The Waterbury Democrat. [volume] (Waterbury, Conn.) 1917-1946, 1935-05-28
MIRA DECREED INVALID
Affecting Explained
dispatch 70 DsmOcr Speculative

A. It held that the federal gov
eminent can regulate hours and
wages only In cases Of business
which directly affect interstate
commerce.
Q. What is the Significance Of
that finding?
A. The new deal had commended
that because conditions in even a
small, local shop may have a slight
effect on interstate commerce,
therefore the great bulk of Amer
lean business could be regulated
under the federal power to regu-
late interstate commerce. The SUI
preme court said that logic was all
wrong. Under the new deals con-
tention, the court said, the whole
constitutional distinction between
the federal power to regulate com
merce among the states, and the
state power to regulate business
within state borders. would be
broken down and the federal gov
eminent could regulate everything
JURISDICTION
@. Where did the court draw
the line between that which direct
ly affects interstate commerce, and
therefore is subject to federal reg
! ulatiOn. and that which cannot be
touched by the federal government.
A. The precise line can be
drawn only as individual cases
arise, the court said, but it laid
down the principle that where
the effect of interstate transactions
upon Interstate commerce is merely
indirect, such transactions remain
within the domain of state power"
BY way Of example, the court cited
that railroad rates on shipments
strictly within state may be regu-
lated federally if they unjustly dis
criminate against interstate COM
merce. On the other hand, the
whole field of retail trade, barber
shops and all similar local enter
prises seems clearly beyond the
pale of federal regulation under
existing circumstances. Between
the two lie a middle group of bus
inesses over which the question of
jurisdiction is not yet clear.
Q. What docs the courts ruling
do to the pending legislation to ex-
tend MIRA, which otherwise will
expire June is?
A. The whole legislative pro-
gram has been held up while attor-
neys, congressman and senators
study the decision infinitely.
| @. Could new law be enacted
in such form as to be approved by
the court?
/ A. Opinion is divided. Some be-
lieve the courts views on delega-
ton of power to the president
could be met if congress prescribed
deta.sed standards of fair COMPETE
ton and laid down certain other
rules for the president to follow.
Even if this could be done, how
ever, it appears new federal codes
could not be made to apply to the
vast part of American business
which the court holds is beyond
the federal power to regulate inter-
state commerce. Others believe the
decision kills beyond revival the
entire scheme of codes, so long as
the constitution remains as it IS
now.
! Q. Could the constitution be
changed to give the federal gov
eminent specific power to do the
things the court has forbidden?
| A. Yes; that could be done by
amendment
AMENDMENTS
i Q. How could an amendment
be adopted?
A. An amendment first would
have to be passed by two thirds
votes in both house and senate.
Then it would have to be ratified
by So of the 4S states, either
through their legislatures or
through special conventions.
Q. Is there any indication that
the administration plans such a
course?
A. The administration for the
time being says merely that it
wants to maintain the gains made
under NRA; and that the question
of how to do it must be decided
very soon by the government, con-
gress and the people.
@. What happens to other MIRA
cases pending in the courts?
A. All prosecutions must be
dropped automatically. There are
some $50 such cases pending.
@. What about individuals or
firms which previously were con-
victed of code violations and al
ready had served jail terms or paid
fines?
A. If their cases were closed,
and they had not appealed, they
have little chance for redress
@. What effects will the deci.
sion have on other federal laws or
proposed legislation?
A. These effects may be far
reaching, but they cannot be stated
definitely at this time. Some be-
lieve that parts of the Agricultural
Adjustment Act, particularly AAA
marketing agreements. are jeopar-
died. Validity of the Wagner labor
disputes bill and the Black 30-hour
week bill are questioned by some.