Pennoyer v. Neff
Encyclopedia
Pennoyer v. Neff, 95 U.S. 714
(1878), was a decision by the Supreme Court of the United States
in which the Court held that a court can exert personal jurisdiction over a party if that party is served with process while physically present within the state
.
hired an attorney, John H. Mitchell
, to help him with paperwork
and other legal matters incidental to his efforts to obtain a land grant
under the Donation Law of Oregon
, an act of the United States Congress
enacted on September 27, 1850 (expired December 1, 1855) which provided an incentive for the development of land in the territories of the American West by conveying parcels of land to be used for further development. Neff was ultimately successful in procuring property on the ancestral homeland of the Multnomah Indian tribe
in Multnomah County, Oregon
. The property had an estimated value of U.S. $15,000 at the time. Mitchell later sued Neff in the Circuit Court of Multnomah County in the state
of Oregon
for outstanding debts related to his legal services but because Neff was not to be found there Mitchell won the lawsuit by default judgment
which was entered in Mitchell's favor after Neff failed to appear in court. When Mitchell won the lawsuit in February 1866, Neff's land grant hadn't yet been conferred and consequently Mitchell, possibly waiting for the arrival of the grant, waited until July 1866 to levy execution on the property at which time the court ordered the land seized and sold in order to pay the judgment. Mitchell arranged for the sheriff to seize the land, purchased it at public auction, and subsequently assigned it to Sylvester Pennoyer
causing Neff to sue Pennoyer in 1874 in federal court to recover his land. After Neff won, Pennoyer appealed to the United States Supreme Court.
court could order property owned by an out-of-state resident to be seized and sold when the out-of-state resident was not served actual notice. The Supreme Court found for Neff; holding that in order for the trial court to have jurisdiction over the property, the property needed to be attached
before the start of litigation, which then has quasi in rem
jurisdiction. Constructive notice
as opposed to actual notice is insufficient under American law to inform a person living in another state except for cases affecting the personal status of an American
plaintiff (like divorce) or cases that are in rem
where the property sought is within the boundaries of the state and the law presumes that property is always in the possession of the owner, and the owner therefore knows what happens to his property and therefore attachment of the property before judicial proceedings makes constructive notice sufficient.
jurisdiction is concerned. In a long series of United States Supreme Court jurisprudence following this ruling, the Court has modified the territorial analysis without overruling its holding. And indeed, it seems the basis of a state's authority to decide the "status" of its citizens, for example, as in a divorce without having personal jurisdiction over the respondent remains undisturbed. The United States Supreme Court has since ruled that all determinations of state-court personal jurisdiction must be evaluated in light of and via application of the doctrine of "minimum contacts
". The "minimum contacts test" is now used almost exclusively in accordance with these decisions and has also been held to apply to jurisdictional analysis in federal court settings as well as state courts. The doctrines governing personal jurisdiction in the United States have spawned a great deal of discourse within the Supreme Court of the United States with many cases fine-tuning and elaborating upon the concept which has led to the test that we have today in which the overall scope of the test for determining whether a court may exert personal jurisdiction over a party has been expanded in certain respects and narrowed in others, but nevertheless in every case the United States Supreme Court has ruled that as a minimum such analyses must comport with the Due Process Clause of the Fourteenth Amendment to the United States Constitution.
Case citation
Case citation is the system used in many countries to identify the decisions in past court cases, either in special series of books called reporters or law reports, or in a 'neutral' form which will identify a decision wherever it was reported...
(1878), was a decision by the Supreme Court of the United States
Supreme Court of the United States
The Supreme Court of the United States is the highest court in the United States. It has ultimate appellate jurisdiction over all state and federal courts, and original jurisdiction over a small range of cases...
in which the Court held that a court can exert personal jurisdiction over a party if that party is served with process while physically present within the state
U.S. state
A U.S. state is any one of the 50 federated states of the United States of America that share sovereignty with the federal government. Because of this shared sovereignty, an American is a citizen both of the federal entity and of his or her state of domicile. Four states use the official title of...
.
