Law Commons^™

Commerce, Jack M. Balkin

Michigan Law Review

This Article applies the method of text and principle to an important problem in constitutional interpretation: the constitutional legitimacy of the modem regulatory state and its expansive definition of federal commerce power Some originalists argue that the modem state cannot be justified, while others accept existing precedents as a "pragmatic exception" to originalism. Nonoriginalists, in turn, point to these difficulties as a refutation of originalist premises. Contemporary originalist readings have tended to view the commerce power through modem eyes. Originalists defending narrow readings offederal power have identified "commerce" with the trade of commodities; originalists defending broad readings of federal power …

Noontime Dumping: Why States Have Broad Discretion To Regulate Onboard Treatments Of Ballast Water, Kyle H. Landis-Marinello

Michigan Law Review

Ballast water discharges from shipping vessels are responsible for spreading numerous forms of aquatic invasive species, a form of biological pollution that leads to billions of dollars in annual costs. In the wake of inaction from the federal government and inaction from the shipping industry, several Great Lakes states are currently considering legislation to address the problem. Michigan has already passed a law to prevent ballast water introductions of invasive species. As states begin to regulate ballast water discharges from oceangoing vessels, such laws will likely face challenges based on the constitutional principles of the Dormant Commerce Clause and the …

The Commerce Clause Meets The Delhi Sands Flower-Loving Fly, John Copeland Nagle

Michigan Law Review

The protagonist in our story has six legs, is one inch long, and dies two weeks after it emerges from the ground. To the untrained eye, the Delhi Sands Flower-Loving Fly looks like, well, a big fly. Entomologists know better. This particular fly can hover like a hummingbird as it uses its long tubular nose to extract nectar from flowers. It can only live in particular fine soils - the Delhi sands - that appear in patches over a forty square mile stretch from Colton to Ontario, California. Today only a few hundred Delhi Sands Flower-Loving Flies survive in less …

The Constitution's Forgotten Cover Letter: An Essay On The New Federalism And The Original Understanding, Daniel A. Farber

Michigan Law Review

At the end of the summer of 1787, the Philadelphia Convention issued two documents. One was the Constitution itself. The other document, now almost forgotten even by constitutional historians, was an official letter to Congress, signed by George Washington on behalf of the Convention. Congress responded with a resolution that the Constitution and "letter accompanying the same" be sent to the state legislatures for submission to conventions in each state.

The Washington letter lacks the detail and depth of some other evidence of original intent. Being a cover letter, it was designed only to introduce the accompanying document rather than …

Foreword, Louis H. Pollak

Michigan Law Review

Introduction to the Symposium Reflections on United States v. Lopez

Enumerated Means And Unlimited Ends, H. Jefferson Powell

Michigan Law Review

United States v. Lopez can be read as a fairly mundane disagreement over the application of a long-settled test. The Government defended the statute under review in the case, the Gun-Free School Zones Act of 1990, along familiar lines as a permissible regulation of activity affecting interstate and foreign commerce.

In this essay, I do not address the question whether Lopez was an important decision. My concern instead is with the problem that underlies Lopez's particular issue of the scope of the commerce power: Given our commitment to limited national government, in what way is the national legislature actually limited? …

Commerce!, Deborah Jones Merritt

Michigan Law Review

In this article, I explore the Supreme Court's new definition of "Commerce ... among the several States."9 In Part I, I examine three new principles that Lopez announces and that could significantly rework the Court's Commerce Clause jurisprudence. Part II, however, shows that these principles must be understood in the context of almost a dozen factors narrowing the Supreme Court's Lopez decision. Part II also demonstrates that the lower courts have understood the contextual uniqueness of Lopez and already have distinguished the decision in upholding more than half a dozen broad exercises of congressional authority. Part III then shows that …

"A Government Of Limited And Enumerated Powers": In Defense Of United States V. Lopez, Steven G. Calabresi

Michigan Law Review

The Supreme Court's recent decision in United States v. Lopez marks a revolutionary and long overdue revival of the doctrine that the federal government is one of limited and enumerated powers. After being "asleep at the constitutional switch" for more than fifty years, the Court's decision to invalidate an Act of Congress on the ground that it exceeded the commerce power must be recognized as an extraordinary event. Even if Lopez produces no progeny and is soon overruled, the opinion has shattered forever the notion that, after fifty years of Commerce Clause precedent, we can never go back to the …

The Dormant Commerce Clause And State-Mandated Preference Laws In Public Contracting: Developing A More Substantive Application Of The Market-Participant Exception, Benjamin C. Bair

Michigan Law Review

This Note argues that the current focus on the relationship between states and their local governments as the key determinant of the constitutional validity of state-mandated preference laws is flawed. Instead, a court considering the validity of a state-mandated preference law should uphold such a law only if it distributes the benefits of state expenditures to state residents and does not excessively burden interstate commerce.

