# Petition for Writ of Certiorari — John v. United States

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition for Writ of Certiorari
- **Published:** January 1, 2010
- **Citation:** 559 U.S. 1048

## Text

No. 09-
fl) nus

PIle'o
IN THE
Supreme Court of the liter States? * 20

OFFICE OF THE CLERK

ISMAEL JOHN, JACKSON ADING, JAMES GIDEON,
KUNEO JOSEPH, HARRY JACKSON, BOAZ DAVID,
SaM LEVAI, BALIKEN JACKSON, DAVID OBET,
KOSIMA JOHANNES, JINET LANGRUS, EBEL JOSEPH,
GEORGE YOSHITARO, ISAHO LUTHER, BIKENJI PAUL,
NEPTALI PETER, AND MOSES ABRAHAM,

FOR THEMSELVES AND FOR A CLASS CONSISTING OF
THE PEOPLE OF ENEWETAK,

Petitioners,
v.

UNITED STATES,

Respondent.

ON PETITION FOR WRIT OF CERTIORARI TO THE
UNITED STATES COURT OF APPEALS FOR THE
FEDERAL CIRCUIT

PETITION FOR A WRIT OF CERTIORARI

DAVOR PEVEC SETH P. WAXMAN
Bishop Street Tower PAUL R.Q. WOLFSON
700 Bishop Street Counsel of Record
Suite 2100 MICAH S. MYERS
Honolulu, HI 96813 WILMER CUTLER PICKERING
(808) 599-5655 HALE AND DORR LLP
1875 Pennsylvania Ave., NW
Washington, DC 20006
(202) 663-6000 —

CRAIG ESTES

WILMER CUTLER PICKERING
HALE AND DORR LLP

60 State Street

Boston, MA 02109

(617) 526-6000

QUESTIONS PRESENTED

Petitioners represent the people of Enewetak Atoll
in the Marshall Islands, a former trust territory of the
United States. The people of Enewetak were removed
from their homes and deprived of their property for
more than thirty years so that the United States could
conduct atomic-weapons testing there. Petitioners
pursued claims for just compensation in the federal
courts, but their cases were dismissed when the United
States and the Marshall Islands government entered
into an agreement that those claims should be resolved
by an alternate tribunal. That tribunal awarded peti-
tioners more than $385,000,000 in compensation, but
the United States has failed to pay more than a token
amount. Petitioners renewed their efforts to seek just
compensation from the United States in federal court,
but the Federal Circuit ruled that petitioners’ constitu-
tional takings claims were jurisdictionally barred by

the agreement between the U.S. and the Marshall Is-
lands, and that under the political question doctrine the
court could not examine the validity of what it referred
to as that agreement’s “settlement” and “espousal” of
those claims.

The questions presented are:

1. Whether Congress validly barred the courts of
the United States from exercising jurisdiction over pe-
titioners’ constitutional claims for just compensation.

2. Whether, under the political question doctrine,
the court of appeals could not even consider petitioners’
contention that the jurisdictional bar is not valid as a
“settlement” or “espousal” of petitioners’ claims.

TABLE OF CONTENTS

QUESTIONS PRESENTED
TABLE OF AUTHORITIES
OPINIONS BELOW
JURISDICTION

RELEVANT CONSTITUTIONAL PROVI-
SIONS, TREATIES, AND STATUTES

STATEMENT

A. The U.S. Government Removes The
People Of Enewetak From Their Prop-

. The People Of Enewetak Seek Just
Compensation In The Federal Courts ............... 5

. The People Of Enewetak Seek Just
Compensation In The Alternative Tri-

. The People Of Enewetak Return To
The Federal Courts To Seek Just

I. THIS COURT SHOULD GRANT REVIEW TO
MAKE CLEAR THAT CONGRESS MAY NOT
STRIP THE COURTS OF JURISDICTION OVER
CONSTITUTIONAL TAKINGS CLAIMS

A. The Right To Just Compensation May
Not Be Eliminated By Statute

lv

TABLE OF CONTENTS—Continued

B. The Court Of Appeals Could, And
Should, Have Avoided The Constitu-
tional Question Here Through Statu-
tory Construction

Il. THE GOVERNMENT CANNOT AVOID JUDI-
CIAL CONSIDERATION OF PETITIONERS’
CONSTITUTIONAL CLAIMS BY INVOKING
THE POLITICAL QUESTION DOCTRINE OR
LABELS SUCH AS “SETTLEMENT” OR “ES-

A. The Jurisdictional Bar Cannot Be Up-
held As A Waiver Or Settlement Of
Petitioners’ Claims

. The Jurisdictional Bar Is Not Immune
From Judicial Review Under The Po-
litical Question Doctrine

CONCLUSION

APPENDIX A: Opinion of the United States
Court of Appeals for the Federal Circuit
(January 29, 2009)

APPENDIX B: Opinion and Order of the
United States Court of Federal Claims

APPENDIX C: Order of the United States
Court of Appeals for the Federal Circuit.
denying petition for rehearing (May 27,

Vv

TABLE OF CONTENTS—Continued

APPENDIX D: The Compact of Free Associa-
tion Act of 1985, Pub. L. No. 99-239, 99

Ss SE iti cieastcinpateniosoniiicesiinitastiniiaieatdians

APPENDIX E: Agreement Between the Gov-
ernment of the United States and the Gov-
ernment of the Marshall Islands for the
Implementation of Section 177 of the Com-

pact of Free Association. ...............:ceeccccseseeeseeees

APPENDIX F: The Trusteeship Agreement
for the Former Japanese Mandated Is-
lands, 61 Stat. 3301, T.I.A.S. No. 1665

APPENDIX G: Memorandum of Decision and
Order of the Marshall Islands Nuclear
Claims Tribunal (April 13, 2000), with

I ND sicisicccunntsecinccindnsisniatnsniinnmiocensiine

APPENDIX H: Payment order of the Mar-
shall Islands Nuclear Claims Tribunal

i. __. ERE Rrra era renee eae

APPENDIX I: Payment order of the Marshall
Islands Nuclear Claims Tribunal (February
i IEE Uihccrssesdeatacsciiscideniins tbacboiulahaanadadaiaiciaiiseabaipanininn

v1
TABLE OF AUTHORITIES

CASES
Page(s)
Aguilar v. U.S. Immigration & Customs En
forcement Division, 510 F.3d 1 (1st Cir.

Se IS ETRE ST eC a 15
Antolok v. United States, 873 F.2d 369 (D.C.

LER ect Oa a a 20, 29
Arreola-Arreola v. Ashcroft, 383 F.3d 956 (9th

EEE EE AN Oe a 15
Asociacion de Reclamantes v. United Mexican

States, 735 F.2d 1517 (D.C. Cir. 1984) .................00- 24
Atamirzayeva v. United States, 524 F.3d 1320

SI I i scccpudinnineisnnnemeniios 17
Baker v. Carr, 369 U.S. 186 (1962)............cccccscscscscees 27, 28
Baltimore & Ohio Railroad Co. v. United

States, 298 U.S. 349 (1986) ..........ccccscscccssccees 10, 13, 15

Bartlett v. Bowen, 816 F.2d 695 (D.C. Cir. 1987) ....14, 15
Battaglia v. General Motors Corp., 169 F.2d

Sa os sdieusdnmasitisenslesoeniion 15
Boumediene v. Bush, 128 S. Ct. 2229 (2008).................. 27
Califano v. Yamasaki, 442 U.S. 682 (1979) ...............00 18
Chickasaw Nation v. United States, 534 U.S.

a taledadlias 21
City of Rohnert Park v. Harris, 601 F.2d 1040

I eeuainaeatannanniies 23

City of Tacoma v. Taxpayers of Tacoma,
Se Fs Se FOIE ctnesnesecniesseucentienssonen ssldlecenesiadieoaieibae 23

Vil

TABLE OF AUTHORITIES—Continued

Page(s)
Dames & Moore v. Regan, 453 U.S. 654
anal 24, 27, 28
First English Evangelical Lutheran Church v.
Los Angeles County, 482 U.S. 304 (1987) ......... 13, 14
Graham & Foster v. Goodcell, 282 U.S. 409
SETI sccssncdecahieuencinsiekcestoreecianeaiaaidemeshceaipaaieaieetaitlaiaainainheleaats 14
INS v. Chadha, 462 U.S. 919 (1988)............... eae 22, 27
INS v. St. Cyr, 583 U.S. 289 (2001) ....cccccccccssscccsssccccseesees 18
Jacobs v. United States, 290 U.S. 13 (1983)............. 13, 16
Japan Whaling Ass’n v. American Cetacean
OCS, GTS Us Te. TRE CGI cncscnscvcccsncocesesnccccvscevsscsees 29
Johnson v. Rolison, 415 U.S. 361 (1974).................. 14,18
Juda v. United States, 6 Cl. Ct. 441 (1984)......... anaaiaaee 17
Local No. 98, International Ass’n of Firefight-
ers v. City of Cleveland, 478 U.S. 501 (1986).......... 23
Martin v. Wilks, 490 U.S. 755 (1989) ........2..2....2..22.c00ee0-- 22
Medellin v. Texas, 128 S. Ct. 1346 (2008)..................-.2+. 26
Monongahela Navigation Co. v. United States,
ey Ce IIE sitcnicccactsctepideieipnsnianapeabacininnanan 10, 11, 16
New York State Conference of Blue Cross &
Blue Shield Plans v. Travelers Insurance
i, BE erie te CI drcicestenntinsccsncsnnnctscncetentcincictions 19
Nitol v. United States, 7 Cl. Ct. 405 (1985).................... 17

People of Enewetak v. United States, 864 F.2d
BO API iacincesscnsscsseiensuhaisacincnsibaienaissetieadattaniaianinantiagss 5, 7, 20

Vill
TABLE OF AUTHORITIES—Continued

Page(s)

People of Saipan v. Department of Interior,

356 F’. Supp. 645 (D. Haw. 1973)................ | 25
Peter v. United States, 13 Cl. Ct. 691 (1987)...
Peter v. United States, 6 Cl. Ct. 768 (1984)......0.0...000000.... 5
Preseault v. ICC, 494 U.S. 1 (1990)... _ 18

Regional Rail Reorganization Act Cases,

419 U.S. 102 (1974) ........... aaa lace ache cemeniie 18, 20
Reid v. Covert, 354 U.S. 1 (1957) .............00................27, 29
Russian Volunteer Fleet v. United States,

gtk = 5): } Sen ciaiadaiaaiediaeiebitananedeaies 28
Sanchez-Llamas v. Oregon, 548 U.S. 331 (2006)........... 29
Seaboard Air Line Railway Co. v. United

States, 261 U.S. 299 (1923) .......cccccccccccccccccscccceee ae
St. Joseph Stock Yards Co. vy. United States,

Se a aetts UE IT iistrccsetapinsaninadasddetesenencenadunssnniitcnetiesin 16
Taylor v. Sturgell, 128 S. Ct. 2161 (2008).....................4 23
Town of Newton v. Rumery, 480 U.S. 386

fat NSE ee ae One ea een ee 22
United States v. Clarke, 445 U.S. 253 (1980)................. 13
United States v. Pink, 315 U.S. 208 (1942)....000000.... 10, 26
United States v. Williams, 128 S. Ct. 1830

a elealainl 19
Webster v. Doe, 486 U.S. 592 (1988) .....................--00+. a

Weinberger v. Salfi, 422 U.S. 749 (1975) 20.2.0... -eeeeeeee 18

ix

TABLE OF AUTHORITIES—Continued

Page(s)
World Communications Corp. v. Micronesian
Telecommunications Corp., 456 F. Supp.
DES COD, BRR Ba tt etttteststeccsceneconsccesecccccececcee 25
Youngstown Sheet & Tube Co. v. Sawyer,
ED UE. BF Ce ee eiettttaensasteccscecccccecccecceees 28

CONSTITUTIONAL AND STATUTORY PROVISIONS

U2, Coc, SN a ca rceetcccecocecccccccees 1,138
28 U.S.C.
© TG cccccvececeneeseee I ccetscsascctescnccccccceseces l
© Ta iceccessocscensneeeeee EE intaansnensteseccecsceccccccccece 12
© AE vicccncscccessetenieneennnEIEE I aisaintasnscesescececcceresccccces 12
48 U.S.C. 9 AGRE cccccnnseneattettnncedcenscccccscce atanbanes 24
The Compact of Free Association Act of 1985,
Pub. L. No. 99-239, 99 Stat. 1770 (1986)......... passim

INTERNATIONAL AGREEMENTS

The Trusteeship Agreement for the Former
Japanese Mandated Islands, 61 Stat. 3301,
TD LaPAcide BOG, TEE mI aetailienstbenscocedeocesecesescc00e passim

The Agreement Between the Government of
the United States and the Government of
the Marshall Islands for the Implementa-
tion of Section 177 of the Compact of Free
ASBOCHIEION, ccsceccccncsentatnteeetineteercereseerse0ee 6, 8,19

OTHER AUTHORITIES

Henkin, Louis, Foreign Affairs and the Consti-
Destine Che el, Ti iictttiticsnccecencecececcseccecesccese 25

OPINIONS BELOW

The opinion of the United States Court of Federal
Claims (App. 11a) is reported at 77 Fed. Cl. 788. The
opinion of the United States Court of Appeals for the
Federal Circuit (App. 1a) is reported at 554 F.3d 996.

JURISDICTION

The judgment of the court of appeals was entered
on January 29, 2009. A timely petition for rehearing
was denied on May 27, 2009. On July 28, 2009, the Chief
Justice extended the time for filing a petition for a writ
of certiorari to September 24, 2009, and on September
14, 2009, the Chief Justice further extended the time
for filing to October 23, 2009. This Court has jurisdic-
tion under 28 U.S.C. § 1254(1).

RELEVANT CONSTITUTIONAL PROVISIONS,
TREATIES, AND STATUTES

1. The Fifth Amendment to the United States
Yonstitution provides in relevant part: “...nor shall pri-
vate property be taken for public use, without just
compensation.”

