A statute of a state, by which peddlers of goods, going from
place to place within the state to sell them, are required, under a
penalty, to take out and pay for licenses, and which makes no
discrimination between residents or products of the state and those
of other states, is not, as to peddlers of goods previously sent to
them by manufacturers in other states, repugnant to the grant by
the Constitution to Congress of the power to regulate commerce
among the several states.
Machine Co. v. Gage, 100 U. S. 676,
approved and followed.
This was an information, filed July 27, 1889, before a justice
of the peace in the County of Montgomery and State of Missouri, for
a misdemeanor, by peddling goods without a license, in violation of
a statute of the state, contained in chapter 137, entitled
"Peddlers and Their Licenses," of the Revised Statutes of Missouri
of 1879, the material provisions of which are copied in the margin,
* and which is
reenacted as chapter 125 of the Revised Statutes of 1889.
Page 156 U. S. 297
The information alleged that the defendant, on June 26, 1889, in
that county,
"did then and there unlawfully deal in the selling of goods,
wares, and merchandise, not being books, charts, maps, or
stationery, by going from place to place, in a cart or spring
wagon, with one horse, to sell the same, and did then and there,
while going from place to place to sell said goods, wares, and
merchandise aforesaid, unlawfully sell one sewing machine to David
Portucheck, without then and there having a license as a peddler or
any other legal authority to sell the same; against the peace and
dignity of the state."
The defendant pleaded not guilty, and was adjudged to be guilty,
and sentenced to pay a fine of $50 and costs. He appealed to the
circuit court of the county, and in that court the parties, for the
purpose of dispensing with evidence, agreed in writing, signed by
their attorneys, that the case might be decided by the court on the
following agreed statement:
"1st. That for more than five years last past, the Singer
Manufacturing Company has been, and still is, a corporation duly
organized under the laws of the State of New Jersey, and a citizen
of that state."
"2d. That on and prior to June 26, 1889, E. S. Emert, defendant,
was in the employ of said Singer Manufacturing Company, on a salary
for his services, and at said time, in
Page 156 U. S. 298
pursuance of said employment, was engaged in going from place to
place in said Montgomery County, Missouri, with a horse and wagon,
soliciting orders for the sale of Singer sewing machines, having
with him in said wagon a certain New Singer sewing machine, which
on said day he offered for sale to various persons at different
places in said county, and that on said day the defendant did find
a purchaser for said machine, and did sell and deliver the same to
David Portucheck, in said county."
"3d. That said Singer machine in question was manufactured by
said Singer Manufacturing Company at its works in the State of New
Jersey, and that said sewing machine belonged to, and was the
property of, said company, and that it was forwarded to this state
by said company, and by it delivered to the defendant, as its
agent, for sale on its account, and said machine was sold on
account of the said manufacturing company; that said machine was of
the value of fifty dollars; that the defendant had no peddler's
license at said time."
The court adjudged that the defendant was guilty as charged in
the information, and that he pay a fine of fifty dollars and costs.
The defendant moved for a new trial, because the facts in the
agreed statement constituted no offense and because the statute on
which he had been charged and convicted, being chapter 137 of the
Revised Statutes of 1879, was in contravention of Section 8 of
Article I of the Constitution of the United States, and void
insofar as it affected him. The motion for a new trial, as well as
a motion in arrest of judgment, was overruled, and the defendant,
upon the ground that a constitutional question was involved, and
assigning as errors the same causes as in his motion for a new
trial, appealed to the supreme court of the state, which affirmed
the judgment. 103 Mo. 241.
The defendant sued out this writ of error, which was allowed by
the presiding judge of that court upon the ground that there
"was drawn in question the validity of a statute of, or an
authority exercised under, said state on the ground of their being
repugnant to the Constitution of the United States, and the
decision was in favor of such their validity. "
Page 156 U. S. 306
MR. JUSTICE GRAY, after stating the case, delivered the opinion
of the Court.
From early times in England and America, there have been
statutes regulating the occupation of itinerant peddlers, and
requiring them to obtain licenses to practice their trade.
In Tomlin's Law Dictionary are these definitions:
"
Hawkers. Those deceitful fellows who went from place
to place, buying and selling brass, pewter, and other goods and
merchandise, which ought to be uttered in open market, were of old
so called, and the appellation seems to grow from their uncertain
wandering, like persons that, with hawks, seek their game where
they can find it. They are mentioned in Stat. 33 Hen. VIII. c. 4. .
. .
Hawkers, Pedlars, and Petty Chapmen. Persons traveling
from town to town with goods and merchandise. These were under the
control of commissioners for
Page 156 U. S. 307
licensing them for that purpose, under St. 8 & 9 Wm. III. c.
