Digital Commons Network^™

Constitutional Law -The Railroad Retirement Act - Interstate Commerce - Due Process

Michigan Law Review

Serious obstacles were placed in the path of social legislation by the Supreme Court's decision holding the Railroad Retirement Act unconstitutional.1 To what extent the narrow view taken of the permissible field of regulation of interstate commerce will interfere with other legislation based on the commerce power remains to be seen. The majority of the Court, speaking through Mr. Justice Roberts, found the Act objectionable both as violating the due process clause of the Fifth Amendment of the Constitution and as not being a regulation of commerce under the commerce clause. Before taking up these two aspects of the case, …

Criminal Law And Procedure -Automobiles - Constitutional Law-Criminal Liability Of Owner Of Automobile

Michigan Law Review

The recent decision of the Supreme Judicial Court of Massachusetts in the case of Commonwealth v. Ober has brought to the fore a serious administrative problem arising out of the enforcement of traffic regulations. The problem is particularly acute in the illegal parking cases. Here it is usually impossible for the policeman to do more than tag the car, take down its registration number, and institute proceedings against the registered owner. The difficulty also often occurs in many other situations such as driving through red lights or stop streets where the offense is observed by a patrolman standing near by …

Constitutional Law-Exclusion From Juries On Grounds Of Race And Color-Scottsboro Case

Michigan Law Review

A negro convicted of rape in one of the so-called "Scottsboro" cases moved to quash the indictment and the trial venire, alleging systematic exclusion of negroes from the grand and petit juries on the grounds of race and color. The trial court overruled the motions, and the Alabama Supreme Court sustained this decision, holding that the evidence failed to establish such exclusion. On certiorari to the United States Supreme Court, held, that the refusal to quash the indictment and trial venire was a denial of equal protection of the laws contrary to the Fourteenth Amendment, since the evidence on …

Constitutional Law-Presidents Power To Remove Federal Officers

Michigan Law Review

The Federal Trade Commission Act provided that, "Any commissioner may be removed by the President for inefficiency, neglect of duty, or malfeasance in office." The President, in removing a commissioner who had been appointed with the consent of the Senate for a seven-year term, disclaimed any reflection upon the commissioner personally or upon his services, but stated that the removal was made because " . . . I do not feel that your mind and my mind go along together on either the policies or the administering of the Federal Trade Commission, and, frankly, I think it best for the …

Constitutional Law - Reinstatement Of Attorney - Constitutionality Of Pardon Statute - Legislative Encroachment On Judicial Power

Michigan Law Review

In proceedings based on the record of his conviction for attempted extortion, the petitioner was disbarred. Having received a full pardon from the governor, he sought reinstatement, relying on a statute which purported to make reinstatement mandatory on the court upon proof of the pardon. Held, the statute is unconstitutional in so far as it directs the court to reinstate a disbarred attorney without a showing of moral rehabilitation. It is an encroachment by the legislature upon the inherent power of the court to admit attorneys to practice and in effect vacates a judicial order by legislative mandate. In …

Constitutional Law -Validity Of State Mortgage Moratorium Statutes - Effect Of Emergency

Michigan Law Review

A Maryland statute provided that mortgagees holding less than a 25 per cent interest in a mortgage could not have recourse to summary remedies for sale of mortgaged property during an emergency period declared to exist until June 1, 1935. Plaintiff, the holder of such an interest in a mortgage providing for summary proceedings for sale upon default, had the right to foreclose in this manner, mortgagor having defaulted, if the statute did not bar his action. Held, the remedies denied were so interwoven with the rights contracted for that the abolition of such remedies impaired the right, and …

Criminal Law And Procedure -Attempt To Commit Murder

Michigan Law Review

The accused had repeatedly threatened to kill one Albert Jeans. Subsequently the accused, armed with a rifle, was seen to approach a number of men among whom was Jeans working in a field. The workmen saw him pause, apparently load the rifle, and proceed toward Jeans. When about two hundred yards from Jeans, he was intercepted by one of the workmen who took the rifle from him, the accused offering no resistance. The rifle was found to be loaded. The court held that there was sufficient evidence of overt acts on the part of the defendant to constitute an attempt …

