Law Commons^™

Constitutional Law - Home Owners Loan Corporation Act - Penalties Clause

Michigan Law Review

An indictment under the penalties clause of the Home Owners Loan Corporation Act, brought before the promulgation of authorization of charges for services rendered, was dismissed on the ground that, prior to such authorization, the act was not sufficiently definite to satisfy the Sixth Amendment to the Constitution of the United States. United States v. Willard, (D. C. W.D.Mich.No.4057, September 27, 1934) 2 U.S.LAW WEEK, index p. 99.

Constitutional Law - New Deal Legislation - Gold Hoarding Statute

Michigan Law Review

Two cases involving acts of Congress passed in March 1933 to prevent the hoarding of gold' were denied a review by the United States Supreme Court on October 8. Both of these cases involved the same facts. Plaintiff had delivered certain gold bars to a bank for safe-keeping. Later the bank notified him that, pursuant to an executive order by the President of the United States, it would have to surrender the gold. Immediately the plaintiff demanded the return of the bullion, which demand was refused, and he filed bills for specific performance of the bailment contract against the bank …

Practice And Procedure - Seventh Amendment- Power Of Federal Court To Increase Inadequate Verdict

Michigan Law Review

A jury in a federal court awarded the plaintiff $500 for injuries received in an automobile accident. The plaintiff thereupon moved for a new trial on the · ground of inadequate damages. The trial judge, having obtained the consent of the defendant to entry of judgment for $1,500, denied the motion. Plaintiff appealed. Held, (Morton, C. J., dissenting) such procedure operates as a violation of the Seventh Amendment, and the only course open to a federal court in a case where damages are inadequate is to grant a new trial. Schiedt v. Dimick, (C. C. A. ·1st, 1934) …

Constitutional Law-Validity Of Statute Exempting Insurance Benefits From Process For Debts

Michigan Law Review

C, a judgment creditor of W, instituted garnishment proceedings to recover the amount of the judgment out of moneys owed by the X insurance company to W as beneficiary of H's life insurance. Subsequently the Arkansas legislature passed a statute exempting all moneys paid or payable to any resident of the State as the insured or beneficiary designated under any life, sickness, or accident insurance policy, from liability or seizure under judicial process, and provided that such benefits should not be subjected to the payment of any debt. Held, by a unanimous decision of the United …

Federal Practice- Declaratory Judgments

Michigan Law Review

Alabama, for the purpose of invoking original jurisdiction, applied to the Supreme Court of the United States for leave to file a complaint in equity against nineteen States to have statutes regulating and prohibiting the sale of goods manufactured by convict labor declared void because in violation of the commerce clause of the federal Constitution. Later, Alabama was allowed to submit an amendment eliminating fourteen States. Held, leave to file bill as amended denied. State of Alabama v. State of Arizona, et al., (U. S. 1934) 1 U. S. LAW WEEK (Feb. 6, 1934), index p. 468.

Constitutional Law - Power To Enact Federal Securities Act Of 1933

Michigan Law Review

The scope and implications of the Securities Act of 1933 have been set out in a recent issue of this Review. Broadly, the Act regulates the issue and sale of securities by requiring registration thereof with the Federal Trade Commission, by specifying certain data to be included in prospectuses relating to such securities, and by imposing sanctions in the form of penal and civil liabilities. The Act purports to be an exercise of the Congressional power "to regulate . . . commerce among the several states" and "to establish post offices and post roads." Various constitutional questions are involved but …

Constitutional Law-Price-Fixing - Changing Attitudes

Michigan Law Review

The urgent need for rebuilding and readjusting our economic system has forced the various governments to devise methods by which to achieve those ends. The legislative enactments resulting from the efforts to bring about a "recovery" are destined to be challenged on the due process ground. The public is keenly concerned not alone in the practicality of the methods selected, but in their constitutionality as well. The recent case of Nebbia v. People is not only of interest to the lawyer; it was accepted as "good copy" in leading lay publications. The Supreme Court affirmed the conviction of one Nebbia, …

Constitutional Law - Due Process - Fishing Rights In The Public Waters Of Michigan

