Relations Between Federal and State Governments Flashcards
(33 cards)
What is the scope of powers reserved for the states under the 10th Amendment to the Const?
All powers not delegated to fed government reserved to the states
TIP: powers not enumerated to fed government are reserved to the states under the doctrine of implied powers
What is the purpose of the Supremacy Clause
ensures that fed law is supreme law of land - will prevail over any conflicting state/local law
TIP: a state law may be “preempted” - expressly or impliedly - by federal law b/c its supreme
Full Faith and Credit
Ensures that one state’s final judgment on the merits is conclusive in every other state
May a state sue the US in fed or state court?
NO - prevents states from suing the fed gov w/out its consent
-exception: where congress has specifically passed legislation allowing it
Which two types of legal actions may be brought against a state officer?
If it involves either:
- inductive relief for violating the US const or federal law; OR
- money damages that would be paid by the officer personally (ie, not by the state treasury)
May one state sue another state w/out its consent?
YES
TIP: in this situation, SC has exclusive and original jurisdiction to hear the case
What is the purpose of the Dormant Commerce Clause?
prohibits states from interfering w/ Congress’s plenary commerce powers (ie, prevents states from discriminating against or unduly burdening interstate commerce)
TIP: the federal commerce power automatically limits states’ authority to discriminate against or unduly burden interstate commerce
What is a “NON-discriminnatory” state law for purposes of the Dormant Commerce Clause?
A state/local law is nondiscriminatory if it burdens both in and out of state economic interest (ie, does not favor local interest over others)
TIP: a non-discrim state regulation is more likely to be upheld, although it must still satisfy certain criteria
What is a “discriminatory” state law for purposes of the Dormant CC?
If it intentionally burdens out of state commercial interests more than comparable in-state interests for the benefit of the local economy or has a discriminatory effect on out-of-staters
TIP: discriminatory state law only upheld in limited circumstances
What are the 2 requirements for upholding a discriminatory state law under Dormant CC?
A state/local law that discriminates against interstate commerce will be upheld IF:
- it furthers an important, NON-economic state/local interest (eg, safety or health) AND
- there are no reasonable alternatives available
TIP: the discrim law may also be upheld if there id federal legislation expressly authorizing it
What is a “doing business” tax?
assessed on ANY entities that do business inside the state, including in and out of state businesses
TIP: this may be called a privilege, occupation, license, or franchise tax, or merely gross receipts or net income
What is a “use” tax?
one imposed on users of goods that were purchased outside of the state
May a state impose sales taxes on local businesses that sell to out-of-state buyers?
Depends on whether the buyer takes possession of the goods
-a state MAY impose a sales tax on a local seller IF the sale is made to a buyer who takes possession WITHIN the state
-a state may NOT impose a sales tax on a local seller IF the sale is made to a buyer who takes possession OUT of state
TIP: if the sale is made to a local buyer from a seller that operates in interstate commerce, a different analysis applies
May a state impose a tax on cargo simply because it passes through that state while in transit?
NO
What are the requirements of a valid “doing business” tax?
Valid if:
- no federal legislation governs;
- the tax is nondiscriminatory; AND
- the state’s need for revenue outweighs the burden imposed on interstate commerce
TIP: this analysis is similar to whether a state may regulate interstate commerce
What are the 3 factors balanced to determine whether a state’s “doing business” tax is an undue burden?
Courts will balance whether:
- there is a substantial nexus between the activity being taxed and the taxing state;
- the tax is fairly apportioned; AND
- the tax is fairly related to the services being provided
May states impose taxes on federal property?
No
What is the scope of states power to regulate sale of alcohol?
states may decide whether to allow the importation or sale of alcohol destined for local consumption or use, as well as how to structure distribution
TIP: 21st amendment gives states more regulator power over liquor than any other part of interstate commerce
May Congress intervene if a state activity violates an individual’s civil liberties?
Yes - supremacy clause insures that Congress may invalidate any law that infringes upon individuals constitutional rights
What are the two requirements for a NON-discrimiantory law to violate Dormant CC?
Violates if it:
- burdens interstate commerce AND
- the burden outweighs the state’s interest in the regulation
What are the 3 requirements for upholding a NON-discrim law under the Dormant CC?
To be upheld under the Dormant CC:
- the regulation must pursue a legit state end;
- the reg must be rationally related to that legit state end; AND
- the burden imposed by the state on interstate commerce must be outweighed by the state’s interest in enforcing its regulation
What is the “market participant” exception to Dormant CC?
Permits a state to prefer its own citizens (ie, discrim against out of state interests) when it is acting as a market participant (eg, buying or selling products, hiring labor, giving subsidies) w/out violating Dorman cc
TIP: this is based on the policy that a state may prefer its own citizens when the state is acting as a market participant, buying or selling products rather than regulating economic activity
May a state impose a sales tax on sales between a local buyer and a seller engaged in interstate commerce?
YES
IF the seller has substantial contacts w/in the consumer state (eg, salesroom, office, etc.)
TIP: this is true even if the goods are delivered from outside the state
What are the 2 types of federal constitutional preemption?
When state and federal governments Bothe legislate in one areas, the state law may be “preempted” in two ways:
- EXPRESS - meaning federal law expressly prohibits states from adopting laws on the subject matter; AND
- IMPLIED preemption - meaning Congress has legislated so significantly in an area that it preempts state law (“file preemption), or state laws conflict w/ federal requirements/objectives
