The L'Anse sentinel. (L'Anse, L.S., Mich.) 18??-current, 1900-09-15
Villages of L'Anse and Baraga VS..
Upper Peninsula Brewing
Company.
OF WIDESPREAD INTEREST.
Suits for $50, of Unpaid Beer
Agents Licenses Brought
Against the Brewing Co.

Judge Streeter has Just handed
down an important decision in the
case OF the villages of L'Anse and
Baraga VS.. the Upper Peninsula
Brewing company, of Marquette,
says the Mining Journal, which was
argued before him some months ago
and which has been held under ad-
visement ever since. The demurrers
presented by the defendants s attor-
>peys, Charles r. Brown & Son, are
while the attempt Of the
above named villages to collect back
taxes to the amount of 81, 200,
through the efforts of their attorney,
E. ]. Mapes, are shown to be entire
ly futile. The case possesses great
significance for the brewing in
terests, and had the demurrers, pre-
sented by c. r. Brown K Son, not
been sustained they would have been
in a fair way to lose hundreds of
thousands of dollars through similar
actions brought by other communi-
ties. The case arose from the fol-
lowing conditions: Breweries are
required by law to pay tax on
their business and they may sell
beer at wholesale without incurring
an additional tax, but, under rul-
ing Of the supreme court, they can
not thus wholesale their .product in
any place other than that where
their brewing plants are located.
Previous to this ruling the brewer
les assumed that they had right to
wholesale beer, through agents. in
cities other than those in which
their plants were situated without
obtaining additional licenses and,
on this suppositiou, they conducted
their business in this manner. In
common with other companies
throughout the state the Upper
Peninsula Brewing company follow
ed this method of handling its pro-
duct in cities outside Marquette.
1t sent its beer to its agents in
Baraga and L'Anse where, from the
year 1893 to 1899, it was sold direct
to consumers without the payment
of any further tax than was incurred
on its manufacture in Marquette.
Suit was brought by the villages to
recover the taxes due in this period,
each claiming SO, 100. 1t can be
readily seen that had the attorney
for the complainants been success
full in establishing their case it
would have cost the brewery in
terests throughout the state
enormous sums of money. Judge
Streeter's decision is SO important
that it is deemed advisable to pub
lish it in it's entirity. 1t follows:
"The declaration in each of the
cases claims that the defendant brew
ing company is indebted to each
plaintiff for large sum due as taxes
for having been engaged in the busi-
ness of selling beer at wholesale for
number of years prior to the filing
of the declaration. The defendant
demurs to the declaration on the
broad ground that the defendant
has incurred no liability to the
municipalities which can be enforced
by action.
1.-The plaintiffs contend that the
history OF the laws dealing with the
sale OF Intoxicating liquors in Michi-
gan shows that the amount charged
for engaging in the business of sell
ing liquor either at wholesale or re-
tail is tax and is not license fee.
They claim also, that under the law
of 1887, which is now in force, there
is no method for enforcing the pay
ment of the tax imposed by the
state pointed out by the statute and,
therefore, a right OF action accrues
to the municipalities which would
receive the taxes had they been paid.
THE defendant claims that the
law can be enforced only Under the
penal provisions of the statute. That
the tax imposed upon the business
OF engaging in the sale Of liquor is
not debt nor any obligation owing
to the municipality. Section 1856 Of
Black, on Intoxicating Liquors,
states the rule, which the defendant
insists must prevail, as follows: 1t
may be stated as general rule that
taxes, and charges in the nature Of