People v. Thurber

13 Ill. 554
CourtIllinois Supreme Court
DecidedJune 15, 1852
StatusPublished
Cited by37 cases

This text of 13 Ill. 554 (People v. Thurber) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Thurber, 13 Ill. 554 (Ill. 1852).

Opinion

Catón, J.

Under the demurrer which was filed to this declaration, two objections have been urged to the maintenance of this prosecution: 1st, that the act under which it was instituted violates not only the Constitution of this State, but also that of the United States; and 2d, that the law creating the County Court, passed to carry out the new Constitution, having abolished the office of clerk of the County Commissioners’ Court, operates as a repeal of the law itself, by abolishing the instrument provided in the law for its own execution.

It is objected that the law in question violates that provision of the State Constitution which was in force at the time the law was enacted, which provides in substance that all taxation shall be by valuation of the property to be taxed, and shall be uniform. To sustain this objection, it must first be shown that the'"' three per cent, on the amount of the premiums charged by the agent, and which is required to be paid over by him to the clerk, and by him to be paid into the State treasury, is a tax within the meaning of that Constitution. The 80th section of the 8th article of the old Constitution provides, “ that the mode of levy.ing a tax shall be by valuation, so that every person shall pay a tax in proportion to the valuation of the property which he or she may have in his or her possession.” It has never been doubted that the word “ tax,” as here used, means the tax which is imposed upon a person on account of the property which he has, and has never been held to deprive the legislature of the power to inhibit persons from exercising certain callings, franchises, or privileges, without a license or authority for so doing, which they may withhold entirely, or until a pecuniary compensation shall be paid into either the State, or some town, city, or county treasury. This power has been exercised by the legislature ever since the adoption of that Constitution, and these laws have been recognized and enforced by the courts during all that time, and we do not feel called upon to enter into an elaborate argument to vindicate such enactments. Indeed their constitutionality was distinctly admitted upon the argument of this case, while reasons were urged with a view to show that this act did not come within this recognized legislative power.

In the first place, we do not agree with counsel that this three per cent, is not paid for a license to issue policies and charge premiums as agents of foreign corporations. It is true that no license is required to be issued by the clerk, nor is he authorized to withhold the right to act as such agent from any one who complies with the provisions of the law. But that makes no difference. The law itself is the license; and it would certainly be no more constitutional if it. had provided that the clerk should issue a license to such persons as complied with its requirements. Suppose the law had provided that every person who should pay á certain amount into the treasury therefor should be authorized to keep a grocery or exhibit a show, that law would be equally obnoxious to the charge that no license was granted.

