Pacific States Telephone & Telegraph Co. v. Oregon

223 U.S. 118, 32 S. Ct. 224, 56 L. Ed. 377, 1912 U.S. LEXIS 2220
CourtSupreme Court of the United States
DecidedFebruary 19, 1912
Docket36
StatusPublished
Cited by213 cases

This text of 223 U.S. 118 (Pacific States Telephone & Telegraph Co. v. Oregon) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pacific States Telephone & Telegraph Co. v. Oregon, 223 U.S. 118, 32 S. Ct. 224, 56 L. Ed. 377, 1912 U.S. LEXIS 2220 (1912).

Opinion

Mr. Chief Justice White

delivered the opinion of the court.

We premise by saying that while the controversy which this record presents is bf much importance, it is not novel. It is important, since it calls upon us to decide whether it is the duty of the courts or the province of Congress to determine when a State has ceased to be republican in form and to enforce the guarantee of. the Constitution on that súbject. It is not novel, as.that question has long sincé been determined by this court conformably to the practise of the Government from the beginning to be .political in character, and therefore not' cognizable by the judicial power, but solely committed by the Constitution to the judgment of Congress.

The case is this:'In 1902 Oregon amended its constitution (Art. IV, § 1). This amendment while retaining an existing clause vesting the exclusive legislative power in a General Assembly consisting of a senate and house of representatives added, to that provision the following: “But the people reserve..to themselves power tp propose laws and amendments to the constitution and to enact or *134 reject the same at the polls, independent of the legislative assembly, and also reserve power at their own option to approve or reject at the polls any act of the legislative assembly..” Specific means for the exercise of the power thus reserved was contained in further clauses authorizing both the amendment of the constitution and the enactment of laws to be accomplished by the method known as the initiative and that commonly referred to as the referendum. As to the first, the initiative, it suffices to say that a stated number of voters were given the right at any time to secure a submission to popular vote for approval of any matter which it was desired to have enacted into law, and providing that the proposition thus submitted when approved by popular vote should become the law of the State. The second, the referendum, provided for a reference to a popular vote, for approval or disapproval, of any law passed by the legislature, such reference to take place either as the result of the action of the legislature itself or of a petition filed for that purpose by a specified number of voters. The full text of the amendment is in the margin. 1

*135 In 1903 (Feby. 24, 1903, Gen. Laws 1903, p. 244) detailed provisions for the carrying into effect of this amendment were enacted by the legislature.

By resort to the initiative in 1906 a law taxing certain classes of corporations was submitted, voted on and promulgated by the Governor in 1906 (June 25, 1906, Gen. Laws 1907, p. 7) as having been duly adopted. By this law telephone and telegraph companies were taxed, by what was qualified as'an annual license, two per centum upon their gross revenue derived from business done within the State. Penalties were provided for non-payment, and methods were created for enforcing payment in case of delinquency.

The Pacific States Telephone and Telegraph Company, an Oregon corporation engaged in business in that State, made a return of its gross receipts as required by the. *136 statute and was accordingly assessed two per cent, upon the amount of such return. The suit which is now before. us was commenced by the State to enforce, payment of this assessment and the statutory penalties for delinquency.- The petition -alleged the passage of the taxing law by resort to the initiative, the return made by the' corporation, the assessment, the duty to pay and the failure to make: such payment.

The answer of the corporation contained twenty-nine paragraphs. Four of these challenged the validity of the tax because of defects inhering in the nature or operation of the tax. The defenses stated in these four paragraphs, however, may be put out of view, as the defendant corporation, on its own motion, was allowed by the court to strike these propositions from its answer; We may also put out of view the defenses raised by the remaining paragraphs, based upon the operation and effect of the state constitution as they aré concluded by the judgment of the state court. Coming .to consider these paragraphs of the answer thus disembarrassed, it is true to say that they all, in so far as they relied upon the Constitution of the United States, rested exclusively upon an alleged infirmity of the powers of government of the State begotten by the incorporation into the state constitution of the amendment concerning the initiative and the referendum.

. The- answer was demurred to as stating no defensé. The demurrer was sustained, and the defendant electing not to plead further, judgment went against it' and that júdgment was affirmed by the Supreme Court of Oregon. (53 Oregon, 162.) The court sustained the conclusión by it reached,.not only for the reasons expressed in its opinion, .but by reference to the opinion in a prior case (Kadderly v. Portland, 44 Oregon, 118, 146), where a like controversy had been determined.

The assignments, of error filed on the allowance of the writ of érror are numerous. The entire matters covered *137 by each and all of them in the argument, however, are reduced to six propositions, which really amount to but one, since they are all based upon the single contention that the •creation by a State of the power to legislate by the initiative and referendum causes the prior lawful state government. to be bereft of its lawful character as the result, of the provisions of § 4 of Art. IV of the Constitution, that. “The United States shall guarantee to every State in this Union a Republican Form of Government, and shall .protect each of them against Invasion; and on Application of the Legislature, or of the Executive (when the Legislature cannot.be convened),, against domestic Violence.” This being the basis of all the contentions,-the case'comes to the single issue whether the enforcement of that provision, because of. its political character, is exclusively-committed to Congress or is judicial in its character. Because of their absolute unity we consider all the propositions together, and therefore at once copy them. We observe, however, that in the argument the second, fourth and fifth paragraphs, for the purposes of discussion, were, subordinately classified, and these subordinate classifications we omit from our text, reproducing them, however, by a marginal reference..

I.

“The initiative and the tax measure in question are repugnant to the provisions of section 1 of the Fourteenth . Amendment to the Constitution of the United States which forbids a State to deny to any person within its jurisdiction the equal protection of the law.

II.

“The initiative amendment and the-tax in question) levied pursuant to a measure, passed by authority of the initiative amendment, violates the right to a republican *138 form of government which is guaranteed by section 4, article IV, of the Federal Constitution. 1

III.

“Taxation by the initiative method violates fundamental rights and is not in accordance with ‘the law of the land.’ (U. S. Const., Art.

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Bluebook (online)
223 U.S. 118, 32 S. Ct. 224, 56 L. Ed. 377, 1912 U.S. LEXIS 2220, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pacific-states-telephone-telegraph-co-v-oregon-scotus-1912.