Knowledge (XXG)

Emergency Price Control Act of 1942

Source ๐Ÿ“

490:, 319 U.S. 182 (1943), several wholesale meat sellers sued to prevent the US Attorney from prosecuting them if they violated the price regulations. Among many arguments, one was that Congress lacked the authority to "carve up" jurisdiction in this form. Pursuant to the Act, the district court dismissed the action for lack of jurisdiction. The Supreme Court affirmed the dismissal, writing that "he Congressional power to ordain and establish inferior courts includes the power of investing them with jurisdiction either limited, concurrent, or exclusive, and of withholding jurisdiction from them in exact degrees and character which to Congress may seem proper for the public good." That is, what Congress can give--federal courts--Congress can take away, and therefore, limit as well, even if it was by issue. 248: 24: 589:, which governs when Congress can assign work to non-legislative bodies, such as the executive or judicial branches, and which work and to whom such work can be assigned. The resulting holding--which many believed to be in error--would alter American administrative jurisprudence for almost fifty years. 600:
The standards prescribed by the present Act, with the aid of the "statement of the considerations" required to be made by the Administrator, are sufficiently definite and precise to enable Congress, the courts and the public to ascertain whether the administrator, in fixing the designated prices, has
573:
found that the Act did, and that there was "no denial of due process" in the statutory provisions that denied the ability of the Emergency Court to grant, among other things, temporary stays or injunctions. This was especially so because the alternatives (wartime inflation or requiring individuals to
626:
cure a problem of delegation? The problem of delegation is one of excessive legislative power transferred to the executive branch--the delegation problem happens at the time of the passage of the statute. The act of an executive agency limiting that power is too late and does not correct the problem
532:
also argued that the Emergency Court was inadequate to protect their constitutional rights because the Emergency Court could not issue interlocutory relief. However, the Court declined to discuss whether the Emergency Court served as an adequate constitutional rights protector, noting that the Act
424:
those relating to enjoining violations of the act/securing orders of compliance, treble damage actions, and criminal prosecutions for willful violations. For these, the Emergency Court shared jurisdiction with state courts. If anyone disagreed with an action taken by the Administrator (such as a
415:
court which had all "the powers of a district court with respect to the jurisdiction conferred on it," except it lacked the ability to issue temporary restraining orders or interlocutory decrees that would stay the effectiveness of any order, regulation, or price schedule issued by the Price
517:, establishing the federal court system we know today--they are subject to limitations emanating from Article III and other constitutional provisions. For example, Congress cannot prohibit all African Americans from bringing a lawsuit, as this would independently violate 425:
price set), she would file a protest with the Administrator and if that was denied, she had thirty days to file a complaint with the Emergency Court. She could not file in any other district court, and the Emergency Court decisions were appealleable directly to the
525:. In addition, Congress potential could not, for example, allow discrimination cases to only be filed in-person in the District Court of Puerto Rico, as this might substantially burden the ability of citizens to assert their constitutional rights. 640:
denied that the Supreme Court had ever adopted such a stance on constitutional law: "We have never suggested that an agency can cure an unlawful delegation of legislative power by adopting in its discretion a limiting construction of the statute."
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delegation of power through a narrowing construction constraining that agency's own discretion. This would become a key principle in American constitutional law and would be followed by lower courts in striking down challenges to laws based on the
406:
The Emergency Price Control Act engendered significant controversy regarding delegation of Congressional power, executive wartime authority, and Congressional control of federal jurisdiction. Much of this stemmed from the Act's creation of the