The Dormant Commerce Clause And State-Mandated Preference Laws In Public Contracting: Developing A More Substantive Application Of The Market-Participant Exception, Benjamin C. Bair

Michigan Law Review

This Note argues that the current focus on the relationship between states and their local governments as the key determinant of the constitutional validity of state-mandated preference laws is flawed. Instead, a court considering the validity of a state-mandated preference law should uphold such a law only if it distributes the benefits of state expenditures to state residents and does not excessively burden interstate commerce.

Untangling The Market-Participant Exemption To The Dormant Commerce Clause, Dan T. Coenen

Michigan Law Review

This article explores the market-participant rule. Part I traces the rule's evolution and shows how it has proven less rigid than some initially feared. Part II probes the roots of the rule by challenging justifications for it suggested by other observers. Part III offers an alternative theory of the market-participant doctrine, arguing in particular that it rests on a cluster of rationales that properly have led· the Court to uphold marketplace preferences as the "general rule." Part IV builds on Part III to advance a new, four-part framework for evaluating market-participant issues. Part V then uses that framework to apply …

Commerce Clause Restraints On State Taxation: Purposeful Economic Protectionism And Beyond, Walter Hellerstein

Michigan Law Review

Few questions in recent years have spawned as much controversy and as little academic interest as the scope of commerce clause restraints on state tax power. The Supreme Court has handed down an extraordinary number of significant decisions addressed to the limitations the commerce clause imposes on state taxation. Yet these decisions have barely caught the eye of the nation's leading law reviews or constitutional scholars. Even those observers who have recognized the Court's renaissance of interest in the dormant commerce clause have largely confined their attention to state regulation, as distinguished from state taxation, of interstate commerce. If there …

Second Generation State Takeover Legislation: Maryland Takes A New Tack, Michigan Law Review

Michigan Law Review

This Note examines the approach recently adopted by the Maryland legislature in special session one year after the Supreme Court's decision in MITE. Maryland has departed radically from the regulatory approach of first generation statutes; however, this Note argues that the statute has failed to escape the constitutional infirmities of its predecessors. Part I outlines the various mechanisms that regulate acquisition of corporate control: the federal tender offer regulatory mechanism known as the Williams Act, state takeover legislation such as the Illinois statute invalidated in MITE, and the new Maryland statute. Part II analyzes the debate concerning the …

Constitutional Law-Civil Rights-Threat Of Mob Violence As Justification For Restraint On Exercise Of Right To Travel In Interstate Commerce, Chester A. Skinner

Michigan Law Review

Pursuant to a plan to test for racial segregation in interstate commerce facilities, white and Negro students traveled through Alabama on an interstate bus journey. In Birmingham and Anniston, the students were assaulted by members of the Ku Klux Klan and other conspirators; at or near Anniston one of the buses was destroyed. On arrival at Montgomery, the students were again assaulted and intimidated by members of the Ku Klux Klan and various other individuals. The Montgomery police, with full knowledge of the impending violence, did nothing to protect the personal safety of the interstate travelers. The plaintiff, United States, …

Constitutional Law - Commerce Clause - Local Smoke Control Ordinance Not An Undue Burden On Interstate Commerce, John M. Niehuss

Michigan Law Review

In accordance with a scheme of federal ship inspection, appellant possessed certificates which permitted its ships to operate on the Great Lakes and which specified the type of boiler which might be used. While two of its ships were docked in Detroit, smoke was emitted from their boilers in violation of the minimum density and duration requirements of the Detroit Smoke Abatement Code. The equipment which appellant was then using made compliance with the ordinance impossible. When criminal proceedings were instituted against appellant, it brought an action to enjoin the City of Detroit from enforcing the ordinance on the theory …

Constitutional Law - Commerce Clause - Power Of States To Levy Net Income Tax On Businesses Engaged In Soley Interstate Commerce, John C. Peters S.Ed.