25; 9 & 10 Wm. III. c. 25 [9 Wm. III. c. 27]; 29 Geo. III. c.
26."
The act of 50 Geo. III. c. 41, repealed the prior acts and
imposed a penalty on
"any hawker, pedlar, petty chapman, or any other trading person
or persons, going from town to town, or to other men's houses, and
traveling, either on foot, or with horse or horses,"
and exposing to sale, or selling goods, wares, or merchandise by
retail. Upon an information in the Court of Exchequer to recover
penalties under that act, Baron Graham said:
"The object of the legislature in passing the act upon which
this information is founded was to protect, on the one hand, fair
traders, particularly established shopkeepers, resident permanently
in towns or other places, and paying rent and taxes there for local
privileges, from the mischiefs of being undersold by itinerant
persons, to their injury, and, on the other, to guard the public
from the impositions practiced by such persons in the course of
their dealings, who, having no known or fixed residence, carry on a
trade by means of vending goods conveyed from place to place by
horse or cart."
Attorney General v. Tongue (1823), 12 Price 51, 60.
In Massachusetts, both before and after the adoption of the
Constitution of the United States, successive statutes imposed
penalties on hawkers, peddlers, and petty chapmen. 7 Dane Ab. 72;
St. 1713-14, c. 7 (1 Prov.Laws 720); 1716-17, c. 10; 1721-22, c.
61; 1726-27, c. 4 (2 Prov.Laws, 47, 232, 385); 1785, c. 2; 1799, c.
20; 1820, c. 45; Rev.Stat. 1836, c 35, §§ 7, 8. The
statute of 1846, c. 244, repealing the earlier statutes, imposed a
penalty on
"every hawker, peddler or petty chapman or other person, going
from town to town, or from place to place, or from dwellinghouse to
dwellinghouse in the same town, either on foot, or with one or more
horses, or otherwise carrying for sale, or exposing to sale, any
goods, wares or merchandise"
(with certain exceptions), without first obtaining a license as
therein provided.
In a case under that statute, Chief Justice Shaw said:
"The leading, primary idea of a 'hawker and peddler' is that of
an
Page 156 U. S. 308
itinerant or traveling trader, who carries goods about in order
to sell them and who actually sells them to purchasers, in
contradistinction to a trader who has goods for sale and sells them
in a fixed place of business. Superadded to this, though perhaps
not essential, by a 'hawker' is generally understood one who not
only carries goods for sale, but seeks for purchasers, either by
outcry, which some lexicographers conceive as intimated by the
derivation of the word, or by attracting notice and attention to
them as goods for sale by an actual exhibition or exposure of them,
by placards or labels, or by a conventional signal, like the sound
of a horn for the sale of fish. But our statute goes further, and
not only proscribes actual hawkers and peddlers, whose employment
is that of traveling traders, and thus seems to refer to a business
or habitual occupation, but it extends to all persons doing the
acts proscribed."
Commonwealth v. Ober (1853), 12 Cush. 493, 495.
In that case, it was objected that the statute was repugnant to
the Constitution of the United States because at variance with the
exclusive right of Congress to regulate commerce with foreign
nations and among the several states and with the Indian tribes, to
which Chief Justice Shaw answered:
"The law in question interferes with none of these. . . . We
consider this as wholly an internal commerce, which the states have
a right to regulate, and in this respect this law stands on the
same footing with the laws regulating sales of wine and spirits,
sales at auction, and very many others which are in force and
constantly acted upon."
12 Cush. 497.
In Michigan, a city ordinance, passed under authority of the
legislature, prohibiting peddling without a license from the mayor
was held constitutional, and Chief Justice Cooley said:
"That the regulation of hawkers and peddlers is important, if
not absolutely essential, may be taken as established by the
concurring practice of civilized states. They are a class of
persons who travel from place to place among strangers, and the
business may easily be made a pretense or a convenience to those
whose real purpose is theft or fraud. The
Page 156 U. S. 309
requirement of a license gives opportunity for inquiry into
antecedents and character, and the payment of a fee affords some
evidence that the business is not a mere pretense."
People v. Russell (1883), 49 Mich. 617, 619.
In the courts of many other states, statutes imposing a penalty
for peddling without a license all goods of particular kinds, and
not discriminating against goods brought from other states or from
foreign countries, have been held not to be repugnant to the
Constitution of the United States.
Cowles v. Brittain
(1822), 2 Hawks 204;
Wynne v. Wright (1834), 1 Dev. &
Bat. 19;
Tracy v. State (1829), 3 Mo. 3;
Morrill v.