172: 554:, the plaintiff--also a meat producer--had already been found to violate the Act. He was prosecuted under the Act with the potential for a criminal action. Yakus sought to raise the same issues as the plaintiffs in 574:
comply with a price regulation while its validity was still being determined), "Congress could constitutionally make the choice in favor of the protection of the public interest from the dangers of inflation."
756:
in part on the basis that it was during wartime, and holding that outside wartime, an enforcement court could not predicate a finding of a criminal violation on an administrative proceeding lacking due
470:. The Emergency Price Control Act and the associated Emergency Court of Appeals raised several questions about the relationship between Congress and the Federal Judiciary: (1) Can Congress " 329:
schedules by the Office of Price Administration. The law specified a time limit whereas orders, price schedules, regulations, and requirements by the Act were to terminate by June 30, 1943.
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was a major development of American nondelegation law. Chief Justice Stone argued that an administrative agency could self-correct a problem of delegation if it limited its own power:
522: 34:
An Act to further the national defense and security by checking speculative and excessive price rises, price dislocations, and inflationary tendencies, and for other purposes.
849: 168: 558:(non-delegation--discussed below--due process (the inadequacy of the Emergency Court), and that the price was set too low), but does so by way of defenses for his action. 533:
had a severability clause that, in the event of the interlocutory relief section being found unconstitutional, other provisions would take effect, thus saving the Act.
627:(it really only limits the problem). Allowing the agency to correct a delegation problem is liking locking the barn doors after all the horses have already escaped. 632: 412: 859: 478:
answered yes, though its understanding of the relationship between the legislative and judicial branches may have been informed by the exigencies of war.
501:
clause that, in the event of the interlocutory relief section being found unconstitutional, other provisions would take effect, thus saving the Act.
497:. However, the Court declined to discuss whether the Emergency Court served as an adequate constitutional rights protector, noting that the Act had a 474:" federal jurisdiction in this way? (2) If yes, is the creation of the Emergency Court--with all its limits--constitutional? To both questions, the 675: 493:
Plaintiffs also argued that the Emergency Court was inadequate to protect their constitutional rights because the Emergency Court could not issue
467: 463: 447: 844: 601:
conformed to those standards . . . Hence we are unable to find in them an unauthorized delegation of legislative power. 321 U.S. at 426.
135: 775: 475: 426: 122: 854: 702:"Franklin D. Roosevelt: "Executive Order 8734 Establishing the Office of Price Administration and Civilian Supply.," April 11, 1941" 247: 660: 259: 103: 95: 670: 283: 459: 56: 408: 79: 239: 23: 494: 263: 864: 518: 769:
For a discussion on the clarity and forethought that went into authoring the Emergency Price Control Act,
680: 615: 586: 538: 471: 443: 438: 314: 271: 509:
To understand this question, it is necessary to understand a bit about Article III. Article III does not
514: 298: 287: 223: 830:. U.S. Department of Labor / Federal Reserve Archival System for Economic Research (FRASER): 1โ€“122. 275: 807: 794: 720: 566: 318: 129: 738:
See Richard H. Fallon, Jr. et al., Hart and Wechsler's The Federal Courts and the Federal System
819: 808:"Message to the Congress Asking for Quick Action to Stabilize the Economy - September 7, 1942" 158: 585:
also questioned the constitutionality of the Emergency Price Control Act with respect to the
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Court treated as the central issue to the case whether the Emergency Court review procedure "
655: 721:"Statement by the President on Signing the Emergency Price Control Act - January 30, 1942" 570: 279: 650: 637: 310: 795:"The President Outlines a Seven-Point Economic Stabilization Program - April 27, 1942" 325:. The Act provided authority for enforcement, investigative reporting, and reviews of 213: 191: 838: 665: 442:, 321 U.S. 414 (1944)--continue to inform understandings of the relationship between 322: 205: 181: 513:
Congress to create lower federal courts, but when Congress does--as they did in the
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affords to those affected a reasonable opportunity to be heard and present evidence