Michigan Law Review

The Ne-Bo-Shone Association, Inc., is an Ohio corporation which owns property on both banks of the Pine River for some distance. Following the decision of the Michigan Supreme Court in Collins V. Gerhardt that the stream is navigable and public, the complainant association was ordered to remove obstructions in the stream which hampered the free use of the stream by the public for fishing purposes. Thereupon complainant sought an in junction against certain public officials from taking action to remove these obstructions, claiming that it has the right to exclude the public from this portion of the Pine River, and …

Criminal Law And Procedure - Repeal Of Statute - Eighteenth Amendment

Michigan Law Review

Defendants Chambers and Gibson were indicted on June 5, 1933, for conspiracy to violate the National Prohibition Act, and for possessing and transporting liquor in violation of the Act. Chambers pleaded guilty, and the case was continued to the December term. The case was called for trial as to Gibson on December 6, 1933. Chambers filed a plea in abatement, and Gibson demurred to the indictment. Held, the repeal of the Eighteenth Amendment, by the adoption of the Twenty-first, proclaimed December 5, 1933, barred further prosecution. United States v. Chambers and Gibson, (U.S. Sup. Ct. 1934) 1 U.S. …

Constitutional Law-Right To Competition

Michigan Law Review

The appellee was engaged in the business of selling natural gas. A rival utility entered the field duplicating the plant and facilities of the appellee and established with the consent of the Public Service Commission a rate lower than the prevailing rate charged by the appellee. In an attempt to retain its customers against the lower prices of its competitor the appellee lowered its rate several times. The appellants finally ordered the appellee to submit evidence as to the reasonableness of its rates. Upon investigation the Public Service Commission found that the business in the territory was capable of supporting …

Constitutional Law - Moratory Legislation

Michigan Law Review

A Minnesota statute, in view of the economic emergency, provided, among other things, that courts might, upon petition of a mortgagor, extend the period of redemption from mortgage foreclosure sales for a definite time not beyond May 1, 1935. If a court took such action, the mortgagor was to remain in possession of the premises and pay a reasonable rental to the mortgagee. Held, by the United States Supreme Court in a five-to-four decision, that this statute did not violate the contracts, or due process, or equal protection clauses of the Constitution. Home Building and Loan Association v. Blaisdell …

Constitutional Law - Federal Control Over Crime - Scope Of Power To Regulate Crime Under The Commerce Clause

Michigan Law Review

The increase of criminal activities interstate in scope, and the growing dissatisfaction with state enforcement of local laws, have focused attention of late upon the power of Congress to regulate crime under the commerce clause of the Constitution. Outstanding among proposals for congressional legislation are the following: making interstate felonies federal offenses; punishing criminals who flee across state lines after committing a crime; and restricting the sale and transportation of firearms. Most, if not all, of this suggested legislation must rest on the commerce clause for its validity. We purpose here to discuss the nature and scope of this power, …

Constitutional Law - Force And Effect Of Clauses Providing For Payment Of Private Indebtedness In Gold

Michigan Law Review

Certain Belgium company bonds were issued providing for payment of interest "in sterling in gold coin of the United Kingdom of or equal to the weight and fineness existing on September 1, 1928." After England had left the gold: standard the issuing company sought to make interest payments in depreciated pounds. Plaintiff bondholder sought to enforce payment of sufficient depreciated currency to enable him to purchase on the day of payment gold in the same quantity as he would have received had payment been due September 1, 1928. The English House of Lords held for plaintiff, reversing the decision of …

Process In Actions Against Non-Resident Motorists, Maurice S. Culp

Michigan Law Review

Personal service on the defendant within the jurisdiction of a State is the conventional form of process in personal actions. But considerations of convenience and public need have resulted in recognizing an additional form of process in personal actions against nonresident motorists. Statutes in 35 States authorize the commencement of suit against the non-resident motorist by substituted service on a public official of the State where the cause of action arises; the official is made for this purpose the agent or attorney of the non-resident motorist.

It is proposed herein to discuss (1) the constitutional basis of such legislation, and …

Constitutional Law - Emergency Banking Act - Delegation Of Power

Michigan Law Review

Defendant was indicted in two counts: (1) for failure to file a return in respect to gold bullion held by him, and (2) for holding over $200,- 000 in gold bullion without a license, in violation of the Presidential Order of August 28, 1933, issued by authority of the Emergency Banking Act of March 9, 1933. This Act declared an emergency to exist, by Title I, sec. 2 amended the Trading with the Enemy Act by authorizing the President "during time of war or during any other period of national emergency declared" by him to regulate or prohibit (inter …