State (1875), 38 Wis. 428;
Howe Machine Co. v. Cage
(1876), 9 Baxt. 518;
Graffty v. Rushville (1886), 107 Ind.
502;
State v. Richards (1889), 32 W.Va. 348;
Commonwealth v. Gardner (1890), 133 Penn.St. 284.
The statute of Missouri under which the conviction in the case
at bar was had is contained in a separate chapter of the Revised
Statutes of the state, entitled "Peddlers and Their Licenses," and
relating to no other subject. By this statute, "Whoever shall deal
in the selling of" any goods, wares, or merchandise (except books,
charts, maps, and stationery) "by going from place to place to sell
the same, is declared to be a peddler," and is prohibited from
dealing as a peddler without a license. Rev.Stat. of 1879,
§§ 6471, 6472. The license is required to state how the
dealing is to be carried on -- whether on foot or with one or more
beasts of burden, a cart or wagon, or a boat or vessel -- and may
be obtained by any person paying the tax prescribed, according to
the manner in which the business is carried on. §§ 6473,
6476, 6477. Any person dealing as a peddler, without a license,
whether with a pack, a wagon, or a boat, is to pay a certain
penalty, which, in the case of peddling in a cart or wagon, is
fifty dollars. § 6478. And any peddler who refuses to exhibit
his license on demand of a sheriff, collector, constable, or
citizen householder of the county is to forfeit the sum of ten
dollars. § 6479.
The facts were agreed that the Singer Manufacturing Company, for
more than five years last past, and on the day in question, was a
corporation of New Jersey; that the defendant,
Page 156 U. S. 310
on and prior to that day, was in the employment of that company,
and on that day, in pursuance of that employment, and having no
peddler's license, was engaged in going from place to place in
Montgomery County, in the State of Missouri, with a horse and
wagon, soliciting orders for the sale of the company's sewing
machines, and having with him in the wagon one of those machines,
the property of the company, and manufactured by it at its works in
New Jersey, and which it had forwarded and delivered to him for
sale on its account, and that he offered this machine for sale to
various persons at different places, and found a purchaser, and
sold and delivered it to him.
The supreme court of the state, in its opinion, understood and
assumed the effect of those facts to be as follows:
"The defendant was engaged in going from place to place, selling
and trying to sell sewing machines in Montgomery County, in this
state, and had been so engaged for some years. He carried the
machines with him in a wagon, and, on making a sale, delivered
those sold to the purchaser. He was not only soliciting orders, but
was making sales and delivering the property sold. These acts bring
him clearly within the statutory definition of a 'peddler,' and,
having no license from the state, he became liable to the penalties
imposed by the statute unless, for any reason, he was exempt from
the operations of the law."
103 Mo. 247. It is argued by one of his counsel that this was an
unwarranted conclusion from the facts agreed. But the construction
of those facts does not present a federal question except so far as
it involves the constitutionality of the statute. Upon any
construction, it is clear that the defendant was engaged in going
from place to place within the state, without a license, soliciting
orders for the sale of sewing machines, having with him in the
wagon at least one of those machines, and offering that machine for
sale to various persons at different places, and that he finally
sold it, and delivered it to the purchaser. The conclusion that
such dealing made him a peddler within the meaning of the statute
of the state and of the information on which he was convicted
presents, of itself, no constitutional question.
Page 156 U. S. 311
The facts appear to have been agreed for the purpose of
presenting the question whether the statute was repugnant to the
Constitution of the United States. This was the only question
discussed in the opinion of the Supreme Court of Missouri. And it
is the only one of which this Court has jurisdiction upon this writ
of error.
The defendant's occupation was offering for sale and selling
sewing machines by going from place to place in the State of
Missouri in a wagon, without a license. There is nothing in the
case to show that he ever offered for sale any machine that he did
not have with him at the time. His dealings were neither
accompanied nor followed by any transfer of goods, or of any order
for their transfer, from one state to another, and were neither
interstate commerce in themselves nor were they in any way directly
connected with such commerce. The only business or commerce in
which he was engaged was internal and domestic, and, so far as
appears, the only goods in which he was dealing had become part of
the mass of property within the state. Both the occupation and the
goods, therefore, were subject to the taxing power and to the
police power of the state.
The statute in question is not part of a revenue law. It makes
no discrimination between residents or products of Missouri and
those of other states, and manifests no intention to interfere in
any way with interstate commerce. Its object in requiring peddlers
to take out and pay for licenses, and to exhibit their licenses, on
demand, to any peace officer or to any citizen householder of the
county, appears to have been to protect the citizens of the state
against the cheats and frauds, or even thefts, which, as the
experience of ages has shown, are likely to attend itinerant and
irresponsible peddling from place to place and from door to
door.
