Babbitt v. Youpee

Congress had required that small, fractional interests in Indian land automatically escheat (pass) to the tribe instead of to heirs, to fix a problem of land splintering among too many owners; the Supreme Court struck that scheme down as an uncompensated taking in Hodel v. Irving. Congress then amended the law to let an owner devise such an interest, but only to another person who already owned a fractional interest in the same parcel. William Youpee, a tribal member, died and left his fractional land interests to his children (plaintiffs), none of whom already held an interest in those parcels. Under the amended statute, the interests would escheat to the tribe rather than pass to the children. The Youpees sued claiming an uncompensated taking, and the Ninth Circuit ruled in their favor.