Michigan Law Review

Appellant, an Iowa corporation, maintained a sales office in Minnesota and employed salesmen who solicited orders from dealers within that state, though all of its sales contracts were made at the corporation's home office in Iowa. In accordance with a Minnesota statute, a state net income tax, fairly apportioned to the state's share of the corporation's interstate business, was levied upon appellant. In a suit brought by the state to collect this tax, appellant contended that the statute as applied violated the commerce and due process clauses of the Federal Constitution because it taxed the net proceeds of a business …

Constitutional Law - Interstate Commerce - Power Of States To Recalculate Aircraft Operating In Interstate Commerce, Robert W. Steele

Michigan Law Review

Defendant village, located one mile from Idlewild Airport, passed an ordinance prohibiting air flight over the town at less than 1,000 feet. Plaintiffs brought suit to enjoin enforcement of the ordinance, with Civil Aeronautics Board intervening as· plaintiff. The Civil Aeronautics Act of 1938 gives the CAB the authority to regulate aircraft in navigable air space, and the authority to define navigable airspace by setting minimum altitudes for flight. The CAB minimum altitude rules provide that aircraft flying over congested areas shall not be operated below 1,000 feet above the highest obstacle within a horizontal radius of 2,000 feet, except …

Constitutional Law - Commerce Clause - Federal Jurisdiction In Trade-Mark Infringement Proceedings Under The Lanham Act, Richard R. Dailey

Michigan Law Review

Plaintiff's trade-mark, "Minute Maid," had been registered under the Lanham Act in 1952 and had been used in interstate commerce in connection with the sale of frozen fruit juice concentrates since that time. Defendant's trade-mark consisted in part of the words "Minute Made." Defendant used its mark wholly within the State of Florida in the processing and sale of frozen meat products. Both plaintiff and defendant were Florida corporations. In a suit for trade-mark infringement, jurisdiction of the federal district court depended. on the provisions of the Lanham Act. The complaint alleged damage to plaintiff's good will established in interstate …

Constitutional Law - Commerce Clause - State Statute Requiring Interstate Motor Carrier To Secure A Permit, Marvin O. Young S.Ed.

Michigan Law Review

Petitioner brought an action in an Arkansas state court to enjoin enforcement of a state statute which required all contract carriers using the highways of the state to secure a permit from the state Public Service Commission. The Arkansas Supreme Court found that five driver-owners who had been arrested while transporting petitioner's product in interstate commerce without such a permit were "contract carriers" within the meaning of the statute. Neither petitioner nor any of the drivers had applied for a state permit. Under the terms of the statute, granting of the permit was contingent on certain factors, such as the …

Constitutional Law-Commerce Clause-Freedom Of Press-Amenability Of Newspaper To Sherman Anti-Trust Act, William K. Davenport

Michigan Law Review

Until a competing radio station appeared on the scene in 1948, defendant newspaper was the only medium for mass advertising available in the Lorain, Ohio area. In an effort to regain its monopoly position and eliminate the radio station as a competitor, defendant inaugurated a policy of refusing to accept custom from advertisers who employed the services of its rival. Both the newspaper and the radio station received news dispatches, advertising copy, payments, and other materials from sources outside Ohio, but neither had any appreciable audience beyond the borders of the state. In a civil action brought by the United …

Labor Law--Federal-State Relations--Validity Of Michigan's Labor Mediation Act, R. L. Storms S.Ed.

Michigan Law Review

Plaintiff labor union called a strike against defendant auto corporation in May, 1948, without conforming to the prescribed state procedure. The purpose of the strike was to enforce demands for higher wages and the strike was conducted peacefully. To enjoin possible criminal prosecution the union instituted the instant suit in the state courts, contending that the Michigan labor mediation law, the much publicized "Bonine-Tripp Act," violated the due process and commerce clauses of the Federal Constitution. The Michigan Supreme Court reversed the decision of the trial court which had granted the injunction. On appeal, held, reversed. Congress has occupied …

Constitutional Law--Commerce Clause--Due Process--State Taxation Of Interstate Barges, E. Blythe Stason, Jr.

Michigan Law Review

Action was brought to recover ad valorem taxes assessed and collected by the City of New Orleans and the State of Louisiana on plaintiff's freight ba1ges used in interstate commerce. Plaintiff was a foreign corporation, and its barges were enrolled at ports outside Louisiana but were not taxed by the state of incorporation. They moved, without a fixed schedule, on the Mississippi River. The tax was apportioned on the basis of miles travelled in Louisiana to miles travelled everywhere. Plaintiff argued that the tax violated the due process and commerce clauses of the Constitution because the vessels acquired no tax …

Courts-Jurisdiction-Constitutionality Of Statute Establishing Jurisdiction Over Nonresident Conducting Business In State Through Resident Agent, David D. Ring