If this question were now brought before this Court for the
first time, there could hardly be a doubt of the validity of the
statute. But it is not a new question in this Court.
The decision at October term, 1879, in the case reported as
Machine Co. v. Gage, 100 U. S. 676,
affirming the judgment of the Supreme Court of Tennessee in
Howe Machine Co. v. Cage,
Page 156 U. S. 312
9 Baxt. 518, is directly in point. The facts agreed, upon which
that case was submitted, as shown by the record, were as follows:
the Howe Machine Company, a corporation of Connecticut,
manufactured sewing machines at Bridgeport, in that state, and had
an office at Nashville, in the State of Tennessee, and sent an
agent into Sumner County for the purpose of selling or peddling
machines, who traveled through the country in a wagon, with one
horse, for the purpose of exhibiting and offering for sale the
company's machines. That the machines offered for sale and sold by
him were manufactured in Connecticut, and brought into Tennessee
for sale, and that he paid, under protest, a tax required of him
under the statutes of Tennessee for the privilege or license to
peddle or sell the machines of the company in Sumner County. By
those statutes, "all articles manufactured of the produce of the
state" were exempt from taxation, and "all peddlers of sewing
machines" were required to pay a tax of fifteen dollars. The
Supreme Court of Tennessee having held that the latter provision
"levied a tax upon all peddlers of sewing machines, without regard
to the place of growth or produce of material, or of manufacture,"
this Court, speaking by Mr. Justice Swayne, considered itself
"bound to regard this construction as correct, and to give it the
same effect as if it were a part of the statute," and decided
that
"the statute in question, as construed by the supreme court of
the state, makes no such discrimination. It applies alike to sewing
machines manufactured in the state, and out of it. The exaction is
not an unusual or unreasonable one. The state, putting all such
machines upon the same footing with respect to the tax complained
of, had an unquestionable right to impose the burden."
100 U.S.
100 U. S. 677,
100 U. S.
679.
It has been strenuously argued that that decision is
inconsistent with earlier and later decisions of this Court upon
the subject of the powers of the several states as affected by the
grant by the Constitution to Congress of the power to regulate
commerce. It becomes necessary therefore to examine those decisions
with care, beginning with the earlier ones.
In the leading case of
Brown v.
Maryland (1827), 12
Page 156 U. S. 313
Wheat. 419, in which it was adjudged that a statute of Maryland
requiring, under a penalty, importers or other persons selling
foreign goods by the bale or package to take out and pay for a
license, was repugnant to the Constitution of the United States
both as laying an impost or duty on imports without the consent of
Congress and as inconsistent with the power of Congress to regulate
commerce with foreign nations, Mr. Taney and Mr. Johnson, for the
State of Maryland, argued that the tax was "laid upon the same
principle with the usual taxes on retailers or innkeepers, or
hawkers and pedlars, or upon any other trade exercised within the
state." 12 Wheat. 425 [argument of counsel -- omitted].
Chief Justice Marshall, in answering that argument, said:
"This indictment is against the importer for selling a package
of dry goods, in the form in which it was imported, without a
license. This state of things is changed if he sells them or
otherwise mixes them with the general property of the state by
breaking up his packages and traveling with them as an itinerant
peddler. In the first case, the tax intercepts the import as an
import in its way to become incorporate with the general mass of
property, and denies it the privilege of becoming so incorporated
until it shall have contributed to the revenue of the state. It
denies to the importer the right of using the privilege which he
has purchased from the United States until he shall also have
purchased it from the state. In the last cases, the tax finds the
article already incorporated with the mass of property by the act
of the importer. He has used the privilege he had purchased, and
has himself mixed them up with the common mass, and the law may
treat them as it finds them. The same observations apply to plate
or other furniture used by the importer. So if he sells by auction.
Auctioneers are persons licensed by the state, and if the importer
chooses to employ them, he can as little object to paying for this
service as for any other for which he may apply to an officer of
the state. The right of sale may very well be annexed to
importation without annexing to it also the privilege of using the
officers licensed by the state to make sales in a peculiar
way."
12 Wheat.
25 U. S.
443.
Page 156 U. S. 314
A like distinction was recognized in the United States Internal
Revenue Act of 1862, in which "peddlers" were distinguished from
"commercial brokers," and were subjected to a different license
tax. Among "commercial brokers" was classed
"any person or firm, except one holding a license as wholesale
dealer or banker, whose business it is, as the agent of others, to
purchase or sell goods, or seek orders therefor, in original or
unbroken packages or produce."
