Brief Fact Summary. Butler, the Respondent (Respondent), seeks judgment that the Agricultural Adjustment Act of 1933 (the Act) is unconstitutional in its scope.
Synopsis of Rule of Law. Congress may tax and apportion for the general welfare, but Congress may not use taxation as a means to exercise powers retained by the States.
Issue. May Congress tax crop production in excess of preset limits?
Held. No. Appeals court ruling reversed and remanded.
The taxing and spending power is broad – that is, not limited to the enumerated list of issues in Article I, Section: 8 of the United States Constitution (Constitution).
However, the tax in this case was levied to discourage production of crops beyond the limits set by the Act. This is beyond the powers delegated to the Federal Government. Specifically, the regulation of agriculture is, absent a nexus with interstate commerce, delegated to the states.
Plea agreements, although arising in a criminal context, are analyzed under contract law standards.View Full Point of Law