Exceptions
What is one of the Dormant Commerce Clause Exceptions?
1. Market Participant: when the state is acting as a a producer or supplier rather than regulators, they may discriminate and favor their own people
2. Congressional Approval: once Congress gives the ok, no longer dormant
DCC regulates laws which are 1) and 2)
1) discriminatory (facially or in purpose/impact)
2) neutral but have incidental effects on interstate commerce
Milk case: facially neutral but discriminatory purpose/effect
facts: discriminatory tax/subsidy system.
West Lynn Creamery
trains!! facially neutral, but burden too high on interstate commerce
Southern Pacific
what is the commerce clause 2 part test?
(2) Congress must have a rational basis for the regulation
Market Partipcant Case Example:
Reeves v. State, making their own cement, may discriminate in priority of distribution
What to do with neutral laws which have an incidental effect?
PIKE TEST
1) determine whether state interest is legitimate (health safety)
2) weigh that interest with the burden imposed on commerce
Milk case: neutral and okay
facts: court found burden on out of state plastic company was not "clearly excessive" in comparison to states legitiimate interest in conservation
Clover Leaf Creamery
Exxon Mobile
What are the 3 things that fall under "in commerce"?
1. channels
2. instrumentalities, persons, or things
3. things that substantially affect intertstate commerce, economic can aggregate!!
What is one of the Dormant Commerce Clause Exceptions?
1. Market Participant: when the state is acting as a a producer or supplier rather than regulators, they may discriminate and favor their own people
2. Congressional Approval: once Congress gives the ok, no longer dormant
What to do with discriminatory laws?
generally forbidden, however if state can show narrowly tailored (no other non-discriminatory means) to meet legitimate helath safety interest, ok
-milk case: discriminatory and had legitimate interest but not narrowly tailored!! other reaonable and non-discriminatory means
Dean Milk
USDA Stickers for all!
facially neutral, discriminatory purpose/effect and no legitimate health interets bc my apples are better than ur apples
Washington State Apple
Market Particpiant Case Example overreaching:
South Central Timber: went too far out of market participant bounds. can't impose conditions which have a regulatory effect. (sold timber contingent on timber being processed in state)
Name a goal of the dormant commerce clause:
1) prevent economic protectionism/isolation
2) prevent citizens from being harmed by states of which they have no political power
3) Congress is unable to address all state action that burdens commerce, cant do everything , everywhere, all the time
discriminatory, but had legit health/safety reasons w/ no alternatives
MAINE V TAYLOR
What is a legitimate state interest non-economic?
health/safety
wheat case, just trying to do his own thing!
Wickard
Congressional Approval Case Example:
Western Southlife: taxing out of state insurers with congress's approval. if congress acts, no longer dormant. rational basis
The Commerce Clause has two major components
1) gives Congress authority to regulate interstate commerce
2) places limits on the authority of states to regulate (if enumerated elsewhere, not given to states through 10th amendment)
-"all trash created equal"
discriminatory and states couldnt show legitimate health/safety issue
Philadelphia
What was Pike test case about?
cantoloupes
case which showed stats/data over how the activity did substantially effect interstate commerce but flopped, why?
Morrison, and not economic activity