Document: 544 U.S. 460 GRANHOLM, GOVERNOR OF MICHIGAN, ET AL.v.HEALD AL. No. 03-1116. Supreme Court of United States. Argued December 7, 2004. Decided May 16, 2005.* Michigan and New York regulate the sale importation wine through three-tier systems requiring separate licenses for producers, wholesalers, retailers. These schemes allow in-state, but not out-of-state, wineries to make direct sales consumers. This differential treatment explicitly discriminates against interstate commerce by limiting emerging significant direct-sale business. Influenced an increasing number small a decreasing have grown because may produce enough or sufficient consumer demand their it economical wholesalers carry products. In Nos. 03-1116 03-1120, residents, joined intervening out-of-state winery, sued officials, claiming that State's laws violate Commerce Clause. The State in-state association responded direct-shipment ban was valid exercise Michigan's power under Twenty-first Amendment. District sustained scheme, Sixth Circuit reversed, rejecting argument Amendment immunizes state liquor from Clause strictures holding there no showing could meet its proffered policy objectives nondiscriminatory means. 03-1274, customers filed suit seeking, inter alia, declaration retailers' representatives intervened in support State. granted plaintiffs summary judgment, Second York's fell within ambit powers Here, respondents cases petitioners case are referred as wineries, while opposing parties Held: Both States' discriminate violation Clause, discrimination is neither authorized nor permitted Pp. 472-493. (a) has long held that, all narrowest circumstances, if they mandate "differential economic interests benefits former burdens latter." Oregon Waste Systems, Inc. v. Department Environmental Quality Ore., 511 93, 99. Laws such those at issue contradict principles underlying this rule depriving citizens right access other markets on equal terms. system's discriminatory character obvious. It allows ship directly consumers, subject only licensing requirement, even licensed, must go wholesaler retailer. resulting price differential, plus possible inability secure shipments, can effectively bar market. scheme also grants consumers preferential requires winery open branch office warehouse, which drives up costs. Out-of-state ineligible "farm winery" license, provides most means shipping 472-476. (b) Section 2 does States shipment terms favor producers. position inconsistent with Court's precedents Amendment's history. 476-489. (1) invalidated many regulations before Eighteenth ratification, finding either prevented discriminating imported liquor, Scott Donald, 165 58, pass facially neutral placed impermissible burden commerce, Bowman Chicago & Northwestern R. Co., 125 465. While domestic production, Mugler Kansas, 123 623, were ineffective original package, Leisy Hardin, 135 100. To resolve matter, Congress passed Wilson Act, empowered same liquor. After narrowly construed Act permit regulation resale Rhodes Iowa, 170 412, Webb-Kenyon close loophole, see Clark Distilling Co. Western Maryland 242 311. argue went further, removing any barrier regulations, reading conflicts Distilling's description Act's purpose, simply extend Act. Nor statute's text compel different response. At very least, expresses clear congressional intent depart principle disfavoring goods. Last, importantly, did purport repeal expressly precludes discrimination. reaffirmed, displace, striking down discriminated required 476-484. (2) A brief respite these legal battles brought ratification ended contend § transfers authority goods, pre-Amendment history recited here strong view restored had Acts. aim maintain effective uniform system controlling regulating transportation, importation, use. give nonuniform order privilege never enjoyed. Cases decided soon after take account view, e. g., Bd. Equalization Cal. Young's Market 299 59, reluctance consider reflect consensus evidence irrelevant prior unsupportive authorize More recent confirm supersede provisions Constitution and, particular, displace preference own 484-486. (3) held, modern cases, violating saved Amendment, 44 Liquormart, Rhode Island, 517 484, abrogate Congress' regard Capital Cities Cable, Crisp, 467 691, relevant here, alcohol limited Clause's nondiscrimination principle, e.g., Bacchus Imports, Ltd. Dias, 468 263, 276. Bacchus, dealt Hawaii excise tax exempting some alcoholic beverages, particularly telling example last proposition, declines suggestion overrule limit case. decision invalidate instant call into question systems' constitutionality, North Dakota States, 495 423, 432. policies protected when treat produced out equivalent. contrast, involve straightforward attempts local 486-489. (c) Concluding end inquiry, still whether regime "advances legitimate purpose cannot be adequately served reasonable alternatives," Energy Ind. Limbach, 486 269, 278. provide little claim purchasing over Internet minors problem. 