Mcculloch V Maryland Case Study

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1. McCulloch v. Maryland

Constitutional Question: Did Congress have the power under the Constitution to establish a national bank under Article 1, Section 8, and Clause 18 of the constitution and did Maryland unconstitutionally tax a branch of the national bank operating within its borders?

Background information: The U.S government created the first national bank in 1791, while in 1816; the second national bank of the United States was created. Many branches of the Bank of the United States opened throughout the country. States were worried about the increasing power of the national government because the national banks competed with state banks.
The State of Maryland tried to close a branch of the Bank by making that branch pay $15,000 in taxes. James McCulloch worked at the Baltimore branch bank and did not pay the tax. For that reason the State of Maryland took him to court. The State of Maryland argued that if the national government could regulate state banks, the state could make rules for the national bank. The State of Maryland also said that there was no permission in the Constitution for the national government to create a national. McCulloch was convicted of violating Maryland 's tax law then he appealed to the
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Concerning the power of Congress to charter a bank, the Court turned to the Necessary and Proper Clause of Article I, Section 8, which expressly grants Congress the power to pass laws "necessary and proper" for the execution of its "enumerated powers." Maryland was unconstitutionally undermining the superior laws and institutions of the United States. Also Maryland 's tax violated constitutional sovereignty because it acted as a levy against all the people in the United States by a state accountable to only some of the

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