"Peddlers" were thus defined:
"Any person, except persons peddling newspapers, Bibles or
religious tracts, who sells or offers to sell at retail, goods,
wares or other commodities, traveling from place to place, in the
street, or through different parts of the country, shall be
regarded as a peddler, under this act."
Act July 1, 1862, c. 119, § 64, cls. 14, 27; 12 Stat. 457,
458.
In
Woodruff v.
Parham (1868), 8 Wall. 123, it was adjudged by this
Court, speaking by Mr. Justice Miller, that a uniform tax imposed
by ordinance of the City of Mobile, under authority from the
Legislature of Alabama, on all sales by auction in the city was
constitutional because it was
"a simple tax on sales of merchandise, imposed alike upon all
sales made in Mobile whether the sales be made by a citizen of
Alabama or of another state and whether the goods sold are the
produce of that state or some other. There is no attempt to
discriminate injuriously against the products of other states or
the rights of their citizens, and the case is not therefore an
attempt to fetter commerce among the states, or to deprive the
citizens of other states of any privilege or immunity possessed by
citizens of Alabama. But a law having such operation would, in our
opinion, be an infringement of the provisions of the Constitution
which relate to those subjects, and therefore void."
8 Wall.
75 U. S.
140.
In
Hinson v.
Lott, 8 Wall. 148, decided at the same time, it was
adjudged by this Court, speaking by the same eminent Justice, that
a statute of that state, imposing a tax of fifty cents per gallon,
to be paid by the distiller, on all intoxicating liquors
manufactured within the state, and a like tax, to be paid by the
importer, on all intoxicating liquors introduced into the state for
sale, was constitutional, on the ground "that
Page 156 U. S. 315
no greater tax is laid on liquors brought into the state than on
those manufactured within it," and
"that whereas collecting the tax of the distiller was supposed
to be the most expedient mode of securing its payment, as to
liquors manufactured within the state, the tax on those who sold
liquors brought in from other states was only the complementary
provision, necessary to make the tax equal on all liquors sold in
the state. As the effect of the act is such as we have described,
and it institutes no legislation which discriminates against the
products of sister states, but merely subjects them to the same
rate of taxation which similar articles pay that are manufactured
within the state, we do not see in it an attempt to regulate
commerce, but an appropriate and legitimate exercise of the taxing
power of the states."
8 Wall.
75 U. S. 153.
In
Ward v.
Maryland (1870), 12 Wall. 418, a statute of
Maryland requiring all traders residing within the state to take
out licenses at certain rates, and subjecting to indictment and
penalty persons not residents of the state, who, without taking out
a license at a higher rate, should sell or offer for sale, by card,
sample, or trade list, within the limits of the City of Baltimore,
any goods, wares, or merchandise whatever, other than agricultural
products and articles manufactured in the state, was held to be
unconstitutional because it imposed a discriminating tax upon the
residents of other states.
In
Welton v. Missouri (1875),
91 U. S.
275, a statute of Missouri, by which
"whoever shall deal in the selling of patent or other medicines,
goods, wares of merchandise, except books, charts, maps and
stationery, which are not the growth, produce, or manufacture of
this state, by going from place to place to sell the same, is
declared to be a peddler,"
and which prohibited, under a penalty, dealing as a peddler
without taking out a license and paying a certain sum therefor, but
required no license for selling, by going from place to place, any
goods, the growth produce, or manufacture of the state, was held,
by reason of such discrimination, to be unconstitutional and void
as applied to a peddler within the state of sewing machines
manufactured without the state. MR. JUSTICE FIELD, in delivering
judgment, said:
"The commercial
Page 156 U. S. 316
power continues until the commodity has ceased to be the subject
of discriminating legislation by reason of its foreign character.
That power protects it, even after it has entered the state, from
any burdens imposed by reason of its foreign origin. The act of
Missouri encroaches upon this power in this respect, and is
therefore, in our judgment, unconstitutional and void."
And he referred to the passages in the opinions in
Brown v.
Maryland and in
Woodruff v. Parham, above cited, as
supporting the conclusion. 91 U.S.
91 U. S. 282.
The statute of Missouri now before the Court omits the
discriminating words, "which are not the growth, produce or
manufacture of this state," upon which that decision was
grounded.
In
Cook v. Pennsylvania (1878),
97 U. S.
566, in which a tax upon auctioneers, measured by the
amount of their sales, was held to be invalid as to sales by
auction of imported goods in the original package, the statute
under which the tax was imposed made a discrimination against
imported, as compared with domestic, goods, and the decisions in
Woodruff v. Parham, Hinson v. Lott, and
Welton v.
Missouri, above cited, were referred to as controlling. 97
U.S.