26 now permitting shipments report problem, minimize risk less restrictive steps, adult signature delivery. evasion justification insufficient. Increased shipment, state, brings potential evasion. However, diversion Michigan, rely collect taxes wines. collection achieved without condition shipping, what wineries. benefit federal supply incentives comply regulations. Other rationales—facilitating orderly market conditions, protecting public health safety, ensuring regulatory accountability—can alternative evenhanded requirement. 489-493. 342 F. 3d 517, affirmed; 358 223, reversed remanded. KENNEDY, J., delivered opinion Court, SCALIA, SOUTER, GINSBURG, BREYER, JJ., joined. STEVENS, dissenting opinion, O'CONNOR, joined, post, p. 493. THOMAS, REHNQUIST, C. STEVENS 497. CERTIORARI TO THE UNITED STATES COURT APPEALS FOR SIXTH CIRCUIT. Clint Bolick argued cause 03-1274. With him briefs William H. Mellor, Steven M. Simpson, Lance J. Gotko. Kathleen Sullivan 03-1120. her James A. Tanford, Robert D. Epstein, Kenneth W. Starr. Thomas L. Casey, Solicitor General Michael Cox, Attorney General, Donald S. McGehee, Assistant General. Anthony Kogut, John Yeager, Curtis Hadley, Louis Cohen, Boyden Gray, Todd Zubler petitioner Caitlin Halligan, York, Eliot Spitzer, Daniel Smirlock, Deputy Gregory Klass Shaifali Puri, Solicitors Miguel Estrada, Mark Perry, Howard Graff, Victoria Kummer, Heller, Warren Mangan, Alan Gardner private respondents.† JUSTICE KENNEDY Court. 1 consolidated present challenges York. details mechanics two differ, object effect same: sell prohibit doing so, or, impractical standpoint. evident design statutes grant competitive advantage located beyond borders. We hold both Art. I, 8, cl. 3, Accordingly, we affirm judgment Appeals Circuit, laws; reverse upheld laws. 3 * Like including wine, distribution system. Separate See FTC, Possible Anticompetitive Barriers E-Commerce: Wine 5-7 (July 2003) (hereinafter FTC Report), available http://www.ftc.gov/os/2003/07/winereport2.pdf (all materials visited 11, 2005, Clerk file). preserved complex set overlapping For example, vertical integration between tiers. Id., 5; 27 U.S.C. 205; see, Bainbridge Turner, 311 1104, 1106 (CA11 2002). previously 432 (1990); id., 447 (SCALIA, concurring judgment). As today's though, is, broad refinements discussed, mandated In-state obtain license constitutes explicit commerce. 4 substantially limits otherwise Report 7. From 1994 1999, spending doubled, reaching $500 million per year, three percent sales. 5. expansion been influenced several related trends. First, significantly increased. By estimates 3,000 country, WineAmerica, National Association American Wineries, Facts 2004, http://www.americanwineries.org/newsroom/winefacts04.htm, more than times 30 years ago, 6. time, wholesale consolidated. Between 1984 2002, licensed dropped 1,600 600. Riekhof Sykuta, Regulating Mail, Regulation, pp. 30, 31 (Fall 2004), http://www.cato.org/pubs/regulation/regv27n3/v27n3-3.pdf. winery-to-wholesaler ratio do led reach new markets. Technological improvements, particular ability Internet, helped attractive channel. 5 Approximately various restrictions. Thirteen reciprocity laws, outside State, provided origin affords similar treatment. 7-8. parts however, severely restrict deprive According Federal Trade Commission (FTC), "[s]tate bans represent single largest expanded e-commerce wine." 3. 6 producers us important part businesses. Domaine Alfred, one suit, San Luis Obispo, California. produces year. Alfred received requests fill orders ban. Even find distribute wholesaler's markup would render economically infeasible. 7 Similarly, Juanita Swedenburg David Lucas, operate Virginia (the Estate Vineyard) California Lucas Winery). Some tourists, who purchase visiting If wish wines return home, will unable so reside Nation's second-largest market, imposes shipments. 8 first address background challenging law. Most beverages distributed Producers distillers generally wholesalers. Mich. Comp. Ann. §§436.1109(1), 436.1305, 436.1403, 436.1607(1) (West 2000); Admin. Code Rules 436.1705 (1990), 436.1719 (2000). Wholesalers, turn, §§436.1113(7), 2001). Licensed retailers final link chain, selling retail locations certain restrictions, home §§436.1111(5), 436.1203(2)-(4). 9 Under law, general There exception approximately 40 eligible "wine maker" §436.1113(9) 2001); §§436.1537(2)-(3) Supp. 2004); Rule 436.1011(7)(b) (2003). cost varies size winery. $25. 