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What trade was brought into question in Gibbons v Ogden?

Updated: 8/21/2019
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Q: What trade was brought into question in Gibbons v Ogden?
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Who is the Chief Justice of the Supreme Court during the case of Gibbons vs Ogden?

John Marshall was the Chief Justice of the Supreme Court during the Gibbons vs Ogden Case. This landmark decision invoked that the power to regulate interstate trade was granted via the constitution.


What was a result of Gibbons v. Ogden?

The result of Gibbons v. Ogden was a landmark Supreme Court decision that established federal power over interstate commerce. The ruling clarified that the Commerce Clause of the U.S. Constitution granted the federal government authority to regulate trade between states, leading to a broad interpretation of federal power in regulating economic activities.


How did the decision in Gibbons v. Ogden help promote commerce?

The importance of Gibbons v. Ogden was that Congress used its power to control commerce between states. If one company (Ogden's company) was given a monopoly over the Hudson River, it would have significantly hindered trade along the east coast.Gibbons v. Ogden was the first case to address use of the Interstate Commerce Clause, leading to an expansion in regional travel and business. This decision allowed landlocked states access to US waterways and improved economic opportunity.Gibbons v. Ogden, 22 US 1 (1824)


What were the effects of the Gibbons v. Ogden ruling?

Gibbons v. Ogden prevented states from establishing or enforcing similar monopolistic transportation laws, encouraging growth of steamboat travel and cargo shipping. This expanded trade opportunities between states, boosting states' economies. Landlocked states were better able to participate in regional trade because they gained access to all navigable US waters. The decision in Gibbons created opportunities for the development of more efficient and sophisticated means of transporting people and goods, such as the railroad.Case Citation:Gibbons v. Ogden, 22 US 1 (1824)For more information, see Related Questions, below.


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Under what authority did gibbons v ogden operate their ferry system?

Aaron Ogden held a Fulton-Livingston license issued under the authority of the state of New York. New York had granted Robert Fulton and Robert Livingston a contract to issue permits for steamboat travel in New York waterways. Fulton and Livingston often seized boats operating without license in their territory.Thomas Gibbons held a license issued under the authority of Congress, pursuant to the Federal Licensing Act of 1793, specifically, "An act enrolling and licensing ships and vessels to be employed in the coasting trade and fisheries, and for regulating the same," under the authority of the Interstate Commerce Clause (Section I, Article 8, Clause 3). Gibbons either refused to purchase or was denied a Fulton-Livingston license, which prevented his company from carrying passengers between Elizabethtown, NJ, and New York City.Ogden successfully sued Gibbons in The Court of Chancery of NY for an injunction against entering Hudson bay and landing in New York City, giving Ogden a monopoly over the steamship business between New York and New Jersey. Gibbons appealed to the Supreme Court, which nullified the New York law as unconstitutional.Case Citation:Gibbons v. Ogden, 22 US 1 (1824)


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What caused confusion over what court had final appellate jurisdiction in the Gibbons v Ogden case?

Gibbons v. Ogden, 22 US 1 (1824)AnswerThe confusion arose from a disagreement between the State of New York and the United States over which had the right to license steamboats and other vessels for travel in navigable US waters, including inland state waterways. New York believed it held sovereign authority under the Tenth Amendment; the United States believed regulating the use of US navigable waterways was the province of Congress under the Interstate Commerce Clause.ExplanationIn Gibbons, New York passed a law allowing a pair of private investors to hold a monopoly on licensing steamboat traffic in the state of New York, including New York Harbor, the only access to New York City by water. The New York licensing regulations were acceptable at first, because most steamboat owners were also New York residents. The statute became problematic when business owners from other states were refused access to New York Harbor and its docks, creating unfair trade practices that penalized foreign (out-of-state) businesses.Congress had passed legislation in 1793, "An act for enrolling and licensing ships and vessels to be employed in the coasting trade and fisheries, and for regulating the same" under the Interstate Commerce Clause, allowing the federal government to license steamboats and other vessels to travel all navigable US waterways, including those within the borders of individual states. This had never been a problem because steamboat technology was new, there were few operators, and most stayed within local territories.In the case of Gibbons v. Ogden, Ogden operated a steamboat business out of New York and was licensed by the State authority; Gibbons operated out of Elizabethtown, New Jersey, and was licensed by the federal government but not by the state of New York. Gibbons owned two steamboats that he used to carry cargo and passengers across the Harbor from New Jersey to New York City, in competition with Ogden. The franchisees refused to recognize the Gibbons' federal license and blocked his use of the harbor and docks, threatening to ruin his business.The conflict between Gibbons and Ogden was a proxy for a larger dispute between the State of New York (all states) and the United States over which government had authority to regulate the use of inland waterways. New York believed it was entitled to exclusive control in order to protect its local economy and other sovereign rights under the Tenth Amendment; the United States asserted control in order to promote expansion of trade between the states under the Interstate Commerce Clause.The dispute raised a question of jurisdiction. If New York had proper authority to license steamboats, the case would have to be settled in the state courts. But if the United States had reasonable constitutional supremacy, the case would have to be settled in the federal courts.The New York state court asserted jurisdiction over the case, declaring the matter a states' rights issue, and found in favor of Ogden, the New Yorker. But Gibbons decided to appeal in federal court because he had been licensed by the federal government.The case ultimately came before the US Supreme Court, which resolved the problem by invoking the Article I, Section 8, Interstate Commerce Clause and the Article VI Supremacy Clause, overturning the New York state law as unconstitutional. Gibbons prevailed, and Ogden had to buy a federal license.For more information, see Related Questions, below.


Under what authority state or federal did Ogden operate his steamboats?

Aaron Ogden held a Fulton-Livingston license issued under the authority of the state of New York. New York had granted Robert Fulton and Robert Livingston a contract to issue permits for steamboat travel in New York waterways. Fulton and Livingston often seized boats operating without license in their territory.Thomas Gibbons held a license issued under the authority of Congress, pursuant to the Federal Licensing Act of 1793, specifically, "An act enrolling and licensing ships and vessels to be employed in the coasting trade and fisheries, and for regulating the same," under the authority of the Interstate Commerce Clause (Section I, Article 8, Clause 3). Gibbons either refused to purchase or was denied a Fulton-Livingston license, which prevented his company from carrying passengers between Elizabethtown, NJ, and New York City.Ogden successfully sued Gibbons in The Court of Chancery of NY for an injunction against entering Hudson bay and landing in New York City, giving Ogden a monopoly over the steamship business between New York and New Jersey. Gibbons appealed to the Supreme Court, which nullified the New York law as unconstitutional.Case Citation:Gibbons v. Ogden, 22 US 1 (1824)


What US Supreme Court decision affirmed the federal government's power to regulate interstate commerce?

The Court first supported Congress' regulation of business under the Interstate Commerce Clause in Gibbons v. Ogden, (1824), and later upheld this authority in a number of other cases.Another important landmark case involving the Interstate Commerce Clause and civil rights was Heart of Atlanta Motel v. United States, (1964).Case Citation:Gibbons v. Ogden, 22 US 1 (1824)For more information, see Related Questions and Related Links, below.