International Law-Expatriation-Citizenship Of Child Lost By Removal And Expatriation Of Father

Michigan Law Review

Petitioner, a native-born American woman, was taken to Canada by her father who became naturalized there while she was still a minor. Petitioner later married a British subject and seeks naturalization here under a statute authorizing this to American women who have lost their citizenship through marriage to an alien. A treaty in force between the United States and Great Britain provided that persons naturalized according to Canadian law should lose American citizenship. The Canadian statute provided that if the father became naturalized, his minor children should, "within Canada," be deemed Canadian subjects. Held, that petitioner had not lost her …

Public Utilities - Rates -Value Of The Service As Basis

Michigan Law Review

The power company had been serving a sparsely settled rural district in Utah for many years; it had never during its history paid dividends of over 5 per cent, during the last fourteen years it had averaged 3.75 per cent, and during the last five years 2.75 per cent. On the petition of customers who argued that the company should bear part of the burdens of the economic depression, the state utilities commission ordered a ten per cent reduction of all rates on the basis that the charge should not be more than the service was worth. Held, while …

Special Assessments - Constitutionality Of Legislation Modifying Means Of Enforcement Of Special Assessment Liens

Michigan Law Review

An Arkansas statute, affecting the mortgage securing certain special assessment bonds, provided, inter alia, for the extension of the interval between default in payment and sale under foreclosure from sixty-five days to at least two and a half years, reduced the penalty for non-payment from twenty per cent to three per cent, and provided that the possession of the delinquent property owner be undisturbed for four years after sale on foreclosure, thus modifying the law existing at the time the bonds were issued. The United States Supreme Court held the statute to be invalid as violating the constitutional prohibition …

Taxation - Constitutionality Of Graduated Sales Taxes

Michigan Law Review

A Kentucky statute of 1930 levied a tax on gross retail sales at rates varying from 1/20 of one per cent on gross sales up to $400,000 per year, to one per cent on all gross sales over $1,000,000 annually. For the purpose of this tax all retail stores under the same ownership, operation or control, directly or indirectly, were treated as a unit; hence, the heavier rates of the tax fell upon the chain stores and large department stores. A group of chain and department stores sought to enjoin the collection of the tax, as contrary to the state …

Taxation - Delinquency Statute - Constitutionality Of Provision Remitting Back Taxes

Michigan Law Review

Mandamus proceedings were begun to compel a county auditor to accept four-fifths of the taxes as originally assessed on certain land in full payment and discharge of those taxes for the years 1929 and 1930, in accord with the tax remission provision of Minnesota Laws 1933, c. 414, sec.1. Held, that allowing discharge of past taxes during the redemption period by payment of a fraction of those originally assessed was contrary to the uniformity clause of the state constitution as an unreasonable and arbitrary classification, since it resulted in allowing a lower tax rate to delinquent taxpayers than was …

The English Rule As To Liability For Unintended Consequences, George C. Tilley

Michigan Law Review

The question how far a defendant is liable in tort for the unintended consequences of his wrongful act, generally supposed to have been settled for England by the case of In re Polemis and Furness, Withy & Co., Ltd., has recently been reopened by the House of Lords decision in the case of Liesbosch Dredger v. S. S. Edison. Defendants, owners of the Edison, negligently sank the plaintiffs' dredger Liesbosch while the latter was being used by the plaintiffs in performance of a profitable contract to construct a harbor at Patras, Greece. There was evidence that, …

Torts - Inducing Breach Of Contract

Michigan Law Review

The recognition of inducement of breach of contract as a tort came only in comparatively recent times, its first clear enunciation being in Lumley v. Gye in 1853. Prior to that case there had been an accepted doctrine that interference with the relation of master and servant was an actionable wrong. Sayre finds the roots of the liability for enticement of servants in the Ordinance of Labourers passed after the Great Plague, and in a confusion of the action based on that statute and the action for forcibly interfering with the servants of another. In Lumley v. Gye the action …