436.1525(1)(d) 2004). apply $300 "outside seller wine" them §§ 436.1109(9) 2001), 436.1525(1)(e) 436.1719(5) 10 residents officials Eastern Michigan. Obispo suit. contended trade Beer Wholesalers defendant. 11 On cross-motions scheme. reversed. Heald Engler, Relying 263 (1984), court rejected 3d, 524, unconstitutional defendants failed demonstrate means, 527. B 12 somewhat different. channels system, too makes exceptions result Wineries grapes N. Y. Alco. Bev. Cont. Law 76-a(3) 2005) ABC Law). licensees deliver well, 76-a(6)(a), made "at least seventy-five volume state," 3(20-a). An becomes establishment "a factory, storeroom York." 3(37). 13 customers, Southern responsible administering Alcoholic Beverage Control limitations 14 plaintiffs. 232 2d (2002). determined established principles, 146-147. then argument, "[d]efendants shown ban, implicate core concerns Amendment." 148. 15 223 (2004). "recognize[d] physical presence requirement create substantial dormant problems regulated commodity alcohol." 238. nevertheless statutory because, court's "New desire ensure accountability aimed tied transportation use York," ibid. such, "within states 239. C 16 certiorari following question: "`Does permits restricts light Amendment?'" 541 1062 17 ease exposition, refer challenge (Nos. 03-1120) (No. 03-1274) collectively — II 18 Time again 99 (1994). 274 (1988). essential foundations Union. mere fact nonresidence should foreclose producer P. Hood Sons, Du Mond, 336 525, 539 (1949). enact shippers "reflect[s] central concern Framers immediate reason calling Constitutional Convention: conviction succeed, Union avoid tendencies toward Balkanization plagued relations among Colonies later Articles Confederation." Hughes Oklahoma, 441 322, 325-326 (1979). 19 prohibiting follows compelled negotiate each regarding favored disfavored status citizens. need, attempt, mutual interests. Cf. Const., 10, Rivalries thus kept minimum, proliferation zones prevented. Carbone, Clarkstown, 383, 390 (1994) (citing Federalist 22, 143-145 (C. Rossiter ed. 1961) (A. Hamilton); Madison, Vices Political System Writings Madison 362-363 (G. Hunt 1901)). 20 type principles. They perceived necessity reciprocal privileges risks generating rivalries animosities, alliances exclusivity, designed avoid. protect enactment California, law 1986, retreating previous allowed unfettered 30. Prior prohibited direct-shipments wine. obvious statute direct-shipping Ibid. current patchwork banning altogether, others wines, essentially product ongoing, low-level war. Allowing "invite[s] multiplication areas destructive Clause." Dean Milk 340 349, 356 (1951). Baldwin G. Seelig, Inc., 294 511, 521-523 (1935). 21 not, face complete shipment. retailer extra layers overhead increase 22 differs altogether. instead establish operation gain 3(37), 96 2005). This, just indirect way subjecting ones, allied defend arguing wineries: All sold licensee fully accountable York; happens become licensee, confusion precise steps run gauntlet. event, unconvincing. 23 nothing eliminate nature applicable licenses, 76-a(3), 76(4), 77(2) 2000). warehouse additional drive App. 159-160 (Affidavit McKeon, Counsel Liquor Authority). expense establishing bricks-and-mortar let alone 50, prohibitive. comes surprise availed itself privilege. "viewed suspicion business operations performed efficiently elsewhere." Pike Bruce Church, 397 137, 145 (1970). runs contrary our admonition require firm "to resident compete terms." Halliburton Oil Well Cementing Reily, 373 64, 72 (1963). Ward Maryland, Wall. 418 (1871). 24 addition ways. requisite 76-a(5) ("No farm shall manufacture exclusively fruits agricultural products state"). commercial license. 76. Unlike certificate authorizing course, maintaining licenses. 76(5) another afforded 25 difficulty concluding like III virtually se invalidity." Philadelphia Jersey, 437 617, 624 (1978). proscription. provides: "The Territory, possession delivery therein intoxicating liquors, thereof, hereby prohibited." 28 29 Before 1919, temperance movement fought curb time. progress, restricting alcohol. production 623 (1887), solicitous imports. series relying advanced distinct 58 (1897); Walling 116 446 (1886); Tiernan Rinker, 102 (1880). Walling, imports free burdening products: "A imposed operating disadvantage introduced mentioned effect, restraint usurpation conferred upon States." U.S., 455. 32 Second, passing 412 (1898); Vance Vandercook 438 100 (1890); 465 (1888). struck Iowa importers permit. progeny rested since-rejected original-package doctrine. doctrine goods shipped immune package. explained Vance: 33 "[T]he merchandise carries it, incident, receiver packages, notwithstanding; say, Interstate remain shelter clause Constitution, until package commingled mass property State." 444-445. 