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John Barclay, Constance Barclay, Royer Barclay, Althea Barclay, John Amos, Marcia J. Bacon, Ronald J. Bartel, Melvin Bergen, John E. Boyle, Jonathan Ehrlich, Florence Ehrlich, Donald Graumann, Ruben Kliewer, Alvin Kroupa, Barbara Kroupa, Burdett Ledell, Lee Dale Miller, Vernon Minns, Frank A. Mitchell, Mid Kansas Cooperative Association, John F. Opat, Robert Presnell, Janet Regier, Sonja Regier, Don Reinhardt, Janice Reinhardt, Mary J. Rodgers, Darrell Thompson, Robert Turner, Geneva Turnquist, Donald Turnquist, Clark E. Wiebe, and Marlene J. Weber v. United States, Renewal Body Works, Inc. v. United States

Citations: 443 F.3d 1368; 2006 U.S. App. LEXIS 8789Docket: 18-2000

Court: Court of Appeals for the Federal Circuit; April 11, 2006; Federal Appellate Court

Narrative Opinion Summary

The case before the United States Court of Appeals for the Federal Circuit involves landowners' Fifth Amendment takings claims against the United States under the National Trail Systems Act (Trails Act), specifically 16 U.S.C. 1247(d). The Federal Circuit addressed the dismissal of these claims by lower courts, which ruled them time-barred based on the precedent established in Caldwell v. United States. The Caldwell decision dictates that the accrual of takings claims occurs upon the issuance of a Notice of Interim Trail Use (NITU) by the Surface Transportation Board (STB), marking the start of a six-year statute of limitations period. The court upheld the lower courts' dismissal of the claims, rejecting arguments that replacement NITUs constituted new takings or that state law influenced abandonment and reversion timing. A dissenting opinion challenged the majority's interpretation, arguing that a taking should be recognized only upon physical occupation or conversion. Ultimately, the court affirmed the dismissal of the claims, emphasizing federal jurisdiction over railroad right-of-way abandonment and the continuity of NITU orders as a singular government action preventing multiple takings claims. The rulings underscore the impact of federal law in determining property interests and the timing of takings claims under the Trails Act.

Legal Issues Addressed

Dissent on Timing of Takings Accrual

Application: The dissenting opinion argues that a taking occurs upon actual physical occupation or conversion, not merely at the issuance of a NITU.

Reasoning: A taking cannot be claimed merely upon the issuance of a NITU since the reversion has not yet occurred and may never do so.

Fifth Amendment Takings under the Trails Act

Application: The court determined that the issuance of a Notice of Interim Trail Use (NITU) by the Surface Transportation Board (STB) marks the accrual date for takings claims under the Trails Act, blocking state law reversionary interests.

Reasoning: Caldwell clarified that such a claim accrues when the STB issues a NITU.

Jurisdiction of the Surface Transportation Board

Application: The STB retains jurisdiction over a railroad right-of-way until a certificate of abandonment is issued, preventing state law reversion.

Reasoning: Until the STB issues a certificate of abandonment, the property remains under its jurisdiction, meaning state law cannot trigger a reverter.

Replacement of Notices of Interim Trail Use

Application: Replacement NITUs extend the original NITU without constituting separate takings, as long as abandonment has not occurred in the interim.

Reasoning: The replacement NITU merely extended the original, as the STB had the authority to do so and abandonment did not occur in the interim.

Statute of Limitations for Takings Claims

Application: The court affirmed that takings claims must be filed within six years from the NITU issuance, and rejected arguments for tolling beyond this period.

Reasoning: The government dismissed the complaint, citing it was filed outside the six-year statute of limitations, as initial NITUs were issued before the cutoff date.