Constitutional Law - Discrimination Against Negroes - Control Of Party Membership, Everett S. Brown

Michigan Law Review

The petitioner, R. R. Grovey, allegedly a citizen of the United States and of Texas, and possessing all the qualifications of a voter, was refused a ballot for a Democratic party primary because he was of the Negro race. Grovey demanded ten dollars damages from the respondent, Albert Townsend, the county clerk, a state officer. The Revised Civil Statutes of Texas provide for primary elections and regulate absentee voting. When Grovey demanded of Townsend an absentee ballot it was refused in virtue of a resolution of the state Democratic convention of Texas, adopted May 24, 1932, as follows:

"Be it …

Constitutional Law - Eminent Domain - Power Of Federal Government To Condemn Land For Slum Clearance Project

Michigan Law Review

In proceedings by the United States government to condemn certain lands in the city of Louisville for the purpose of a slum clearance and low cost housing project, several property owners demurred to the condemnation petitions as being beyond the constitutional powers of the federal government. Although the United States contended that the property was being taken for a public use, in the sense of general public advantage, and that the project was a valid expenditure of public funds for the general welfare, it was held that this condemnation was not within the power of the federal government. United States …

The Effect Of Inflation On Private Contracts: United States, 1861-1879, John P. Dawson, Frank E. Cooper

Michigan Law Review

The Northern inflation coincided almost exactly in its early stages with the inflation in the South, and was produced by the same basic factor - a budgetary deficit due to war expenditure. The financial mobilization of the North was handicapped at the outset by a deficit inherited from the previous administration and by an impaired national credit. The prompt response of the Northern banks enabled the Treasury to overcome this initial handicap and to finance the greatly increased expenditure through the early months of the war. How long orthodox methods of borrowing would have sufficed has been ever since a …

Taxation - Constitutionality Of Chain Store Taxation

Michigan Law Review

The plaintiff corporation filed a bill asking a permanent injunction against the enforcement of the Michigan chain store tax, which imposes a graduated levy, the amounts increasing from ten dollars per year per store for two stores owned, to two hundred fifty dollars per year per store for stores in "chains" of twenty-six or more. The plaintiff contended that the statute was unconstitutional under the "uniformity" clause of the state constitution and the equal protection of the laws clause of the federal Constitution. Held, the act is constitutional. C. F. Smith Co. v. Fitzgerald, 270 Mich. 659, 259 …

Attorney And Client - Duty Of Attorney To Follow Client's Instructions

Michigan Law Review

An attorney's duty, where he is specially instructed, is to follow the instructions of his client, except as to matters of detail connected with the conduct of the suit, and he is liable for all losses resulting from his failure to follow such instructions with reasonable promptness and care.

Criminal Law And Procedure - Indecent Exposure - Nudism

Michigan Law Review

The two recent cases of People v. Ring and People v. Burke have raised the interesting question of the legal position in this country of the practice of organized nudism. Inasmuch as the decisions are difficult to reconcile, the result is somewhat disconcerting.

Bills And Notes-Alteration By Collateral Written Agreement

Michigan Law Review

Defendant was accommodation indorser on two of four notes executed at the same time with different maturity dates. As part of the same transaction, but unknown to the defendant, the maker, two other indorsers, and the payee, plaintiff in the cause, entered into an agreement in writing whereby the maturity of the unpaid notes would be accelerated on default as to any due. Held, in, an action on the notes, that instruments simultaneously executed and referring to the same subject matter are to be construed together, and the effect of such integration here was to bring about an alteration …

Constitutional Law - Agricultural Adjustment Act - Validity Of Milk Licenses Under Section 8 (3)

Michigan Law Review

Pursuant to the authorization of Section 8 (3) of the Agricultural Adjustment Act, the Secretary of Agriculture issued a blanket license in the Baltimore Sales Area whereby the distributors of fluid milk or its products in the current of interstate or foreign commerce were subjected to detailed regulation of production and purchase and resale prices. The plaintiff dairy company, handling milk produced and consumed exclusively within the state, sought an in junction against the enforcement of the license. Held, in granting a final decree, that the plaintiff's activities were not in the current of and that they did not …