34 reserved 499-500. thwarted once again. Leisy, supra, 35 left bind. Mugler, remained supra. (so named Senator Iowa), liquor: 36 "That fermented, distilled, liquors liquids transported Territory remaining use, consumption, storage therein, arrival enacted police powers, extent manner though exempt therefrom being packages otherwise." Ch. 728, Stat. 313 (codified 121). 37 terms, liquor; rather, manner" 38 confirmed interpretation Scott, involved constitutional South Carolina's dispensary 1895 S.C. Acts 721, channeled commissioner. 92. manufacturers primary commissioner "purchase his supplies brewers reaches standard Act: Provided, Such purchased cheaply 732. locally 10-percent profit "no limitation charge wines." 93. Based provisions, Carolina "not intended confer injuriously articles whose forbidden, therefore subjects commerce." contrary, said, "equality uniformity laws," ibid., "an unjust preference" "as States," 101. dissent understood validity turn large 23, correct remedy sever rest 104-106 (opinion Brown, J.). 39 Although increased imports, solve problems. Rhodes— personal Vance, characterized embodying holdings: "amount[ed] 442. aspect holding, based "on about." "in far forbade sending . person whom shipped, repugnant [the Clause]." 58). 443 (distinguishing "which discrimination" barred use). second receive implicit Scott. 78, 99-100. point, Rhodes. interference right. 421. Without indication read words "upon arrival" "the attach shipment," point destination consignee." 426. 424; Bridenbaugh Freeman-Wilson, 227 848, 852 (CA7 interpreted overturn leave intact. Rhodes, 423-424. hands customer. result, mail-order continued thrive. Rogers, Intoxicating Liquors Va. Rev. 353, 364-365 (1917). 41 considering bills response loophole 1913 enacting 699, 122. 363-370. entitled "An Divesting cases," 42 spirituous, vinous, malted, kind, said intended, interested received, possessed, sold, used, otherwise, Stat., 699-700. 43 constitutionality doubt. implied unlawful delegation powers. Indeed, President Taft, acting advice Wickersham, vetoed specific reason. Rep. 103, 63 Cong., 1st Sess., 3-6 (1913); Op. Atty. Gen. 88 (1913). overrode veto (1917), divided challenge. gap forbid treated 321-322 (noting West "forbade inside out"). "was done Act." 324. prevent immunity characteristic used receipt afford subterfuge indirection naught." recognized attempt advantage, i. e., characteristic, 45 further removed agree. given Distilling. extended intercept reached consignee. contention prohibition reconciled "simply McCormick 286 131, 140-141 (1932). 46 result. readily forbidding "shipment transportation" where afoul governing receipt, possession, sale, 141 enforcement "valid" laws). unexceptional time today, Hillside Dairy Lyons, 66 (2003), disfavored. Life Ins. Cal., 451 648, 652-653 (1981) (holding McCarran-Ferguson 1011 et seq., scrutiny insurance "Congress declares taxation interest, silence impose States"). 47 discriminating. step so. inconsistency warrant inference latter repealed former. Washington Miller, 235 422, 428 (1914) repeals disfavored). twice noted remains today. Hostetter Idlewild Bon Voyage Corp., 377 324, 333, n. (1964); Revenue B. Beam 341, 345, (1964). 121. 48 line state. Tiernan, effect: protection necessary deny brought, yet, not] show abdicate control another." Pacific Fruit Produce Martin, 34, 39-40 (WD Wash. 1936). Friedman, Law: Regulation Importation Cornell Q. 504, 509 (1936) ("The uphold yet clearly arbitrarily unreasonably state" (footnote omitted)). 49 1919 later, nationwide Prohibition came end. here. 50 say provision position. wording closely Acts, expressing framers' intention constitutionalizing framework statutes." Craig Boren, 429 190, 205-206 (1976) omitted). 51 enjoyed earlier 52 view. 62 (1936), discrimination: 53 ask command [of 2]. request construe saying, prohibits borders; construction rewriting it." 54 reaffirmed Mahoney Joseph Triner 304 401 (1938); Indianapolis Brewing Comm'n, 305 391 (1939); Ziffrin, Reeves, 308 132 Finch McKittrick, 395 (1939), unsurprisingly bestowed expand barriers. T. Green, Barriers: Obstructions Wine, Beer, Distilled Spirits 4, I (1940) (stating wake "[r]ivalries reprisals flared up"). 55 unclear language stated [did] clause." 62. declined, approach 63-64. liquors. ample contrary. See, 140 (SD 1935) (per curiam), rev'd, 59 (1936); 39; Corp. Arundel, 145, 146-147 (Minn. 1935); Q., 511-512; Note, Recent Cases, Amendment—Commerce 85 U. Pa. 323 (1937); Hamilton, Price Policies 426 Legislation, Control, Colum. 644, 658 Wiser Arledge, Does Repeal Empower Erect Tariff Disregard Equal Protection Legislating Commerce? Geo. 402, 407-409 De Ganahl, Scope Power Over Beverages Since 819, 822-828 (1940); Yale 815, 819-820 (1946). 