Altman Company v. United States

• Decision Date: 13 May 1912
• Docket Number: No. 208,208
• Citation: 32 S.Ct. 593,224 U.S. 583,56 L.Ed. 894
• Parties: B. ALTMAN & COMPANY, Appts., v. UNITED STATES
• Court: U.S. Supreme Court

224 U.S. 583

32 S.Ct. 593

56 L.Ed. 894

B. ALTMAN & COMPANY, Appts.,

v UNITED STATES.

No. 208.

Argued April 25 and 26, 1912.

Decided May 13, 1912.

Messrs. Henry J. Webster, Howard T. Walden, and John K. Maxwell for appellants.

[Argument of Counsel from pages 584-590 intentionally omitted] Assistant Attorney General Wemple, Mr. Charles E. McNabb, Assistant Attorney, and Mr. Frank L. Lawrence, Special Attorney, for appellee.

[Argument of Counsel from pages 590-593 intentionally omitted] Mr. Justice Day delivered the opinion of the court:

This is an appeal from an order of the circuit court of the United States for the southern district of New York, affirming a decision of the board of general appraisers, which sustained an assessment of duty by the collector at the port of New York upon a certain bronze bust imported by the appellants, B. Altman & Company.

The bust was imported from France, and was assessed a duty of 45 per cent ad valorem under paragraph 193 of the tariff act of 1897 (30 Stat. at L. 151, chap. 11, U. S. Comp. Stat. 1901, p. 1626), which covers articles or wares not specially provided for in the act composed wholly or in part of metal, and whether partly or wholly manufactured. A protest was filed by the importers, in which they contended that the bust should be classed as statuary under the commercial reciprocal agreement with France (30 Stat. at L. 1774), which was negotiated under the authority contained in § 3 of the tariff act of 1897 to make reciprocal agreements with reference, among other articles, to 'paintings in oil or water colors, pastels, pen-and-ink drawings, and statuary.' A considerable amount of testimony was taken before the board of general appraisers, and it held that the bust was cast in a foundry by mechanics from a model furnished by the artist, and that the artist did little or no work upon the casting, and overruled the protest, on the authority of C. B. Richard & Co. v. United States, 86 C. C. A. 671, 158 Fed. 1019, and Tiffany v. United States, 18 C. C. A. 297, 38 U. S. App. 29, 71 Fed. 691.

The circuit court affirmed the order and decision of the board of general appraisers on the authority of the same cases, and an appeal was prayed to this court, which was allowed, the circuit judge certifying that the questions involved in the case were, in his opinion, of such importance as to require a review of the decision of the court by the Supreme Court of the United States.

Certain errors were assigned, and the following are insisted upon in this court:

'1. In not holding that the commercial agreement between the United States and France, as proclaimed by the President of the United States (T. D. 19405), was to be in full scope according to its language without being in any way restricted or modified by the definition contained in paragraph 454, § 1, of the tariff act of July 24, 1897, but which definition was not embodied either in the commercial agreement itself or in the President's proclamation thereof.

'2. In not holding that the term 'statuary' as used in § 3 of the tariff act and in said commercial agree- ment with France or the President's proclamation thereof, was not subject to the definition contained in paragraph 454, Schedule N, § 1, of said tariff act.

'3. In not holding the merchandise dutiable at 15 per cent ad valorem under § 3 of the tariff act and the commercial agreement with France and the President's proclamation thereof.

'7. In holding the merchandise dutiable at 45 per cent under paragraph 193 as manufactured metal.

'8. In affirming the decision of the board of general appraisers.

'9. In not reversing the decision of the board of general appraisers and of the collector of the port, and holding the merchandise dutiable at 15 per cent under § 3 and the commercial agreement with France, as proclaimed by the President.'

A motion was made by the Solicitor General to dismiss the appeal. That motion was postponed for hearing with the case upon its merits. To support the motion it is contended on behalf of the United States that no question is involved which, under § 5 of the circuit court of appeals act of March 3, 1891 (26 Stat. at L. 826, 827, 828, chap. 517, U. S. Comp. Stat. 1901, pp. 488, 549), entitles the appellant to a direct appeal from the circuit court to this court. By the circuit court of appeals act that court is given jurisdiction to review appeals in revenue cases, and by the 6th section of the act judgments of that court in such cases are made final.

