Law in Contemporary Society

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AndrewCasciniFirstPaper 3 - 25 Feb 2010 - Main.AndrewCascini
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META TOPICPARENT name="FirstPaper"

It is strongly recommended that you include your outline in the body of your essay by using the outline as section titles. The headings below are there to remind you how section and subsection titles are formatted.

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Does the Market Participation Exception Make Sense?

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Does the Market Participation Exception Make Sense? (I hate this title, it must change)

 -- By AndrewCascini - 24 Feb 2010
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The Commerce Clause and the Dormant Commerce Clause

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GOALS:

The Commerce Clause. The Dormant Commerce Clause. Why we infer a DCC. What the DCC is designed to prevent.

TEXT:

Article I of the Constitution delegates many different powers to Congress. One of these powers is to "regulate Commerce... among the several states." This is referred to as the commerce clause, and this clause has been interpreted to authorize Congress to enact an extremely broad range of legislation.

While the Constitution never explicitly bars individual states from interfering with Congress' commerce power, the Supreme Court has inferred the presence of a "dormant commerce clause" from the text of Article I. This dormant commerce clause allows state and municipal legislation resulting in interference with interstate commerce to be evaluated and limited by the Supreme Court, even where Congress has passed no conflicting law. Legislation is often found to violate the dormant commerce clause on the grounds that the legislation is economically “discriminatory” to other states.

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Article I of the Constitution delegates many different powers to Congress. One of these powers is to "regulate Commerce... among the several states." This is referred to as the commerce clause. While the Constitution never explicitly bars individual states from interfering with this Congressional power, the Supreme Court has inferred the presence of a "dormant commerce clause" from the text of Article I. This dormant commerce clause allows state and municipal legislation resulting in interference with interstate commerce to be evaluated and limited by the Supreme Court, even where Congress has passed no conflicting law. Legislation is often found to violate the dormant commerce clause on the grounds that the legislation is economically “discriminatory” to other states.
 

The Market Participation Exception

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Origin

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In Hughes v. Alexandria Scrap Corp., the Court upheld a state program that aimed to reduce the number of junked cars. The state would purchase the cars, paying a disproportionate amount for cars with in-state plates and imposing less stringent documentation requirements from in-state scrap processors. “Nothing in the purposes of the Commerce Clause prohibits a state from participating in the market,” wrote Justice Powell for the majority.
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In Hughes v. Alexandria Scrap Corp., the Court upheld a state program that aimed to reduce the number of junked cars. The state would purchase the cars, paying a disproportionate amount for cars with in-state plates and imposing less stringent documentation requirements from in-state scrap processors. “Nothing in the purposes of the Commerce Clause prohibits a state from participating in the market,” wrote Justice Powell for the majority. Choosing to buy in-state junk and junk processing serves was merely participation.
 

Limitation

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Describe the downstream and upstream effects.
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Describe the downstream and upstream effects. (does this need to be here?)
 

MARKET PARTICIPATION VERSUS MARKET REGULATION

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THE DISCRETE LABELS, WHAT THEY SIGNIFY BUT WHAT THEY REALLY DO
 

All Participation Creates Market Changes

GOALS:

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 Talk about how a state, through its market participation, creates widespread industry changes
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Regulation as a Label

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PARTICIPATION as a Label

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Just a label for a category of changes in a market, instead of a discrete action.
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Just a label for a category of changes in a market, instead of a discrete action. THIS HAS BEEN CHANGED FROM REGULATION - the idea here is that all market participation creates market changes, so the court has just labeled consideration of certain factors "participation" and contrasted them, perhaps arbitrarily.
 

FINAL THOUGHTS


Revision 3r3 - 25 Feb 2010 - 16:49:26 - AndrewCascini
Revision 2r2 - 25 Feb 2010 - 02:46:07 - AndrewCascini
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