former senator john p. jones, and his friend, a glamorous heiress, decided that all of this land would be donated. back then it was mostly ranchland. but today, just few miles from the pacific ocean, it's some of the most valuable real estate in all of north america. >> it was solely an act of good will. an act of trying to take care of the veterans they had from the spanish american war and the civil war. >> caroline is an heiress who made this gift, and she's part of a lawsuit filed against the v.a. by the american civil liberties union. the original deed includes a condition that the land be used to establish and maintain a branch of a national home for disabled vets. and a permanent home for houses is exactly what it was. >> they had their post office. they had a trolley system that went all the way down to the beach. everything was provided for them. they had special uniforms. it was a marvelous place to live. the grounds were gorgeous. i mean, they were just gorgeous. >> mark rosenbaum is the lead attorney