97 U. S. 569,
97 U. S.
573.
The decision in
Machine Co. v. Gage, 100 U.
S. 676, above stated, is thus shown to have been in
exact accordance with the law as declared in previous decisions.
Indeed,
Woodruff v. Parham, Hinson v. Lott, Ward v.
Maryland, and
Welton v. Missouri were cited in its
support. 100 U.S.
100 U. S.
679.
That decision is no less consistent with the subsequent
decisions of this Court, as will appear by an examination of
them.
In
Webber v. Virginia (1883),
103 U.
S. 344,
103 U. S. 347,
this Court, speaking by MR. JUSTICE FIELD, affirmed the doctrine
that
"the right conferred by the patent laws of the United States, to
inventors, to sell their inventions and discoveries, does not take
the tangible property in which the invention or discovery may be
exhibited or carried into effect from the operation of the tax and
license laws of the state,"
and the reason why a tax imposed by a statute of Virginia upon
persons selling, without license patented articles not owned by
them was
Page 156 U. S. 317
held to be invalid as applied to sales of sewing machines
manufactured in another state, was that the statute made "a clear
discrimination in favor of home manufacturers, and against the
manufacturers of other states." 103 U.S.
103 U. S.
350.
In
Brown v. Houston (1885),
114 U.
S. 622, coal brought in flatboats from Pittsburgh to New
Orleans was still afloat in the Mississippi River after its
arrival, in the same boats, and in the same condition in which it
had been brought, and was held in order to be sold on account of
the original owners by the boatload. Yet this Court unanimously
decided that a tax imposed by general statutes of the State of
Louisiana upon this coal was valid, and, speaking by Mr. Justice
Bradley, said:
"It was not a tax imposed upon the coal as a foreign product, or
as the product of another state than Louisiana, nor a tax imposed
by reason of the coal's being imported or brought into Louisiana,
nor a tax imposed whilst it was in a state of transit through that
state to some other place of destination. It was imposed after the
coal had arrived at its destination and was put up for sale. The
coal had come to its place of rest for final disposal or use, and
was a commodity in the market of New Orleans. . . . The taxing of
goods coming from other states, as such, or by reason of their so
coming, would be a discriminating tax against them as imports, and
would be a regulation of interstate commerce inconsistent with that
perfect freedom of trade which Congress has seen fit should remain
undisturbed. But if, after their arrival within the state -- that
being their place of destination for use or trade -- if, after
this, they are subjected to a general tax, laid alike on all
property within the city, we fail to see how such a taxing can be
deemed a regulation of commerce which would have the objectionable
effect referred to."
114 U.S.
114 U. S.
632-634.
In
Walling v. Michigan (1886),
116 U.
S. 446, the statute of Michigan which was held to be an
unconstitutional restraint of interstate commerce imposed different
taxes upon the business of selling or soliciting the sale of
intoxicating liquors, according as the liquors were manufactured
within the state, or were to be sent from another state, and this
Court, again
Page 156 U. S. 318
speaking by Mr. Justice Bradley, declared that the police power
of the state
"would be a perfect justification of the act, if it did not
discriminate against the citizens and products of other states in a
matter of commerce between the states, and thus usurp one of the
prerogatives of the national legislature."
116 U.S.
116 U. S.
460.
In
Robbins v. Shelby Taxing District (1887),
120 U. S. 489,
indeed, the majority of the Court held that a statute of Tennessee
requiring
"all drummers, and all persons not having a regular licensed
house of business in the taxing district, offering for sale or
selling goods, wares or merchandise therein by sample"
to pay a certain sum weekly or monthly for a license was, as
applied to persons soliciting orders for goods on behalf of houses
doing business in other states, unconstitutional as inconsistent
with the power of Congress to regulate commerce among the several
states.
But in the opinion of the majority of the Court, delivered by Mr
Justice Bradley, it was expressly affirmed that a state, although
commerce might thereby be incidentally affected, might pass
"inspection laws to secure the due quality and measure of products
and commodities," and "laws to regulate or restrict the sale of
articles deemed injurious to the health or morals of the
community," and might impose
"taxes upon persons residing within the state, or belonging to
its population, and upon avocations and employments pursued
therein, not directly connected with foreign or interstate
commerce, or with some other employment or business exercised under
authority of the Constitution and laws of the United States,"
and also "taxes upon all property within the state, mingled with
and forming part of the great mass of property therein," although
it could not
"impose such taxes upon property imported into the state from
abroad, or from another state, and not yet become part of the
common mass of property therein, and no discrimination can be made,
by any such regulations, adversely to the persons or property of
other states, and no regulations can be made, directly affecting
interstate commerce."