2. The following are set forth in the appendix:

a. The Compact of Free Association Act of
1985, Pub. L. No. 99-239, 99 Stat. 1770 (1986) (App.
117a);

b. The Agreement Between the Government
of the United States and the Government of the Mar-
shall Islands for the Implementation of Section 177 of
the Compact of Free Association (App. 261a); and

c. The Trusteeship Agreement for the For-
mer Japanese Mandated Islands, 61 Stat. 3301, T.I.A.S.
No. 1665 (1947) (App. 281a).

2
STATEMENT

This case presents an issue essential to the security
of all property owners: whether the government may
evade the constitutional guarantee of just compensa-
tion for the taking of private property by stripping the
courts of jurisdiction over any claim that it has not pro-
vided just compensation for the taking. In the decision
below, the Federal Circuit ruled that it had been de-
prived of statutory jurisdiction to entertain petitioners’
constitutional claims for just compensation, notwith-
standing this Court’s decisions stressing that the con-
stitutional requirement of just compensation for a tak-
ing is self-executing and that it is for the judiciary to
decide whether compensation for a taking is constitu-
tionally adequate. The Federal Circuit further sug-
gested that petitioners’ constitutional claims were
barred by a “settlement” and refused to examine the
validity of that settlement under the “political ques-
tion” doctrine, even though petitioners themselves
never entered into any such settlement and the only
agreement to dismiss petitioners’ claims was between
the United States government and one of its own terri-
tories. Without this Court’s review, the government
will have effectively insulated itself from the funda-
mental constitutional requirement that it pay just com-
pensation for the taking of property.

A. The U.S. Government Removes The People
Of Enewetak From Their Property

Petitioners are inhabitants of Enewetak Atoll, one
of several atolls and islands making up the Marshall Is-
lands, located in the central Pacific Ocean. Enewetak
Atoll includes 40 islands and encloses a lagoon of
roughly 388 square miles. C.A. App. 79, 86 (4417, 39).

3

The Marshall Islands were occupied by the United
States during World War II. Together with the rest of
Micronesia, in 1947 the Marshall Islands were brought
into the United Nations trusteeship system with the
United States as administering authority. The Trus-
teeship Agreement gave the United States “full powers
of administration, legislation, and jurisdiction” over the
Trust Territory. App. 282a-288a (Art. 3). It also rec-
ognized, in Article 6, that the United States bore fidu-
ciary obligations to the people of the Trust Territory to
“protect the inhabitants against the loss of their land
and resources” and to safeguard their “rights and fun-
damental freedoms.” App. 284a. The Trusteeship
Agreement further recognized the Marshallese as U.S.
nationals, providing that the United States “shall afford
diplomatic and consular protection to inhabitants of the
trust territory when outside the territorial limits of the
trust territory or of the territory of the administering
authority.” App. 287a (Art. 11).

Shortly thereafter, the United States government
identified the Marshall Islands as sites for atomic
weapons testing. In December 1947, the government
removed all of the people of Enewetak from their
homes and transferred them to Ujelang Atoll, the most
isolated of the inhabited atolls in the Marshall Islands.
Despite government assurances that their forced re-
moval would be temporary, the people of Enewetak
spent the next 33 years on Ujelang. During that time,

' The government also removed the inhabitants of the Bikini
Atoll to another island so that it could conduct atomic weapons
tests on Bikini. The residents of Bikini have brought a case similar
to this one, and in the same opinion that disposed of the Enewetak
case, the Federal Circuit disposed of the Bikini case. The Bikini
plaintiffs have filed a separate petition for certiorari.

4

their only contact with the rest of the world was
through infrequent visits from supply ships, and they
suffered (in the words of the Interior Department)
“grave privations, including periods of near starvation.”
C.A. App. 95-98 (§ 163-75); see also App. 329a (decision
of Nuclear Claims Tribunal) (noting that petitioners
had undergone “famine and hunger, near starvation
and death from illness, food shortage and the limita-
tions of the environment on Ujelang (fishing/collecting),
the polio epidemic, the measles epidemic, [and] the rat
infestation”).

Between April 1948 and August 1958, Enewetak
was the site of 48 atomic and hydrogen bomb tests,
which devastated the islands and lagoon, left massive
amounts of radioactive material on them, and contami-
nated much of the Atoll. During the 1960s and 1970s,
Enewetak was also used for missile testing, which scat-
tered toxic beryllium over one of the Atoll’s principal

islands. C.A. App. 98-100 (¢ 76-82).

In 1972, the United States announced that it would
return Enewetak Atoll to its people. In October 1973,
the Atomic Energy Commission published a radiation
survey and proposed a nuclear cleanup operation for
the Atoll. From 1972 to 1977, various federal agencies
engaged in studies and planning for radiological cleanup
and rehabilitation programs. From May 1977 to April
1980, the government attempted to remediate
Enewetak Atoll. C.A. App. 102-103 (¢%89-91). In Oc-
tober 1980, the people of Enewetak were finally per-
mitted to return. C.A. App. 103 (491). Much of the
Atoll, however, remains uninhabitable, and some of it
was completely vaporized by the weapons testing. See
App. 290a.

D

B. The People Of Enewetak Seek Just Compen-
sation In The Federal Courts

In September 1982, the people of Enewetak
brought an action in the Claims Court seeking compen-
sation for the taking of the Atoll and stating claims for
the breach of an implied-in-fact contract. The Claims
Court dismissed the takings claim as time-barred,’ but
declined to dismiss one of the contract claims. See Pe-
ter v. United States, 6 Cl. Ct. 768 (1984).

While that suit was pending, the United States and
the government of the Marshall Islands—over which
the United States at that time retained control as trust
administrator—negotiated a Compact of Free Associa-
tion (“Compact”). The Compact recognized the Repub-
lic of the Marshall Islands (RMI) as self-governing in
some respects, but retained for the United States “full
authority and responsibility for security and defense
matters in or relating to the Marshall Islands.” App.
222a-223a (§ 311(a)). Congress approved the Compact
in a joint resolution (the “Compact Act”) in December
1985, the President signed the Compact Act in January
1986, and the Compact took effect on October 21, 1986.
See Pub. L. No. 99-239, 99 Stat. 1770 (1986); C.A. App.
86 (438); App. 117a-260a.

In Section 177(a) of the Compact, the United States
“accept{ed] the responsibility for compensation owing
to citizens of the Marshali Islands ... for loss or damage

? The people of Enewetak appealed the Claims Court’s con-
clusion that this claim was untimely. Separate Brief of Appellants,
People of Enewetak v. United States, No. 88-1208 (Fed. Cir. Apr.
15, 1988). The Federal Circuit affirmed the Claims Court on other
grounds, and did not address the question of timeliness. People of
Enewetak v. United States, 864 F 2d 134, 136 n.4 (Fed. Cir. 1988).

6

to property and person ... resulting from the nuclear
testing program.” 99 Stat. 1812, App. 204a. Section
177(b) provided for the United States and the Marshall
Islands government to enter into a separate agreement
(the “Section 177 Agreement”) for several purposes,
including the “just and adequate settlement” of all
“claims which have arisen in regard to the Marshall Is-
lands and its citizens and which have not as yet been
compensated or which in the future may arise.” I/d.

The “Section 177 Agreement” between the United
States and the Marshall Islands government termi-
nated all jurisdiction in United States courts over the
Marshall Islanders’ claims based on nuclear testing and
channeled all such claims to an alternative tribunal, the
Nuclear Claims Tribunal (NCT). The NCT was em-
powered to “render final determination upon all claims
... which are based on, arise out of, or are in any way
related to the Nuclear Testing Program,” including
claims for injury, death, and damage to property. App.
271a (Art. IV, § 1(a)). The Section 177 Agreement des-
ignated $45.75 million for “whole or partial payment” of
NCT awards. App. 267a (Art. II, § 6(c)).

Article X of the Section 177 Agreement, titled “Es-
pousal,” provided that the Agreement “constitutes the
full settlement of all claims, past, present and future, of
the Government, citizens and nationals of the Marshall
Islands which are based upon, arise out of, or are in any
way related to the Nuclear Testing Program ... includ-
ing any of those claims which may be pending or which
may be filed in any court or other judicial or adminis-
trative forum, including the courts of the Marshall Is-
lands and the courts of the United States and its politi-
cal subdivisions.” App. 276a-277a. Article XII, titled
“United States Courts,” provides that “{a]ll claims de-
scribed in Articles X and XI of this Agreement shall be

7

terminated. No court of the United States shall have
jurisdiction to entertain such claims, and any such
claims pending in the courts of the United States shall
be dismissed.” App. 278a. Section 103(g)(1) of the
Compact Act contains similar provisions, see 99 Stat.
1782, App. 144a (“any such claims shall be terminated
and barred except insofar as provided for in the Section
177 Agreement”), and Congress expressly “ratified and
approved” the Section 177 Agreement in Section
103(g)(2) of the Compact Act, 99 Stat. 1782, App. 144a.’

In light of the Compact, the Compact Act, and the
Section 177 Agreement, the Claims Court determined
that Congress had withdrawn its jurisdiction over the
Enewetak people’s claims, but left open the possibility
that they could return to court to challenge the ade-
quacy of the compensation received through the NCT
process. Peter v. United States, 13 Cl. Ct. 691, 692
(1987). The Federal Circuit affirmed the dismissal of
the Enewetak claims solely on the ground that the Sec-
tion 177 Agreement withdrew all federal court jurisdic-
tion over those claims and channeled them into the al-
ternative tribunal. People of Enewetak v. United
States, 864 F.2d 134, 136 (Fed. Cir. 1988). The Federal
Circuit concluded that “appellants’ attack on the ‘ade-
quacy’ of the alternative procedure provided by Con-
gress for compensation of their claims was premature”
and that it was “unpersuaded that judicial intervention
is appropriate at this time on the mere speculation that
the alternative remedy may prove to be inadequate.”
Id. (emphases added).

> Section 175 of the Compact also states that the Section 177
Agreement “shall have the force of law.” 99 Stat. 1812, App. 203a.

8

C. The People Of Enewetak Seek Just Compen-
sation In The Alternative Tribunal

In 1990, the people of Enewetak filed a claim in the
NCT, as provided for by the Section 177 Agreement.
C.A. App. 111 (4122). Over ten years later, the NCT
issued a final decision awarding $385,894,500, of which
$244 million was for the past and future loss of
Enewetak Atoll, $107.81 million was for restoration
costs for a radiological cleanup of the Atoll, and
$34,084,500 was for hardships suffered as a result of the
forced relocation to Ujelang. C.A. App. 113-118 (44128-
146). The award included an offset for prior compensa-
tion paid by the United States. C.A. App. 116 (4141).

In 2002 and 2003, the NCT paid the people of
Enewetak a total of $1,647,483. That amount repre-
sents less than 1% of their actual award. The NCT has
not made a payment since February 2003, and has ex-
hausted the $45.75 million earmarked in the Section 177

Agreement. C.A. App. 119 (44148-151). In January
2003, former Attorney General Richard Thornburgh
prepared a report on the NCT in which he concluded
that “the $150 million trust fund initially established in
1986 is manifestly inadequate to fairly compensate the
inhabitants of the Marshall Islands.” C.A. App. 120
(44 152-154).

Article 1X of the Section 177 Agreement provides
that the Marshall Islands government may petition
Congress for additional funds for the NCT based on
changed circumstances. App. 276a. The Marshall Is-
lands government presented a “changed circum-
stances” petition to Congress in September 2000, seek-
ing additional funds principally based on new radiation
standards adopted by the United States that lowered
the recommended level of exposure. C.A. App. 120-124

9

(47155-164). In January 2005, the State Department
recommended rejection of the petition. Congress has
taken no action to date. C.A. App. 125 (44 166-168).

D. The People Of Enewetak Return To The Fed-
eral Courts To Seek Just Compensation

In light of Congress’s manifest failure to provide
the residents of Enewetak with just compensation for
their property, petitioners filed suit in the Court of
Federal Claims in 2006. Two counts of the complaint
seek to revive the original claims for the taking of
Enewetak and for breach of implied contract that were
brought in 1982 but were dismissed on the assumption
(which proved illusory) that Congress had created an
adequate alternate tribunal. Two other counts seek
just compensation for the taking of those original tak-
ing and contract claims, based on the fact that Congress
diverted those claims into the NCT process but then
failed to provide adequate funding for the NCT award.‘
The Court of Federal Claims dismissed all of the counts
on various grounds. App. 77a-96a.

The Federal Circuit affirmed the dismissal The
panel concluded that Congress had deprived it of juris
diction to entertain the Enewetak people’s claims, in-
cluding their takings claims, despite Congress’s mani-
fest failure to provide more than token funding for
those claims. The court also held that the Section 177

* A fifth count, based on the taking of Enewetak, similarly al
leges that the NCT process into which the underlying claims were
diverted failed to provide constitutionally adequate compensation,
and a sixth seeks damages for breach of fiduciary duties created by
an implied-in-fact contract for just compensation established in the
Compact Act and its related agreements.

10

Agreement constituted an unreviewable “settlement”
of petitioners’ claims related to nuclear testing in the
Marshall Islands, even though petitioners were not
party to any such settlement. App. 7a, 9a.

In concluding that it lacked statutory jurisdiction
to hear petitioners’ claims, the court found controlling
and unambiguous language in the Section 177 Agree
ment directing that “[n]jo court of the United States
shall have jurisdiction to entertain such claims” (relat-
ing to the atomic testing programs). App. 6a-8a. Even
though this Court has stressed that the constitutional
guarantee of just compensation is self-executing and
that Congress may not set arbitrarily low ceilings on
the amount of compensation due for such takings, see
Baltimore & Ohio R.R. Co. v. United States, 298 U.S.
349, 368 (1936); Monongahela Nav. Co. v. United
States, 148 U.S. 312, 327 (1898), the Federal Circuit still
found that its jurisdiction over petitioners’ takings
claims had been withdrawn, and it declined to construe
the Section 177 Agreement in a manner that would
have avoided the constitutional question raised by such
aruling. App. 8a.