Factual and procedural background
Marcus NeffMarcus Neff
Marcus Neff was the respondent in the United States Supreme Court case Pennoyer v. Neff. Neff was one of the early settlers of the U.S. state of Oregon, having traveled there from Iowa in early 1848. Neff subsequently claimed a parcel of land in Oregon under the Donation Land Claim Act of 1850...
hired an attorney, John H. Mitchell
John H. Mitchell
John Hipple Mitchell, also known as John Mitchell Hipple, John H. Mitchell, or J. H. Mitchell was a controversial American lawyer and politician, who served as a Republican United States Senator from Oregon on three occasions between 1872 and 1905...
, to help him with paperwork
Paperwork
Paperwork is a term used to describe excessive, intricate or meticulous work with documents in an unnecessary and incidental way to more important tasks.- United States Paperwork Reduction Act :...
and other legal matters incidental to his efforts to obtain a land grant
Land grant
A land grant is a gift of real estate – land or its privileges – made by a government or other authority as a reward for services to an individual, especially in return for military service...
under the Donation Law of Oregon
Donation Land Claim Act
The Donation Land Claim Act of 1850 was a statute enacted by the United States Congress intended to promote homestead settlement in the Oregon Territory in the Pacific Northwest...
, an act of the United States Congress
United States Congress
The United States Congress is the bicameral legislature of the federal government of the United States, consisting of the Senate and the House of Representatives. The Congress meets in the United States Capitol in Washington, D.C....
enacted on September 27, 1850 (expired December 1, 1855) which provided an incentive for the development of land in the territories of the American West by conveying parcels of land to be used for further development. Neff was ultimately successful in procuring property on the ancestral homeland of the Multnomah Indian tribe
Multnomah (tribe)
The Multnomah were a tribe of Chinookan people who lived in the area of Portland, Oregon, more specifically Sauvie Island, in the United States through the early 19th century. Multnomah villages were located throughout the Portland basin and on both sides of the Columbia River...
in Multnomah County, Oregon
Multnomah County, Oregon
Multnomah County is one of 36 counties in the U.S. state of Oregon. Though smallest in area, it is the most populous as its county seat, Portland, is the state's largest city...
. The property had an estimated value of U.S. $15,000 at the time. Mitchell later sued Neff in the Circuit Court of Multnomah County in the state
U.S. state
A U.S. state is any one of the 50 federated states of the United States of America that share sovereignty with the federal government. Because of this shared sovereignty, an American is a citizen both of the federal entity and of his or her state of domicile. Four states use the official title of...
of Oregon
Oregon
Oregon is a state in the Pacific Northwest region of the United States. It is located on the Pacific coast, with Washington to the north, California to the south, Nevada on the southeast and Idaho to the east. The Columbia and Snake rivers delineate much of Oregon's northern and eastern...
for outstanding debts related to his legal services but because Neff was not to be found there Mitchell won the lawsuit by default judgment
Default judgment
Default judgment is a binding judgment in favor of either party based on some failure to take action by the other party. Most often, it is a judgment in favor of a plaintiff when the defendant has not responded to a summons or has failed to appear before a court of law...
which was entered in Mitchell's favor after Neff failed to appear in court. When Mitchell won the lawsuit in February 1866, Neff's land grant hadn't yet been conferred and consequently Mitchell, possibly waiting for the arrival of the grant, waited until July 1866 to levy execution on the property at which time the court ordered the land seized and sold in order to pay the judgment. Mitchell arranged for the sheriff to seize the land, purchased it at public auction, and subsequently assigned it to Sylvester Pennoyer
Sylvester Pennoyer
Sylvester Pennoyer was an American educator, attorney, and politician in Oregon. He was born in New York, attended Harvard Law School, and moved to Oregon at age 25. A Democrat, he served two terms as the eighth Governor of Oregon from 1886 to 1895. He joined the Populist cause in the early 1890s...
causing Neff to sue Pennoyer in 1874 in federal court to recover his land. After Neff won, Pennoyer appealed to the United States Supreme Court.