56 Our furthermore, 57 fall categories. applied context First 484 (1996); Establishment Larkin Grendel's Den, 459 (1982); Craig, 204-209; Due Process Wisconsin Constantineau, 400 433 (1971); Import-Export 341 691 (1984); Retail Dealers Assn. Midcal Aluminum, 445 97 (1980). somehow operated `repeal' Clause" rejected. Hostetter, 331-332. Though come uncommonly hyperbole describing absurd oversimplification," "patently bizarre," "demonstrably incorrect," basic sound. 60 Finally, hand, 276; Brown-Forman Distillers Authority, 476 573 (1986); Healy Institute, 491 324 (1989). "When regulates interests, inquiry." Brown-Forman, 579. 61 proposition. exempted Hawaii's 274-276. [Amendment] empower industries erecting barriers competition." Despite distinguish forecloses scrutiny. 576 (invalidating affirmation lowest offered state); Healy, 328 Connecticut statute); 344 judgment) invalidity facial despite since eliminates Amendment"). Recognizing fatal position, suggest overruled facts. foregoing analysis clear, decline invitation. Furthermore, stand recognizing freedom stake. retreat undermine Healy. relied statute. 340-341. lend conclusion immunize invalidating follow holding. how structure system." Midcal, 110. chooses consumption altogether importation; shows, effective. assume state-run outlets funnel "unquestionably legitimate." empowers wholesaler"). IV 64 determination inquiry. alternatives." Ind., offer justifications keeping facilitating collection. turn. 65 aided amici, allowing undermines underage drinking. Minors, argue, easy credit cards likely obtaining illegally. study staff found currently minors' 34. surprising reasons. consume opposed beer, coolers, hard 12. decide disobey Third, imperfect avenue who, past president Conference Administrators, "`want gratification.'" 33, 137 (explaining why rarely buy via mail Internet). concrete minors, unsupported assertions. precedents, "clearest showing" justify regulation, 393, enough. 67 largely increases drinking, out, ones. already (over 7,000 them) counters greater shipping. loss fail minors. addition, mail. Model Direct Shipping Bill developed Legislatures label instructing 68 tax-collection originating diversion. That unlike Instead, collects 436.1725(2) (1989) ("Each submit delivered, during preceding calendar month"). self-reporting adequate safeguards believe suffice 69 supporting advance taxcollection wholly illusory, lost revenue taken offers prove Licensees regular reports remit taxes. taxing 178.27 (Lexis 38-40. procedure sanctioned Bill. 61-4-747(C) 70 benefit, Tax Bureau (formerly Alcohol, Tobacco Firearms) revoke winery's violates BATF Industry Circular 96-3 (1997). 204. Enforcement gives attorneys sue enjoin violations 122a(b). 71 remedies, combined regimes, revenue. poses unique threat justifies regimes. handful rationales, accountability. 40-41. improvements technology eased monitoring Background checks electronically. Financial records data mailed, faxed, submitted e-mail. 73 summary, sweeping assertion speculation "burden `the demonstrably justified,'" Chemical Management, Hunt, 504 334, (1992) (emphasis original). finding, record evidence, alternatives unworkable. Maine Taylor, 477 141-144 (1986). satisfied exacting standard. V 74 power, limit, simultaneously demonstrating need discrimination, jurisprudence, stand. 75 Circuit; remand proceedings consistent opinion. 76 ordered. Notes: Together 03-1120,Michigan al., court, al. Kelly, Chairman, Division Circuit. &#x2020; Briefs amici curiae urging reversal Ohio Jim Petro, Ohio, Douglas Cole, Solicitor, Stephen Carney, Senior Peter Thomas, Attorneys respective jurisdictions follows: Troy King Alabama, Mike Beebe Arkansas, Richard Blumenthal Connecticut, Jane Brady Delaware, Spagnoletti Columbia, Charlie Crist Florida, Thurbert E. Baker Georgia, Bennett Hawaii, Lisa Madigan Illinois, Steve Carter Indiana, Phill Kline Stumbo Kentucky, Charles Foti, Jr., Louisiana, Rowe Maine, Curran, Reilly Massachusetts, Hatch Minnesota, Mississippi, Jeremiah (Jay) Nixon Missouri, McGrath Montana, Jon Bruning Nebraska, Brian Sandoval Nevada, Harvey Wayne Stenehjem Dakota, Gerald Pappert Pennsylvania, Patrick Lynch Lawrence Long Paul Summers Tennessee, Greg Abbott Texas, Shurtleff Utah, Sorrell Vermont, Peggy Lautenschlager Wisconsin; 03-1120 Secondary School Principals Eric Eggan Irene Mead; 03-1274 Bowden, Randy Barnett, Susan Beth Farmer. affirmance Lockyer, Manuel Medeiros, Christine O. Gregoire, Washington, Narda Pierce, Patricia Madrid, Mexico, Hardy Myers, Oregon, Darrell V. McGraw, Virginia; Institute Seff Kevin Fong; Brody K. Goldfarb. Members Oberdorfer Roy Englert, Jr.; Homeowners Alliance Bender, Klipper, Christopher Mohr, Metalitz; Cargo Airline Drew Days III, Brinkmann, Seth Galanter, Ruth Borenstein, Alterman; DKT Liberty Project Hohengarten Julia Carpenter; Goldwater Brnovich; Napa Valley Vintners Phillips Haddad; Mahnke, Estrich, Czaban; George Akerlof Stuart Banner. Illinois Alcoholism Drug Dependence Claudette Miller; America Bartow Farr Viet Dinh, Wolf; Goldberg Alcohol Madigan, Katherine Becker, Diamond, Romain amicus Getman Millbrook Vineyards Winery 77 O'CONNOR joins, dissenting. 