The Federal Circuit also noted that “this case in-
volves a settlement negotiated between the United
States and the Government of the Marshall Islands.”
App. 9a. Although petitioners are not parties to any
settlement of their claims against the United States,
the court stated that “(t]he power to conduct foreign
relations includes ... the authority to enter into an in-
ternational claims settlement on behalf of nationals.”
Id. (citing United States v. Pink, 315 U.S. 203 (1942)).
The court also referred to the “settlement” of petition-
ers’ claims as an “espousal” of those claims (between
the U.S. and Marshall Islands governments) and ruled
that “the validity of that espousal ... raises a political

11

question beyond the power of this or any court to con-
sider.” /d. (again citing Pink). The court reached that
conclusion even though, when the Marshall Islands
government entered into the Section 177 Agreement
with the United States, it was not a foreign sovereign
but remained under the control of the United States.
Finally, the court remarked that, although “its sense of
justice, of course, makes it difficult to turn away from a
case of constitutional dimension,” nonetheless “this
court cannot act without jurisdiction,” and “this court
cannot hear, let alone, remedy a wrong that is not
within its power to adjudicate.” I/d.

REASONS FOR GRANTING THE PETITION

More than 100 years ago, this Court remarked that
“in any society the fullness and sufficiency of the secu-
rities which surround the individual in the use and en-
joyment of his property constitute one of the most cer-

tain tests of the character and value of the govern-
ment.” Monongahela Nav. Co. v. United States, 148
U.S. 312, 324 (1893). This case demonstrates the endur-
ing wisdom of that observation. Petitioners, deprived
completely of the use and enjoyment of their ancestral
lands for more than 30 years, have sought only the just
compensation for that taking to which the Fifth
Amendment entitles them. The government has re-
sponded by providing only token payment for petition
ers’ property— less than one percent of its true value—
and has precluded petitioners from seeking any judicial
remedy for the remainder.

The Federal Circuit’s decision—that Congress may
bar the courts from entertaining constitutional claims
for just compensation—cannot be correct. At a mini-
mum, that decision raises grave constitutional ques-
tions fundamental to the protection of property rights,

12

which could and should have been avoided through
statutory construction. The Federal Circuit’s decision
is all the more important because that court has exclu-
sive jurisdiction over appeals from decisions of the
Court of Federal Claims, see 28 U.S.C. § 1295(a)(3),
which in turn has exclusive jurisdiction under the
Tucker Act over virtually all claims that the United
States has taken property without just compensation,
see id. § 1491(a)(1). Absent review by this Court, the
Federal Circuit’s conclusion that Congress can by stat-
ute bar judicial consideration of a constitutional just
compensation claim will effectively be the last word.

The court of appeals’ decision is no less problematic
because it concluded that the jurisdictional bar was
based on a “settlement” or “espousal,” the validity of
which it declined to examine as a “political question.”
That reasoning itself raises serious constitutional con
cerns and warrants this Court’s review. Petitioners
never signed any settlement with the United States;
the only relevant agreement was one between the
United States government and an entity then under its
control, the Marshall Islands government. To rule, as
the Federal Circuit did, that the validity of this sup-
posed “espousal” is nonjusticiable is to hold, in effect,
that the United States government may insulate itself
from constitutional claims by negotiating with its own
dependency. This Court’s review is warranted to make
clear that the Fifth Amendment’s command of just
compensation may not be evaded in this manner.

13

I THis COURT SHOULD GRANT REVIEW TO MAKE CLEAR
THAT CONGRESS MAY Nor STRIP THE Courts OF Ju-
RISDICTION OVER CONSTITUTIONAL TAKINGS CLAIMS

A. The Right To Just Compensation May Not Be
Eliminated By Statute

The Constitution requires the United States to pay
just compensation whenever it takes private property
for public use. U.S. Const. amend. V (*...nor shall pri-
vate property be taken for public use, without just
compensation”). This Court has never suggested that
the government may avoid that constitutional com-
mand by refusing to pay the full amount of just com-
pensation due and barring the courts from enforcing its
obligation to do so. To the contrary, this Court has
made clear that “(t]he just compensation clause may
not be evaded or impaired by any form of legislation.”
Baltimore & Ohio R.R Co. v. United States, 298 U.S.
349, 368 (1936) (emphasis added).

This Court has repeatedly stressed that the mght
to just compensation arises from the Constitution itself.
That mght requires no additional statutory enactment
and admits no possibility of statutory nullification.
“Just compensation is provided for by the Constitution
and the nght to it cannot be taken away by statute.”
Seaboard Air Line Ry. Co. v. United States, 261 U.S.
299, 304 (1923). It is not even necessary for the gov-
ernment to waive sovereign immunity for the courts to
entertain just compensation claims, for it has long been
recognized that the constitutional requirement of just
compensation is “self-executing.” See First English
Evangelical Lutheran Church v. Los Angeles County,
482 U.S. 304, 315 (1987); United States v. Clarke, 445
U.S. 253, 257 (1980); see also Jacobs v. United States,
290 U.S. 13, 16 (1933) (“Statutory recognition was not

14

necessary. A promise to pay was not necessary. Such a
promise was implied because of the duty to pay im-
posed by the Amendment.”). “{I}t is the Constitution
that dictates the remedy for interference with property
rights amounting to a taking.” First English, 482 U.S.
at 315 n.9.

Just as Congress may not eliminate the protections
of the Just Compensation Clause directly, it may not do
so indirectly by jurisdiction-stripping. The government
may not cloak itself with immunity for its unconstitu-
tional actions by barring judicial review of that conduct.
This Court has frequently recognized this principle
when it has cautioned against any reading of a statute
that would deprive the courts of authority over consti-
tutional claims. See, e.g., Webster v. Doe, 486 U.S. 592,
603 (1988); Johnson v. Robison, 415 U.S. 361, 373-374
(1974); see also Graham & Foster v. Goodcell, 282 U.S.
409, 431 (1931) (stressing that, if “Congress did not
have the authority” to reach a particular substantive
result, “it could not be concluded that the Congress
could accomplish the same result by denying to the
taxpayers all remedy”).

Other courts of appeals have recognized that the
government may not insulate its unconstitutional con
duct through jurisdictional bars. “In considering the
constitutional issue, it is important to recall that, in the
entire history of the United States, the Supreme Court
has never once held that Congress may foreclose all ju
dicial review of the constitutionality of a congressional
enactment.” Bartlett v. Bowen, 816 F.2d 695, 104 (D.C.
Cir. 1987). Thus, when presented with that very ques
tion, the D.C. Circuit had “little doubt that such a limi-
tation on the jurisdiction of both state and federal
courts to review the constitutionality of federal legisla
tion ... would be [an] unconstitutional infringement of

15

due process.” Jd. at 703 (internal quotation marks omit-
ted; alterations in original).

Similarly, the First Circuit has observed that,
while Congress has “the power to regulate the jurisdic-
tion of the lower federal courts ... and the Supreme
Court has not found constitutional difficulties in con-
gressional abrogation of certain remedies as long as
others are left intact .... Congress probably cannot nul-
lify rights guaranteed in the Constitution by prohibit-
ing all remedies for the violation of those rights.” Aguzi-
lar v. Immigration & Customs Enforcement Div., 510
F.3d 1, 17-18 (1st Cir. 2007) (emphasis added). And the
Second Circuit has stressed that “the exercise of Con-
gress of its control over jurisdiction is subject to com
pliance with at least the requirements of the Fifth
Amendment. That is to say, while Congress has the
undoubted power to give, withhold, and restrict the ju-
risdiction of courts other than the Supreme Court, it
must not so exercise that power as to deprive any per
son of life, liberty or property without due process of
law or to take private property without just compensa-
tion.” Battaglia v. General Motors Corp., 169 F.2d 254,
257 (2d Cir. 1948); see also Arreola-Arreola v. Ashcroft,
383 F.3d 956, 963 (9th Cir. 2004), overruled on other
grounds by Morales-Izquierdo v. Gonzales, 486 F.3d
484, 497 (9th Cir. 2007) (en banc).

This Court has also long made clear that, “when [a
property owner] appropriately invokes the just com-
pensation clause, he is entitled to a judicial determina-
tion of the amount.” Baltimore & Ohto R.R. Co., 298
U.S. at 368 (emphasis added). Although Congress may
require claimants to pursue their claims for just com
pensation in the first instance before an alternate tri
bunal, property owners have the right, under the Con-
stitution, to seek a judicial remedy should the compen

16

sation awarded by that tribunal be inadequate. Thus,
this Court has long insisted that Congress may not fix
the amount that a property owner will receive in com-
pensation and has reserved that determination for the
courts. “The constitution has declared that just com-
pensation shall be paid, and the ascertainment of that is
a judicial inquiry.” Monongahela Nav. Co., 148 U.S. at
327; see also St. Joseph Stock Yards Co. v. United
States, 298 U.S. 38, 51-52 (1936).

Under these settled principles, the federal courts
were obligated to take jurisdiction over petitioners’
claims. The United States government took petition-
ers’ property, and they were entitled to just compensa
tion for it. Although Congress formally acknowledged
the responsibility of the United States to compensate
petitioners for the taking of their property, see pp. 5-6,
supra, and although Congress set up an alternate tri-
bunal in which petitioners might present their claims
for compensation, the government has refused to make
any provision for payment of that tribunal’s award be-
yond a token amount. The government’s refusal to pay
compensation to petitioners, combined with its decision
to bar the courts of the United States to petitioners,
surely constitutes a violation of the Fifth Amendment
no less than the government’s refusal to pay interest on
a compensation award, see Jacobs, 290 U.S. at 17, or its
refusal to pay for one of the sticks in the bundle of
rights that it has taken, see Monongahela Nav. Co., 148
U.S. at 328-329 (right to collect tolls).’

> The government argued in the Federal Circuit that peti
tioners could not invoke the Just Compensation Clause because
this case supposedly involves foreign-owned property located out
side the United States. Gov’t C.A. Br. 51-58. The court of appeals

17

B. The Court Of Appeals Could, And Should,
Have Avoided The Constitutional Question
Here Through Statutory Construction

The court of appeals’ decision that Congress per-
missibly closed the courts to petitioners’ constitutional
takings claims is all the more unfortunate because the
Federal Circuit could easily have avoided such a ruling.

did not address that contention, which is clearly wrong. First,
several petitioners have U.S. citizenship. Second, the people of
Enewetak were U.S. nationals when they were removed from
their property in 1947, when they first presented their federal
claims for the taking of their property, and when the Section 177
Agreement terminated their takings claims pending in the U.S.
courts in 1986. Enewetak was under US. jurisdiction at all of
those times. At a minimum, therefore, petitioners have a substan-
tial connection to the United States that allows them to invoke the
Just Compensation Clause—as the Claims Court previously held.
See Juda v. United States, 6 CL Ct. 441, 458 (1984); see also Nitol
v. United States, 7 Cl. Ct. 405, 415 (1985) (citing Juda and noting
that “[i}t was there concluded that the just compensation clause of
the Fifth Amendment would extend to include a taking that re
sulted from the United States nuclear testing program in the Mar
shall Islands.”), cf. Atamirzayeva v. United States, 524 F.3d 1320,
1328-1329 (Fed. Cir. 2008) (“In Juda and Nitol, the court found
that the plaintiffs were covered by the just compensation clause ...
based on the ‘unique relationship’ between the United States and
the Trust Territory Government and the relationship between the
United States and the plaintiffs.”). Third, at the very outset of the
trusteeship period, the United States acknowledged its obligation
to extend constitutional rights. See Memorandum for the Presi
dent, David E.. Lilienthal (Nov. 25, 1947), C_A. App. 143-144 (“To
insure that the United States meets fully its international obliga-
tions under the Charter of the United Nations and in connection
with the Trusteeship Agreement ... special provisions will be made
for local inhabitants as follows: 1. They will be accorded all rights
which are the normal constitutional rights of citizens under the
Constitution, but will be dealt with as wards of the United States
for whom this country has special responsibilities.”).

18

This Court has repeatedly made clear that interpreta-
tions that call into question the constitutionality of an
Act of Congress are to be avoided if at all possible. “[I]}f
a construction of the statute is fairly possible by which
[a serious doubt of constitutionality] may be avoided, a
court should adopt that construction.” Califano v. Ya-
masaki, 442 U.S. 682, 693 (1979).

That principle of avoiding constitutional questions
has particular force when the jurisdiction of the federal
courts is at stake. See INS v. St. Cyr, 583 U.S. 289, 299-
300 (2001). Even when interpreting statutes with
seemingly sweeping limitations on jurisdiction, this
Court has adopted interpretations preserving jurisdic-
tion over constitutional questions. See Weinberger v.
Salfi, 422 U.S. 479, 762 (1975); Johnson v. Robison, 415
U.S. at 366-367. And specifically in the context of the
Just Compensation Clause, the Court has stressed that
congressional enactiuents should not be interpreted as
barring a claimant’s judicial remedy whenever a read-
ing preserving that remedy is possible. See Preseault
v. ICC, 494 U.S. 1, 11-17 (1990); Regional Rail Reor-
ganization Act Cases, 419 U.S. 102, 133-136 (1974).

Had the court of appeals heeded these principles, it
readily could have avoided a reading of the Section 177
Agreement that precludes jurisdiction over petitioners’
claims. Although the court of appeals dismissed con-
cerns about constitutional avoidance by insisting that
“Itjhe language of the Section 177 Agreement presents
no ambiguities whatsoever” (App. 8a), in fact, the statu-
tory language at issue here is no more clear-cut than
language that has elsewhere been found not to deprive
federal courts of jurisdiction over constitutional claims.
Article XII of the Section 177 Agreement provides that
“{ajll claims described in Articles X and XI of this
Agreement shall be terminated,” and that “(n]Jo court of

19

the United States shall have jurisdiction to entertain
any such claims{.}” App. 278a (emphasis added). Arti-
cle X, in turn, refers to all claims “which are based
upon, arise out of, or are in any way related to the Nu-
clear Testing Program.” App. 276a.