120 U.S.
120 U. S.
493-494.
The distinction on which that judgment proceeded is
Page 156 U. S. 319
clearly brought out in the following passages of the
opinion:
"As soon as the goods are in the state and become part of its
general mass of property, they will become liable to be taxed in
the same manner as other property of similar character, as was
distinctly held by this Court in the case of
Brown v.
Houston, 114 U. S. 622. When goods are
sent from one state to another for sale, or in consequence of a
sale, they become part of its general property, and amenable to its
laws, provided that no discrimination be made against them as goods
from another state, and that they be not taxed by reason of being
brought from another state, but only taxed in the usual way as
other goods are.
Brown v. Houston, qua supra; Machine Co. v.
Gage, 100 U. S. 676. But to tax the
sale of such goods, or the offer to sell them, before they are
brought into the state, is a very different thing, and seems to us
clearly a tax on interstate commerce itself. . . . The negotiation
of sales of goods which are in another state, for the purpose of
introducing them into the state in which the negotiation is made,
is interstate commerce."
120 U.S.
120 U. S.
497.
The decision in
Machine Co. v. Gage, as to a peddler
carrying with him for sale goods already in the state, was thus
expressly recognized, and was distinguished from the case then
before the Court, of a drummer selling or soliciting orders for
goods which were at the time in another state. And in the
dissenting opinion, delivered by Chief Justice Waite, in which two
other justices concurred, it was assumed, as incontrovertible, that
another provision of the same statute, requiring a license fee from
all peddlers within the district, could not be held
unconstitutional in its application to peddlers who came with their
goods from another state, and expected to go back again. 120 U.S.
120 U. S.
501.
In
Asher v. Texas (1888),
128 U.
S. 129, and in
Brennan v. Titusville (1894),
153 U. S. 289, the
decision in
Robbins v. Shelby Taxing District was
followed.
Asher's Case was strictly one of a drummer
soliciting orders on behalf of manufacturers residing in another
state, and was decided upon the ground that the circumstances in
that case and in
Robbins' Case were substantially the
same. 128 U.S.
128 U. S. 131.
In
Brennan's
Page 156 U. S. 320
Case, it was expressly agreed by the parties that the
goods offered by him for sale in Pennsylvania were afterwards sent
by their owner in the other state directly to the purchasers. 153
U.S.
153 U. S. 290.
The case of
Stoutenburgh v. Hennick (1889),
129 U.
S. 141, in which an act of the Legislature of the
District of Columbia taxing commercial agents "offering for sale
goods, wares or merchandise, by sample, catalogue or otherwise" was
held to be unconstitutional, as applied to a commercial agent
offering for sale goods of a Maryland house, did not substantially
differ in principle or in circumstances.
In
Leloup v. Mobile (1888),
127 U.
S. 640, in which a general license tax imposed by a
statute of Alabama on a telegraph company, affecting its entire
business, interstate as well as domestic or internal, without
discrimination, was held unconstitutional, Mr. Justice Bradley, in
delivering judgment, took occasion to observe that
"there are sufficient modes in which the internal business, if
not already taxed in some other way, may be subjected to taxation,
without the imposition of a tax which covers the entire operations
of the company,"
and to repeat that
"this exemption of interstate and foreign commerce from state
regulation does not prevent the state from taxing the property of
those engaged in such commerce located within the state as the
property of other citizens is taxed, nor from regulating matters of
local concern, which may incidentally affect commerce."
127 U.S.
127 U. S.
647-649.
See also Pullman's Car Co. v.
Pennsylvania (1891),
141 U. S. 18;
Ficklen v. Shelby Taxing District (1892),
145 U. S.
1;
Postal Telegraph Co. v. Charleston (1894),
153 U. S. 692;
Postal Telegraph Co. v. Adams (1895),
155 U.
S. 688.
In
Dent v. West Virginia (1889),
129 U.
S. 114, this Court upheld the validity of a statute of
West Virginia requiring every person practicing medicine in the
state to obtain a certificate from the state board of health, and,
speaking by MR. JUSTICE FIELD, said:
"The power of the state to provide for the general welfare of
its people authorizes it to prescribe all such regulations as, in
its judgment, will secure, or tend to secure, them against the
consequences of ignorance and incapacity, as well as of deception
and fraud."
129 U.S.
129 U. S.
122.
Page 156 U. S. 321
In
Leisy v. Hardin (1890),
135 U.
S. 100, a statute of a state prohibiting the sale of
intoxicating liquors without a license was, as applied to a sale of
liquors in the original packages and by the person who had brought
them into the state from another state, held to be inconsistent
with the power of Congress to regulate commerce among the several
states, and that conclusion was reached by applying to the case the
rule laid down by Chief Justice Marshall in
Brown v.
