United States v. California

This is a motion to dismiss an action commenced by the United States of America against the State of California, for the sum of $581.37, alleged by the complaint to be mistakenly paid to the State of California.

Ludwig Johnson, a veteran of the armed forces of the United States, died intestate and leaving no heirs, while receiving medical care from the Veterans’ Administration in a federal hospital. Under such circumstances, upon his death his estate becomes vested in the United States. 38 U.S.C.A. §§ 17 -17j. See United States v. Gallagher, D.C.S.D. Cal.1951, 97 F.Supp. 1014 .

Pursuant to a “decree of settlement of final account and final distribution” in the Superior Court of the State of California, in and for the City and County of San Francisco, dated August 6, 1953, the then known remaining assets of Johnson in the sum of $381.37, were paid to the State of California as an escheat under California Probate Code § 1027. The decree further ordered that $200 of any after-discovered property of Johnson be likewise paid to the State of California. In this proceeding, the administrator had given notice pursuant to State law, but had not complied with the provisions for notice of…