Several of petitioners’ claims, however, do not
“arise out of,” and are not “based on” or “related to,”
the Nuclear Testing Program itself.° Rather, they
arise from the government’s failure to provide ade-
quate funding to pay the NCT’s award to petitioners—
an award made after petitioners in good faith invoked
the alternate remedy provided by Congress, presented
their case to that tribunal, and received a decision that
they were entitled to compensation for the decades-
long loss of their property. Petitioners’ claims based on
the nuclear testing program were presented to and de-
cided by the NCT, which determined that those were
valid, compensable claims. What petitioners seek now
in Counts III, IV, and V of their complaint is not com-
pensation for the government’s taking of their land
during the nuclear testing program, but compensation
for the government’s taking of their claims, decades
after the nuclear testing program ended, when the gov-
ernment closed the federal courts to those claims and
refused to pay the NCT’s award.

® “Related to” is broad terminology, but it is not unlimited.
See N.Y. State Conf. of Blue Cross & Blue Shield Plans v. Travel-
ers Ins. Co., 514 U.S. 645, 655 (1995). That is especially true
where, as here, it is used in conjunction with two other, narrower
terms (“based on” and “arising out of”) and thus presumably was
intended to share their characteristics. See, e.g., United States v.
Williams, 128 S. Ct. 1830, 1839-1840 (2008).

20

This case thus resembles the Regional Rail Reor-
ganization Cases, where the Court considered whether
two sets of provisions in the Regional Rail Reorganiza-
tion Act (“Rail Act”) took the property of certain rail-
roads’ creditors and, if so, whether they were entitled
to seek compensation in the Court of Claims under the
Tucker Act for any constitutional deficiency in the
compensation they received through a special process
set up under the Rail Act. The Court concluded that
the Rail Act did not deprive the creditors of an ultimate
Tucker Act remedy, in significant part because “(tJhere
are clearly grave doubts whether the Rail Act would be
constitutional if a Tucker Act remedy were not avail-
able as compensation for any unconstitutional erosion
not compensated under the Act itself.” 419 U.S. at 134;
see also id. at 149.

Moreover, two circuits—including the Federal Cir-
cuit itself—previously indicated that the language at

issue here would allow the people of Enewetak and oth-
ers similarly situated to return to the federal courts to
challenge the adequacy of the compensation received
through the alternative process. See People of
Enewetak, 864 F.2d at 136; Antolok v. United States,
873 F.2d 369, 378 (D.C. Cir. 1989) (“If there is an un-
compensated or inadequately compensated taking, then
plaintiffs’ remedy is in the Claims Court.”).

The court of appeals’ reading also places the Sec-
tion 177 Agreement in conflict with itself. Section 177
of the Compact—the very provision that the Section
177 Agreement is designed to implement—not only un-
ambiguously assigns responsibility for the loss or dam-

21

age to property to the United States government,’ but
explicitly states that the purpose of the Section 177
Agreement is to provide for “the just and adequate set-
tlement of all such claims which have arisen.” Compact
§ 177(b), App. 204a. The interpretation of Article XII
adopted by the court of appeals thus undermines the
central purpose of Section 177. The court should have
rejected an interpretation of an agreement that is ir-
reconcilable with the congressional purpose behind it.
See Chickasaw Nation v. United States, 534 U.S. 84, 94
(2001).

Il. THE GOVERNMENT CANNOT AVOID JUDICIAL CONSID-
ERATION OF PETITIONERS’ CONSTITUTIONAL CLAIMS
By INVOKING THE POLITICAL QUESTION DOCTRINE OR
LABELS SUCH AS “SETTLEMENT” OR “ESPOUSAL”

There is some indication in the Federal Circuit’s
decision that it viewed the Section 177 Agreement as
comprising not just a jurisdictional bar but also a
“waiver” or “settlement” of petitioners’ claims. See
App. 8a (stating that the Section 177 agreement
“represents not only the United States’ removal of its
consent to be sued in the courts over these claims but
also the claimants’ waiver of their right to sue over
these claims in any U.S. court.”). The court of appeals
also relied on the fact that Article X of the Section 177
Agreement labeled the bar to petitioners’ claims an
“espousal.” See App. 9a. The court declined to question
the “validity of that espousal” under the political ques-
tion doctrine. Id.

7 “The Government of the United States accepts the respon-
sibility for compensation owing to citizens of the Marshall Islands
... for loss or damage to property and person of the citizens of the
Marshall Islands.” Compact § 177(a), App. 2042.

22

This reasoning cannot justify a bar to judicial con-
sideration of petitioners’ current claims. Petitioners
were not parties to the settlement supposedly reflected
in the Section 177 Agreement, and to read that Agree-
ment as precluding petitioners from pursuing their just
compensation claims now would be contrary to the
“deep-rooted historic tradition that everyone should
have his own day in court.” Martin v. Wilks, 490 U.S.
755, 761 (1989) (internal quotation marks omitted).
Moreover, the government cannot avoid the coustitu-
tional questions raised by the jurisdictional bar to peti-
tioners’ constitutional claims by placing the label of
“espousal” on that bar and declaring it immune from
scrutiny under the political question doctrine. “No pol-
icy underlying the political question doctrine suggests
that Congress or the Executive, or both acting in con-
cert and in compliance with Art. I, can decide the con-
stitutionality of a statute; that is a decision for the
courts.” INS v. Chadha, 462 U.S. 919, 941-942 (1983).
To hold otherwise, as the court of appeals did, is to rule
that the U.S. government may permanently insulate
itself from constitutional claims by negotiating a set-
tlement of such claims with another government, even
if it is the government of one of its own territories, and
even if the U.S. government never intends to honor
that settlement.

A. The Jurisdictional Bar Cannot Be Upheld As
A Waiver Or Settlement Of Petitioners’
Claims

There is no question that parties can compromise
their constitutional claims in litigation, see Town of
Newton v. Rumery, 480 U.S. 386 (1987), but that is not
what happened in this case. Rather, at a time when it
was under the control of the United States government

23

and seeking independence, the Marshall Islands gov-
ernment agreed with the United States government to
bar United States courts from hearing those claims.
This abrogation of petitioners’ claims, in an agreement
between the U.S. government and an entity under its
control and supervision, does not solve the constitu-
tional problems in this case; if anything, it exacerbates
them.

First, the notion that petitioners’ takings claims
could be waived or settled by someone other than
themselves, especially a governmental entity, is highly
doubtful. “[{PJarties who choose to resolve litigation
through settlement may not dispose of the claims of a
third party[./’ Local No. 93, Int'l Ass’n of Firefighters
v. City of Cleveland, 478 U.S. 501, 529 (1986); cf. Taylor
v. Sturgell, 128 S. Ct. 2161 (2008) (rejecting “virtual
representation” theory of preclusion). Although some
cases have suggested that a governmental entity liti-
gating in a parens patriae capacity can dispose of “the
common public rights” of its citizens, see City of Ta-
coma v. Taxpayers of Tacoma, 357 U.S. 320, 340-341
(1958) (emphasis added), no decision of this Court sug-
gests that a government may negotiate away personal,
individual rights to seek redress in the courts of the
United States for constitutional violations.

Second, even if in some circumstances a govern-
mental entity covid “waive” its citizens’ constitutional
claims, the position of the Marshall Islands government
at the time of the Section 177 Agreement makes it im-
possible to conclude that such a “waiver” here could be
valid. Only sovereign entities may prosecute civil liti-
gation in a parens patriae capacity that would be bind-
ing on their citizens. See City of Rohnert Park v. Har-
ris, 601 F.2d 1040, 1044 (9th Cir. 1979). The Marshall
Islands government was not sovereign when it pur-

24

portedly negotiated away the rights of the residents of
Enewetak. Although the Marshall Islands at that time
had been granted a modicum of self-government, it re-
mained under the control of the United States govern-
ment as part of the Trust Territory of the Pacific Is-
lands, for which “all executive, legislative, and judicial
authority” was vested in “such agency or agencies as
the President of the United States may direct or au-
thorize.” 48 U.S.C. § 1681(a). Given these circum-
stances, the jurisdictional bar to petitioners’ constitu-
tional claims erected by the Section 177 Agreement be-
tween the United States and Marshall Islands govern-
ments cannot be upheld under the transparent fiction
that petitioners ever agreed to settle their claims
against the United States.

B. The Jurisdictional Bar Is Not Immune From
Judicial Review Under The Political Question
Doctrine

The court of appeals also stated that the political
question doctrine barred it from considering the valid-
ity of the preclusion of petitioners’ constitutional
claims. App. 9a. In so concluding, the court noted that
Article X of the Section 177 Agreement refers to the
jurisdictional bar as an “espousal.”* Id. The court also

® it is doubtful that the concept of espousal has any relevance
here. Espousal is a concept of inter-sovereign relations in interna-
tional law. It is the mechanism by which one sovereign state exer-
cises its right of diplomatic protection of its nationals by asserting
(and in some cases settling) “the private claims of its nationals
against another sovereign.” Asociacion de Reclamantes v. United
Mezican States, 735 F.2d 1517, 1523 (D.C. Cir. 1984); see also
Dames & Moore v. Regan, 453 U.S. 654, 679 (1981) (“International
agreements settling claims by nationals of one state against the
government of another ‘are established international practice re-

25

stated that “[t]he power to conduct foreign relations
includes the power to recognize a foreign sovereign and
the authority to enter into an international claims set-
tlement on behalf of nationals.” Jd.

That statement is unexceptionable by its terms, but
it has no bearing on this case. Petitioners are not chal-
lenging the United States government’s recognition of
the Republic of the Marshall Islands. Nor does this
case involve a situation in which the United States ar-
ranged for the disposition of claims that its citizens
were pursuing against a foreign sovereign. Rather, in
this case, petitioners are challenging the United States
government’s attempt to dispose of constitutional
claims that had been brought against it—and that had
been brought against it by people who were nationals of
the United States.

flecting traditional international theory.” (quoting Louis Henkin,
Foreign Affairs and the Constitution 262 (1st ed. 1972)) (emphasis
added)). When the Section 177 Agreement was negotiated, the
Marshall Islands’ relation to the United States was not that of a
foreign sovereign. See, e.g., People of Satpan v. Department of
Interior, 356 F.. Supp. 645, 653, 655 (D. Haw. 1973) (Article 3 of the
Trusteeship Agreement allows the United States “in practical ef-
fect the exercise of full sovereign power.”), aff'd, 502 F_2d 90 (9th
Cir. 1974); World Communications Corp. v. Micronesian Tele-
communications Corp., 456 F. Supp. 1122, 1123-1124 (D. Haw.

1978) (holding that Trust Territory of the Pacific Islands was not a
foreign state for purposes of diversity jurisdiction statute).
Rather, the Marshall Islands remained under the control of the
United States, although with limited rights of self-government.
Indeed, the Trusteeship Agreement recognized the Marshallese as
U.S. nationals at this time, providing in Article 11 that the United
States “shall afford diplomatic and consular protection to inhabi-
tants of the trust territory when outside the territorial limits of
the trust territory or of the territory of the administering author-
ity.” App. 287a.

26

For those reasons, United States v. Pink, 315 U.S.
203 (1942), on which the court of appeals relied, is inap-
posite. Pink involved a claims-settlement agreement
between the United States and the Soviet Union in
which the U.S. was seeking to protect its claims and the
claims of U.S. nationals “against Russia or its nation-
als.” Id. at 227 (emphasis added); see also Medellin v.
Texas, 128 S. Ct. 1346, 1371 (2008) (noting that Pink
“involve[d] a narrow set of circumstances: the making
of executive agreements to settle civil claims between
American citizens and foreign governments or foreign
nationals”). Moreover, the U.S. government’s recog-
nition of the Soviet Union was directly relevant be-
cause that recognition retroactively validated the So-
viet Union’s nationalization of property, from which the
United States’ own claims derived. See Pink, 315 U.S.
at 223. No Fifth Amendment problem arose in Pink
because the private claimants opposed to the United
States’ assertion of ownership over a Russian com-
pany’s U.S. property pursuant to an assignment from
the Soviet government had no Fifth Amendment rights
in the property they were claiming. They were merely
foreign creditors of the Russian company whose claims
did not arise from the transactions of its New York
branch. The effect of the United States’ acceptance of
the Soviet government’s nationalization and assign-
ment was merely to permit the use of the Russian com-
pany’s U.S. property to satisfy American claims against
Russia for other nationalizations, leaving the foreign
creditors of the Russian company to seek satisfaction
by other means. See id. at 226-228; id. at 228 (“[TThe
Federal Government is not barred by the Fifth Amend-
ment from securing for itself and our nationals priority
against such creditors.”).

27

The question in this case, by contrast, is whether
the United States government may bar its courts from
reviewing the constitutionality of its own actions by se-
curing the agreement of another government (here, the
Marshall Islands) to that bar. Whatever the answer is,
that question is surely a legal one and not a “political”
one.’ “Courts cannot reject as “no law suit” a bona fide
controversy as to whether some action denominated
“political” exceeds constitutional authority.” Chadha,
462 U.S. at 943 (quoting Baker v. Carr, 369 U.S. 186,
217 (1962)). This is particularly true in the context of
the Fifth Amendment’s guarantee of just compensa-
tion, which, this Court has held, is ultimately a matter
for judicial, not political, enforcement. See pp. 15-16,
supra.

This Court has never suggested that constitutional
claims against the United States for just compensation
in the wake of a claims-settlement agreement would be
nonjusticiable. To the contrary, in Dames & Moore v.
Regan, 453 U.S. 654 (1981), where the petitioner ar-
gued that the President’s suspension of claims against
Iran in U.S. courts constituted a taking requiring just
compensation, the Court did not even intimate that

. Moreover, the answer is clearly “no.” This Court has made
clear that the political Branches cannot use international agree-
ments to render the Constitution inapplicable where it would oth-
erwise apply. See Boumediene v. Bush, 128 S. Ct. 2229, 2258-2259
(2008). “[N]o agreement with a foreign nation can confer power on
the Congress, or on any other branch of Government, which is free
from the restraints of the Constitution.” Reid v. Covert, 354 U.S.
1, 16 (1957). The takings context is no different; indeed, as dis-
cussed above, the Fifth Amendment mandates that claimants have
the opportunity to challenge in federal court the adequacy of the
compensation received for a taking.