Maryland, above cited, and stated by the present CHIEF JUSTICE
in these words:
"That the point of time when the prohibition ceases and the
power of the state to tax commences is not the instant when the
article enters the county, but when the importer has so acted upon
it that it has become incorporated and mixed up with the mass of
property in the country, which happens when the original package is
no longer such in his hands; that the distinction is obvious
between a tax which intercepts the import as an import on its way
to become incorporated with the general mass of property and a tax
which finds the article already incorporated with that mass by the
act of the importer."
135 U.S.
135 U. S. 110.
The decision made at the same time in
Lyng v. Michigan was
to the same effect.
135 U. S. 135 U.S.
161. Presently after those decisions, Congress, by the Act of
August 8, 1890, c. 728, enacted that all intoxicating liquors or
liquids brought into or remaining in a state should, upon their
arrival therein, be subject, like domestic liquors, to the
operation of laws enacted by the state in the exercise of its
police powers. 26 Stat. 313. After Congress had thus, as said by
the Chief Justice, "declared that imported liquors or liquids
shall, upon arrival in a state, fall within the category of
domestic articles of a similar nature," this Court unanimously held
that intoxicating liquors brought into a state before this act of
Congress were subject to the operation of the earlier statutes of
the state remaining unrepealed.
In re Rahrer (1891),
140 U. S. 545,
140 U. S. 560,
140 U. S.
564.
In
Plumley v. Massachusetts, decided at the present
term, the question, as stated by the court, was,
"Does the freedom of commerce among the states demand a
recognition of the right to practice a deception upon the public in
the sale of
Page 156 U. S. 322
any articles, even those that may have become the subject of
trade in different parts of the country?"
After reviewing many of the cases, citing the passages above
quoted from the opinions in
Walling v. Michigan and in
Dent v. West Virginia, and distinguishing
Leisy v.
Hardin, the Court answered the question in the negative, and
therefore held that the statute of Massachusetts prohibiting the
sale of oleomargarine colored to imitate butter was constitutional
and valid, as applied to a sale by an agent within the state of
articles manufactured in another state by citizens thereof. 155
U.S.
155 U. S. 461,
155 U. S. 468,
155 U. S.
471-474.
The necessary conclusion, upon authority as well as upon
principle, is that the statute of Missouri now in question is
nowise repugnant to the power of Congress to regulate commerce
among the several states, but is a valid exercise of the power of
the state over persons and business within its borders.
Judgment affirmed.
*
"SEC. 6471. Whoever shall deal in the selling of patents, patent
rights, patent or other medicines, lightning rods, goods, wares or
merchandise, except books, charts, maps and stationery, by going
from place to place to sell the same, is declared to be a
peddler."
"SEC. 6472. No person shall deal as a peddler without a license,
and no two or more persons shall deal under the same license,
either as partners, agents or otherwise, and no peddler shall sell
wines or spirituous liquors."
"SEC. 6473. Every license shall state the manner in which the
dealing is to be carried on, whether on foot, or with one or more
beasts of burden, the kind of cart or carriage, or, if on the
water, the kind of boat or vessel, to be employed."
"SEC. 6476. Any person may obtain a peddler's license by
application to the collector of the county in which he intends to
carry on his trade, by paying the amount levied on such
license."
"SEC. 6477. There shall be levied and paid on all peddlers'
licenses, a state tax of the following rates: first, if the peddler
travel and carry his goods on foot, three dollars for every period
of six months; second, if one or more horses or other beasts of
burden, ten dollars for every period of six months; third, if a
cart or other land carriage, twenty dollars for every period of six
months; fourth, if in a boat or other river vessel at the rate of
one dollar per day for any period not less than five days, and such
license may be renewed at the expiration of the first license, for
any period not greater than six months, on payment of fifty cents a
day, the number of days to be specified in such license. Any county
court may, by an order of record, require all peddlers doing
business in their county to pay a license tax not greater than that
levied for state purposes."
"SEC. 6478. Every person who shall be found dealing as a
peddler, contrary to law or the terms of his license, shall
forfeit, if a foot peddler, the sum of ten dollars; on one or more
beasts of burden, twenty-five dollars; in a cart or other land
carriage, fifty dollars; in a boat or other vessel, one hundred
dollars."
"SEC. 6479. Every peddler shall, upon the demand of any sheriff,
collector, constable, or citizen householder of the county, produce
his license, and allow the same to be read by the person making the
demand; and, in default thereof, shall forfeit the sum of ten
dollars."