498: 417: 326: 88: 309:
The Emergency Price Control Act was penned as three titles specifying rulings for
139: 536:
The Court did discuss the constitutionality of the Emergency Court's limits in
701: 294: 814:. Washington, D.C.: National Archives and Records Service. pp. 356โ€“368. 801:. Washington, D.C.: National Archives and Records Service. pp. 216โ€“227. 267: 622:
principle was logically flawed however: how could an administrative agency
823: 727:. Washington, D.C.: National Archives and Records Service. pp. 67โ€“73. 297:
was passed by the 77th U.S. Congressional session and enacted into law by
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Is the Emergency Court of Appeals, With its Restrictions, Constitutional?
824:"Changes in Cost of Living in Large Cities in the United States 1913-41" 39: 107: 286:(OPA) as a federal independent agency being officially created by 246: 278:
to support the United States national defense and security. The
609:
held that an administrative agency could "save" an otherwise
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to hear complaints relating to actions of the Administrator
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Administrator of the Act. The Emergency Court had exclusive
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Federal Courts is the study of the relationship between
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The Constitutionality of the 1942 Price Control Act
233: 145: 128: 118: 113: 94: 75: 70: 62: 51: 38: 30: 80: 752:, 481 U.S. 828, 839 n. 15 (1987) (distinguishing 633:Whitman v. American Trucking Associations, Inc. 341:Prices, Rents, And Market And Renting Practices 630:The Supreme Court came to this conclusion in 546:the Emergency Price Control Act was attacked 482:Can Congress "Carve Up" Federal Jurisdiction? 454:Impact on the Understanding of Federal Courts 8: 806:Roosevelt, Franklin D. (September 7, 1942). 16: 719:Roosevelt, Franklin D. (January 30, 1942). 850:United States federal currency legislation 708:. University of California, Santa Barbara. 198:Reported by the joint conference committee 173:Senate Banking, Housing, and Urban Affairs 793:Roosevelt, Franklin D. (April 27, 1942). 333:Title I: General Provisions and Authority 355:Title II: Administration and Enforcement 692: 676:Standard of living in the United States 274:of goods and services while providing 15: 7: 765: 763: 338:Purposes, Time Limits, Applicability 860:Emergency laws in the United States 266:as restrictive measures to control 256:Emergency Price Control Act of 1942 123:50 U.S.C.: War and National Defense 17:Emergency Price Control Act of 1942 750:See United States v. Mendoza-Lopez 700:Peters, Gerhard; Woolley, John T. 157:in the House as H.R. 5990 by 85:Tooltip Public Law (United States) 14: 661:Office of Economic Stabilization 542:, 321 U.S. 414 (1944). While in 363:Investigations, Records, Reports 22: 822:; Stewart, Stella (June 1941). 706:The American Presidency Project 671:Rationing in the United States 618:for the next fifty years. The 284:Office of Price Administration 1: 779:, 30 Cal. L. Rev. 648 (1942). 578:Impact on Administrative Law 845:77th United States Congress 436:, 319 U.S. 182 (1943), and 397:Application Of Existing Law 180:on November 28, 1941 ( 57:77th United States Congress 881: 569:." Writing for the Court, 409:Emergency Court of Appeals 212:on January 27, 1942 ( 204:on January 26, 1942 ( 190:on January 10, 1942 ( 169:House Banking and Currency 161:(D-AL) on November 7, 1941 828:Research Bulletin No. 699 394:Appropriations Authorized 240:Stabilization Act of 1942 238: 150: 21: 855:World War II legislation 740:342-345 (7th ed. 2015). 448:federal judiciary system 380:Title III: Miscellaneous 344:Agricultural Commodities 315:agricultural commodities 165:Committee consideration 681:Nondelegation Doctrine 616:nondelegation doctrine 603: 587:nondelegation doctrine 539:Yakus v. United States 468:branches of government 439:Yakus v. United States 268:inflationary spiraling 251: 202:agreed to by the House 598: 515:Judiciary Act of 1789 432:Two important cases-- 305:Provisions of the Act 301:on January 30, 1942. 299:Franklin D. Roosevelt 288:Franklin D. Roosevelt 264:economic intervention 260:United States statute 250: 224:Franklin D. Roosevelt 200:on January 10, 1942; 495:interlocutory relief 488:Lockerty v. Phillips 434:Lockerty v. Phillips 350:Voluntary Agreements 571:Chief Justice Stone 327:price stabilization 290:on April 11, 1941. 