28

such takings claims would be barred by the political
question doctrine, but rather stated that “we see no ju-
risdictional obstacle to an appropriate action in the
United States Court of Claims under the Tucker Act.”
Id. at 687-688; see also id. at 691 (Powell, J., concurring
in part and dissenting in part) (“The Government must
pay just compensation when it furthers the nation’s
foreign policy goals by using as bargaining chips claims
lawfully held by a relatively few persons subject to the
jurisdiction of our courts.”). Moreover, the Court ad-
dressed on the merits the petitioner’s attempt to enjoin
the President from implementing a portion of the Al-
giers Accords that required dissolution of attachments
obtained against Iranian assets, and that forced the pe-
titioner to pursue compensation for claims against [ran
before a claims-settlement tribunal. See id. at 668-688.
Dames & Moore thus makes clear that the political
question doctrine presents no obstacle to the resolution
of the constitutional claims presented here.

That the political question doctrine poses no obsta-
cle follows, not just from the Fifth Amendment’s com-
mitment of just compensation issues to judicial resolu-
tion, but also from the limited scope of the political
question doctrine itself. Not “every case or contro-
versy which touches on foreign relations lies beyond
judicial cognizance.” Baker, 369 U.S. at 211. Indeed,
even in circumstances touching far more directly on the
political Branches’ authority to conduct foreign and
military affairs, the Court has not found a political
question impediment to the adjudication of constitu-
tional questions associated with governmental attempts
to appropriate property. See Youngstown Sheet &
Tube Co. v. Sawyer, 343 U.S. 579 (1952); see also Rus-
sian Volunteer Fleet v. United States, 282 U.S. 481
(1931). The fact that this case involves an agreement

29

between the U.S. government and the government of
the Marshall Islands does not render the constitutional
issues in this case immune from judicial consideration.
Not only was the Marshall Islands a U.S. Trust Terri-
tory when the Compact and Section 177 Agreement
were negotiated, but courts frequently determine the
meaning and legal effect of treaties and other interna-
tional agreements. See, e.g., Sanchez-Llamas v. Ore-
gon, 548 U.S. 331, 353-354 (2006) (determining the
meaning of treaties as a matter of federal law is a judi-
cial responsibility); Japan Whaling Ass’n v. American
Cetacean Soc’y, 478 U.S. 221, 230 (1986) (“{TJhe courts
have the authority to construe treaties and executive
agreements.”); Reid v. Covert, 354 U.S. 1 (1957) (assess-
ing constitutionality of trials of civilians before courts-
martial conducted pursuant to international agree-
ments with Great Britain and Japan)."°

Regardless of the terminology used to describe the
agreement between the governments of the United
States and the Marshall Islands in which the latter

'O The political question doctrine is inapplicable here for a fur-
ther reason: Congress clearly contemplated that courts would
scrutinize the “espousal” provision in Article X when considering
whether the Section 177 Agreement validly extinguished petition-
ers’ claims. Section 103(g)2) of the Compact Act makes clear that
the espousal in Article X and the withdrawal of jurisdiction in Ar-
ticle XII of the Section 177 Agreement stand or fall together. See
99 Stat. 1782, App. 144a (“the jurisdictional limitations set forth in
Article XII [of the Section 177 Agreement] are not to be construed
or implemented separately from Article X”); see also Antolok, 873
F 2d at 387-390 (Wald, CJ., concurring). By inviting courts to ad-
dress the issue, Congress indicated that the issue is amenable to
judicial resolution, and that it did not view judicial resolution of
the issue as an encroachment on the authority of the political
Branches.

30

government acquiesced in the United States’ jurisdic
tion-stripping, the legal effect of that agreement is gov-
erned by the Fifth Amendment, which the federal
courts have the power to interpret and enforce.
Whether the Compact and the Section 177 Agreement
can defeat petitioners’ right to a judicial determination
of just compensation—or whether, by contrast, the
Fifth Amendment prohibits the United States from de-
nying an ultimate judicial determination regardless of
whatever non-party may have consented to the de-
nial—is at base a question about what the Fifth
Amendment guarantees. This is the type of question
that the Constitution commits to the courts for resolu-
tion, and the Federal Circuit erred in refusing to ad-
dress it.

CONCLUSION

The petition for a writ of certiorari should be
granted.

DAVOR PEVEC
Bishop Street Tower
700 Bishop Street
Suite 2100

Honolulu, HI 96813
(808) 599-5655

OCTOBER 2009

3]

Respectfully submitted.

SETH P. WAXMAN

PAUL R.Q. WOLFSON
Counsel of Record

MICAH S. MYERS

WILMER CUTLER PICKERING
HALE AND DORR LLP

1875 Pennsylvania Ave., NW

Washington, DC 20006

(202) 663-6000

CRAIG ESTES

WILMER CUTLER PICKERING
HALE AND DORR LLP

60 State Street

Boston, MA 02109

(617) 526-6000

APPENDIX

la

APPENDIX A

UNITED STATES COURT OF APPEALS
FOR THE FEDERAL CIRCUIT

Nos. 2007-5175, 2007-5176

THE PEOPLE OF BIKINI, BY AND THROUGH THE
KILI/BIKINI/EJIT LOCAL AND GOVERNMENT COUNCIL,
Plaintiff-Appellant,

Vv.

UNITED STATES,
Defendant-Appellee.

ISMAEL JOHN, JACKSON ADING, JAMES GIDEON, KUNIO
JOSEPH, HARRY JACKSON, BOAZ DAVID, SAM LEVAI,
BALIKEN JACKSON, DAVID OBET, KOSIMA JOHANNES,
JINET LANGRUS, EBELJOSEPH, GEORGE YOSHITARO,

ISAHO LUTHER, BIKENJI PAUL, NEPTALI PETER, AND
MOSES ABRAHAM, FOR THEMSELVES AND FOR A CLASS
CONSISTING OF THE PEOPLE OF ENEWETAK,
Plaintiffs-Appellants,

Vv.

UNITED STATES,
Defendant-Appellee.

January 29, 2009

[554 F.3d 996]

+ * aa

[997]
Before LOURIE, RADER, PROST, Circuit Judges.

RADER, Circuit Judge.

The people and descendants of the Bikini and
Enewetak Atolls seek just compensation for the taking
of their land and their legal claim by the United States
government. The Nuclear Claims Tribunal has
awarded, but not completely funded, compensation for
the Atolls’ inhabitants due to bomb testing in the 1940s
and 1950s. Because the parties clearly and unambigu-
ously agreed to extinguish any judicial jurisdiction over
the claims presented in these appeals, this court affirms
the United States Court of Federal Claims’ dismissal of
these complaints.

i

The Court of Federal Claims sets forth the back-
ground of this dispute in great detail. See People of Bi-
kini v. United States, T7 Fed. Cl. 744 (2007); John v.
United States, T7 Fed. Cl. 788 (2007). Accordingly, this
opinion will only discuss those facts necessary for these

appeals. The Bikini and Enewetak Atolls are two of
twenty-nine atolls and five islands comprising the Mar-
shall Islands. In December 1947, the United States se-
lected these Pacific Ocean atolls as sites for the Nuclear
Testing Program. The United States removed the in-
habitants of these islands from their homes. Many
refugees suffered deprivations in their new conditions.
Meantime the weapons testing programs devastated
the islands and lagoon, scattering massive amounts of
radioactive material.

The Plaintiffs-Appellants represent the people and
descendants of the Bikini and Enewetak Atolls. In the
early 1980s, both groups filed claims in the United
States Court of Claims. The Plaintiffs sought just com-
pensation for the Fifth Amendment taking of their land
and damages for the United States’ breach of its fiduci-

3a

ary duties. During this litigation, the governments of
the United States and the Marshall Islands reached a
settlement agreement to compensate the refugees and
victims. The United States presented this Compact of
Free Association to Con-{998]gress in 1984. The Com-
pact of Free Association Act of 1985 (the Compact Act)
became law on January 14, 1986. Pub. L. No. 99-239, 99
Stat. 1770 (1986). Section 177(a) of the Compact Act
sets forth the United States’ acceptance of responsibil-
ity for the damage to property and persons resulting
from the Nuclear Testing Program. Section 177(b)
provides for the settlement of all claims past, present
and future that are based upon, arise out of, or are in
any way related to the Nuclear Testing Program. The
United States and the Government of the Marshall Is-
lands entered into a further agreement to implement
Section 177 of the Compact Act—the Section 177
Agreement—on October 21, 1986. The Compact Act
specifically references and incorporates the provisions
of the Section 177 Agreement into the Compact Act.
Compact Act, § 103(g). In view of the Compact Act and
the Section 177 Agreement, the successor to the Court
of Claims, the United States Claims Court, held that
the United States’ consent to be sued under the Tucker
Act had been withdrawn with respect to the pending
takings claims and dismissed. Juda v. United States, 13
Cl. Ct. 667 (1987).

The Section 177 Agreement created a Nuclear
Claims Tribunal to render final determination upon all
“past, present and future” claims related to the Nuclear
Testing Program. Congress committed $150 million to
initiate a trust fund to support the Tribunal’s opera-
tions and awards. Section 177 Agreement, Art. I, § 1.
Congress designated $45.75 million of that amount for
the payment of awards. Jd. at Art. II, § 6(c). Even

4a

from its inception, many critics recognized that the Tri-
bunal fund would not satisfy all of the claims.

On August 3, 2000, the Tribunal awarded the Plain-
tiffs-Appellants, the People of Enewetak, $385,894,500,
including $244,000,000 for past and future loss of
Enewetak Atoll, $107,810,000 for restoration costs and
radiation cleanup, and $34,084,500 for hardships suf-
fered during the relocation from the atoll. In February
2002 and 2003, the Tribunal paid only $1,078,750 and
$568,733 on those awards—less than 1% of their total
award.

In March 2001, the Tribunal awarded the Plaintiffs-
Appellants, the People of Bikini, $563,315,500 in com-
pensation, including $278,000,000 for the past and fu-
ture loss of their land. Due to inadequate funding,
however, the Tribunal paid only $1,491,809 in 2002, rec-
ognizing that the fund is “insufficient to make more
than a token payment.” The fund made a second pay-
ment of $787,370.40 in 2003, approximately 0.4% of the
total award. As of October 2006 only $1 million re-
mained in the Tribunal fund.

Article IX of the Section 177 Agreement provides
an avenue for seeking additional funding from Con-
gress. A “Changed Circumstances” petition can be
submitted to Congress if “such injuries render the pro-
visions of this Agreement manifestly inadequate.” Sec-
tion 177 Agreement, Art. IX. Article [X goes on to say
that it “does not commit the Congress of the United
States to authorize and appropriate funds.” Jd. The
Government of the Marshall Islands submitted a
Changed Circumstances petition to Congress request-
ing additional funding in 2000. To date, Congress has
not acted on that petition.

5a

In 2006, the Plaintiffs-Appellants brought suit in
the United States Court of Federal Claims seeking just
compensation for deprivation of property rights under
the Fifth Amendment. The Plaintiffs based their tak-
ings claims on inadequate funding of the Tribunal’s
award programs (claims-based taking) and the depriva-
tion of their land during the testing (land-based taking).
Before the United States Court of Federal Claims, the
Appellants also as-(999]serted various contract and im-
plied contract theories.

The Court of Federal Claims granted the Govern-
ment’s motion to dismiss primarily because the Section
177 Agreement deprives any court of the United States
of jurisdiction over these claims. The trial court also
observed that nonjusticiable political questions, ripe-
ness doctrines, statute of limitations bars, collateral es-
toppel bars, and other deficiencies in the claim pre-
vented any grant of relief. The Appellants timely ap-
pealed to this court. On appeal, this court received only
the land-based and claims-based taking claims.

IT.

This court reviews the dismissal of a complaint
pursuant to Rules 12(b)(1) and 12(b)(6) of the Rules of
the Court of Federal Claims without deference. See
Adams v. United States, 391 F.3d 1212, 1218 (Fed. Cir.
2004); Shearin v. United States, 992 F.2d 1195, 1195
(Fed. Cir. 19938).

The Section 177 Agreement states: “This Agree-
ment constitutes the full settlement of all claims, past,
present and future, of the Government, citizens and na-
tionals of the Marshall Islands which are based upon,
arise out of, or are in any way related to the Nuclear
Testing Program ....” Section 177 Agreement, Art. X

6a

(emphasis added). This enacted Agreement has the
force of law. Compact Act, § 175.

Addressing the “United States Courts,” Article
XII of the settlement agreement instructs, “All claims
described in Articles X and XI of this Agreement shall
be terminated. No court of the United States shall have
jurisdiction to entertain such claims, and any such
claims pending in the courts of the United States shall
be dismissed.” Section 177 Agreement, Art. XII (em-
phasis added). Article XII thus represents the parties’
agreement to extinguish any judicial power to hear
these claims.

This court proceeds from the vantage point that
constitutional rights and “wrongs,” if at all possible, de-
serve a forum for hearing and relief in the U.S. judicial
system. At the same time, this court acknowledges
that its first obligation is to ensure that it has power
and authority to hear a claim, even a constitutional
claim, in the first place. See Ex parte McCardle, 74
U.S. 506, 512 (1868) (“The first question necessarily is
that of jurisdiction.”).

