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Timestamp: 2020-07-04 05:08:45
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Matched Legal Cases: ['§ 25', '§ 25', '§ 5219', '§ 5219', '§ 5219', '§ 5219', '§ 6', '§ 25', '§ 11', '§ 14', '§ 16', '§ 24', '§ 5202', '§ 25', '§ 25', '§ 25']

POSADAS V. NATIONAL CITY BANK, 296 U. S. 497 (1936)
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6. Section 5 of the Philippine Organic Act of August 29, 1916, which declares that the statutory laws of the United States "hereafter chanrobles.com-red
enacted" shall not apply to the Islands except when they specifically so provide or it is so provided in that Act, does not apply to those provisions of § 25 of the Federal Reserve Act of 1913 which were copied into and retained by the Act of September 7, 1916. Pp. 296 U. S. 501, 296 U. S. 505.
9. The mere fact that a later statute covers the whole subject of an earlier one and embraces new provisions does not demonstrate an intention completely to substitute the new for the old. A repeal will be implied only so far as the later enactment is in conflict with the earlier, or so far as it is plainly intended as a substitute for the earlier. @ 78 U. S. 503.
The National City Bank of New York is organized under the National Banking Act, as amended from time to time since its enactment. In 1930, the bank, after complying with the requirements of § 25 of the Federal Reserve Act of December 23, 1913, c. 6, 38 Stat. 251, 273, as amended September 7, 1916, c. 461, 39 Stat. 752, 755, chanrobles.com-red
infra, established branches at Manila and Cebu in the Philippine Islands. A tax was levied by and paid to the Philippine government on the net income of these branches for the first six months of the year 1931 (R.S. § 5219), [Footnote 1] about which there is no controversy. The Philippine Government, however, in addition, levied capital and deposit taxes not permitted by § 5219, and, these having been paid by the bank under protest, this action was brought in the Court of First Instance of Manila to recover the amount. That court gave judgment in favor of the bank for only a part of the additional taxes; but the Philippine Supreme Court, upon appeal, reversed the judgment insofar as it was against the bank, and ordered a refund of the entire amount.
Section 25 of the Federal Reserve Act of 1913, supra, reproduced in the margin so far as it is pertinent here, [Footnote 2] chanrobles.com-red
authorizes the establishment of branches of national banking associations "in foreign countries or dependencies of the United States." It cannot be doubted that, viewing this section without regard to later legislation, the branches here in question were lawfully established, for, as will appear at a later point in this opinion, the Philippine Islands are included by the words "dependencies of the United States." In that view of the matter, the additional taxes imposed by the Philippine Government are invalid under Domenech v. National City Bank, 294 U. S. 199, 294 U. S. 204; Talbott v. Silver Bow County, 139 U. S. 438, and, were it not for the asserted effect of legislation subsequent to the passage of the Federal Reserve Act in 1913, which we shall examine in a moment, this case would be disposed of without further detail upon the authority of those cases. In the Domenech case, we held that the national banking laws extended to Puerto Rico; that a tax on a branch of a national bank is a tax on the bank, and that Puerto Rico, being a dependency of the United States, could not, except as permitted by R.S. § 5219, tax a national bank, since it is an agency of the United States. The Talbott case involved the power of a territory to impose a tax upon a national bank. This Court held, in the first place, that the same power of taxation in respect of national banks exists in the territories as in the states, and, in the second place, that this power of taxation in the territories was limited by the provisions of § 5219, although, in terms, that section refers only to the states. 294 U.S. 294 U. S. 204. We find nothing in the original Organic Act or in any of the early statutes relating to the Philippines referred to by petitioner which take those islands out of the controlling rule of the Domenech case that a "dependency may not tax its sovereign," and we come to the only remaining point which we deem it necessary to discuss. chanrobles.com-red
By §§ 6 and 31, it is clear that § 25 of the Federal Reserve Act of 1913, not being in conflict with any provision of the Organic Act of 1916, was continued in full force and effect. chanrobles.com-red
