foregoing bill were originally levied for city, county, state and school purposes in the same manner as such, taxes were levied upon other property in Jersey City.”
But it is contended that the conveyance from the state of New Jersey to the Morris & Cumings Dredging Company, being Exhibit 1, was only a lease of the property; that the state is still the real owner,, and that no taxes can be legally assessed against lands owned by the state, or against the mere leasehold interest of any one holding under such a conveyance as Exhibit 1. The various statutes of New Jersey and the conveyance are fully set forth in the opinion of the court below, and by reference thereto we avoid a repetition that would needlessly lengthen the present discussion. After a thorough examination that court held — ■
“that the estate conveyed is an estate in fee simple, with a condition subsequent, the condition being that, if the annual payments are not made when due, the estate may be defeated, and that the land described in the instrument made by the state of New Jersey to the plaintiff’s grantor is taxable in his hands.”
In such conclusion we concur. Without discussing other New Jersey cases, none of which in our judgment rule the present question, it suffices to say that we find support for the foregoing conclusion in Hudson Tunnel Co. v. Board of Riparian Com’rs, 27 N. J. Eq. 573; Cook v. Bayonne, 80 N. J. Law, 598, 77 Atl. 1048, and Cook v. The Mayor, 80 N. J. Law, 596, 77 Atl. 1048, decided during the pendency of the present case, wherein the Supreme Court of the state held:
“An instrument calling itself a ‘lease,’ made by the Hiparían Commission of this state for lands under water, pursuant to the statutes of 1S69 and 1871 (3 Gen. St. 1895, pp. 2788, 2790), which ‘bargains, sells, leases and conveys’ to the grantee, ‘her heirs and assigns forever,’ with habendum in fee and reservation of annual rental, with right of re-entry and of distress in case of nonpayment expressly reserved, and covenanting for a further conveyance free and discharged of the rent on payment of a stipulated gross sum, is a grant in fee, subject to a rent charge, and the land therein described is taxable in the hands of the grantee.”
“In nearly all the states, probably in all of them, provision is made by law for the correction of errors and irregularities of assessors in the assessment of property for the purposes of taxation. Tills is generally through hoards of revision or equalization, as they are often termed, with sometimes a right of appeal from their decision to the courts of law. * * * To these hoards of revision, by whatever name they may be called, the citizen must apply for relief against excessive and irregular taxation, where the assessing officers had jurisdiction to assess the property. Their action is judicial in its character. They pass judgment on the value of the property upon personal examination and evidence respecting it. Their action being judicial, their judgments in cases within their jurisdiction are not open to collateral attack. If not corrected by some of the modes pointed out by statute, they are conclusive, whatever errors may have been committed in the assessment.”
No allegation is here made that the Commission did not act in accordance with the formal statutory requirements as to notice and procedure. The plaintiff, as we have seen, was represented by counsel at the meetings, and also in court when the report came up for confirmation. The powers committed to the Commission by the act were comprehensive, and authorized them, inter alia—
*862 “to examine into and fix, adjust and determine, as to each, parcel of land, how much of such arrearages and subsequent taxes, assessments or water rates, if any, ought, in the way of tax, assessment or water rate, in f&irness, equity and justice, to be laid, assessed and charged against and actually collected from said land,” etc.
The act also provided:
“That no writ of certiorari shall be allowed to contest or set aside any tax, assessment and lien fixed or determined by the said Commissioners, or to set aside any proceedings under this act to collect the same, unless the party applying for such writ shall give a bond, with approved security, conditioned for the payment of .so much of said tax, assessment and lien as shall be _ ascertained to be justly payable, with interest and costs, nor unless application therefor be made within six months from the confirmation of the said report.”
It would therefore appear that other than the territorial questions which we have here decided, all other questions the plaintiff hei e seeks to raise either were such as he could have raised before the commissioners, or in the courts empowered to confirm and review their action. Of neither of these rights under the law has he availed himself, and with full opportunity to him to produce testimony and to review any adverse finding, we are of the opinion that his rights were not determined without due process of law. He had notice of the proceeding’ and indeed appeared before it to contest its jurisdiction. Having thus had an opportunity to raise before a competent tribunal the administrative questions he now seeks to raise in this court, he cannot justly complain, when this court holds all such administrative questions as to the amount, scope, and lien of the taxes, questions which he could have raised before such tribunal, are settled by its decree, and cannot be attacked collaterally.
After a full consideration of the many phases of the case, we have reached the conclusion that the court below made no error in dismissing the bill. Its decree is therefore affirmed.