Michigan Law Review

Defendant, a resident of Utah, sued petitioner, a resident of California, to recover construction costs and contractor's fee for the erection of a building at petitioner's Utah place of business. In accordance with a statute of Utah providing that jurisdiction over a nonresident individual doing business in the state could be obtained in all actions arising out of the conduct of the business by serving process on the resident agent managing the business, summons was served on the petitioner's Utah manager. Petitioner appeared specially and moved to quash the summons for lack of jurisdiction, which motion was denied. He then …

Constitutional Law-A Federal Commercial Code-Some Possibilities Under The Constitution, Merrill N. Johnson

Michigan Law Review

It is the purpose of this comment to examine various possibilities of federal action which would help to bring about unification, simplification and clarification in the field of commercial law. The term "commercial law" has no commonly accepted connotation; it is taken here to ·include the law of transfers of personal property by commercial methods, of negotiable instruments, of chattel securities, of agency and of business associations; in short, all those fields of law which a Continental lawyer would term "private commercial law."

Constitutional Law - Commerce Clause - Power To Regulate Intrastate Transactions - Milk Prices, Michigan Law Review

Michigan Law Review

Pursuant to the Agricultural Marketing Agreement Act of 1937, conferring on the Secretary of Agriculture the power to regulate the handling of milk which is "in the current of interstate or foreign commerce, or which directly burdens, obstructs or affects interstate or foreign commerce in such commodity or product thereof," the secretary issued marketing orders fixing minimum prices to be paid to producers of milk in the Chicago area. Respondent, who purchased and sold milk only within the state of Illinois, refused to comply with the order. The United States sought enforcement of the order, but the complaint was dismissed. …

Constitutional Law - State Proration Acts - Regulation Of Production When Sales Are Largely Interstate, Michigan Law Review

Michigan Law Review

The plaintiff, a raisin packer in the state of California, was prevented from purchasing in open market to fill his out-of-state orders because of the California Agricultural Proration Act. By its provisions the producers of raisin grapes are required to turn over seventy per cent of their produce to state "pools." The remaining thirty per cent may be sold without restriction, providing the producer holds certificates issued by a commission. Packers are permitted to purchase only from such certificate holders. These packers operate within California, buying from producers and selling to jobbers, wholesalers, brokers, etc., for resale to the public. …

Constitutional Law - Validity Of State Use Tax On Mail Order Sales Of Foreign Corporation, Michigan Law Review

Michigan Law Review

The respondent, a New York corporation licensed to do retail business in Iowa, did a large mail order business there also. Iowa customers sent orders by mail to the company's warehouses located outside that state, and the merchandise was shipped directly to the purchaser. On these mail order sales the company neither collected from its customers, nor paid to the state, the Iowa use tax. The petitioner, chairman of the state tax commission, threatened to cancel the respondent's license as a retailer and its permit to do business in Iowa unless such use tax were paid. Respondent obtained an injunction …

Constitutional Law - Due Process - Federal Price Control Under Commerce Clause For Milk And Coal Industries, Stark Ritchie

Michigan Law Review

As a natural concomitant of the prevailing laissez-faire economic philosophy, a strong feeling against any governmental regulation of business prevailed in American legislatures until well into the second half of the nineteenth century. Prices were considered to be especially immune to governmental tampering. The first step in the breakdown of the notion that government had no power over prices was the case of Munn v. Illinois. This decision introduced the doctrine that the legislature had the right to regulate prices in any business which the courts should find to be "affected with a public interest." Posed as a deceivingly …

Constitutional Law - National Firearms Act - Usurpation Of Police Power Of States - Constitutional Right To Bear Arms, Michigan Law Review

Michigan Law Review

Defendants were indicted for violating section 11 of the National Firearms Act by transporting a firearm in interstate commerce without having registered it, and without having in their possession a stamp-affixed written order for the firearm. Their demurrer alleged that the act was unconstitutional because it was not a revenue measure but an attempt to usurp police power reserved to the states, and because it infringed the constitutional right to bear arms. The district court sustained the demurrer on the ground that this section of the act violated the constitutional right to bear arms. Held, on appeal, that the …

Constitutional Law - Twenty-First Amendment - Validity Of State Statute Discriminating Against Liquor Imports, Benjamin Guille Cox

Michigan Law Review

A Michigan statute prohibited local dealers from selling beer manufactured in a state designated by the Michigan Liquor Control Commission, acting pursuant to statutory standards, as one which by its laws discriminated against Michigan-made beer. Because Indiana was one of ten states so designated, an Indiana brewing company filed a bill in the federal court to enjoin enforcement of the Michigan statute as unconstitutional under the interstate commerce, equal protection and due process clauses of the Federal Constitution. Held, that the bill should be dismissed, since the statute, even though discriminating among importers, was a valid enactment under the …