Annotation
Primary Holding
States cannot interfere with the federal government when it uses its implied powers under the Necessary and Proper Clause to further its express constitutional powers.
Facts
The U.S. Congress created the Second Bank of the United States in 1816. A year later, the Bank opened a banch in Baltimore, Maryland, where it carried out all the normal operations of a bank. Its legitimacy was based solely on the applicability of the U.S. Constitution to Maryland. In 1818, however, the Maryland legislature voted to impose a tax on all banks within the state that were not chartered by the legislature. The Second Bank of the United States refused to comply with the law, resulting in a lawsuit against its head, James William McCulloch. The state successfully argued on appeal to the state appellate court that the Second Bank was unconstitutional because the Consititution did not provide a textual commitment for the federal government to charter a bank.
Opinions
Majority
- John Marshall [Author]
- Bushrod Washington
- William Johnson, Jr.
- Henry Brockholst Livingston
- Thomas Todd
- Gabriel Duvall
- Joseph Story
In this unanimous decision, Marshall observed that the Second Bank was no different from the First Bank of the United States, of which the constitutionality had not been challenged. Echoing the decision in Martin v. Hunter's Lessee, he also noted that the people rather than the states were responsible for ratifying the U.S. Constitution and thus taking away a measure of sovereignty from the states. He did not find it necessary to establish a textual basis in the Constitution that specifically addressed banks.
The most notable section of Marshall's opinion concerned the Necessary and Proper Clause. He rejected the state's argument that this clause was confined to authorizing only laws that were absolutely essential to carrying out its enumerated powers. Marshall felt that a broader interpretation was warranted, since the clause was not placed among the limitations on Congressional authority and thus should be viewed as an expansion on its authority. As a result, he redefined the meaning of "necessary" as something closer to "appropriate and legitimate," covering all methods for furthering the objectives covered by the enumerated powers. Moreover, Marshall struck down the tax as applied to the Second Bank as unconstitutional.
Case Commentary
Later commentators have continued to challenge the logic in Marshall's opinion, some of them suggesting that it infringes on the Tenth Amendment. However, it remains valid to the current day, and his view that the federal government derives sovereignty from the people rather than the states has been widely accepted. The decision has been influential in nations that have similar legal systems, such as Australia.
1] What constitutional principle did the Supreme Court establish in theMcCullochcase?
2] What is the objective of the "necessary and proper" clause?Gives the power tocongress, not written just implied.
3] What was the basis for the Court's ruling that Maryland could not tax the Second
4] How did the fact the Justice Marshall was a federalist influence his ruling in theMcCullochIt
6]WHAT ARE THE FACTS OF THE CASE?
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