September 7, 1916, nine days after the passage of the new Organic Act, the act to amend the Federal Reserve Act, supra, was passed. It first is to be observed in respect of this amending act that it does not purport to enact a substitute for the Federal Reserve Act, or to repeal and reenact any portion, but only to amend certain specific sections thereof. The old act contains thirty sections. The Act of September 7, 1916, amends §§ 11, 13, subsection (e) of § 14, the second paragraph of § 16, §§ 24 and 25 of Federal Reserve Act, and § 5202 of the Revised Statutes. The introductory words as to § 25 are: "That section twenty-five be, and is hereby, amended to read as follows." The original section is then copied, the only change or addition so far as the question here is concerned being the insertion of the words "or insular possessions" after the word "dependencies." No reason appears from anything called to our attention, and we are not ourselves aware of any reason, for the addition of these words, since the comprehensive term "dependencies" would seem to include all insular possessions which we then had. But, in any event, the Philippine Islands constituted a dependency, for they were not possessions merely, but possession held by right of cession from Spain, and over which the United States undoubtedly had supreme power of legislation and government. See United States v. The Nancy, 3 Wash.C.C. 281, 286 et seq. Compare 34 Op.Attys.Gen. 287, 291. The only substantial change made in the old § 25 is the addition of a provision authorizing a national banking association to invest in the stock of other banks and corporations chartered or incorporated under the laws of the United States or of any state engaged in international or foreign banking, or banking in dependencies or insular possessions of the United States, and it is fairly plain that this addition constituted the sole reason for amending the section. chanrobles.com-red
The law on the subject as we have just stated it finds abundant support in the decisions of this Court, as well as in those of lower federal and state courts. It will be enough to direct attention to a few of these decisions out of a very large number. In @ 78 U. S. 92, Mr. Justice Field, speaking for the Court, after stating the general rule, said that, if two acts
It was not meant by this statement to say, as a casual reading of it might suggest, that the mere fact that the latter act covers the whole subject and embraces new chanrobles.com-red
provisions demonstrates an intention completely to substitute the latter act for the first. This is made apparent by the decision in @ 78 U. S. 657, at the same term, where, in an opinion delivered by Mr. Justice Strong, it is said,
(Italics are in the original.) These two cases, with others, are briefly reviewed by this Court in Red Rock v. Henry, 106 U. S. 596, 106 U. S. 601, by Mr. Justice Woods, and the Court's conclusion stated as follows:
The implication of which the cases speak must be a necessary implication. @ 41 U. S. 362-363. It is not sufficient, as was said by Mr. Justice Story in that case,
The question whether a statute is repealed by a later one containing no repealing clause, on the ground of repugnancy or substitution, is a question of legislative intent to be ascertained by the application of the accepted rules for ascertaining that intention. United States v. Claflin, 97 U. S. 546, 97 U. S. 551; Eastern Extension Tel. Co. v. United States, 231 U. S. 326, 231 U. S. 332. chanrobles.com-red
And, even in the face of a repealing clause, circumstances may justify the conclusion that a later act repeating provisions of an earlier one is a continuation, rather than an abrogation and reenactment, of the earlier act. Bear Lake Irrigation Co. v. Garland, 164 U. S. 1, 164 U. S. 11-13.
Petitioner relies on 87 U. S. 617; but it is sufficient to say that the rule which we have quoted from Red Rock v. Henry, supra,@ was formulated with that case in mind, since it is specifically mentioned.
In some of the states, the principle has been embodied in statutes to the general effect that provisions of a prior statute, so far as they are reproduced in a later one, are to be construed as a continuation of such provisions, and not as a new enactment. See Barrows v. People's Gaslight & Coke Co., 75 F.7d 4, 795. But such statutes are only declaratory of the rule of the common law. Dallmann v. Dallmann, 159 Wis. 480, 485-486, 149 N.W. 137; Julien v. Model B., L. & I. Assn., 116 Wis. 79-89, 90, 92 N.W. 561. See also Ely and Others v. Holton, 15 N.Y. 595, 598-599; Moore v. Mausert et al., 49 N.Y. 332, 335; Longlois v. Longlois et al., 48 Ind. 60, 63-64; People v. New York, C. & St.L. R. Co., 316 Ill. 452, 457-458, 147 N.E. 494.
Applying the rule established by the foregoing and other authorities, we see nothing in the terms of the Federal Reserve Amending Act, in the provisions of the new Organic Act, or in the history of Philippine legislation which justifies the conclusion that, by the amendment of 1916, Congress intended to repeal the old § 25 of the Federal Reserve Act. The amendment is made in a well approved form -- a form which, indeed, many of the states compel by constitutional provision -- namely, by repeating the language of the original section with the additions to which we have heretofore called attention. Unless the contrary plainly appear, the employment of such form of amendment is simply to serve the causes of convenience chanrobles.com-red