276:economic efficiency 226:on January 30, 1942 146:Legislative history 18: 319:goods and services 272:pricing elasticity 252: 820:Williams, Faith M 773:Joseph W. Aldin, 375:Saving Provisions 245: 244: 188:Passed the Senate 159:Henry B. Steagall 97:Statutes at Large 872: 831: 815: 812:Internet Archive 802: 799:Internet Archive 780: 767: 758: 747: 741: 735: 729: 728: 725:Internet Archive 716: 710: 709: 697: 656:Great Depression 611:unconstitutional 519:Equal Protection 466:, and the other 385:Quarterly Report 282:established the 234:Major amendments 178:Passed the House 132:sections created 98: 86: 82: 66:January 30, 1942 44: 26: 19: 880: 879: 875: 874: 873: 871: 870: 869: 835: 834: 818: 805: 792: 789: 784: 783: 768: 761: 748: 744: 736: 732: 718: 717: 713: 699: 698: 694: 689: 647: 636:. In so doing, 592:The holding in 580: 507: 484: 456: 404: 381: 356: 334: 307: 280:Act of Congress 229: 220:Signed into law 136:50a U.S.C. 96: 84: 52:Enacted by 42: 12: 11: 5: 878: 876: 868: 867: 865:Price controls 862: 857: 852: 847: 837: 836: 833: 832: 816: 803: 788: 787:External links 785: 782: 781: 759: 742: 730: 711: 691: 690: 688: 685: 684: 683: 678: 673: 668: 663: 658: 653: 651:Cost of living 646: 643: 638:Justice Scalia 579: 576: 528:Plaintiffs in 523:14th Amendment 506: 503: 483: 480: 464:federal courts 455: 452: 403: 400: 399: 398: 395: 392: 389: 386: 379: 377: 376: 373: 370: 367: 364: 361: 360:Administration 354: 352: 351: 348: 345: 342: 339: 332: 311:price controls 306: 303: 293:The H.R. 5990 243: 242: 236: 235: 231: 230: 228: 227: 217: 195: 185: 175: 162: 151: 148: 147: 143: 142: 133: 126: 125: 120: 119:Titles amended 116: 115: 111: 110: 100: 92: 91: 77: 73: 72: 68: 67: 64: 60: 59: 53: 49: 48: 45: 36: 35: 32: 28: 27: 13: 10: 9: 6: 4: 3: 2: 877: 866: 863: 861: 858: 856: 853: 851: 848: 846: 843: 842: 840: 829: 825: 821: 817: 813: 809: 804: 800: 796: 791: 790: 786: 778: 777: 772: 771:see generally 766: 764: 760: 755: 751: 746: 743: 739: 734: 731: 726: 722: 715: 712: 707: 703: 696: 693: 686: 682: 679: 677: 674: 672: 669: 667: 666:Price ceiling 664: 662: 659: 657: 654: 652: 649: 648: 644: 642: 639: 635: 634: 628: 625: 621: 617: 612: 608: 602: 597: 595: 590: 588: 584: 577: 575: 572: 568: 564: 559: 557: 553: 549: 545: 541: 540: 534: 531: 526: 524: 520: 516: 512: 504: 502: 500: 496: 491: 489: 481: 479: 477: 476:Supreme Court 473: 469: 465: 461: 453: 451: 449: 445: 441: 440: 435: 430: 428: 427:Supreme Court 423: 419: 414: 410: 401: 396: 393: 390: 387: 384: 383: 382: 374: 371: 368: 365: 362: 359: 358: 357: 349: 346: 343: 340: 337: 336: 335: 330: 328: 324: 323:real property 320: 316: 312: 304: 302: 300: 296: 291: 289: 285: 281: 277: 273: 269: 265: 261: 257: 249: 241: 237: 232: 225: 222:by President 221: 218: 215: 211: 208:) and by the 207: 203: 199: 196: 193: 189: 186: 183: 179: 176: 174: 170: 166: 163: 160: 156: 153: 152: 149: 144: 141: 137: 134: 131: 127: 124: 121: 117: 112: 109: 105: 101: 99: 93: 90: 83: 78: 74: 69: 65: 61: 58: 54: 50: 46: 41: 37: 33: 29: 25: 20: 827: 811: 798: 774: 770: 753: 749: 745: 737: 733: 724: 714: 705: 695: 631: 629: 623: 619: 610: 606: 604: 599: 593: 591: 582: 581: 562: 560: 555: 551: 547: 543: 537: 535: 529: 527: 510: 508: 499:severability 492: 487: 485: 460:state courts 457: 437: 433: 431: 421: 418:jurisdiction 405: 391:Separability 378: 353: 347:Prohibitions 331: 308: 292: 262:imposing an 255: 253: 219: 209: 201: 197: 187: 177: 164: 154: 114:Codification 43:(colloquial) 548:offensively 413:Article III 388:Definitions 372:Enforcement 295:legislation 839:Categories 687:References 521:under the 313:regarding 155:Introduced 140:ยง 901 76:Public law 31:Long title 757:process). 366:Procedure 71:Citations 63:Effective 645:See also 556:Lockerty 544:Lockerty 530:Lockerty 472:carve up 446:and the 444:Congress 102:56  40:Acronyms 511:require 206:289-114 182:224-161 81:Pub. L. 624:itself 605:Thus, 422:except 402:Impact 369:Review 321:, and 210:Senate 138:  130:U.S.C. 106:  89:77โ€“421 87:  754:Yakus 620:Yakus 607:Yakus 594:Yakus 583:Yakus 563:Yakus 552:Yakus 550:, in 411:, an 258:is a 214:65-14 104:Stat. 561:The 270:and 254:The 192:84-1 171:and 55:the 47:EPCA 486:In 450:. 167:by 841:: 826:. 810:. 797:. 762:^ 723:. 704:. 462:, 429:. 317:, 108:23 216:) 194:) 184:)

Index

Great Seal of the United States
Acronyms
77th United States Congress
Pub. L.
77โ€“421
Statutes at Large
Stat.
23
50 U.S.C.: War and National Defense
U.S.C.
50a U.S.C.
ยง 901
Henry B. Steagall
House Banking and Currency
Senate Banking, Housing, and Urban Affairs
224-161
84-1
289-114
65-14
Franklin D. Roosevelt
Stabilization Act of 1942

United States statute
economic intervention
inflationary spiraling
pricing elasticity
economic efficiency
Act of Congress
Office of Price Administration
Franklin D. Roosevelt

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