The Supreme Court determined that the Commerce Clause of the Constitution grants the federal government the power to determine how interstate commerce is conducted. Site Designed by DC Web Designers, a Washington DC web design company. In interpreting the power of Congress as to commerce "among the several states": Defining how far the power of Congress extends: Thomas H. Cox. "[6] Though the power of Congress was extensive, some restrictions were found to apply to this ruling. After Robert Livingston and Robert Fulton invented the fastest steamboat, the State of New York granted them a thirty year monopoly for navigating those waters by steamboat. For example, if a factory participated in interstate commerce, Congress not only had the power to regulate how the goods were sold, but they also had the power to regulate what happened in the factory, like the payment of minimum wage. [4], Aware of the potential of the new steamboat navigation, competitors challenged Livingston and Fulton by arguing that the commerce power of the federal government was exclusive and superseded state laws. Aaron Ogden held a license under this monopoly to operate steamboats between New Jersey and New York. This state-sanctioned steamboat company granted Aaron Ogden a license to operate steamboats between Elizabethtown Point in New Jersey and New York City. The case was argued by some of America's most admired and capable attorneys at the time. Ogden won in 1820 in the New York Court of Chancery. What Is the "Necessary and Proper" Clause in the US Constitution? Click here to contact us for media inquiries, and please donate here to support our continued expansion. Aaron Ogden had tried to defy the monopoly, but ultimately purchased a license from the Livingston and Fulton assignee's in 1815, and entered business with Thomas Gibbons from Georgia. [4], According to SCOTUSblog, "the Constitution expressly confers on Congress the authority to regulate commerce among the several states," and the Supreme Court said in the ruling that the commerce power of Congress "is complete in itself, may be exercised to its utmost extent, and acknowledges no limitations, other than are prescribed in the constitution. In 1808, the government of New York granted a steamboat company a monopoly to operate its boats on the state’s waters, which included bodies of water that stretched between states. The dismantling of navigational monopolies in New York and Louisiana, in particular, facilitated the settlement of the American West. Updates? Ogden prevails in NY Chancery Court Apr 1, 1820. The partnership collapsed three years later, however, when Gibbons operated another steamboat on Ogden's route between Elizabeth-town, New Jersey, (now Elizabeth) and New York City, that had been licensed by the United States Congress under a 1793 law regulating the coasting trade. A thing which is among others, is intermingled with them. Gibbons v. Ogden, (1824), U.S. Supreme Court case establishing the principle that states cannot, by legislative enactment, interfere with the power of Congress to regulate commerce. In 1808, the state government of New York awarded a private transport company a virtual monopoly to operate its steamboats on the state’s rivers and lakes, including rivers that ran between New York and adjoining states.

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