Constitutional Law - Power Of Congress To Punish For Contempt - Power To Punish For Completed Acts

Michigan Law Review

Petitioner was attorney for certain air lines and during the course of the "Air Mail" contracts investigation in the Senate in 1934 was ordered to produce certain correspondence. He delayed, claiming an attorney's privileges, and either he or his partner allowed clients to remove certain of the papers asked for from his files. Some of the papers were later returned by the clients, and others were destroyed. Petitioner was committed for contempt of the Senate and brought habeas corpus proceedings. Held, (1) neither the fact that an obstruction of legislative process has been removed or that its removal has …

Constitutional Law - Price Fixing - Limits Of Administrative Discretion

Michigan Law Review

An order of the New York Milk Control Board prescribed a minimum selling price to be charged by wholesale dealers to their customers and also a minimum buying price to be paid by the dealers to producers. Competition fixed the minimum selling price as the maximum obtainable. Plaintiff, a wholesale dealer, could not operate at a profit and sued to enjoin enforcement of the order as arbitrary and hence violative of due process. Held, that upon these facts only, with nothing to show that efficient dealers could not operate profitably, the price limits were not arbitrary. Hegeman Farms Corp. …

Constitutional Law-Service Of Process-Jurisdiction Over Non-Resident Acquired By Service Upon Resident Agent, Maurice S. Culp

Michigan Law Review

Henry L. Doherty, a non-resident of the State of Iowa, did business within the state under the name of Henry L. Doherty & Co., with a district manager in charge of the office at Des Moines. Under the manager were clerks and salesmen engaged in the business of selling securities. One of these salesmen made an illegal sale to Goodman, and for damages resulting from the transaction Goodman brought suit in 1931, serving in the regular manner in accordance with the provisions of section 11079 of the Iowa Code the district agent at the Des Moines office. Doherty appeared specially …

Book Notes, Michigan Law Review

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.

Contracting By Reference To Price Indices, John P. Dawson, James Will Coultrap

Michigan Law Review

The commodity price index number has been defined as a "figure which shows the average percentage change in the prices of a number of representative goods from one point of time to another." In the preceding article it has been argued that the use of the index number in private contracts as a method of expressing stable values is not prohibited by the gold-clause resolution of June 5, 1933; that in the decisions of the United States Supreme Court sustaining this legislation there is nothing to indicate that such contracts would run counter to the Government's policies in the control …

Corporations - Depreciation And Net Profits For Dividend Purposes

Michigan Law Review

This discussion will deal only with cash dividends on par value stock. It proceeds on the assumption that dividends in a particular jurisdiction may be paid only from "net profits," but it is not the writer's purpose to interpret "net profits" except so far as that term is affected by depreciation. The discussion will consist of a short examination of the economic nature of depreciation; a consideration of accounting techniques for handling depreciation in the accounts, with an evaluation of these techniques from the point of view of analytical jurisprudence; and a discussion of the case law.

Criminal Law And Procedure - Statute Of Limitations - Time Of Commission Of Offense Matter Of Defense Or Of Jurisdiction

Michigan Law Review

Defendant pleaded guilty to rape and was sentenced to imprisonment upon an indictment which showed upon its face that the period allowed by the statute of limitations had elapsed since the offense charged had been committed, and there were no allegations setting forth an exception to the running of the statute. Later, defendant moved to set aside the judgment on the ground that the court lacked jurisdiction. Held, the judgment was void and the defendant should be released. People v. McGee, (Cal. 1934) 36 Pac. (2d) 378.

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 in a personal injury action; he moved for a new trial on the ground of inadequate damages. Having obtained consent of defendant to entry of judgment for $1500, the trial judge denied the motion. Plaintiff appealed. Held, this procedure was a violation of the Seventh Amendment of the Constitution; a new trial must be granted. Dimick v. Schiedt, (U. S. 1935) 55 Sup. Ct. 296.