questions, since the district court rested its decision wholly on different grounds, which we alone consider here.

The district court was of the opinion that "petitioner has had a full, complete, and competent consideration and decision in the Supreme Court of Florida of all the various matters here sought again to be presented." The district court had reference to the decisions of the Florida Supreme Court referred to by petitioner in his papers filed with the district court. They were: House v. State, 127 Fla. 145, 172 So. 734, a writ of error from petitioner's conviction; 1 House v. State, 130 Fla. 400, 177 So. 705, an application for leave to file a coram nobis proceeding; and the denial by the Florida Supreme Court without opinion of three petitions for habeas corpus filed by petitioner. By each form of proceeding petitioner attempted to raise the questions he now raises in the present petition; but in each instance, so far as appears, the Florida Supreme Court, without considering the merits of petitioner's contentions and without affording a hearing on the merits, denied relief to petitioner, on the ground that the particular remedy sought was not the appropriate one under Florida law to raise those contentions. See House v. State, 127 Fla. 145, 148; House v. State, 130 Fla. 400, 406; cf. Skipper v. Schumacher, 124 Fla. 384, 401-404, 169 So. 58.

The district court also referred to a denial by this Court of a petition for certiorari, filed here after the denial by the Florida Supreme Court of one of the applications for habeas corpus. See House v. Mayo, 322 U. S. 710. The

1In a habeas corpus proceeding, the Florida Supreme Court decided that the judgment against petitioner, entered in 1927, was defective in that it did not contain an adjudication of guilt. State ex rel. House v. Mayo, 122 Fla. 23, 164 So. 673. The court remanded petitioner to the trial court for the imposition of a proper sentence. On February 22, 1936, the trial court resentenced petitioner to the same term originally imposed. The opinion referred to in the text, 127 Fla. 145, was on a writ of error from petitioner's conviction, taken after the resentence in 1936.

4. Mere disparity between the original cost of the lands to the seller and the sale price to the Government does not render the contracts invalid. P. 58.

5. The provision of § 1 of the Act of July 2, 1940, prohibiting use of the "cost-plus-a-percentage-of-cost system of contracting," is applicable to purchases of lands. P. 60.

6. The contracts did not violate the provision of § 1 of the Act of July 2, 1940, forbidding use (under that section) of the "cost-plus-a-percentage-of-cost system of contracting." P. 61.

7. The contracts were not invalid as contrary to public policy. P. 64.

(a) The nature of the agent's interest and the contingent character of his fee are not such as to vitiate the contracts. P. 65.

(b) In the absence of a plain indication of public policy through long governmental practice or statutory enactments, or of violations of obvious ethical or moral standards, this Court should not assume to declare Government contracts contrary to public policy. P. 66.

(c) The provisions of §§ 41, 112 and 113 of the Criminal Code and of the Act of March 3, 1917, do not manifest a public policy against the use of contracts of the type here involved. P. 67. (d) Nor does the action of Congress on subsequent legislation indicate that the contracts are contrary to public policy. P. 68.

139 F. 2d 661, reversed.

CERTIORARI, 321 U. S. 760, to review the reversal of judgments in two condemnation proceedings which involved the validity of contracts of the United States for the purchase of lands.

Mr. William R. Gentry for petitioners in No. 31. Mr. Samuel M. Watson, with whom Mr. Redick O'Bryan was on the brief, for petitioners in No. 32.

Mr. Paul A. Freund, with whom Solicitor General Fahy, Assistant Attorney General Littell and Mr. Norman MacDonald were on the brief, for the United States.

MR. JUSTICE REED delivered the opinion of the Court.
Writs of certiorari were allowed to petitioners by this
Court in these two cases to review the action of the Cir-

cuit Court of Appeals for the Eighth Circuit.1 That appellate court reversed the action of the District Court of the Eastern District of Missouri which had upheld the validity of contracts between petitioners and the United States for the purchase of land for the Weldon Springs, Missouri, ordnance plant. The contracts were pleaded by petitioners as defendants in eminent domain suits to establish the proper condemnation award.

The petitions for certiorari were granted, 321 U. S. 760, because of asserted conflict with United States v. Grace Evangelical Church, 132 F. 2d 460. Jurisdiction of this Court rests on § 240 of the Judicial Code.