It was urged, also, that the authority to issue these licenses', the power to do which was not denied, was the exercise of a right of police, and was rendered necessary and proper,'because the exercise of the calling may impose a special burden upon the State or community; but that when a burden is imposed upon the persons who are authorized to exercise the particular calling, it must be uniform, that is, the same amount must be imposed upon each. We cannot appreciate the necessity for adopting this standard of uniformity. As a question of power, we know1 of no authority for requiring it; and as a question of propriety or of justice, the reason of the thing would seem to be the other way. A grocery, which sells a thousand glasses of liquor in a day, may well be 'supposed to create more disturbance in society than one which sells but ten, and hence imposes a greater burden upon the State in the preservation of good order; and a circus, with a large company, and which collects a large concourse of people, may in like manner be well supposed to impose á more onerous burden upon society, in the preservation of the laws, than one of less attractions ; and we can perceive no impropriety in compelling each to contribute in proportion to the amount of business done or money received. Such a law would be eminently uniform and equal, not only as to the amount of benefits received in the exercise of the license, but also as to the amount of burdens imposed upon the State. So in the case before us, the State is supposed to proceed to a greater or less extent, either directly or through its municipal corporations or by private efforts of its citizens, for the extinguishment of fires, and these provisions in large cities are usually very expensive, and, as a general thing, the greater the amount of premiums charged by the underwriter, the greater will be the benefit which he receives from these provisions to extinguish fires; and it would be difficult to demonstrate the justice of imposing the same burden upon the agent who charges premiums but to the amount of one hundred dollars, as are imposed upon him who charges ten thousand dollars. In our apprehension, there is and can be no force in the objection that the burden imposed by this law is a per centum upon the amount of premiums charged by each agent, instead of a specific and uniform sum upon each. This is not a tax upon property, but is a burden imposed upon the agent for the right of exercising a franchise or privilege, and which the legislature would have the right to withhold or inhibit altogether, and the amount of premiums charged is merely used as a mode of computing the amount to be paid for the exercise of the privilege. The legislature might have adopted, as a mode of computing the amount, the value of the property insured, and in that event it could hardly be said to be a tax upon that property; or the mode of computation might have been the number of policies issued or risks taken, without regard to the premiums charged, and then what would the tax have been upon ? It will be observed that the law in question only applies to agents of foreign insurance companies; and it would be strange indeed if the legislature had not the power to prescribe the terms upon which foreign corporations should be permitted to come into this State and carry on their business, or even to prohibit them altogether. If not, then the power of our legislature to withhold charters of incorporation is but a shadow. Prudent legislation on their part will result in no substantial protection to the people. If foreign, and perhaps irresponsible corporations, may force themselves upon us in defiance of our laws, State sovereignty is but a name. If foreign insurance companies may establish their agencies all over the State, in spite of her sovereign power, then foreign banks may do the same; and where will this new doctrine end, short of an utter prostration of all power in the State to protect her own citizens ? It was seriously urged, that the Constitution of the United States has been violated by this attempt of the legislature to prescribe the terms upon which these agencies of foreign insurance companies might be established here, because it is a regulation of commerce, which is exclusive in Congress. If issuing policies of insurance is a commercial transaction within the provision referred to, of the Federal Constitution, then Congress alone must regulate their issue, and there is no power in the States to limit the right.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

BHA Investments, Inc. v. State
63 P.3d 474 (Idaho Supreme Court, 2003)
Vilas v. Iowa State Board of Assessment & Review
273 N.W. 338 (Supreme Court of Iowa, 1937)
Reif v. Barrett
188 N.E. 889 (Illinois Supreme Court, 1933)
Bachrach v. Nelson
182 N.E. 909 (Illinois Supreme Court, 1932)
Herbring v. Lee
269 P. 236 (Oregon Supreme Court, 1928)
People ex rel. City of Chicago v. Kent
133 N.E. 276 (Illinois Supreme Court, 1921)
Schwartz v. Town of Gallup
165 P. 345 (New Mexico Supreme Court, 1917)
Howland v. State ex rel. Zirklebach
56 Fla. 422 (Supreme Court of Florida, 1908)
Servonitz v. State
113 N.W. 277 (Wisconsin Supreme Court, 1907)
Stull v. De Mattos
51 L.R.A. 892 (Washington Supreme Court, 1900)
Scottish Union & National Insurance v. Herriott
80 N.W. 665 (Supreme Court of Iowa, 1899)
Banta v. City of Chicago
40 L.R.A. 611 (Illinois Supreme Court, 1898)
State ex rel. Grigsby v. Buechler County Treasurer
72 N.W. 114 (South Dakota Supreme Court, 1897)
State ex rel. Toi v. French
30 L.R.A. 415 (Montana Supreme Court, 1895)
State v. Doherty
29 P. 855 (Idaho Supreme Court, 1892)
Dennehy v. City of Chicago
12 N.E. 227 (Illinois Supreme Court, 1887)
County of Amador v. Kennedy
11 P. 757 (California Supreme Court, 1886)
City of Chicago v. James
2 N.E. 475 (Illinois Supreme Court, 1885)
State v. Loper
46 N.J.L. 321 (Supreme Court of New Jersey, 1884)
State ex rel. Troll v. Hudson
78 Mo. 302 (Supreme Court of Missouri, 1883)

Cite This Page — Counsel Stack

Bluebook (online)
13 Ill. 554, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-thurber-ill-1852.