To be specific, the United States Constitution di-
vides power between the legislative, executive, and ju-
dicial branches. Judicial power is vested in one Su-
preme Court and “in such inferior Courts as the Con-
gress may from time to time ordain and establish.”
U.S. Const. art. 3, § 1. By “ordain,” the Constitution
meant to give the legislature the power to set the ju-
risdiction and the limits of judicial authority for the “in-
ferior Courts.” In addition, the legislative authority to
establish the inferior courts includes the power to limit
their jurisdiction and powers. Because Congress “or-
dain[s] and establish[es]’ all courts under the Supreme
Court, the legislative authority includes the power to

Ta

set their jurisdiction. And just as Congress can grant
jurisdiction, Congress can take it away. See Ex parte
McCardle, 74 U.S. at 514 (“Without jurisdiction the
court cannot proceed at all in any cause. Jurisdiction is
power to declare the law, and when it ceases to exist,
the only function remaining to the court is that of an-
nouncing the fact and dismissing the cause.”). Thus,
before proceeding to hear any claim, even a constitu-
tional claim, this court must ensure that it has jurisdic-
tion to act.

The Section 177 Agreement is a settlement agree-
ment. By its own terms, it [1000] constitutes “the full
settlement of all claims, past, present and future, of the
Government, citizens and nationals of the Marshall Is-
lands which are based upon, arise out of, or are in any
way related to the Nuclear Testing Program.” Section
177 Agreement, Art. X,§ 1. As part of the agreement,
the Government of the United States committed $150
million to the fund, setting aside $45.75 million for the
payment of monetary awards rendered by the newly
created Nuclear Claims Tribunal.

On appeal, the parties do not contest the amount
awarded by the Nuclear Claims Tribunal. Rather they
seek enforcement of the award—in spite of the Claims
Tribunal’s award of amounts beyond the funding limits
of the settlement agreement. Moreover the parties
contemplated the prospect of inadequate funding for
full compensation when entering into the Section 177
Agreement. In the event that “such injuries render the
provisions of this Agreement manifestly inadequate,”
Article [IX provides an avenue for submitting a changed
circumstances petition to Congress.

The “Changed Circumstances” provision acknowl-
edges that “this Article does not commit the Congress

8a

of the United States to authorize and appropriate
funds.” Section 177 Agreement, Art. IX. The parties
expressly agreed to this procedure and in doing so
trusted the U.S. Congress to weigh and evaluate and
act upon any changed circumstances. Thus, the settle-
ment agreement entrusted the funding remedy to a
procedure outside the reach of judicial remedy.

Indeed on that point, the language of the settle-
ment agreement is clear: “All claims described in Arti-
cles X and XI of this Agreement shall be terminated.
No court of the United States shall have jurisdiction to
entertain such claims, and any such claims pending in
the courts of the United States shall be dismissed.”
Section 177 Agreement, Art. XII (emphasis added).
This statement represents not only the United States’
removal of its consent to be sued in the courts over
these claims but also the claimants’ waiver of their
right to sue over these claims in any U.S. court. Thus,
this court has no authority in this matter, except to
dismiss for lack-of jurisdiction.

This case does not present any statutory ambigui-
ties about the jurisdiction or, actually, the absence of
jurisdiction to entertain the Bikini and Enewetak tak-
ing claims. This court notes that, in Blanchette, the Su-
preme Court refused to resolve ambiguities in the stat-
ute about Tucker Act jurisdiction to avoid encountering
“grave doubts” about the constitutionality of the Rail
Act itself. Blanchette v. Connecticut Gen. Ins. Corps.,
419 U.S. 102, 134 (1974). This court does not need to
engage in any caution due to ambiguities. The lan-
guage of the Section 177 Agreement presents no ambi-
guities whatsoever. Therefore, this court does not need
to follow the careful course of the Blanchette case.

9a

Moreover, unlike the Blanchette case, this case in-
volves a settlement negotiated between the United
States and the Government of the Marshall Islands.
The power to conduct foreign relations includes the
power to recognize a foreign sovereign and the author-
ity to enter into an international claims settlement on
behalf of nationals. See United States v. Pink, 315 U.S.
203, 229-30 (1942). The Plaintiffs-Appellants, the Peo-
ple of Enewetak, challenge the validity of that espousal.
However, that challenge raises a political question be-
yond the power of this or any court to consider. Jd. at
229 (“What government is to be regarded here as rep-
resentative of a foreign sovereign state is a political
rath-{1001]er than a judicial question, and is to be de-
termined by the political department of the govern-
ment.” (quoting Guaranty Trust Co. v. United States,
304 U.S. 126, 137, (1938))).

This court observes that its sense of justice, of
course, makes it difficult to turn away from a case of
constitutional dimension. However, the same sense of
justice recognizes that this court cannot act without ju-
risdiction. In sum, this court cannot hear, let alone
remedy, a wrong that is not within its power to adjudi-
cate. The sweeping language of the Section 177
Agreement withdraws jurisdiction of the U.S. courts.
Thus, this court affirms the United States Court of
Federal Claims’ dismissal of these complaints.

AFFIRMED

lla
APPENDIX B

UNITED STATES COURT OF FEDERAL CLAIMS

No. 06-289L

ISMAEL JOHN, et al., FOR THEMSELVES AND FOR A
CLASS CONSISTING OF THE PEOPLE OF ENEWETAK,
Plaintiffs,

Vv.

UNITED STATES,
Defendant-Appellee.

Filed August 2, 2007

(77 Fed. Cl. 788]

OPINION AND ORDER
MILLER, Judge.

This case, a resurrection of proceedings before the
court in the late 1980s, is before the court after argu-
ment on defendant's dispositive motion. Following the
filing of plaintiffs’ amended complaint on August 10,
2006, defendant moved to dismiss pursuant to RCFC
12(bX{1) and 12(b)(6). The instant case, along with its
companion, People of Bikini v. United States, No. 06-
288C (Fed. Cl. filed Apr. 11, 2006),’ puts before the
court the nature of the legal responsibility undertaken
by the United States for the post-World War II testing

' The opinion in the companion case also is issued this date.

12a

of thermonuclear bombs on the island homelands of
plaintiffs. This program obliterated or compromised
the land and caused the relocation of the islands’ inhabi-
tants, who have sought redress in political, judicial, and
special-purpose fora over the last sixty years. Argu-
ment has been held, and two rounds of supplemental
briefing have been completed.”

BACKGROUND

Plaintiffs include seventeen persons with land
rights on Enewetak who were members of the
Enewetak community during their initial evacuation by
the United States in December 1947. Pursuant to
RCFC 23, plaintiffs bring this suit in the United States
Claims Court, now the United States Court [792] of
Federal Claims, on their own behalf and on behalf of a
class that

consists of all living persons who were mem-
bers of the Enewetak community at the time of
the 1947 evacuation of Enewetak Atoll, all liv-
ing descendants of those members, and all
other persons who by traditional law and cus-
tom are recognized as members of the
Enewetak people.... There are currently more
than 2000 members of the Enewetak people.

Am. Compl. filed Aug. 10, 2006, { 14. Plaintiffs include
a Senator for the people of Enewetak; the Mayor of the
people of Enewetak; members of the
Enewetak/Ujelang Council; and the Iroji, or chiefs, of
the ri-Enewetak; and the ri-Enjebi.

. By order entered on March 28, 2007, this case and Bikini
were consolidated for purposes of argument only.

l3a

Plaintiffs plead six counts against the United
States for occupation and use of portions of Enewetak
Atoll. Plaintiffs allege: (1) a temporary taking of
Enewetak Atoll by the United States between Decem-
ber 1947 and October 1980 and of select portions within
Enewetak from October 1980 through the next twenty
to fifty years (“Count I”); (2) breach of an implied-in-
fact contract formed by the conduct of the United
States, which constituted “a commitment to care for
[plaintiffs’] physical, economic, educational, cultural,
and other needs until it returned their atoll in substan-
tially the condition in which it had received it or paid
compensation for any significant changes,” Am. Compl.
41 192 (“Count IT”); (3) a taking of plaintiffs’ taking claim
for the use and occupation of Enewetak Atoll by the
United States in failing to fund the Nuclear Claims Tri-
bunal so as to deny just compensation (“Count ITT”); (4)
an unlawful taking of plaintiffs’ property interest mani-
fested in their implied-in-fact contract claim for failure
to provide for adequate funding of the Nuclear Claims
Tribunal (“Count IV”); (5) a taking of Enewetak Atoll
through the formation of the Compact of Free Associa-
tion in 1986 (“Count V”); and (6) a breach of implied-in-
fact contract fiduciary duties through formation of the
Compact of Free Association (“Count VI”).

FACTS

Judge Kenneth R. Harkins presided over these
cases during the 1980s. He labored on them conscien-
tiously and painstakingly for years. The undersigned, a
new and young judge at the time, witnessed his dedi-
cated efforts. The United States Court of Appeals for
the Federal Circuit acknowledged the thoroughness of
Judge Harkins’s opinions. Judge Harkins fully ad-
dressed the factual backdrop of this case; the Federal

14a

Circuit affirmed his decision, see People of Enewetak v.
United States, 864 F.2d 134, 135 (Fed. Cir. 1988), affg
Peter v. United States, 13 Cl. Ct. 691 (1987) (also stating
facts relevant to plaintiffs’ complaint in Tomaki Juda et
al. v. United States, No 172-81L (Cl. Ct. filed Mar. 16,
1981)); and the parties neither have adduced new facts
nor offered insight into the facts of record over the last
nineteen years that would change them. This court
adopts and restates, with minor modifications, the facts
as found by Judge Harkins. See Peter v. United States,
6 Cl. Ct. 768, 770-73 (1984) (Enewetak Atoll; granting
and denying, in part, motion to dismiss) (“Peter I”);
Juda v. United States, 6 Cl. Ct. 441, 446-49 (1984) (Bi-
kini Atoll; denying motion to dismiss) (“Juda I’ ). The
facts subsequent to 1987 are undisputed, except where
noted otherwise.

I. Nuclear tests in the Marshall Islands
1. History of the Marshall Islands

During the period June 30, 1946, to August 18,
1958, the United States conducted a series of nuclear
tests in the Marshall Islands that included detonation of
twenty-three atomic and hydrogen bombs at Bikini
Atoll and forty-three atomic and hydrogen bombs at
Enewetak Atoll. These tests necessitated removal of
the inhabitants and their relocation to other islands and
resulted in severe physical destruction at the atolls di-
rectly involved, as well as radioactive contamination at
other parts of the Marshall island chain. The effects of
the testing program included: annihilation of some is-
lands and vaporization of portions of others; permanent
resettlement with substantial relocation hardships to
some inhabitants; exposure to high levels of radiation
by some inhabitants; and widespread contamination

ld5a

from radioactivity that renders some islands unus[]able
by man for indefinite future periods.

[793] The Marshall Islands are a part of Micronesia,
formerly a United Nations Trust Territory adminis-
tered by the United States. The component parts of
the Trust Territory of the Pacific Islands (the “Trust
Territory”) were the Marshall, Caroline, and Mariana
island chains. The Trust Territory includes more than
2,000 islands and atolls dispersed throughout the Pa-
cific Ocean, within an area approximately the size of the
continental United States.

Until World War II, Micronesia was administered
by Japan under a League of Nations Mandate. The is-
lands came under the United States’ control by military
occupation in 1944. The United Nations and its Trus-
teeship Council were given jurisdiction over non-self-
governing territories, and trusteeship agreements
were executed between the United Nations and those

signatory powers in de facto possession of such territo-
ries.

The United States was designated “administering
authority” over the Trust Territory pursuant to an
agreement ratified by the United Nations Security
Council on April 2, 1947, and approved by Congres-
sional joint resolution on July 18, 1947. 61 Stat. 3301,
T.LA.S. No. 1665. In 1947 military government was
terminated, and administration of the Trust Territory
was delegated to the Secretary of the Navy. Exec. Or-
der No. 9,875, 3 C.F.R. 658 (1943-48 comp.). In 1951
some administrative responsibilities were transferred
to the Interior Department. Exec. Order No. 10,265, 3
C.F.R. 766 (1949-53 comp.). By the Act of June 30,
1954, as amended (48 U.S.C. § 1681 (1982)), Congress
directed:

16a

(a) Until Congress shall further provide for the
government of the Trust Territory of the Pa-
cific Islands, all executive, legislative, and judi-
cial authority necessary for the civil admini-
stration of the Trust Territory shall continue to
be vested in such person or persons and shall
be exercised in such manner and through such
agency or agencies as the President of the
United States may direct or authorize.

Prior to 1962 responsibility for administration of
the Trust Territory was divided between the Interior
and Navy Departments. Effective July 1, 1962, the au-
thority for civil administration of the Trust Territory
was redelegated to the Secretary of the Interior, with
the direction to carry out the obligations assumed by
the United States as the administering authority “un-
der the terms of the Trusteeship Agreement and the
Charter of the United Nations.” Exec. Order No.
11,021, 3 C.F.R. 600 (1959-63 comp.). See generally
Porter v. United States, 496 F.2d 583, 587-90 (Ct. Cl.
1974), cert. denied, 420 U.S. 1004 (1975). Pursuant to
this authority, the Secretary of the Interior established
a Trust Territory Government (the “T'TG”), which in-
cluded executive, legislative, and judicial branches,
with a High Commissioner as chief executive. Sec. Or-
der No. 2,918, 34 Fed. Reg. 157 (1968).

In 1969 the United States began negotiations with
the inhabitants of the Trust Territory directed to es-
tablishment of a framework for transition to constitu-
tional self-government and future political relation-
ships. During the negotiations the Trust Territory be-
came divided into four governmental entities: North-
ern Mariana Islands, Republic of Palau, Federated
States of Micronesia, and Republic of the Marshall Is-
lands.

17a

2. Occupation of Enewetak Atoll

Enewetak Atoll is composed of approximately forty
islands, which have a combined land area of 2.75 square
miles and enclose a lagoon of approximately 388 square
miles. The largest islands are Enewetak Island, with a
land area of 321.86 acres, and Engebi Island, with a
land area of 290.58 acres.