Prior to June 10, 1890, the right to a review of revenue cases was by appeal to this court from the circuit court. Rev. Stat. § 699. By the act of June 10, 1890 (26 Stat. at L. 131, chap. 407, U. S. Comp. Stat. 1901, p. 1886), special provision was made for the review of revenue cases where the owner, importer, etc., was dissatisfied with the decision of the board of general appraisers. Under § 15 of that act an appeal was given from the decision of the board of general appraisers 'as to the construction of the law and the facts respecting the classi- fication of such merchandise and the rate of duty imposed thereon under such classification . . . to the circuit court of the United States within the district in which the matter arises for a review of the questions of law and fact involved in such decision.' And it was provided that the decision of the circuit court should be final, unless the court should be of the opinion that the question involved was of such importance as to require a review of such decision by the Supreme Court of the United States, in which case an appeal was allowed to this court. It is to be observed that the cases herein referred to are strictly revenue cases, in which the decision concerns the classification of merchandise and the rate of duty imposed thereon under the classification made. This act remained in force until amended by the act of May 27, 1908 (35 Stat. at L. 403, chap. 205), to which we shall have occasion to refer later. In the meantime, on March 3, 1891, the circuit court of appeals act was passed, giving a direct appeal in certain cases to this court. So much of § 5 as is pertinent to this case provides:

'That appeals or writs of error may be taken from the district courts or from the existing circuit courts direct to the Supreme Court in the following cases:

* * * * *

In any case in which the constitutionality of any law of the United States, or the validity or construction of any treaty made under its authority, is drawn in question.'

The circuit court of appeals act did not repeal the revenue act to which we have referred, but broadly provided for direct appeal to this court from the circuit court in any case in which the constitutionality of any law of the United States, or the validity or construction of any treaty, etc., was drawn in question.

We think the cases show that this court, so far as it has had occasion to deal with the question, has permitted direct appeal to this court in all revenue cases where, in addition to the objection to classification of merchandise and rate of duty imposed, a real question under § 5 has been involved.

In Anglo-California Bank v. United States, 175 U. S. 37, 44 L. ed. 64, 20 Sup. Ct. Rep. 19, an attempt was made to take an appeal to this court from a judgment of the circuit court of appeals, affirming the decree of the circuit court, which overruled the decision of the board of general appraisers, and it was held that the appeal would not lie. In the course of the opinion, Mr. Chief Justice Fuller said that, under the act of June 10, 1890, a direct appeal would lie to this court if the circuit court certified that the question involved was of such importance as to require a review of such decision and decree by this court, but the Chief Justice pointed out that the attempted appeal was not an appeal from the circuit court directly to this court, nor did the case fall within any of the classes of cases enumerated in § 5, in which a direct appeal to this court would lie, and, moreover, that the judiciary act of March 3, 1891, prescribed a different rule as to the prosecution of appeals. While the question here made was not directly involved in that case, it is to be fairly inferred that the court would have sustained an appeal had the case been brought from the circuit court within the terms of § 5 and upon one of the grounds there stated.

In the case of Spreckles Sugar Ref. Co. v. McClain, 192 U. S. 397, 48 L. ed. 496, 24 Sup. Ct. Rep. 376, an appeal was allowed from the circuit court of appeals to this court, and, concerning what were revenue cases within the meaning of the circuit court of appeals act, under the 6th section, making that court's judgment final in cases arising under the revenue laws, this court said:

'So far as we now remember, this precise point has not heretofore arisen for our determination. Looking at the purpose and scope of the act of 1891, we are of opinion that the position of the government on this point cannot be sustained. It rests upon an interpretation of the act that is too technical and narrow. The meaning of the words 'arising . . . under the revenue laws,' in the 6th section, is satisfied if they are held as embracing a case strictly arising under laws providing for internal revenues, and which does not, by reason of any question in it, belong also to the class mentioned in the 5th section of that act.'

While the Spreckels...