78 includes place Prudential Benjamin, 408 Absent approval, unwritten rules described "dormant imposing undue engaged activities treating favorably competitors. (1970); 617 totally ordinary article might serious surely people process amending Constitution. 79 challenged patently invalid well-settled rather But ever adoption special category. "[t]he 80 Today Americans, members younger generations decisions, controls definitely ratified 1933 Amendment.1 moral condemnation beverage represented merely convictions religious leaders, views sufficiently majority population rare amend occasions. entirely "intoxicating liquors" purposes throughout territories jurisdiction. prohibition, gave option equally comprehensive prohibitions jurisdictions. 81 judges lived debates Amendments deference. Foremost Justice Brandeis, understanding clearer: 82 [§ 2's] command. it. Can doubted monopoly competing importations, discourage laying heavy impost, channelize desired importations confining consignee?" 62-63 (1936).2 83 adopted manifold alcohol, discriminatory.3 So-called "dry states" commerce; Sundays; beer created monopolies preferences distributors. notion violated balkanizing economy persuasive contemporary viewed seemed strange indeed millions Americans condemned "demon rum" 1920's 1930's. "balkanization" condemns. Today's sound choices contemporaries Adam Smith drafted Constitution;4 amended 1933. 84 My (and recollection) historical reinforces my "broadly colloquially interpreted." Virginia, 321 (1944) (Frankfurter, concurring).5 conventions, legislatures, meaning. Because "transportation importation" "delivery therein," THOMAS demonstrated, reliable guide meaning enforces join Jackson: knew lawlessness unto itself. governed provision. courts devise distortions liquor's `tendency get bounds.' unsatisfactory experience method resulted giving exclusive special, provision."Duckworth 314 390, 398-399 (1941) result). Black, participated passage Senate, "`absolute control' traffic restrictions imposed."Hostetter 338 (1964) (dissenting opinion). Field, Contemp. Prob. 717 (1940);post, 517-520 (THOMAS, dissenting). CfKnickerbocker Ice Stewart, 253 149, 169 (1920) (Holmes, dissenting) ("I moment apart exist drink. fathers know approved it"). he added case, "since derives legislate she play."Carter S., 143. 86 CHIEF JUSTICE, join, 87 century repeatedly invalidated, negative legislation businesses residents. cut off intrusive review, early recognized. today seizes back primarily decisively ago (1936). Nation ratified, questionable "negative implications" respectfully dissent. devotes much attention mistake, displaces 89 review holds unconstitutional. "prohibit[s]" "into State" "intended, State."1 judicial held. 139-140 (1932); 311, (1917); Seaboard Air Line Carolina, 245 298, 303-304 language, words, "prevent[s] laws." Distilling, 90 Those Ante, 469, 470. Any ships state-law "person therein" "intend[ing]" "s[ell]" of" 91 innovation. shortly thereafter 1935 reenacted alteration, 877; Keene 508 200, 212-213 (1993) (applying presumption incorporates settled construction). considered (as well manufacturers) dealer manufacturer "[fell] 143; Rainier Great Northern 259 150, 152-153 (1922) "carry" State"). products, applies discriminate. distributor "s[ells]" Webb-Kenyon, well. indistinguishable McCormick.2 92 answers "readily `shipment transportation' use." 482. What "generally applicable" unclear, concedes ante, 488-489. [state] therefore, apparently except "discriminate" 482-484, 93 leaves unexplained ad hoc text. room exception. mention "discrimination," "[A]ny "discriminatory" one. 94 distinction unjustified. entities differently depending chain: undifferentiated fashion "any therein." party, is.3 95 contrast predecessor, casts doubt reading. "subject Territory." 478, comparable addressing telling. shows encompasses manufacturers. discriminate, relies heavily 481-482. Its reliance misplaced. 321-322, occasion Nothing implicitly unsettled suggests. relevant, supports Contrary suggestion, (on pages 321, 322 elsewhere) "empowered [States] [they] 481. "extend Act" "purpose takes "nondiscriminatory" 481, correct. cites implies abrogated flows "immunity commerce," took away law." 325 added). confirms clear: "extended" completely immunizing restraints.4 98 Straying text, speculates discrete (1898), (1898). 