US SUPREME COURT DECISIONS

The Act of March 30, 1920 authorized the Secretary of War to lease land on a military reservation for the construction and operation of a hotel. The Act provided that the lease should contain a provision for "just compensation" to the lessee for the construction of the hotel, etc., upon termination of the lease. A lease was entered into pursuant to the Act; the hotel was constructed and operated for a time. Later the Secretary cancelled the lease.

Held:

1. The Court of Claims is precluded by § 177(a) of the Judicial Code from including interest in its award of "just compensation" upon the claim of the lessee, since the case was not one of eminent domain, and neither the Act nor the lease contained an express provision for the payment of interest. P. 329 U. S. 588.

2. The fact that "just compensation" includes interest in the eminent domain setting does not necessarily mean that the term must be given the same scope in other situations. P. 329 U. S. 589.

3. References in the Act and in the lease to "just compensation," without more, are not to be construed as an express provision for the payment of interest. P. 329 U. S. 589.

106 Ct.Cl. 60, 64 F.Supp. 565, reversed in part.

Respondent brought suit in the Court of Claims to recover upon a claim arising out of the termination of a lease executed pursuant to the Act of March 30, 1920. The Court of Claims allowed recovery and included interest in its award. 106 Ct.Cl. 60, 64 F.Supp. 565. This Court granted certiorari, 329 U.S. 698. Judgment reversed so far as it included interest, p. 329 U. S. 591. chanrobles.com-red

Page 329 U. S. 586