The Enewetak people traditionally have been di-
vided into two separate subcommunities, one on Engebi
Island and one on Enewetak Island. Members of the
two communities historically have intermarried and co-
operated in certain economic activities. They now elect
a common council. The Enewetak people are governed
by the two chiefs (Iroji) of the subcommunities; a Mag-
istrate; an elected Council of twelve members; a Scribe;
and a Senator, who represents the Enewetak people in
the legislature of the Marshall Islands government.
The people of Enewetak historically were eco-
[794]nomically self-sufficient on the basis of lagoon fish-
ing, nonintensive agriculture, and various gathering
activities. Beginning in the early 20th century, copra
was produced as an export crop.

During February 1944 American troops captured
Enewetak Atoll from the Japanese, which at that time
had several thousand personnel on Engebi. On Febru-
ary 24, 1944, the military governor posted Proclamation
No. 1. This proclamation notified the civilian inhabi-
tants that existing personal and property rights would
be respected and existing laws and customs would re-
main in force and effect, except “to the extent that it is
necessary for me in the exercise of my powers and du-
ties to change them.”

Later in February 1944, the Enewetak people were
relocated to a camp on Aomon Island, an island in the

18a

atoll. Eventually the total civilian population of the
atoll was gathered in this camp. The Army unit left on
July 4, 1944; thereafter, the Navy, until June 1946, pro-
vided all supplies of food, clothing and housing for the
Enewetak people. During the period February 1944 to
late 1945, the Enewetak people were permitted to re-
side only on Aomon Island and on the adjacent Bijire
Island.

On June 14, 1946, in preparation for the com-
mencement of Operation CROSSROADS; at Bikini
Atoll, the entire population of Enewetak Atoll was
transported by the Navy to Kwajalein Atoll, where
they were housed in temporary facilities and supplied
by the Navy. On July 25, 1946, Enewetak Atoll was de-
clared safe; on July 30, 1946, the Enewetak people were
returned to Aomon and Bijire Islands at Enewetak
Atoll.

During the period of residence at Kwajalein Atoll,
United States officials caused the Enewetak people to
believe that their removal from Enewetak would be
temporary; that they would be able to return to
Enewetak at the conclusion of the Bikini nuclear tests;
that temporary relocation was necessary to protect
them against harm from the tests on Bikini Atoll; and
that, throughout the relocation, their needs for food,
shelter, and other necessities would be provided by the
United States.

On December 1, 1947, Enewetak Atoll was chosen
as the site for the nuclear tests in Operation SAND-
STONE, and the United States Governor of the Mar-
shall Islands notified the Enewetak people that they
must leave the atoll. During December 1947 the entire
population, with personal belongings, was boarded on a
United States Navy LST and transported to Ujelang

19a

Atoll, where they arrived on December 21, 1947. Dur-
ing the period of their relocation on Ujelang Atoll,
United States officials caused the Enewetak people to
believe that their removal would be temporary; that
they would be able to return to Enewetak at the con-
clusion of the United States use of Enewetak; that relo-
cation was necessary to protect them against harm re-
sulting from United States operations; and that,
throughout the relocation, their needs for food, shelter
and other necessities would be provided by the United
States.

Ujelang Atoll is the westernmost and most isolated
geographically of the inhabited atolls and islands that
comprise the Marshall Islands. It lies 124 miles south-
west of Enewetak Atoll and 617 miles west of Majuro,
the administrative center and the major commercial
port for the Marshall Islands. Ujelang Atoll has 0.67
square miles of dry land area and 25.47 square miles of
lagoon and is rocky and relatively unproductive for ag-
riculture.

Ujelang resources were inadequate to provide the
Enewetak people with a regular supply of food and
other material necessities. Infrequent and irregular
ship visits resulted in severe shortages of rice, flour,
and materials needed to repair buildings and boats. By
1952 most of the Enewetak people’s sailing canoes were
rendered unus[Jable as a result of severe shortage of
sailcloth, paint, fishing net material, and hooks. In the
mid-1960s, the island’s rat population increased greatly
and destroyed stored copra and supplies of rice and
flour. By 1967 food was so short that the people on
Ujelang had only enough for one meal each day.

On October 20, 1967, a TTG ship arrived to find the
people on Ujelang with no copra to sell and no money to

20a

buy needed food and supplies. Almost all of the nearly
300 people on the atoll boarded the ship and demanded
transport to Majuro to protest to the govern-[795}ment
that they were starving. A Trust Territory official, af-
ter seven hours, radioed for food and agreed to stay on
Ujelang until the supply ship returned. The supply
ship returned with food on November 3, 1967.

In November 1968 the people on Ujelang were to-
tally out of rice, flour, sugar, and other imported goods.
In June 1972 a typhoon destroyed the breadfruit crop,
and on August 30, 1972, a supply ship found that the
Enewetak people had been out of rice, flour, sugar, and
canned meat for over two weeks.

The nuclear program on Enewetak Atoll extended
from April 1948 to August 1958 and included forty-
three atomic and hydrogen bomb tests. The program
included Operation SANDSTONE (April and May
1948), Operation GREENHOUSE (April and May
1951), Operation IVY (November 1952), Operation
REDWING (May through July 1956), and Operation
HARDTACK (May through August 1958). The nuclear
tests at Enewetak Atoll included detonations in the air,
on towers, on the surface of islands and reefs, on
barges, and underwater. Two plutonium tests on the
island of Runit, as a result of failure to fully detonate,
sprayed chunks of plutonium across the island. On Au-
gust 22, 1958, the President of the United States an-
nounced a suspension of further atmospheric testing of
nuclear weapons to take effect on October 31, 1958.

The Nuclear Testing Program resulted in serious
damage to Enewetak Atoll. Five islands were com-
pletely or partially vaporized. Islands on the northern
half of the atoll, including Engebi and Runit, were con-
taminated heavily with radioactivity; radioactive

Zla

wreckage littered many of the islands. The lagoon was
damaged seriously. Vegetation was completely
stripped from many islands, and almost all plants of ag-
ricultural and economic value on the atoll were totally
destroyed.

On November 5, 1956, the two hereditary chiefs,
and a majority of the Enewetak people who possessed
rights in the atoll, were assembled on Ujelang to dis-
cuss a settlement of past and future use of the atoll. On
November 19, 1956, the High Commissioner of the TTG
as one party and the two hereditary chiefs—twenty-
four individuals of Enewetak and twenty-four individu-
als of Engebi—as the other parties executed a docu-
ment captioned: “Agreement in Principle Regarding
the Use of Enewetak Atoll.” This document provided
that the TTG would grant and convey to the Enewetak
people full use rights in Ujelang atoll to continue “until
such time as it may be possible for the people to return
to Enewetak.” The TTG was given full use rights to
Enewetak Atoll “until such time as it will not be neces-
sary to occupy and use Enewetak Atoll in the interest
of the maintenance of international peace and security.”
The sum of $175,000 was to be conveyed to persons who
possess rights in Enewetak, to be administered as fol-
lows: $25,000 paid at the time of signing to be divided
by the hereditary chiefs and the remaining $150,000 to
be placed in a trust fund administered by the High
Commissioner. Section 5 of the document contained an
assertion that the chiefs and Alabs (family heads) who
signed had the “full and complete” right to represent
the Enewetak people and included the following provi-
sions with respect to claims for use of the atoll:

Accordingly, the Chiefs and Alabs signing
this agreement agree that any future claims
based on the use of Enewetak by the Govern-

22a

ments of the United States or the Trust Terri-
tory or on the moving of the people from
Enewetak Atoll to Ujelang Atoll shall be
against them and not against the Government.

This agreement was made voluntarily and without any
compulsion or coercion whatsoever.

On June 20, 1957, a document captioned “Use and
Occupancy Agreement for Land in the Trust Territory
of the Pacific Islands under the Administrative Re-
sponsibility of the Department of the Interior” was re-
corded in Record Book No. 1 of the Marshall Islands
District. This document recites that it was made as of
the 2nd day of March 1944 by and between the TTG, as
grantor, and the United States of America; that the
TTG was “owner of exclusive use and occupancy rights
for an indefinite period of time” of the Enewetak Atoll;
and that the United States “desires to acquire the use
and occupancy of the land” for an indefinite period of
time. In [796] the agreement the TTG conveyed to the
United States the exclusive right to use and occupy
Enewetak Atoll for an indefinite period of time and
agreed to save the United States harmless from any
and all claims, arising directly or indirectly, from such
use or occupancy, except for claims arising from negli-
gence by the United States. The section on conditions
of use provided: (1) that use by the United States shall
be consistent with the provisions and purposes of the
Trusteeship Agreement; (2) that on or about June 30,
1961, and on a similar date each five-year period there-
after, the United States and the TTG would “jointly re-
view and determine the need for continuing the use and
occupancy,” with final decision resting in the President
of the United States; and (8) that, if a decision was
made that a need for continued use and occupancy does

23a

not exist, the grant would terminate and “all interest in
said land shall revert to” the TTG.

During the 1960s, after the prohibition of atmos-
pheric and underwater testing, Enewetak Atoll’s la-
goon was used as a target for test missiles fired from
Vandenberg Air Force Base in California.

In September 1971 the United States Defense Nu-
clear Agency and the Air Force developed plans for an
operation on Enewetak Atoll to be known as the Pacific
Cratering Experiments (“PACE”). The program was
designed to test cratering effects of nuclear blasts by
simulating such blasts with high explosives. Between
September 1971 and October 1973, the United States’
preparations for PACE included stripping vegetation
and topsoils from one of the islands. In October 1972
the United States District Court for the District of
Hawaii granted a preliminary injunction to the people
of Enewetak to prohibit further work on PACE until
adequate environmental impact studies were con-
ducted. People of Enewetak v. Laird, 353 F. Supp. 811
(D. Haw. 1973). On June 8, 1973, the Air Force termi-
nated plans for the PACE program on Enewetak.

On April 18, 1972, the United States Special Repre-
sentative to the Micronesian Political Status Talks an-
nounced that the United States would return
Enewetak Atoll to the people of Enewetak by the end
of 1973. From 1972 until 1977, various United States
government agencies engaged in studies and planning
for radiological cleanup and rehabilitation programs.

On August 31, 1976, representatives of the United
States executed a document captioned “Agreement
Terminating Rights, Title, and Interest of the United
States to Enewetak Atoll.” After reciting that the
United States wishes to terminate its use and occu-

24a

pancy in Enewetak Atoll, this document provided that
all right, title, and interest of the United States in or to
Enewetak Atoll “existing at noon on the day prior to
the date of signature by the last party to sign this
agreement are hereby terminated.” The Acting High
Commissioner of the TTG, the last party to sign, exe-
cuted the document on September 16, 1976.

On September 16, 1976, the TTG Acting High
Commissioner executed a document captioned “Release
and Return of Use and Occupancy Rights to Enewetak
Atoll.” This document provided that the TTG does
hereby “quitclaim, release and restore to all persons
who hold traditional rights to the lands of Enewetak
Atoll all right, title, interests and rights of use and oc-
cupancy in and to Enewetak Atoll.”

From May 1977 through April 1980, the United
States undertook cleanup efforts. In April 1980 the
Enewetak people as a whole returned to Enewetak

Atoll for permanent residence.

The Enewetak people have been able to resettle
only the southern portion of the atoll. Access to several
of the northern islands, including Engebi, is restricted
by order of the Department of the Interior on the
ground that remaining radioactivity renders these is-
lands dangerous for habitation, agriculture, and many
other uses for a period estimated to be approximately
thirty years. Runit Island at present contains more
than 110,000 cubic yards of plutonium-contaminated soil
and debris that during the cleanup operation had been
collected from throughout the atoll. This material had
been mixed with cement and water to form a slurry,
placed in a bomb crater on Runit, and covered by a con-
crete dome eighteen inches [797] thick and 370 feet in

25a

diameter. Runit is expected to be extremely radioac-
tive for at least the next 240,000 years.

II. Peter I, Juda I, and Nitol I

On September 15, 1982, plaintiffs first filed a com-
plaint with the United States Claims Court, now the
United States Court of Federal Claims. Johannes Pe-
ter et al. v. United States, No. 461-82L (Cl. Ct. filed
Sept. 15, 1982). The complaint named “17 individual
plaintiffs who claim on their own behalf and on behalf of
a class composed of all persons recognized as the
Enewetak people.” Peter v. United States, 6 Cl. Ct.
768, 769 (1984) (granting and denying, in part, motion to
dismiss) (“Peter I” ). Plaintiffs alleged four causes of
action: “(1) unlawful taking of Enewetak Atoll [for the
period from December 1947 to April 1980]; (2) breach of
an implied-in-fact contract that imposed upon the
United States responsibilities toward the Enewetak
people in the nature of a fiduciary; (3) failure to comply
with the terms of the Trusteeship Agreement; and (4)
breach of agreements between the United States and
the Trust Territory Government.” Peter v. United
States, 13 Cl. Ct. 691, 691-92 (1987) (“Peter IT’) (dis-
missing complaint based on withdrawal of jurisdiction).
On November 30, 1984, Judge Harkins granted defen-
dant’s motion to dismiss regarding Counts I, III, and
IV and denied the motion to dismiss regarding plain-
tiffs’ implied-in-fact contract claim. Peter I at 781.

Peter I concluded that, “[flor purposes of applica-
tion of the statute of limitations, in a claim for just
compensation for a taking, August 22, 1958, must be the
‘taking date’ of Enewetak Atoll, in accordance with the
doctrine announced in [United States v. Dickinson, 331
U.S. 745 (1947)].” Id. at 775. Based on this determina-
tion, the court dismissed plaintiffs’ first cause of action

26a

for failure to comply with the six-year statute of limita-
tions in the Tucker Act, 28 U.S.C. § 2501 (1986). Peter /
dismissed the third count based on 28 U.S.C. § 1502
(1986), holding that “(tJhe Trusteeship Agreement is a
treaty, and it has been made with a recognized unit of
foreign nations. [The Peter p)laintiffs’ claim in count
III clearly grows out of and is dependent upon that
treaty.... Such relationship bars jurisdiction in this
court.” Jd. at 779 (citing Hughes Aircraft Co. v. United
States, 534 F.2d 889, 903 (Ct. Cl. 1976); S.N.T. Fratelli
Gondrand v. United States, 166 Ct. Cl. 473, 478 (1964)).
Regarding plaintiffs’ implied-in-fact contract claim, the
court held that “plaintiffs have alleged facts which for
purposes of a motion to dismiss must be accepted as
true. The facts, as alleged, establish conduct that is
adequate to establish the requisite elements of a con-
tract implied-in-fact.” Peter I at 779; see also id. at 692
(“It was determined that plaintiffs were not barred by
the statute of limitations from an offer of proof as to the
origin, nature, and content of the alleged implied-in-fact
contract, and that count II stated a breach of contract
claim within the Tucker Act jurisdiction of this court.”)
Finally, the court held that count IV of plaintiffs’
claims, which “alleges plaintiffs are third party benefi-
ciaries to the overall transaction involved in the Sep-
tember 16, 1976, agreement between the TTG and the
United States,” was subject to dismissal because “the
September 16, 1976, transactions did not confer rights
as third party beneficiaries to plaintiffs.” Peter I at
780, 781.

