Fountain v. New Orleans Public Service, Inc.

Decision Date19 December 1967
Docket NumberNo. 24696.,24696.
Citation387 F.2d 343
PartiesEggerson FOUNTAIN, Nace Fountain and Hosea Fountain, Appellants, v. NEW ORLEANS PUBLIC SERVICE, INC., Appellee.
CourtU.S. Court of Appeals — Fifth Circuit

Charles E. McHale, Edgar K. Corey, New Orleans, La., for appellants.

Charlton B. Ogden, II, W. W. Ogden, Ogden, Woods, Henriques & Rives, New Orleans, La., for appellee.

Before COLEMAN and GOLDBERG, Circuit Judges, and HANNAY, District Judge.

HANNAY, District Judge:

This appeal is from the district court's order of dismissal for want of federal jurisdiction.

Federal jurisdiction is allegedly based upon Title 28, U.S.C.A. Section 1331. The action is by survivors for wrongful death which occurred in the United States Trade Zone in New Orleans, Louisiana. The decedent was then in the employ of a private concern and was electrocuted while assisting in loading tractors on a flatcar.

Appellant argues vigorously but unavailingly for the proposition of general federal jurisdiction in this case.

The creation of Foreign Trade Zones is authorized by Title 19, U.S.C.A. Section 81a et seq. The purpose of Foreign Trade Zones is to expedite and encourage foreign commerce. See the cited case of New York Foreign Trade Zone Operators v. State Liquor Authority, 285 N.Y. 272, 34 N.E.2d 316. The statute effectively permits the storage, exhibition, sale and general dealing respecting foreign commerce without subjecting same to the customs laws of the United States.

The statute authorizes the granting to corporations:

"* * * the privilege of establishing, operating, and maintaining foreign-trade zones in or adjacent to ports of entry under the jurisdiction of the United States." 19 U.S.C.A. § 81b (a)

Certain necessary regulatory powers are conferred on the federal government in the trade zones. 19 U.S.C.A. § 81c. Appellant urges that a port of entry is created by Executive order and is thereby placed under federal jurisdiction; and that New Orleans is a port of entry, citing respectively, Congressional Record, Vol. 78, part 9, pages 9855-9857 and Vol. 78, part 9, page 9856 et seq.

The question is do these and other provisions of the statute coupled with the plenary and exclusive power of the federal government to regulate interstate and foreign commerce, Article 1, Section 8, clause 3, United States Constitution, confer federal jurisdiction over this case under 28 U.S.C.A. § 1331(a) which reads:

"The district courts shall have original jurisdiction of all civil actions wherein the matter in controversy exceeds the sum or value of $10,000, exclusive of interest or costs, and arises under the Constitution, law, or treaties of the United States." (Emphasis added throughout.)

A case arises under the Constitution or law of the United States whenever its correct decision depends upon the construction of either or when the title or rights set up by the party may be defeated or sustained by a particular construction of the Constitution or law. Gully v. First National Bank (1936) 299 U.S. 109, 57 S.Ct. 96, 81 L.Ed. 70; Shelby County, Tennessee v. Fairway Homes, Inc., 6 Cir., 285 F.2d 617.

The statute in question nowhere in terms confers jurisdiction upon U. S. District...

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8 cases
  • U.S. v. 4,432 Mastercases of Cigarettes, 04-55354.
    • United States
    • U.S. Court of Appeals — Ninth Circuit
    • June 2, 2006
    ...straightforward—to facilitate the use of U.S. ports for the transshipment of goods in foreign commerce."); Fountain v. New Orleans Pub. Serv., Inc., 387 F.2d 343, 344 (5th Cir.1967) ("The purpose of [FTZs] is to expedite and encourage foreign commerce . . . without subjecting same to the cu......
  • Southpark Square Ltd. v. City of Jackson, Miss.
    • United States
    • U.S. Court of Appeals — Fifth Circuit
    • December 27, 1977
    ...or rights set up by the party may be defeated or sustained by a particular construction of (either)." Fountain v. New Orleans Public Service, Inc., 387 F.2d 343, 344 (5th Cir. 1967), citing Gully v. First National Bank, 299 U.S. 109, 57 S.Ct. 96, 81 L.Ed. 70 (1936). Southpark alleges that t......
  • Bahr v. State
    • United States
    • Arizona Court of Appeals
    • January 19, 1999
    ...general dealing respecting foreign commerce without subjecting same to the customs laws of the United States. Fountain v. New Orleans Pub. Serv., 387 F.2d 343, 344 (5th Cir.1967). The Act "aim[ed] to foster the dealing in foreign goods that are imported, not for domestic consumption, but fo......
  • Mays v. Kirk
    • United States
    • U.S. Court of Appeals — Fifth Circuit
    • August 20, 1969
    ...another." Gully v. First National Bank, 1936, 299 U.S. 109, 112, 57 S.Ct. 96, 97, 81 L.Ed. 70, 72. See also Fountain v. New Orleans Public Serv., Inc., 5 Cir., 1967, 387 F.2d 343. The same rule applies where a treaty is relied upon. Hidalgo County Water Control & Imp. Dist. No. 7 v. Hedrick......
  • Request a trial to view additional results
1 books & journal articles
  • Colorado Foreign Trade Zones-an Overview
    • United States
    • Colorado Bar Association Colorado Lawyer No. 15-2, February 1986
    • Invalid date
    ...Sinclair Oil Corp. v. Smith, 293 F.Supp 1111 (S.D.N.Y. 1968). 25. Supra, note 17. 26. 174 Misc. 813, 21 N.Y.S.2d 943 (Sup.Ct. 1940). 27. 387 F.2d 343 (5th Cir. 1967). 28. 223 F.Supp. 172 (E.D.N.Y. 1963). 29. 467 F.Supp. 47 (S.D.N.Y. 1979). 30. 267 A.D. 383, 46 N.Y.S.2d 385, 387 (1944). 31. ......

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