Under the authority of the Second Supplemental National Defense Appropriation Act of 1941, 54 Stat. 872, the President approved the Weldon Springs project on October 17, 1940. Pursuant to this approval, the War Department claims that it proceeded to acquire the necessary land under the act of July 2, 1917, 40 Stat. 241, as restricted by the National Defense Act of July 2, 1940, 54 Stat. 712. The statutory authority of the War Department to proceed as it did is not questioned except on the issue of whether the purchase contracts entered into in acquiring the needed land violate the first section of the act of July 2, 1940, which provides:

"Provided further, That the cost-plus-a-percentage-ofcost system of contracting shall not be used under this section; but this proviso shall not be construed to prohibit the use of the cost-plus-a-fixed-fee form of contract when such use is deemed necessary by the Secretary of War." 54 Stat. 713.

The duty to act for the War Department in obtaining the land lay in the office of the Quartermaster General and specifically in the Real Estate Branch of that office. In an effort to expedite the acquisition of the needed land,

1 United States v. Muschany, 139 F. 2d 661.
2 United States v. Certain Land, 46 F. Supp. 921.

the head of that branch, Colonel R. D. Valliant, contracted with R. Newton McDowell to act as the agent for the Government in securing options, on forms approved by the United States and attached to the employment contract, from the owners for submission to and acceptance by the United States. Mr. McDowell's compensation for acting as agent was a "five per cent (5%) commission . to be paid by the vendor." "

The employment of McDowell as agent to secure options for the United States was confirmed by the War Department to the Citizens Committee, an informal organization of those who owned property which was needed for the proposed project. McDowell went to work to

The pertinent parts of the McDowell agency contract are:

"3. The Optioner shall diligently endeavor to acquire such options, not only within such time, but at the reasonable value of the land to be acquired, and subject at all time to the directions of the Government. The form of option contracted to be executed, and all terms, covenants and conditions thereof, shall be on the form approved by the Government, and a copy of which is to be attached hereto and made a part hereof. It is understood that the Government is to have the exclusive right to take up or reject any option to any parcel of land optioned by said Optioner hereunder, except as hereinafter provided.

"4. . . . The Optioner shall procure from the vendors in all cases where options are accepted on behalf of the United States, an order to the Kansas City Title and Insurance Company, to prepare certificates of title and deeds and it shall be his responsibility to see that said certificates of title and deeds are transmitted to the proper Government official for examination. The certificates of title to be furnished by The Kansas City Title and Insurance Company will be on forms similar to the one attached hereto and made a part hereof and funds to effect closing of purchases by the Title Company will be furnished by the Government to the Title Company in form of checks payable to each vendor in the amount of the purchase price set forth in the accepted options."

"8. For all services hereunder the compensation of the Optioner shall consist solely of the five per cent (5%) commission in each purchase, to be paid by the vendor, as more specifically set forth in the form of option attached hereto and made a part hereof."

carry out his contract. He held meetings at which he explained to the landowners the plan to secure options and the option form itself. From his explanation the landowners must have understood that their sale price would have deducted from it McDowell's commission and other expenses. This was also the understanding of the Government, as is shown not only by the documents themselves which were approved by the Government but also specifically by the testimony of Colonel Valliant. While McDowell was employed and his commission set by the Government, it was arranged that McDowell should collect his money from the vendor so that a single voucher would cover the purchase price and the expenses.

The approved form of option, which was a part of McDowell's contract with the Government, was used by McDowell in the particular transactions which are under examination in these proceedings. The option accords with the requirements of the McDowell contract and in addition provides for an agreed valuation at the option price in case of condemnation. The offer was accepted by the Government.

4 "Upon exercise of this option by the Government, the undersigned agrees to pay to R. Newton McDowell a commission of five per cent (5%) of the gross sales price as full payment for the services of said R. Newton McDowell in procuring such sale, preparing the deed or deeds for the conveyance of said land and arranging for settlement and closing of the transaction.

"Upon furnishing of final certificate of title as above showing title to be vested in the United States of America, the agreed purchase price above mentioned will be paid by the Government to the undersigned. "If for any reason the title to the land is not approved by the Attorney General, the Government will proceed to acquire the land by condemnation proceedings instituted in the District Court of the United States in which said property is located, under a consent verdict fixing the award at the agreed valuation and in accordance with all the terms and provisions of this option and will upon filing its petition in such proceedings deposit said agreed purchase price with the clerk of said court, same to be disbursed by said officer pursuant to the decree entered in such condemnation proceedings."

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