In conjunction with the filing of the complaint in
Peter, thirteen other related cases were filed with the
Claims Court regarding the effects of the Nuclear Test-
ing Program in the Marshall Islands. Judge Harkins
consolidated eleven complaints filed on September 9,

27a

1981, and a twelfth complaint filed on July 26, 1982. See
Nitol v. United States, 7 Cl. Ct. 405, 407 (1985) ( “Nitol
I’). The court explained:

The claims of the inhabitants of the Bikini
Atoll and Enewetak Atoll, sites used for atomic
testing, factually are significantly different
from each other, and both are distinguishable
factually from the claims in the Nitol series of
cases. For these reasons, the three types of
claims have been handled separately. Only the
Nitol series of cases have been consolidated.

Juda I at 446 (denying motion to dismiss).

The Nitol plaintiffs included “3,318 inhabitants of
atolls and islands that were not used [798] as nuclear
test sites. These claims are based primarily on the ef-
fects of radiological fallout and contamination that re-
sulted from the test program....” Jd. The Nitol plain-
tiffs alleged three causes of action:

(I) an unlawful taking of plant life, fish life, fish-
ing rights, the land, the lagoon, the waters of
the lagoon, and surrounding ocean of the atoll
or island; (II) breach of an implied-in-fact con-
tract between the people of the Marshall Is-
lands and the United States that obligated the
United States as a fiduciary to protect the
health, well being and economic condition of the
Marshallese people; and (III) breach of fiduci-
ary duties arising out of the Trusteeship
Agreement, which is characterized as a bilat-
eral contract between the United States and

United Nations.

28a

Nitol I at 412. Judge Harkins granted defendant’s mo-
tion to dismiss as to counts II and III and denied de-
fendant’s motion as to count I. Jd. at 417.

On March 16, 1981, plaintiffs in the related case of
Juda filed their complaint, Tomaki Juda et al. v.
United States, No. 172-81L (Cl. Ct. filed Mar. 16, 1981),
“Snclud[ing] as plaintiffs the 1,004 members of the Bi-
kini community as of May 1, 1981, and is concerned with
the claims of the inhabitants of Bikini atoll.” Juda J at
446. The plaintiffs in Juda alleged three causes of ac-
tion:

(1) an unlawful taking of Bikini Atoll from

March 7, 1946, to January 24, 1979; (2) an

unlawful taking that began on January 24, 1979,

and would continue for the next 20 to 60 years;

and (3) breaches of fiduciary responsibilities

imposed in 1946, which do not depend upon the

Trusteeship Agreement, but are claimed to

arise from a contract implied-in-fact that obli-

gates defendant to protect the health, well be-

ing and economic condition of the Bikini people.

Id. at 449.

Judge Harkins denied defendant’s motion to dis-
miss in Juda I on October 5, 1984. Id. at 458. The court
held, regarding counts 2 and 3, that “[s]ome of the
claims clearly involve transactions that occurred after
March 16, 1975... Plaintifis are not barred by limita-
tions from an offer of proof as to the origin, nature, and
content of the alleged implied-in-fact contract and fidu-
ciary relationship, if any, with respect to these claims.”
Id. at 451. Regarding count 1, the court found that,
“Congress has acted with respect to these plaintiffs and
their rights.” Jd. at 458. The court concluded that “{aJll
of the restraints of the Bill of Rights are applicable to

the United States wherever it has acted” and denied
defendant’s motion to dismiss for failure to state a
claim. Id.

Juda “include[d] as plaintiffs the 1,004 members of
the Bikini community as of May 1, 1981, and is con-
cerned with the claims of the inhabitants of Bikini
atoll.” Juda I at 446. The plaintiffs in Juda alleged
three causes of action:

(1) an unlawful taking of Bikini Atoll from
March 7, 1946, to January 24, 1979; (2) an
unlawful taking that began on January 24, 1979,
and would continue for the next 20 to 60 years;
and (8) breaches of fiduciary responsibilities
imposed in 1946, which do not depend upon the
Trusteeship Agreement, but are claimed to
arise from a contract implied-in-fact that obli-
gates defendant to protect the health, well be-
ing and economic condition of the Bikini people.

Id. at 449.

Judge Harkins denied defendant’s motion to dis-
miss on October 5, 1984. Id. at 458. The court held, re-
garding counts 2 and 3, that “[slome of the claims
clearly involve transactions that occurred after March
16, 1975.... Plaintiffs are not barred by limitations from
an offer of proof as to the origin, nature, and content of
the alleged implied-in-fact contract and fiduciary rela-
tionship, if any, with respect to these claims.” Id. at
451. Regarding count 1, the court ruled that “Congress
has acted with respect to these plaintiffs and their
rights.” Jd. at 458. The court concluded that “[alll of
the restraints of the Bill of Rights are applicable to the
United States wherever it has acted” and denied de-
fendant’s motion to dismiss for failure to state a claim.

Id.

30a

Ill. The Compact, the Section 177 Agreement, and the
Nuclear Claims Tribunal

This section restates, with minor modifications,
portions of the discussion in Juda v. [799] United
States, 18 Cl. Ct. 667, 671-77 (1987) (dismissing com-
plaint based on withdrawal of jurisdiction) (“Juda IT’).
From the war-time occupation of Micronesia in 1944 to
approval of the Trust Territory Agreement on July 18,
1947, United States military authorities controlled the
Pacific Islands. In 1947 military government was ter-
minated, and administration of the Trust Territory was
delegated to the Secretary of the Navy. Some ele-
ments of the takings claims and breach of contract
claims in Juda and Peter occurred during this period.

At the end of World War II, little doubt existed
that Micronesia would remain under United States con-
trol Whether to annex the area or to place it under the
trusteeship system of the United Nations was debated
vigorously. Military leaders and the Secretary of War
urged outright annexation for strategic reasons. The
Secretary of State, on the other hand, urged that Mi-
cronesia be made a trusteeship in order to implement
the principle of no territorial aggrandizement that had
been expressed in the Atlantic Charter and the Cairo
Declaration. Disagreement within the United States
Government was not resolved until structures were
developed in the United Nations relationship that as-
sured the United States would have full control and full
strategic rights in the area. These concerns resulted in
a procedure that provided two categories of trustee-
ship: (1) non-strategic trust areas, overseen by the
General Assembly and the United Nations Trusteeship
Council (the “UNTC”), and (2) territories designated as
strategic trust areas, overseen by the Security Council
and the UNTC. See generally “Foreign Relations of

3la

the United States, Diplomatic Papers: Conferences at
Malta and Yalta 1945,” at 92 (1955); R. Russell & J.
Muther, A History of the United Nations Charter, 578
(1958).

Eleven trusteeship agreements were approved un-
der the United Nations Charter; ten were for non-
strategic trusts, and one, the Trusteeship Agreement
for the Pacific Islands, was designated as a strategic
trust. The Trusteeship Agreement represents the only
instance where the United States has assumed respon-
sibility for administering a foreign territory under the
authority of an international organization.

The United Nations Charter, in Articles 75 through
85, provides for the international trusteeship system.
Article 76(b) is a recognition of the principle that an
administering authority is accountable to the interna-
tional community for administration of the trust area.
It obligates the administering authority to promote the
political advancement of the inhabitants of the trust
territories and their progressive development towards
self-government or independence. Article 83 provides
that the Security Council would exercise all functions of
the United Nations relating to strategic areas. The
Charter, however, does not authorize specifically the
Security Council to approve the termination of a stra-
tegic trusteeship agreement. Article 83 provides:

1. All functions of the United Nations relating
to strategic areas, including the approval of the
terms of the trusteeship agreements and of
their alteration or amendment, shall be exer-
cised by the Security Council.

2. The basic objectives set forth in Article 76
shall be applicable to the people of each strate-
gic area.

32a

3. The Security Council shall, subject to the
provisions of the trusteeship agreements and
without prejudice to security considerations,
avail itself of the assistance of the Trusteeship
Council to perform those functions of the
United Nations under the trusteeship system
relating to political, economic, social, and edu-
cational matters in the strategic areas.

The Trusteeship Agreement is a treaty in the na-
ture of a bilateral contract between the Security Coun-
cil and the United States. Article 6 of the Trusteeship
Agreement obligates the United States, in the dis-
charge of its obligations under Article 76(b) of the
Charter, to foster the development of such political in-
stitutions as are suited to the trust territory and to
promote the development of the inhabitants towards
self-government or independence, as may be appropri-
ate to the particular circumstances of the territcry and
its peoples. The United States agreed to give the in-
habitants of the Trust Territory a [800] progressively
increasing share in the administrative services in the
territory and to develop their participation in govern-
ment.

Article 15 of the Trusteeship Agreement provides:
“The terms of the present agreement shall not be al-
tered, amended or terminated without the consent of
the administering authority.” During the negotiations
leading to the agreement, the representative of the So-
viet Union objected to this provision and proposed lan-
guage that would have permitted the Security Council
unilaterally to alter, amend, or terminate the Agree-
ment. The United States representative refused to
agree to the provision that would give the Security
Council such power, and, in order to protect United
States strategic interests, he insisted that no termina-

338

tion could occur without the consent of the United
States.

During the 1960s, in administering the Trusteeship
Agreement, the United States initiated efforts to pre-
pare the people for the transition to constitutional self-
government. In 1965 the Congress of Micronesia was
created, and elected leaders from all parts of the Trust
Territory met to discuss common problems and to ex-
plore the concept of political unity. Initially, the United
States encouraged, and the Trust Territory leaders ex-
plored, the possibility of commonwealth status for the
various island groups. This proposal was not accepted
generally. Further, differences in geography, history,
and culture made it difficult to create a single govern-
mental unit that included all of the inhabitants of the
Trust Territory. Four separate political entities ulti-
mately were established.

On March 24, 1976, the United States approved the
“Covenant To Establish a Commonwealth of the
Northern Mariana Islands in Political Union with the
United States of America.” Pub. L. No. 94-241, 90 Stat.
263 (1976) (codified as amended at 48 U.S.C. § 1681
(1982)). The constitution for the Federated States of
Micronesia (the “FSM”) was ratified on July 12, 1978.
The Republic of the Marshall Islands (the “RMI”) ap-
proved its constitution in a referendum on March 1,
1979, and inaugurated a parliamentary constitutional
government on May 1, 1979. The constitution for the
Republic of Palau was approved at a United Nations-
observed referendum on July 9, 1979. The Palau legis-
lature subsequently voided the results of this referen-
dum, and a second referendum was scheduled. The con-
stitution was defeated in a referendum held October 23,
.1979. In April 1980 the High Commissioner approved a
Palau public law that provided a timetable for the in-

34a

stallation of a government under the original constitu-
tion. Under the terms of the bill, the Palau constitution
took effect on January 1, 1981.

After July 1, 1962, the Secretary of the Interior had
exercised all necessary powers of civil government
provided by the Trusteeship Agreement. On April 25,
1979, the Secretary recognized the new governmental
entities of the Federated States of Micronesia, the
Marshall Islands, and Palau and delegated to each the
executive, legislative, and judicial functions of the gov-
ernment of the Trust Territory of the Pacific Islands.
Secretary Order No. 3039, Apr. 25, 1979. Order No.
3039 provided that the High Commissioner shall con-
tinue to exercise all authority necessary to carry out
United States’ obligations under the 1947 Trusteeship
Agreement. This retained authority specifically listed
eight categories of administrative functions, including
Budget, Accounting, Relations with other United
States Government. Agencies, and Foreign Govern-
ments. All laws of the three governmental units were
required to be submitted to the High Commissioner for
approval.

A Compact of Free Association was negotiated
with each of the individual states. The governments of
the United States and the Marshall Islands and the
governments of the United States and the Federated
States of Micronesia initialed the Compact of Free As-
sociation on October 31, 1980. The Compact of Free
Association with the government of Palau was initialed
on November 17, 1980. Further reviews followed, and
the final version of the Compact of Free Association
with the Republic of Palau was signed on August 26,
1982, and with the Federated States of Micronesia, on
October 1, 1982. The United States and the RMI

signed the Compact and its related agreements on June
25, 1983.

[801] After execution by the signatory govern-
ments, the Compacts of Free Association were pre-
sented to the people in plebiscites monitored by inter-
national observers from the United Nations Trustee-
ship Council. The Federated States of Micronesia
plebiscite was held in June 1983, and the Compact was
approved by seventy-nine percent. The RMI plebiscite
was held in September 1983, and the Compact was ap-
proved by fifty-eight percent. In Palau plebiscites
were held on February 10, 1983, and on modified ver-
sions on September 4, 1984, and February 1, 1986. On
February 24, 1986, the President of the Republic of Pa-
lau certified to the United States that the Compact of
Free Association had been approved.

The Compact was submitted to Congress on March
30, 1984. Action on the legislation was not completed in
the 98th Congress, and the Compact was resubmitted
to the 99th Congress on February 20, 1985. Hearings
were held in each body, and each passed differing ver-
sions. The legislation was not referred to a conference
committee; differences were re

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40386017_1163%3A1. Public record. Not legal advice.
