Brief Fact Summary. The Defendant, A.L.A. Schechter Poultry Corporation (Defendant), a slaughterhouse in New York City, was sued under the “Live Poultry Code,” which regulated the poultry industry by requiring collective bargaining, a 40 hour work week, and a minimum wage, among other provisions.
Synopsis of Rule of Law. The Commerce Power ceases where the currents of interstate commerce stop.
Issue. Does the Commerce Clause give Congress the power to regulate the Defendant’s business?
Held. No. Judgment reversed and remanded. The United States Supreme Court (Supreme Court) conceded the poultry is shipped interstate. However, as the Defendant corporation buys the poultry in state and sells the poultry in state for in state consumption, the corporation is not involved in interstate commerce. Therefore, the Commerce Clause does not give Congress the power to regulate the corporations.
But Congress cannot delegate legislative power to the President to exercise an unfettered discretion to make whatever laws he thinks may be needed or advisable for the rehabilitation and expansion of trade or industry.View Full Point of Law