478-484. majority, 483-484, untouched preventing fashion. (1897) (Scott); plain guesswork about unnecessary. majority's unpersuasive. History reveals overturned "nondiscrimination" principle. origins (1890). stayed "original packag[e]." 124-125. difficult banned powerless stop flow reacted swiftly August 1890. otherwise," 121, subjected jurisdiction (Gray, accordingly decisions geographic 101 Rather meant virtual nullity. monopolizing 66-68, 1, counterparts, appellee, citizen ordered required. 59; 107, 108-109 (Donald). seized crossed lines, damages, injunction import 69-70; 109-110. 103 unconstitutionally interfered entitling damages injunctive relief. 99-100; 114; 452 (describing "ruling" "forbid resident"). reasoned discriminate[d] commodities admitted lawful." constitutional; "suffic[ed]" "discriminate[d] bringing in, importing excuse save today: legislation. basis, affirmed Donald's award. 104 Tillman quickly version became His bill attempted decision. Senate [Scott was] throw erected bill, untrammeled simple 151, 55th (1897). addressed Scott's dissenter's effected borders, whomsoever whatever imported.'" Cong. Rec. 2612 debate. House, perhaps House Judiciary Committee amendment leaving 667, 105 Meanwhile, narrow broadly stripped regulation. phrase consignee 421 (internal quotation marks eventual (1888), 423. then, seriously hampered 106 importation. flatly unless showed state-administered test purity. 454-455. 107 holdings. non-resident derived resident." 452. 108 constitutional. 450-452. discriminatory. (a fortified) monopolized liquor.5 implied, Three Justices dissented ground constituted under, (1886). 462-468 Shiras, Fuller, McKenna, 109 swept lacked consignee, regardless consignee's 506; implies, repeat 480. Rhodes' easier bootleggers circumvent enabled quantities part, conditioned compliance conditions (e. purity test). broader holdings, consequently, spurred vigorous Hamm, Shaping 206-212 (1995) Hamm); legislative debate subsequent focused effect. misleads believing Vance. 110 Yet versions itself, Tillman's initial immediately entering territorial boundaries, Hamm 206, 208. 111 eventually likewise holdings says "intended withdraw hand 1461, 62d Thus, targeted Vance) destined proposed before, 505-506; idea law's character. fact, proponents defeated amendments restrained thereby 215; 2921 2337, 58th 2-3 (1904) (prior unenacted drawing 112 amendments, "irrespective liquor"). why, four enactment, 113 belies untouched. reasons "`in afford[ed] [state laws] naught,'" 482 (quoting 324), cover precluding "set naught" did. "close[d] gap" 480, concessions squared simultaneous 481-484, premise discriminatory, start. 505. Reversing 114 Repudiating explained, (stripped shipments) send interference. Supra, 506-507. admits abolished Had Vance's reasoning strike systems, probably unduly "discriminatory." (equating scheme). stave preserve traffic, reasoning. Faced 504-508, Just repudiate Bowman, 506, reads committing analogous error. 115 disagrees disputing things: first, unconstitutional; second, shippers. 478-480. recharacterization (together mischaracterization 506) basis 481-484. misreads holding: stores, squarely "implicit." all, affirming award award, 117 administrator 478-479, defect portions grounds strains characterize actual 479). (Brown, himself, bypassing entirely. "discrimination" natural author ones seem eyes, 465, (Shiras, (1886), Minnesota Barber, 136 (1890)). narrower anachronistic. 118 correctly sources. resting 449. descriptions, together, directly, Moreover, 507. 119 Brennen Express 102, 402 (1916), bolsters quite prefer 478-479 provisions). Brennen, dispensaries gallon month C., 107-108, E., 403. dispensaries, Crim. 794-878 (1912) (providing system), quantity unlimited amounts stores. "there patronized keep use," whereas purchases month. 108, reasoned, "was, bought dispensaries," 403-404. 120 refutes characterization foundation 121 sum, authorizes 122 interpret resolves cases. strikes lawful contemporaneous practice reinforce. notes, tracked conflict remove scope, simplified restraints. mirrors terminology broader, naturally suggest, unregulated, treats 124 2's "transport[ing] import[ing]" "for 468-469. presence, something have. 470, 474-476. turns head. odds extension, pay fee $50 charged generally. 60-61. charging beer. 126 "apt prescribes." "must terms," declaring "[t]o adopt incident "lesser degree total prohibition," beer," "channel[ing] (punctuation And "[not] consider[ing]" forms reasoning, 485, relevance: 127 history; Reed think discuss matters." 63-64 128 accepts. Brief Appellees, 1936, 57-75. properly best logic sustaining invalidates. 129 outlier. next Term, 50-proof "discrimination permissible." 