Commerce Clause Business Law

Commerce Clause

Golden is a privately-owned company engaged in the business of disposing toxic waste generated by mining companies. Golden operates pursuant to a license issued by the state of Alpha. This license authorizes Golden to contract with miners to provide the following services: (i) collection of toxic waste at mine sites, and (ii) transportation of that waste to Golden’s disposal station, which is in Alpha, three miles from the border with the state of Beta.

In accordance with the authority granted by its license for the past 10 years Golden has contracted to provide services to miners in Alpha. Recently, Golden expanded its business to serve the miners in Beta and emerging battery businesses across the border in Beta.

Shortly after Golden extended its services to the Beta miners and plants the residents of the town from which the toxic waste disposal station operates started complaining about the rash of skin irritations, and increased illness.

The residents petitioned the State of Alpha to close Golden’s disposal station. Golden objected. The Commissioner help open hearings. Following the hearings, the state issued an order that the use of Golden’s disposal station would be limited to toxic waste from Alpha miners only. The Beta miners and battery businesses were barred from disposing of their toxic waste through Golden.

Both Golden and the State of Beta have filed suit against Alpha seeking to rescind the order.

Develop an IRAC for the Commerce Clause legal issues.:

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