Missouri v. Fiske

Background

A group of children of Ehrhardt D. Franz, who were remainder beneficiaries under his will, had previously litigated in federal court over certain stock held in trust. The federal court had entered a decree treating those shares as part of the father’s estate, giving the widow, Sophie Franz, only a life interest. After Sophie died, the Missouri Probate Court issued a citation to force the executor to list the shares as part of her estate so the State could press inheritance tax claims. Missouri moved to intervene in the federal case to protect its tax interest and asked the court to hold the stock in its registry until the probate question was decided. The heirs then filed an ancillary and supplemental bill asking the federal court to enjoin the State from pursuing the probate citation.

Reasoning

The main question was whether private parties can bring an equitable suit in federal court against a State to stop state-court probate actions. The Court explained that the Eleventh Amendment bars suits against a State by private parties without the State’s consent. That protection covers suits in equity as well as at law. The Court also held the State’s limited intervention did not waive its immunity. Because the State had not consented, the federal courts lacked power to issue process against Missouri to prevent its probate action. The Court reversed the appeals court and ordered the ancillary bill dismissed.

Real world impact

The decision prevents heirs from using an ancillary federal suit to enjoin a State’s probate or tax proceedings when the State has not consented to suit. If the State is not bound by a prior federal decree, it may litigate the tax claim in its own courts, and any final denial of a federal right in the state proceeding can be reviewed here by the appropriate procedure. The Court did not decide whether the earlier federal decree binds Missouri on the tax question.