Rayonier, Incorporated v. F. Arnold Polson

This is an appeal by Rayonier, Inc. from an adverse judgment in an action brought in the United States District Court by F. Arnold Poison to recover damages for the alleged wrongful cutting and removal of timber. Jurisdiction of the district court was rested upon diversity of citizenship of the parties.

During 1947, Poison and one Cleveland Jackson, now deceased, entered into a joint venture to buy and sell timber and timberland in and near the Quinault Indian Reservation in Western Washington. Jackson’s position as Chief of the Quinault Indian Tribe made it advantageous for him to deal with the Indians and he did the purchasing while Poison provided the money.

In 1951 Jackson purchased for the venture the undivided one-half interest of Wallace Bumgarner in property known as tho Bumgarner Allotments. This property had been set aside by the government for two Quinault Indian children, Jean and Shirley Bumgarner; on their death during minority their interests passed in equal shares to their parents, Wallace and Nina Bumgarner. Wallace, a non-Indian, had thereupon received a patent for his one-half but, since Nina was an Indian, the government continued to hold hers in trust.

In…