Issue and result
The Supreme Court was asked to determine whether a StateU.S. state
A U.S. state is any one of the 50 federated states of the United States of America that share sovereignty with the federal government. Because of this shared sovereignty, an American is a citizen both of the federal entity and of his or her state of domicile. Four states use the official title of...
court could order property owned by an out-of-state resident to be seized and sold when the out-of-state resident was not served actual notice. The Supreme Court found for Neff; holding that in order for the trial court to have jurisdiction over the property, the property needed to be attached
Writ of attachment
A writ of attachment is a court order to "attach" or seize an asset. It is issued by a court to a law enforcement officer or sheriff. The writ of attachment is issued in order to satisfy a judgment issued by the court. A prejudgment writ of attachment may be used to freeze assets of a defendant...
before the start of litigation, which then has quasi in rem
Quasi in rem
Quasi in rem is a legal term referring to a legal action based on property rights of a person absent from the jurisdiction. In the American legal system the state can assert power over an individual simply based on the fact that this individual has property in the state...
jurisdiction. Constructive notice
Constructive notice
Constructive notice also known as the Doctrine of Constructive Notice is a legal fiction used in the law of both common law and civil law systems to signify that a person or entity is legally presumed to have knowledge of something, even if they have no actual knowledge of it.-Intellectual...
as opposed to actual notice is insufficient under American law to inform a person living in another state except for cases affecting the personal status of an American
People of the United States
The people of the United States, also known as simply Americans or American people, are the inhabitants or citizens of the United States. The United States is a multi-ethnic nation, home to people of different ethnic and national backgrounds...
plaintiff (like divorce) or cases that are in rem
In rem
In rem is Latin for "against a thing." In a lawsuit, an action in rem is directed towards a piece of property rather than against a person . The action disputes or seeks to transfer title to property. When title to real estate In rem is Latin for "against a thing." In a lawsuit, an action in rem...
where the property sought is within the boundaries of the state and the law presumes that property is always in the possession of the owner, and the owner therefore knows what happens to his property and therefore attachment of the property before judicial proceedings makes constructive notice sufficient.
Subsequent history
Many aspects of the Court's ruling in this case have subsequently been overturned where personal or in personamIn personam
In personam is a Latin phrase meaning "directed toward a particular person". In a lawsuit in which the case is against a specific individual, that person must be served with a summons and complaint to give the court jurisdiction to try the case, and the judgment applies to that person and is called...
jurisdiction is concerned. In a long series of United States Supreme Court jurisprudence following this ruling, the Court has modified the territorial analysis without overruling its holding. And indeed, it seems the basis of a state's authority to decide the "status" of its citizens, for example, as in a divorce without having personal jurisdiction over the respondent remains undisturbed. The United States Supreme Court has since ruled that all determinations of state-court personal jurisdiction must be evaluated in light of and via application of the doctrine of "minimum contacts
Minimum contacts
Minimum contacts is a term used in the United States law of civil procedure to determine when it is appropriate for a court in one state to assert personal jurisdiction over a defendant from another state...
". The "minimum contacts test" is now used almost exclusively in accordance with these decisions and has also been held to apply to jurisdictional analysis in federal court settings as well as state courts. The doctrines governing personal jurisdiction in the United States have spawned a great deal of discourse within the Supreme Court of the United States with many cases fine-tuning and elaborating upon the concept which has led to the test that we have today in which the overall scope of the test for determining whether a court may exert personal jurisdiction over a party has been expanded in certain respects and narrowed in others, but nevertheless in every case the United States Supreme Court has ruled that as a minimum such analyses must comport with the Due Process Clause of the Fourteenth Amendment to the United States Constitution.
Place in law schools
In the United States, Pennoyer v. Neff is considered legendary amongst law students and is viewed as the first true introduction to how strikingly convoluted legal issues can be. At some law schools, it is the first case new students read in civil procedure class because of the powerful lesson on the nature of the American federal system and the principle of personal jurisdiction. Other law professors place far less emphasis on Pennoyer, preferring to focus on more modern, on point cases.Further reading
- Borchers, Patrick J. The Death of the Constitutional Law of Personal Jurisdiction: From Pennoyer to Burnham and Back Again 24 U.C. Davis L. Rev. 19 (1990)
- Perdue, Wendy Collins Sin, Scandal, and Substantive Due Process: Personal Jurisdiction and Pennoyer Reconsidered, 62 Wash. Law Rev. 479 (1987)
- Tocklin, Adrian Pennoyer v. Neff: The Hidden Agenda of Stephen J. Field 28 Seton Hall Law Rev. 75 (1997)
- Friedenthal, Jack H. Civil Procedure Cases and Materials Ninth Edition (2005) pp 69–73
See also
External links
- [ Official Website of the Supreme Court of the United States]