401, 403 (1938). One Term 391, 394 (1939) "discriminat[e] liquors"); 395, 398 (1939). start sanctions concerning without, 132, 138 accord, Duckworth (Jackson, result); 138-139 (Black, concurring); 139-143 concurring). short shrift constructions stresses. 130 widespread, unquestioned acceptance 466-467, freed restraints acknowledges. 488-489; 510-511. Prohibition, strictly circumscribing Skilton, Twenty-First Brooklyn 342, 345-346 Harrison Laine, Repeal: Study Administration 131 do. thought favoring 451-452; Private often residency licenses.6 component concedes, Many Kallenbach, Temp. 474, 483-484 12-19, Green).7 fees. lower fees grapes. 13. Arkansas blanket Pope's Digest Ark. 14099, 14105, 14113 (1937). Eight taxed rates Green Twenty-nine exports 14. (plus Columbia) requirements solicitors 194-195. Market, Economic Localism 1150; Crabb, Det. (1948); antiretaliation themselves 1152; told, sort (contrary 485) predated progeny. I. assertion, 484-485, 488-489, retailers, 133 lay reflects, scattered academic commentary 485-486. commentators embraces. dry." 816-817 (1946); de 822-823 511-512 concede this, practices, enforce Others defended 140, 142 1935), Still scope 644 (arguing Clause). Instead confused mishmash elite drove expansive prompted 496-497 (STEVENS, 134 difference products) understand. pre-Twenty-first enshrined services wholesaling retailing. Lewis BT Investment Managers, 27, (1980) banks, bank companies, trust companies operations); Memphis Steam Laundry Cleaner, Stone, 389, 394-395 (1952) out-of-state-licensed businesses). Discrimination "economic protectionism." concession dismisses reaches. forth determining permissible tax. "mere protectionism," "central seek promote acknowledg[ed] `to industry.'" Appellee 1983, 82-1565, 40). tax, "because [it] violate[d] tenet [was] supported 573, 584-585 (1986) ("Our task reconcile the" Bacchus. "clear concern" framers driving force behind precluded 508-509. (1897), exactly purely protectionist exemptions falls "core concerns" better inspecting premises attaching entities; "[p]resence ensures accountability." 237 (CA2 understandable wanted especially absence technological mechanisms argues easier. 492. act circumstances. select act, 139 places weight 487-488. odd, mention, apply, established. sub silentio aside test, employing otherwise-applicable 472-476, acknowledges unprincipled grave departure precedents. 278-287 dissenting); 501 529, 554-557 (1991) (O'CONNOR, overruled, fortified textually historically unjustified "nondiscrimination products" test. Bacchus' weighty 281-282 dissenting), "`an oversimplification'" conclude "`the "repeal" Clause,'" 275 331-332 (1964)). impliedly narrowing concerns." modest supposed. parallels structure. art immunity, insulates Authorizing cry field all. 279, ignoring independent divested immunity. Stripped bereft Given easily muster 143 Nevertheless, "state Clause," 487, (1986), 487. controlled 582-583; 337-338. statute, confers 585; 342-343 (following Brown-Forman's beside anything interfering power. 144 Equally inapposite Congress. 486-487. involving relation affirmative protects implications Beam, 556 unhampered restraints, 205-207 (1976), provisions. begins detailing evils 466-468. stresses, Commission's enhance welfare. 3-5 2003), 12, focus effects suggests believes serves am sure legislation, direction same. 503-508. returned Whatever wisdom choice, service textual commands displaced whatsoever, kind noncontiguous foreign country notes thatMcCormick McCormick's hence word context. pre-empted equally. 143-144 (finding pre-empt it). "Webb-Kenyon disfavored."Ante, abrogates 498-499. statement apply. whether, fairly read, covers does. opines "expressly discriminating."Ante, 483. not. "precludes" nothing. "subject[ing]" operation" taking finds if, suggests, extends authorization inclusive adds analysis. SeeVance 438, 451-452 (1898) ("But discriminatory] overcome guarantees another, termination consignment, unaffected [i. Act] supra; Iowa"). Laws-Experience Harv. 1145, 1148-1149, (1959) Localism); Colo. Ann., ch. 89, 4(a) (1935) (residency requirement); Fla. 561.24 (prohibiting distributors); Ill. 43, (Smith-Hurd 1937) 3730(c) (1934) Md. Code, 2B, 4B Mass., 138, 18, 18A (1965) requirements); 9209-32 (Supp. Mo. 4906 (citizenship Neb. 53, 53-328 (1929 Cum. requirement), 53-317 (physical Nev. 3690.05 1931-1941) 33:1-25 (1937) 3411(103)(1½) 5-0202 (1943) 6064-17 Laws, 163, (1938) 5.0204 Vt. Tit. 28, 271, 6156 (1947) 7306-23G 1940) 7306-27 Wis. 176.05(9) Wyo. 59-104 requirements) also,e. 115(h) (special growers grapes); 9209-55 (exemption malt manufacturers); 3690.15 importer's fees; deal products); 72-806 1938) (licensing exemption wineries); 167, (authorizing agency retaliatory tax); Utah 46-8-3 1939) (requiring commission products).

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